[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

February 14, 2010 - 11:59 am

Hi Martin,

thanks for your encouragement. 2 real estate agents game me initials prices at 460 and 470, however after speaking to more experienced agents it was dropped to 400, just shows that knowing who your talking too can count for a lot as well.

rgds
Dave

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

February 12, 2010 - 4:20 pm

thanks for your help, turns out initial selling estimate was way more than market value (spoke to other estate agents), once that was factored in the deal isn't any good, in fact it only just about breaks even. Nevermind, onwards and upwards

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

February 9, 2010 - 8:17 am

My broker actually just advised me where once the land is purchased I can capitalize the contruction costs so I would be paying only the Interest on the land, very useful.

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

February 9, 2010 - 12:12 am

what about getting investment for the land only, draw up plans and sell all four properties off plan to help with loan approval?

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

February 8, 2010 - 8:28 am

I've been given very rough contruction costs, so…

land $550k
construction $700k
Fees $100k (rough guess)
Total $1,350k

Each dwelling sells for minimum of $450 = $1,800k

Build costs are 75% of finished cost.

Dave

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

February 8, 2010 - 8:22 am

what about basing the loan on the final value after contruction?

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

February 8, 2010 - 7:18 am

hi Richard,

r u saying that I must secure at least 20% of loan before private financing becomes feasible unless I offer up my PPOR as security (I prob wouldn't do this though, too much risk) as it's the only security I have to offer?

thanks
Dave

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

February 8, 2010 - 7:14 am

Hi folks,

Jas you make a lot of sense in your first post and I recon I'll give it a go when the right opertunity comes along, which it may have in a 1Km2 block in an R40 area 2 streets from the beach, it has a 16m frontage but council is happy with only 4m access at the side, the rest can be built on. The land is about $550K, I've not got any quotes yet for the build or fees etc. And as you know I have no money but it's a prime opertunity that a private investor may see and not have time to commit (money rich, time poor).

The objective would be to buy, subdivide, build then sell. Possibly sell off plan before building starts. so shortish term spanning 18 months or so.

Quickchick, I have no experience, so no success (yet), my job doesn't pay that well, I can increase my wage but I have to become self employed and work short term contracts (I'm in the IT industry) so that will push out my loan ability by 2 years. We have thought about selling our PPOR but it's just been built and has another 6 to 12 months work to be done before it's in a state to reap maximum rewards.

Dave

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

February 5, 2010 - 5:24 am

hi Bronte,

did you get any replies to your question? I too are looking into this.

thanks
Dave

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

February 5, 2010 - 5:21 am

Hi Grasshopper,

sorry to jump on your post but I'm also looking for an accountant in WA (South of the river in Baldivis), where are you?

If anyone out there could help us guys it would be great.

many thanks
Dave

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

December 7, 2009 - 9:15 am

Yeah wife works 2 days a week, but may cut that to nothing for at least 6 months as were thinking of having another bub next year.

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

December 7, 2009 - 12:08 am

Hi Richard,

weathers beautiful mate, 34 degrees yesterday and day before, rubbed it into some friends from the UK on a telephone call the other day, no wonder they stopped sending me Christmas cards

Getting started and finance is the hard part. After writing the first post I've done some homework and think I'm going to focus on investigating the following…

100LVR (dependant upon return of PI)
Private Finance (Have friend who is mortgage broker, I've just found out he knows a couple, but has stated it's a risky business and the return on the PI must work out)
Structure (I'm going to find out how much it costs to setup company and trust and seek advice from an Accountant)

If I get the above pieces into place and setup then I'm ready to go when the opertunity arises (well that's my gut feel).

I could wait and save to increase our equity or for a deposit, but the market will get ahead of me (I cannot save faster than house prices are increasing), I've even thought about asking my parents for a loan but they're about to retire and I don't want to risk their money.

Dave

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

December 3, 2009 - 6:04 am

I suppose I was kinda ranting but meant to really say I'm not going to listen to the lads at work. I will achieve my goals, somehow

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

December 3, 2009 - 6:01 am

I suppose I was kinda ranting but meant to really say I'm not going to listen to the lads at work. I will achieve my goals.

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

December 3, 2009 - 12:30 am

Thanks for all your encouring comments, I really do appreciette them.

When still living in the UK and telling people that I was moving to OZ friends and family would say that was wonderfull and what an amazing opertunity and why it was such a great idea, but we were crazy as we had no house or jobs setup before we got there. When I asked why they weren't doing it they came up with many reasons, none that I deamed to stop anyone from moving to OZ, grew up in small town and don't want to leave, I have good friends, I'm too old (this was from someone who is 36). Since then I have realised if you want to do something you do it, no matter what others are saying or regretting, I didn't want to be 40 and say I had a chance but never took it. Now I'm (32) living in OZ with my wife (30) and son (who's 2 on the 21st of December) and love every day of being here, the people the life it's just everything I would say life is meant to be.

So how do I move on from here, how do I start in investing? Do I look at private finance? Do I line up a deal first then private finance? Or as Steve would suggest do we setup a trust first and structure with a decent accountant? Once all the pieces are into place then make a move?

many thanks
Dave

[dhodgsonMember@dhodgsonJoin Date: 2009Post Count: 20]

November 5, 2009 - 12:13 am

Hi Rob,

thanks for your insight. I have managed to find through ANZ an online budgeting tool that links in with all my accounts, it can run rules and automatically categorise items such as petrol/groceries etc. This has helped massively and give me a very clear understanding of where our money is spent and where we can try to cut back.

However what worrie me is my urge to spend money, if I have 1 dollar in my pocket I want to spend 2. My dad has always givin be a belief that if you buy something expensive then it will last so everything we buy is usually out of our budget. I suppose what I'm looking for is a "this is how to save money" book. this probably doesn't exist, maybe I'm lacking a way of controlling my spending urges and want a book to help me control those urges. It's probably more of a "self help book to control your income" that I'm looking for.

ps I'm not looking for sympathy just a little direction.

any thoughts?
Dave