Forum Replies Created
Hi and welcome to the forums.
I congratulate you on starting so young.
Equity growth in property is an awesome way for you to leverage and build you property portfolio.You plan sounds like a great idea you have and I would say go for it.
ChrisAll post are IMHO.
I was there 2 weeks ago as a tourist from a cruise and I agree that some of the buildings I would not go into as I think they where a bit shoddy.
So others where quite good and some of the bars where nice places to drink!
ChrisAll post are IMHO.
Speak to one of the brokers here to get some more information but it is usually having a deposit and showing that you can service the loan thru your own funds and rental income (if using borrowings for an investment loan).
ChrisAll post are IMHO.
Capital Gains Tax from the ATO
http://www.ato.gov.au/individuals/content.asp?doc=/content/43486.htm
Here is the Tax Office information
This is the way I think it works
Sell $220 000
Less Purchase price $180 000
Less buying costs $25 000
Less Selling costs $7 000 ($5500 commission + $1500 for legals and aadvertising)Total Costs $212 000
Capital Gains $8 000
Taxed on 50% as kept over 12 months $4 000
This gets added to your income for that year you sell.
ChrisAll post are IMHO.
But what is the cost for the professional package?
CBA has a smilar thing but cost $495 pa
ChrisAll post are IMHO.
Diannec,
I can simpat with your on redundancy. I was with the Commonwealth bacnk for close to 15 years. They had just put me thru training to support the new stuff coming out and then out of the blue my position was made redundant. Emoitions come and go while dealing with this event in your life. Support from Family and friends is good.
I went on to get a better job and a lot more $$$ and now onto my 2nd property. This is 5 years later and I have found that making me redundat in that job was a turning point to a better life for myself.
You finanial future is totaly up to you as you are at a turning point in your life where you can make a decision on what to do. You need to make an informed choice.
AS you husband is working and you have a payout you should be able to secure finiance with the amount of different loans and brokers out there doing deals.
because you have good deposits then even Low Doc loans are a possible option.
ChrisAll post are IMHO.
You can do that here is Australia. As you said it needs enough money to buy the house.
It’s a pitty that a DIY Super cannot borrow morney otherwise I would have a DIY super and it would buy my house and I would rent the house from my super fund so there fore paying extra to my super fund.
ChrisAll post are IMHO.
Sounds like a good idea but remember you have to take in Captail Gains Tax when you sell.
If you sell and what left after REA, Legal and TAX is going to pay off the holiday home sounds good.
ChrisAll post are IMHO.
I got this investment loan last year
CBA
1 Year Guaranteed Rate 5.99%
Standard Variable Rate 7.07%Then you can as get the Wealth Package where can lots of discounts inculding no fees and discount on the standard rate from 0.4% to 0.7% depending on the amount.
Check out the website.
ChrisAll post are IMHO.
Gonnaberich,
I can only talk from personal eexperience when I refinance back in early 04.
It was very simple in that I put in my application with the new bank and they then had my properties valued.
From this they advised how much I could borrow based on my serviceability and the valuations.
I only wanted to payout the old loans and so gave them a total that I wanted paid out.With my case it took me almost 2 months to get all the contract details correct in that some wording was wrong and I wanted no fees. At settlement the bank people got the payout from the old loans which included all fees that the old leader was charging for payout and then bank arranged them to be paid out.
As I had already made extra repayments to the old loan there was money left over which they gave to me.
TO me it was like applying for a new loan needing all the doco I had from the first loan. Even tho it took some time to complete was very easy and today with interest rates low you should be able to get a intro rate cheaper then your current rate.
ChrisAll post are IMHO.
I don’t think it is the bottom yet but it is at a plateu at the the moment. Could continue to stagnate or go down at any minute.
ChrisAll post are IMHO.
At what age did you start investing in property?
29 (Now 35)What difficulties did you have in doing this?
Organising finance, showing a deposit and proving that you could service the loan.Was your first property an IP or PPOR?
PPOR in Padstow, Sydney 3b House. $285k (Valued $550k)How long did it take you to back up your first purchase with another?
1st IP 2 bed unit off the plan at Roselands for $286K (Valued $320k). -ve as most of Sydney.How long did it take to acquire 10, 20, 30 or more properties?
Only PPOR and 1st IP at the moment but starting to get with it.What are your plans for the future, ie. how many properties will get you to where you want to be financially?
Learning how to get the most out of property investment and to get enough income to retire or change professions into a full time investor.
ChrisAll post are IMHO.
What do you mean pro-active?
ChrisAll post are IMHO.
A tool to help you try and sell is the via radio transmitter in the house to people driving by. Check out this post
https://www.propertyinvesting.com/forum/topic/14434.html
ChrisAll post are IMHO.
I was watching TV late one night and saw this.
I think it would be awesome if you wanted to sell the house yourself. Put up your own signs and put this in, some advertising in the papers should be a good thing.
ChrisAll post are IMHO.
Have you got any outstanding non-investment debt? If so I suggest you pay this debt of first. Any repayments you have for that once paid off continue to put into an account for a deposit.
With most lenders you need to show savings and with buying a property it runs about 5% of purchase price for costs so you need some money behind you.
Start reading a few books as there are lots out there with good information and the most important is to start.
You have shown by posting here you want to improve your situtation more then a few Aussies.
Personally I start by investing in Managed funds until I got enough for a deposit. This shows you can saving and make the repayments for the long.
ChrisAll post are IMHO.
Hi Pete and welcome.
Good to see your taking an active roll in your own future as some people just let it go with their super which may not be enough.
Some very good comments from Derek. I will just add that if you can clear all your personal debt first it helps a lot.
Most of this is reading and and putting it into practice. I think the best to read a few books about property investing (there are hundreds), talk to a few people, Q&A here on the forums but the most important is to put it into action.
ChrisAll post are IMHO.
If you search the forums at Richdad.com you find a few people in each state that play the game. You don’t even have to buy it yourself to learn how to play with others.
Where are you located? If in Sydney I have the game and maybe able to arrange a time to play
ChrisAll post are IMHO.
I would like to get involved in a investment club in Queensland. I live in Sydney but it is good to invest in other states that don’t have so many taxes!
ChrisAll post are IMHO.
Brady we need some more information.
Where are you looking to buy?
Do you have equity in another property?
Most lenders will lend on 80-95% of the property. You will have to pay costs as well.
With loans now days you can keep re-financing and always have time to pay it back.
ChrisAll post are IMHO.
