[ChazzWazzaParticipant@chazzwazzaJoin Date: 2011Post Count: 9]

May 3, 2014 - 1:12 pm

wow that’s a decent effort, I’d be very happy to reach half of your success, my initial target is a wage but if it evolves into an empire over the years then I guess I won’t complain :)

I saw a broker we punched my data into AFG (I think it was) seems to be a digital wholesale portal for brokers and it listed some “green lights” for approval, however it was a sub prime lender named peppers, high costs, higher interest rate, etc

I had yellow lights on Macquarie, etc and I haven’t defaulted, have flawless credit…. so I get what you mean…..I’m sure I could do better…

there is an upcoming trade event that is advertising a new product with lvr at 70% with competitive interest rate for investors… have you heard of this Richard?

[ChazzWazzaParticipant@chazzwazzaJoin Date: 2011Post Count: 9]

April 30, 2014 - 10:01 am

Hi Keith,

I have 2 properties in low socio economic areas and im a fan because home/land/unit value vs Rent return is great, i guess the trick is finding areas that are transitioning from low socio to the next stage so you can get a capital boost (of course things need to be happening for the town also). Discussing with agents helped me gauge percentage of govt housing to owner and how owned was starting to dominate over the years as govt kept selling (was at 20% govt when i bought). You can see when you visit the suburb and see a mixture of original homes, rennovated and new builds. (as opposed to whole suburb being original) I find suburb aesthetic ie the cars people drive and gardens/ property maintanence /duty of care levels combined with the above give me an idea. (also these forums have professional investors talking about the best streets of the worst areas)

Some suburbs just have a bad rep for something that happened in past or ethnicity. I bought a unit in Roselands Sydney back in 2006 and my friends/family said i was mad because it was next to Punchbowl (middle eastern community), not sure if you know sydney but its been the jewel of the everything i ever bought?

I bought an ex government home for 190K last year and has returned 260pw since, a new build was sold a few houses down the street for $325K 6 months ago and have 4 other new builds on street? I have a portfolio loan so I hope when i reevaluate value to borrow on equity that some of those other sales rub off on the e-val. RPdata search with my broker yesterday and a chat with agents has it about $210-$215K atm. (ill be holding this for quite some time)

Ok so heres the bad part, had a gang of “youths” throw a large rock through window and smashed front fence, so yeah insurance protecting you for home and as landlord a standard (more exp). Also be patient with agent its not their fault the home and the market the home attracts might bring difficulty. Also found agents less reluctant to negotiate on management (makes sense but thought i would mention).

People around you find it hard to understand what your doing (Have a mate who calls me the slum lord haha) so if your stout, treat professionally without prejudice or like a challenge then i recommend it, im sure other people would suggest easier alternatives but i like the idea of dusting the dirt off and finding a gem instead of a an old horse apple. :)

With house im looking at this as a strategy at the moment and finding the relocating home industry to be quite evolved, i.e. hard to find land stock, waiting lists of investors at established house moving/seller companies, so i driving out next week to visit a couple of lots where they have houses already moved (they also have listings of houses still at original address awaiting purchase before removal) and pick the brain of sales reps for more info. Purely an information exercise, ive worked out costings but want them to confirm for me. I thinking i should just learn now in case opportunity comes up.

Id be interested to hear from someone with personal experience on this, my research has been to buy private $8-$15K or through dealer $20-$35k for basic standard house (with much more additonal costs). People even give away free to avoid cost of demolition.

Have you researched online? pull together a cost table, contact council, moving company, gumtree, investor forums etc recommended.

Brad

[ChazzWazzaParticipant@chazzwazzaJoin Date: 2011Post Count: 9]

April 30, 2014 - 8:57 am

Hey JP, Thanks for the support and good luck with your path.

Good to hear sales are firing, my industry is moving to digital pretty quickly as other media industries drawing to an end, so it was either become a sales manager for products im not passionate about or push the investing side harder.

Got a few PM’s so far, makes sense if you work as a team in professional life and have success, then this shouldnt be treated any differently.

I found a GC property network group on meetup, seems to be 70% are lawyers, brokers, planners, etc which im sure i could learn something and make contacts but because of their commercial agenda id feel more comfortable exchanging with other investors.

Im checking it out next week so will repost if anybody interested out there in forum land…

[ChazzWazzaParticipant@chazzwazzaJoin Date: 2011Post Count: 9]

October 25, 2011 - 7:34 pm

Good news

Put an offer in for a property… dual occupancy house going cheap 2 kitchens, 2 bathrooms good size block in a strong location with proposed transport infrastructure development and close by to a university and hospital.

Thanks all for your help, appreciate the input, even though i didnt move in the directions suggested, i did look into them which kept me active and led me too opportunity and out of my state of “i dont know what to do” paralyzation

[ChazzWazzaParticipant@chazzwazzaJoin Date: 2011Post Count: 9]

October 14, 2011 - 8:35 pm

matthew.f wrote:

Is it $100k cash or equity?

If positive cashflow is your strategy or priority. 20%+ down on 3 cashflow properties. Minimal ongoing contribution and low risk high yield returns in a marketplace where rental demand is assured as apposed to uncertain short term capital growth.

70% cash 30% equity, equity $ figure could have been higher but when i brought 1 investment into the portfolio loan of my occupied premises, the bank asked me the value of the investment during application process, when the value came in higher they went with my quoted value being the lower of the 2. not sure how that works but i have this in an email from stgeorge. Tips for all quote high values to banks

ive found searching for CF+ properties very hard, not only in the search but uncertainty in the areas, and have invested into education with reading steve first 2 books and margaret lomas 20 questions.

any extra tips you can provide would be very helpful.

[ChazzWazzaParticipant@chazzwazzaJoin Date: 2011Post Count: 9]

October 14, 2011 - 12:40 pm

Thanks Meg,

Work alot, in fact will be working over the weekend (theyve given me a key recently) …I get paid an above average salary, 1 property NSW 1 property QLD occupied (70% cash 30% equity). Ive looked into flood affected/fixups but i dont have the skill sets to renovate and am realistic enough to know ill lose my patience quickly and whats left of personal life. The place im living in now was a cosmetic fixer but this has taken me 1 1/2 years to get to a good standard (casual renovating is a better word)

This doesnt sound like a good goal but i pretty much want to work hard (which i enjoy) maintain 80% debt on assets and pump whatever available funds ive accrued out into the financial world and to my fiance, unless interest rates change.

I suppose its a difficult and open ended thread to start, but it sounds like you are in a good place and appreciate your insight into recent movements

[ChazzWazzaParticipant@chazzwazzaJoin Date: 2011Post Count: 9]

October 14, 2011 - 11:57 am

dcwwood wrote:

G’day ChazzWazza, sounds like you’re travelling pretty well. Now all depends on your risk appetite and longer term goals but if I were you I’d be investing more in property (go for a new house build in QLD and get 10K from the State Gov.) and more shares (one’s with solid growing dividends). Thats what we’ve doing – just signed another new H&L in Townsville last night and have been buying as many shares as the wife will let me (dollar cost averaging).

Thanks dcwwood

I actually live in qld and have been looking into new build units and houses but have found over inflation in some areas. I recently inspected properties around Bundamba (ipswich) and have seen comparisons of established vs new build close by for quite a difference in price (established winning in the value side). I suppose ive built a prejudice after a couple of tries but will definitely give another look up north. (any good news on cairns? ive read its really come down in value in recent times)

Iv recently signed up to Direct shares (stgeorge) to start a few small buys to build confidence as its been about 10 years since ive been active in the market.

Do you bear much thought into asset allocation when investing in the 2? i.e. net worth 30% property 20% Shares, etc (i dont seemed deterred or worried by it regardless of what i read)