Could anyone clarify the definition of ‘metropolitan and major cities’ areas?

Would it for example, include, say Ballarat, Geelong etc??

Cheers

David U

Thanks everyone.

These loans are just for short term holding; ie buy, settle and then on sell immediately at retail (not wrap!), so the interest rate is not of the utmost importance as the property will be held for say 120 days max.

Stuart, with the Eurofinance loan mentioned, are there are loan break fees and post code…[Read more]

Been a way for a while. It is true that this subject has been bled to death.

In my experience, the best deals are not found on the internet at all. They have been found, just walking around looking in real estate agent’s windows….

The internet certainly works as a filtering tool for possible investing areas, but just looking at the…[Read more]

Well said Mr Trass for articulating perfectly my views about why it can be hazardous to invest in small rural NZ towns.

Coming from such a knowledgeable and authorative source as yourself, I hope others will take heed of your words of wisdom.

Best

David U

When you say ‘bought’, what exactly do you mean? Have you signed the contract yet?

If so, be careful, you may be in a position where you have a legally binding contract and will be forced to purchase despite your reservations. Check the contingency clauses in your contact if this is the case.

My advice for what it’s worth (and this…[Read more]

Here’s a link that will explain wraps in a bit more detail

https://www.propertyinvesting.com/strategies/wraps

Personally, if I was you, I’d pay EXTRA special attention to the ‘Critical Success Factors’

Cheers

David U

I 100% agree with Elysium-M.

In a situation whereby you employ the services of a valuer who will effectively ‘roll over’ for you , there are two (or more) possible consequences

i) The valuer will get blacklisted by the lending institution

ii) The valuer will sue you

This is what is happening in NZ to ESC (RichMastery)who are currently…[Read more]

No probs. Real estate is essentially a game; play by the rules, you get what you want… Everybody is happy.

Also forgot to add, in putting together comparable sales, EXCLUDE any recent sales that will not benefit you; eg property a few doors down sold cheaply due to a distressed sale will NOT add to your case, so do not include it in…[Read more]

In this current market, valuers are extremely busy and in carrying out a valuation will just look at recent sales which in most cases are in excess of 6 months old. This is a problem in a fast moving market.

To ensure you get the valuation needed, YOU have to do the homework for them; ie provide them with 5-6 recent comparable…[Read more]

I don’t think the vendor is being too greedy. You both have agreed to the purchase price, so there’s no real need for the vendor to reduce the price REGARDLESS of the valuation.

Unfortunately, I believe the vendor understands your pysche, ie i) You are a newbie ii) You are an out of towner. Put i) and ii) together and you get a highly…[Read more]

I understand what you are saying but I feel that’s closing the stable door AFTER the horse has bolted.

My point was that UPFRONT research would have uncovered these distasteful tactics that yourself and many people are unhappy with; ie a refund would not have been required as the research would have led you to the correct decision in…[Read more]

Not meaning to stir up a hornet’s nest but…

First of all, I’m no fan of HK or of anything that he advocates.

However, in my opinion, people who are prepared to pay in excess of $15k for a seminar WITHOUT doing their due dilligence about the company or the officials behind it (ie eyes wide shut)in the remote hope that it will be a PANACEA…[Read more]

What you are saying is true; but seeing as I will be moving to NZ permanently in the next 12 months, I was making my comments from the perspective of a NZ resident.

Cheers

David U

Basically NOTHING… Well not much anyway

No stamp duty on loan
No stamp duty on mortgage

Costs will be:

Application fee for loan
Legal/conveyancing costs
Inspection costs; building, pest and LIM
Valuation report
Minimal settlement fees

That’s about it!!

P.S also NO capital gain tax if it’s bought as a long term buy and hold

Cheers

David U

Thanks for that post… My spiel was for the general info of ‘Non-Kiwi’ newbies who may be confused with all the terminology and its relevance.

I already know you have your system down pat. []

Sooshie… No probs

Cheers

David U

Sounds too easy…

What about credit checks?

David U

Good stuff!

How did they verify your income?

Cheers

David U

My strategies for reducing risk are as follows:

i)All my loans have now been reverted to p & i

ii)I have 3 months worth of cash in the bank to cover absolutely worst case scenario of having all my properties empty.

iii) The combined LVR of all my properties is…[Read more]

Just a note of caution about using GV as a proxy for the market (real) value.

GV’s are basically government valuations carried out by local councils every 3-4 years by use of an almost ‘adhoc kerbside’ methodology.

They are also known as CVs (Capital Values). Capital Values = Land Value + Value of Improvements to the land (ie the building…[Read more]

Let me put the quote into context.

It was made by a U.S journalist 3 months PRIOR to the crash of the internet (Dot Com) sector.

To paraphrase, he was basically saying was that one could normally predict the bust of a bubble because normally record and unprecedented levels of activity precede the impending crash.

I think in this case the…[Read more]

I was looking for that exact article… Any ideas where to pull it out from?

Cheers

David U

I’ve only heard the term cross leases in reference to NZ.

Here’s some info that may help out (from a NZ perspective)

http://www.blomlaw.co.nz/buyers.htm

Cheers

David U

Why don’t you just use a search engine?

I found the answer out in about 1.7 seconds[]

Cheers

David U

In addressing point 1) I believe it has to do with purchasing intent in NZ.

i)If you purchase a property with the intention of a quick reno and flip, then you are deemed to be a property trader and the property in question is treated as ‘trading stock’ and income tax is payable.

ii) If you purchase a property with the intention of holding it…[Read more]

What will it rent for after the $60k renovation costs?

David U

I 100% agree with Bruce on one thing… About the herd mentality that is going around at present.

My ‘perception’ is that many are currently in a buying frenzy (buying willy nilly), ie a ‘smash, grab and think later’ mentality. On a mission to acquire the ‘elusive’ regional town cash flow positive property.

There really has to be some…[Read more]

Haven’t had the pleasure of meeting Barb, but we have chatted. I agree with what you have said.

I just wanted to clarify that my post (if you between the lines)actually had little to do with property locations but EVERYTHING to do with the human spirit and the ability to give freely without any expectations.

Hope this makes…[Read more]

Thanks for your comments. Much appreciated.

After all it was you who said “success comes from doing things differently”

Richmond… I hear you mate… Being an ex-Fairfax employee myself..

Cheers

David U

I think you misread my post.

I’m not in the slightest bit interested in where other people are purchasing nor am I advocating that anyone should reveal this. I personally am ‘savvy’ enough to farm out new areas; it’s not THAT difficult. So in essence, what I say is not a criticism, but merely an observation.

What I am saying,…[Read more]

I’m heading for Christchurch, so we’re heading in the same direction mid next year (probably earlier), as have still have a number of loose ends to tie up here.

Glad that you’ve had some success over there. If you would like to discuss, please feel free to contact me on Davidu@iprimus.com.au

Cheers

David U

Try

http://www.commercialrealestate.com.au/

Cheers

David U

I guess it depends on what you call ‘best’?

If you’re asking about CF +.? Answer is: Everywhere

David U

That’s why I’m packing my bags and moving permanently to NZ in the near distant future.

It’s the path of least resistance as far as I am concerned.

Cheers

David U

“Put all your eggs in one basket… and watch that basket carefully” Warren Buffet

and who am I to argue with the great man??[]

Cheers

David U

I have to agree with you 100%. Perfectly put in a nutshell.

quote:I read comments, from people that have posted to this thread, in other threads that show people are in for the quick cash out or top dollar and then say they are givers, I don’t think so.

The above comment really grated phlegmatic old me. Smacked of a certain degree of…[Read more]

Funny…Just over 20 replies and virtually everybody thinks that they’re a giver.

What does this mean?

Either, we’re a bunch of excpetional people; or

We’re pretty much all delusional…[]

Cheers

David U

Depends on how many units are in the block. Personally I’d look at buying ALL units in the block

Cheers

David U

With the excess of properties currently on the market that you mention; how can you be sure you will get a tenant and how can you be sure that you will get the lower than expected rent that you mentioned?

I guess the question I am asking is that ‘How would you feel and would you be able to manange financially (and how long) with NO tenant in…[Read more]

Forget the software; save your money and put it towards your next deposit.

The software will only make Richmastery wealthy, not you…

However, the next property, then the next property etc will…

Cheers

David U

Well done!!!

I really understand that feel (fear, excitement and anticipation plus many more emotions) of faxing off that first offer.

Hope it all goes well

Cheers

David U

None of those are particular worries of mine… I invest for cashflow…Capital gain is the icing on the cake

Cheers

David U

I mean that location is immaterial to me when I’m investing. I now have properties in most states of Australia, New Zealand, and UK.

All that matters is that the tenants are happy and that they continue to pay me every week.

Cheers

David U

Question you probably should be asking is “Does the property put money in my pocket?”

Location is immaterial

Cheers

David U

Are you saying these private lenders will borrow on the basis of valuation rather than purchase price?

Also what LVR do they lend at?

Cheers

David U

Good luck

Cheers

David U

Could you elaborate a bit more?

Thanks

David U

Thanks for the links…

Would you consider adding an additional property to one of your properties taht has a lot of land. Seems like a great way to get some additional income.

Do you know what is required from a regulatory perspective (ie council requirements) in order to make this a possibility?

Thanks

David U

If you can’t sleep at night because of what MAY or MAY NOT happen to your interstate property.. don’t invest interstate.

My 2 cents

David U

I agree too… As a buyers agent, they are a good alternative for those with limited time…

Just need to make sure all other bases are covered

Cheers

David U

I agree. This makes it extremely attractive for investors.

I’m wondering if they provide wrap finance…. I’m envisaging no money down deals!!!

David U