Forum Replies Created
Nope
None of those are particular worries of mine… I invest for cashflow…Capital gain is the icing on the cake
Cheers
David U
Not too sure what you’re saying…. Clarification would be great.
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
Challenge not accepted…. but seriously who cares where the property is?
Question you probably should be asking is “Does the property put money in my pocket?”
Location is immaterial
Cheers
David U
So Terry
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
I’ve find it’s hard to get commitment from wrappees nowadays for 6 minutes let alone for 6 months!
Good luck
Cheers
David U
Hi
Could you elaborate a bit more?
Thanks
David U
Hi Barb
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
Hi
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
Hi Barb
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
Hi Michael
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
Hi
I disagree I thought the report was fairly balanced.
The wrapper in question, made no bones that it was a business and that he would kick people out who didnt pay. (He could have been a bit more eloquent about this point). The fact of the matter is that, this is the reality.
All in all, I think the report portrayed the rewards/downfalls vs the potential risks of vendor finance accurately and wasnt the normal beat up of wrapping.
The mortgage company in question
http://www.new-loan.com.au do provide 100% loans on the following conditions.Perfect credit history
Ability to pay; ie should have a job
Wrappees still need 3% in savings over a period of 3-6 months (ie a savings record) to pay for MI etc; so effectively they still need a deposit!!!However interest rates are very competitive in the low 6’s…
I believe that they also provide 97% loans (rather than the normal 90%)for investors so are worth having a look at?!
I would be interested if anyone with a mortgage broking background can explain how this company is able to provide these products.
Cheers
David U
Hi Barbara
I have no doubt that Richmastery offers ‘good’ deals that are cashflow positive; but then again you and I know that we can find CF + properties in NZ ALL DAY LONG. It’s not difficult.
My issue is with the valuation of the properties. They refer to their valuation as ‘Independent’ rather than Registered and there is a VERY good reason for this.
When you have valuers on your team that will provide a valuation that you (The purchaser) requests; there must be some question regarding what is really independence and what is not.
My 2 cents
David U
Hey Nick
Sorry to interject into this great post, but if the bank valued the property at a price HIGHER than the agreed purchase price, I would GRAB it with BOTH hands.
You’re effectively buying under market value…
Unless.. I am misunderstanding
I’ll add my bio when I get some time
Cheers
David U
Hi Barbara
64% more in just 4 days!!! You’ve done extremely well!!! Excellent stuff!
I remember what the purchase price was; so…..
In theory if you could sell at the price quoted by the RE agent, you could buy 2 more at the same price; then do the reno thing all over again; sell those 2 and buy 4 more, etc etc!!!!
You may have just discovered another fulltime career!!!
In any case, all the best…
I’m going to London in August then off to inspect some properties in Christchurch when I get back, prob before Xmas
Cheers
David U
quote:
The tenants you attract in low end properties will often treat your property as “low end” and the rent will also reflect that, often being paid by tenants on Centrelink benefits.Alison W, the basis of the assumptions in your comments is?????
David U
Otto
Any suggestions of a GREAT mortgage broker in Australia who can arrange this?
David U
In my opinion
Given the wide availability of this report, it might make sense to get on your own bikes and discover areas that are currently not under the microscope by investors.
The market does move very quickly and it doesnt take long for investors to work these things out, so perhaps it’s better to farm your own areas and then milk it to the max
Cheers
David U
Hi Barabara
Sounds great… Looks like all the hardwork paid off…
What does the RE agent think your reno did in terms of increased valuation?
Cheers
David U
Hi
I think people will have to be a bit wary of Richmastery and how they ‘value up’ their properties especially in NZ.
They use something called ‘Independent Market Valuation’ as opposed to the normal and accepted ‘Registered Valuation’
Note the ‘Independent’ in bold and italics… Enough said
Best to do extensive research before any purchase.
Cheers
David U
Hi JG
I’m talking about regional towns, rather than country towns that you miss if you blink ie populations in excess of 30k. The growth has partially been driven by investors, but more so by corporate and infrastructure investment.
In my particular case, the growth has been driven by firstly purchasing correctly and secondly making minor cosmetic improvements on the properties; ie adding value
Cheers
David U
