HI Jenny,

Ask said agent for the necessary form – they will have such a form given there will be times when they win someone’s custom from another agent.

At these times I am sure they could whip the paperwork out before you could blink.

Failing that – read your agreement and take noteof the fine print.

Failing that contact state branch of REI…[Read more]

HI Elkam,

Why not have a bit each way – fix some of your loans and keep some for flexibility purposes.

This is what we do – a bit each way.

Derek
derekjones1@bigpond.com
http://www.pis.theinvestorsclub.com.au
0409 882 958
Skype – derekjones2113

Hi Roodog,

Ahhh – I have made the connection now.

In terms of rental returns – the article I mentioned makes the point that rental returns and capital growth are generally speaking negatively correlated – that is, when one is going up the other is going down.

If you investigate this point further it stands to reason.

People who cannot afford…[Read more]

Hi Romina,

Sometimes you need to step back and appreciate what you already have.

A home, some equity and a new family. Enjoy these, appreciate what you have and allow some time to pass.

As others have said property is a long term investment and depending on where, when and what you bought there are times when you need to wait a bit – maybe for…[Read more]

Hi Perthman,

Been on long holidays so I have only just had time to ‘join in’ here.

The signs you and GMH mention should give every new Perth ‘investor’ cause for concern. The upbeat attitude about the Perth market is very similar to that experienced across many eastern capitals around 2003.

I might also add that some of your arguments can also…[Read more]

Hi Jeff,

From a CGT perspective Simon is correct.

Now the critical issue that needs due consideration is what are you going to live in?

If you intend upgrading (= more expensive) your home then there is sometimes a case for selling, enjoy the no CGT status of your property and use the profits towards the purchase of a new PPOR.

In my mind…[Read more]

Hi Ozi,

Got to give them credit, they are persistent.

Derek
derekjones1@bigpond.com
http://www.pis.theinvestorsclub.com.au
0409 882 958
Skype – derekjones2113

This graph shows price changes for the whole of Perth for the period 1974 – 2004.

http://reiwa.com.au/res/res-salesgraph-display.cfm?PageUUID=803038a44c7321504e29-09-Jun-2006-07:16:25:15

I did also have a broadsheet that details price changes for all Perth suburbs for the last 10, 20 and 30 years. Not sure where it is at the moment but will let…[Read more]

Have a look at

https://www.propertyinvesting.com/forum/topic/22554.html

Also recommend a search of the forum – such topics come up from time to time.

Derek
derekjones1@bigpond.com
http://www.pis.theinvestorsclub.com.au
0409 882 958
Skype – derekjones2113

Originally posted by Richard in a duplicated post – I have transferred Richard’s comments here so there is continuity of conversation – Derek

Hi Matt

Firstly you and your partners won’t be directors of a Trust maybe of a Pty Ltd Company and that maybe the Trustee of the Trust.

For an 80% lodoc many lenders require you to hold an ABN for a…[Read more]

Hi IG,

Reading your post it appears to suggest that you intend allocating all the rental income to your husband and then at time of sale you intend keeping the gain yourself. Is this correct?

Under normal circumstance rental income, taxable gains and deductions are apportioned in accordance with ownership ratios.

From a purely taxation…[Read more]

The issue is whether or not the assets is classified as a passive or active asset.

An active asset (as I understand it) is relevant if there is no rental income earned. Under these circumstances an asset is not eligible for CGT reduction and profits made are classified as income without discount.

A passive asset (rental property earning income)…[Read more]

Hi Mly,

Not a cashflow investor so take what I say with a grain of salt.

As far as I know the 11 sec rule still exists (someone will come along and prove me wrong) the key message is that properties meeting this rule can be rarely bought ‘off the shelf’ without either some extensive searching or the capacity to spot an underperforming property…[Read more]

Hi Ian.

Normally any interest incurred in building a house and land package and then renting it is deductible.

The key issue is the purpose of the borrowings and NOT the fact that it isn’t yet earning income. This aspect of tax law has been recognised by the ATO and the legal process available to tax payers and is commonly referred to as ‘The…[Read more]

There are quite a few knowledgeable brokers who frequent this forum – you would be hard pressed to better them.

I would suggest you read anumber of posts in the finance forum to get a ‘feel’ for the various brokers.

In order to get a more meaningful recommendation you may want to identify an area/state. Some people do prefer to work with someone…[Read more]

Hi As,

The critical issue is that the rent struck reflects the market rate. As such I would suggest you get one or two rental apprisals done for you and use the results to determine the ‘rental rate’.

You can self manage – there is no issue there provided you do receipts and declare all income.

There is expectation amongst ATO Law that requires…[Read more]

Hi Ian,

Are you building to sell or building to rent?

Derek
derekjones1@bigpond.com
http://www.pis.theinvestorsclub.com.au
0409 882 958
Skype – derekjones2113

Originally posted by redwing:
Interestingly whilst Perth achieved approx 24% CG in the last 12Months I believe may regional areas in WA still led the way and some members here who bought well must be enjoying newfound gains (hmmm.. where is that Geraldton, Collie or Kattaning thread??[wink2])

HI Redwing,

You missed the ‘star performer’ -…[Read more]

Hi Dale,

I do not believe the great majority of people subscribe to the what ‘Dale said is wrong’ camp in any way shape or form.

Your depth of knowledge is recognised by many and if you search here you will also see that there have been a great many posts recommending Dale GG as an accountant of the higest regard, irrespective of where the…[Read more]

Hi Letitha,

No worries – from reading your comments I do wonder if you got a little ‘attached’ to this possible purchase and have forgotten the ‘oh well onto the next opportunity thought.’

And I wouldn’t strike this agent from your list – he/she has worked with you on this deal and they know that you are serious.

Just be careful not to burn all…[Read more]