Forum Replies Created
As you'd be paying rent for yourself regardless of what else you do, is it worth your while erring on the side of caution, and buying a modest house to live in yourself, & taking in share tenants at least temporarily (include a cleaning lady in the tenant's rent, or if you're capable, do the cleaning/gardening yourself for extra profit). Not sure which state you're in, but Fly In Fly Out tenants work well
Then when you're well & earning a higher income, consider whether you want to continue living in that environment, or rent the same house out as an investment property.ummester wrote:did you have to save a deposit for your first place cutyoungchic?Yes ummester, I had to save a set amount over a 6 month period. Unfortunately I don't remember the amount to be able to share the info with you. I do remember going into complete shock though when told the figure
For my second property, and also these units I'm about to have built, I haven't needed to have a deposit.
As I said earlier, I've often worked a second job. I've also never bought a brand new car, always waited til I found a 1 – 2 year old model. Last one I bought had been driven by the local Catholic bishop – they only keep them for 12 months before trading them on a new model.Well said Xdrew!
My sentiments exactly
Cheers,So Angel, number 4 addresses can be a pretty good find.
Thanks for the tip, and your thoughtfulness
CheersOceanArchitectural wrote:cuteyoungchic wrote:OceanArchitectural, investing isn't "hard work" physically, although other people involved with rental properties can make life very stressful at times.
For most of us though, it's what we need to go without that makes investing such "hard work," particularly for the first couple of properties. One also needs to be reasonably well/self educated in real estate to be successful in it.
Most jobs are far more complicated than meet the "public" eye, a lot including all the finer detail you've included above if one works for themselves.
My work appears to others to be simple, & so I feel my time is often not respected by others. I know otherwise, however. But I'm lucky, because unlike this particular topic being discussed here, I don't need to crap all over everybody else if someone dents my ego, instead, I'm strong enough to simply feel sorry for the ignorant person & just continue on my way towards my goals.Hang on a second again – my business motto has always been to never, ever get jealous of other peoples money. If someone you hire to do a job adds value for you, they should get equivalent value back, and thats that.
Now, you said that investing isnt difficult physically – thats true. But then, a lot of handyman work isnt particularly physical either, but they take on every bit as much responsibility as an investor, albiet in smaller pieces. If youre an investor and make a mistake, sure, you can lose tens or hundreds of thousands in one hit. If youre a tradesman, all of those little losses pile up and are every bit as significant in the long term as that single major loss by an investor.
My father has been in building since forever, and I cannot count the times he took hits from such things as jobs blowing out because of something out of control – bad weather? oops, just wated 2 days and $600 in wages. Paint came off because it was a particularly hot day and ruined the external paint? oops, take it off, do it again, there goes $2000 in extra time/material/penalty fees. Apprentice crashed the van? bang, there you go, thousand dollar repair bill otherwise your premium goes up by 200%
I think that some people here are lacking in perspective. Yes investing is can be difficult, stressful, uncertain, and problematic, but the same thing applies to any person running a small business – as an investor, taking one big risk, you almost certainly end up in a better position than a tradie taking on many, mitigated, multiple risks, and so shouldnt begrudge the tradesperson on the tools who is adding value to your business (by fixing up your stuff) getting some value back out of it, equitably.
Just so you know, Ive been on tools since I was a child. The first time I finished concrete, I was 11 years old. Ive done everything through demolition, paint, tiling, masonry, render, steelwork, roofing, plastering, and cabinetry as a sole operator. These days I rezone land, design buildings, put developments together, and am into CGI specifically for off the plan developers – so I know where youre coming from, but, based on my previous experience and ability to relate to the guy who is the boots on the ground, think that your thinking is compartmentalised, unrealistic, and unfair.
Let the poor bastards make some money, they deserve it. Within reason, of course – and $66/hr is realistic. My bastard real estate agent friends drive nice cars, work in plush offices chock full of tasty things to eat/coffee machines/comfy chairs, drink wine with clients and, after the client pays for their advertising etc and they happen to find someone who was going to buy the property anyway, hit the client for $10 000 – $15 000 in fees. which, I might add, is how much a handyman could expect to make in 3 months. Its a little unfair, but then, the RE agent added value, and deserves value back. It's a better gig than being a handyman in my opinion, but as I said, added value is added value, and people should be compensated fairly in return
(Secretly I hate real estate agents. Just saying.)
OceanArchitectural, I wasn't for one second comparing real estate investors with tradesmen
CheersNo sure what Vcat is, but your local Real Estate Institute will also be very interested.
How much notice did you give the Property Manager Rachel?
The bond is likely to be equal to the rent, so what of the damage bill?
And yes, as Scott No Mates has suggested, raise the issue with the licensee of the agency – in writing is usually beneficial..
It's common for Property Managers to "feel sorry for tenants."
Fingers crossed for you Rachel.
Cheers,
