Well i was a bit scared to read your responses but they werent too bad.
First qld007. The IP is in my name only so neg gearing is more affective.

Baba. I found out the evils of x’sing on this site. I have discussed it with my lender and he said he can fix it this year for me. Im sure they may be some cost involved but if it protects my assets…[Read more]

Forgot to add. I plan on using the rent plus my tax return(expect around $150 pw). Plus what ever is required from our income to meet minimum repayments on IP. Should be around $50 bucks from our salary.And then continue to pay maximum off our PPOR. We should still be able to double the weekly repayment maybe a bit more.

Originally posted by kum yin lau:
Hi again,
1st, Navyboy, no sense selling to buy again. Either don’t buy, save into an offset account or buy either to build or a new house ready for immediate rental. Your 2 IPs are low priced, sell & the agents/tax man get all the profit. If your tenants are not unhappy, why spend extra to get almost nothing in…[Read more]

To me it depends on how much of a main road it is. If traffic is passing at high speed and its more like a unatractive highway road side then i would say it will definatly lower prices.But if its a major road going into say a town but still has some attractive features etc then it might not. Theres lots of variables. My ip is on one of two major…[Read more]

Originally posted by dacium:
YOu make $63k and have a debt of $293,000???

Man you will be close to bankrupt is interest rates go up. How did you get the bank to loan you so much money? Just rent those places and you should be fine it you can afford the extra repayments. Else I would just sell one and pay off the other.

I must be missing…[Read more]

Thanks, thats the point i was trying to get at. Also what happens when it is already part depreciated. For example the house i am buying had many of its depreciatable items fitted new in 2003.When i get a quantity survayor in how is it worked out. Originally posted by depreciator:
Devo, I’m not exactly sure what you’re asking.
If you have,…[Read more]

Thanks for the reply. Yeah the now or never attitude affected me too as i dont think the area is getting any cheaper.And with its new proximity to the nations capital after the road is finished as well as the exsisting navy base. It has a lot going for it. Its a beutiful area on the coast including jervis bay.With coastal villages and a mountain…[Read more]

Actually your calculations have lost me.I have gone to my accountant with the details of my property and my salary. He said with depretiation,Loan interest,capital works right off etc i will get back about $6,200 or $120 per week safely possibly more plus with my normal return im willing to put back into the property instead of wasting($3000 or…[Read more]

Yes you are right with those details. although the lock in period of five years and interest rate will not be fixed until settlement in about two months so they may be able to be changed.When you say untangle do you mean the five years or the x ,ing. I was under the impresion that fixing the interest rate for a longer period was the go for IP.As…[Read more]

I am with one of the big four and past problems have made them give me some good options. But if i want to change lenders in say a year.How hard is it to go to a new lender with all your banking and two property loans and ask for it not to be x,ed.

As far as x,ing the loan i didnt do it so i guess thats my first stuff up in property investing. The loan is locked for 5 years. Is this too long??. The wife is working but loan is in my name for negative gearing.My ideal situation would be to renovate using my building skills but the wife is against it. She only likes nice shiny houses…[Read more]

To me when you add the rent and tax return that gives about a 7% return.(although i do need the tax portion to get it up there). Is that right. We also bought the property to maybe move into a few years down the track and add two bederooms and a ensuit to increase value.(slab is already prepared for extention by old owners)Having a carpentry…[Read more]

I just read todays tip on structuring and it kinda explained enough for me.I understand the protection side of it to protect you and your assets but as far as the tax minimisation i feel that its not as inportant to me. On a positive cash flow property, yes a trust etc may be the go but sinse mine is negatively geared its not as important to me.…[Read more]

Hi all. If you are talking about the cost of the reno . Then in my area(south coast nsw) You would allow about $1,200 per square meter maybe $1400 if the reno is out of the ordinary with better quality fixtures etc.I am having a similar dilema. The market in our area has cooled and has been flat for a year or so thats why i bought recently.The…[Read more]

You are worrying about the same things i do and i get the feeling no one will be able to tell you something to make you feel better.Its a gamble on something that we are uncertain about.If realestate was certain we would all be rich.I too would like to know if some point in the past we have had similar unaffordability in housing and if so how did…[Read more]

After reading those articals it freaked me out a bit so i crunched the numbers again on mine
TOTAL COSTS
loan repayments,rates,insurance, $455 per week

INCOMMING FUNDS
rent $250 Tax $180 Total $430 per week

That leaves me $25 out of pocket and with future rent increase potential and tax fine tuning it will have no…[Read more]

I wonder the same thing.If housing is so unaffordable for middle australia. What chance do we have of a housing recovery. Recovery to me means increase in house values but this will make housing less affordable and therefore less people will by so to me that would drop prices. My head hurts[glum2]

Yeah thats my point. If a property i have is costing me around $100 a week ( ONce all costs and rental return are considered).Which im happy with because i have the property for capital gain reasons not pos cash flow. Would then buying a positive cash flow property that gives me $100 a week free and clear after all costs considered make sense. My…[Read more]

True but a lot of that loss is depreciation and capital loss not actual cash, out of pocket loss.Still im not sure if it is viable.

Thanks guys. Cleared it up today.Both names on loan but only mine on the sale contract.I understand that this way i will pay more capital gain but my goal at this stage is to minimise tax.We may have children down the track so dropping back to one wage may be a struggle without the tax break helping repayments.I fixed the loan for 5 years. Which…[Read more]