[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 20, 2003 - 8:00 am

Hi,

You say you have a LOC to the value $176, can’t you use this for cash flow? Or are you full drawn on that?
Be careful with your parents house, I’ve seen similar schemes go haywire. If you have to use your parents place as equity, don’t go the whole hog, take it slow.

Just some thoughts,

Sue []

Be careful not step on the flowers when you’re looking at the stars

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 20, 2003 - 7:32 am

Hi,
I don’t actually have any experience in this, but looking at the situation from an investors viewpoint, I would say it shouldn’t be a problem.

What better tennant could you have than the people who built the house. Obviously they would look after it. Sounds ideal.

Just a thought,
Sue []

Be careful not step on the flowers when you’re looking at the stars

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 20, 2003 - 12:45 am

Mortgage Broker Story

It’s really long and complicated, but I’ll try to keep it simple.

Basically we asked for one thing and got the opposite.

We almost owned one house and then bought another to live in.

As we had only been self-employed for one year, we thought we’d employ a mortgage broker to arrange the finance for us. This mortgage broker was from a major company.

Our plan was this: Put our present house on the market, and if we get a good price – sell it, if not a good price- rent it out.

We told the mortgage broker our plan and asked for:
One loan to cover both mortgages, that could be split
Interest only
Redraw facility
Ability to make lump sum payments

We had sixty days to settlement
The first bank she recommended had exactly the right loan,we applied but came up slightly short as they would only lend 60% valuation on one year self employed.
That took two weeks off, six weeks to go.
The next best option, quote “The same loan and facilities just a slightly higher interest rate”, she faxes us a brochure that confirms this.
OK, we apply
After many calls, being told the loan is approved, the documents are in the mail, etc, etc
nothing happens!!(There are a whole lot of lies in this time, some of them you wouldn’t believe!)
Anyway, the day before settlement the documents arrive at 5pm by courier, they weigh about 3kg!
I am instructed to read them, sign them, have a stat dec signed and have the documents back to the banks solicitor first thing in the morning!

Well the loan is totally wrong;
It’s pricipal and interest
It is a fixed rate ie. no lump sum payments
Break cost fees for lump sums
(Our house had sold, there was going to be a huge lump sum payment!)
No redraw

so, I go into the city first thing in the morning to speak to THEIR solicitor, He says two choices

Delay settlement- It was already one day late at a cost to us of $200
OR
Hand in the documents and as the loan is totally wrong, get the broker to re-document it for you

well it had taken weeks to get these documents, $200 a day didn’t sound too good, and he made it sound like re-documenting the loan was an easy thing, so I handed them in

WRONG CHOICE

After settlement, the mortgage broker denied the loan was wrong. The only thing she would admit to was that it should have been interest only, that part has now been changed after ten weeks.

I have learn’t:
Always get independent legal advice
Never listen to someone else’s solicitor
Don’t be pressured into signing anything

I hope this makes sense,
Sue

By the way the break costs on the loan were over $4000!

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 19, 2003 - 11:17 pm

Thanks for that Jim, I really appreciate it.
I didn’t even know that land tax existed in victoria! And I’ve had an investment property before, I guess it made it under the threshold.

Thanks again,
I’m learning so much in this forum,

Sue []

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 19, 2003 - 9:35 am

hi Arty,

I feel for you, I have been in a battle of my own. Not with a realestate agent but with a mortgage brokerage company. We were hard done by, treated unfairly but somehow legally. We even went to the ombudsman and found out this week that nothing can be done.

So we are now a few thousand dollars poorer, but a hell of a lot smarter!

It’s hard, but give up the fight and put your life in a more positive light, think of all that bad karma!

Remember too – What doesn’t kill us, makes us stronger

Good Luck,

Sue[]

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 19, 2003 - 8:43 am

Thanks loress for that interesting snippet.
May be a bit of a reality check for some.

Always remember to do your homework and check your figures,
Cheers,
Sue[]

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 19, 2003 - 8:26 am

Hi,
The land tax thing has me a little confused.
I’m from Vic and we don’t have “land tax” as such.
Is it the tax you pay on the land when you buy it, known as stamp duty in Vic.
Or is it a yearly tax that is paid to your local council or municipality. (We know them as council rates or land rates)

Let me know if you get the chance,
Thanks,
Sue []

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 15, 2003 - 1:32 am

Hi,
I’m a stay-at-home mum and do the bookwork for my husband. (Self-employed plumber)Contrary to popular belief, we are not making a fortune!
So now I am also a part-time property searcher, and I think I am becoming a little obsessed!

Interesting that most of you seem to be in IT.

Good luck with your adventures,[]

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 12, 2003 - 12:47 am

John,

On this website and you will find the Buyerbeware ebook that you can purchase.
I have bought it and i find the information great so far.

They are templates that you can print and use, not a computer spreadsheet.
Hope this helps a little,

Regards,
Sue[]

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 12, 2003 - 12:24 am

It’s a shame I live in Melbourne, I’ve painted a few houses and I love it!
I would have done it for a basic day rate.

Maybe you have a friend or relative that’s thinking of a holiday. You could subsidise their trip and they could earn some cash painting for you!

Well, it’s worth a try,

Good luck

[][][]][]

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 10, 2003 - 3:15 am

.

Hi Arty,
I hve had trouble also with the forum.
It takes a long time to go from screen to screen.
I think it might have something to do with all the publicity of the sight, in the last few days.
Perhaps an overload,

Cheers[]

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 10, 2003 - 2:34 am

Thank you for the tip, Blackcat.
How do you get your hands on the local papers though?
Do you have to literally go to the town, or can you get them somewhere else?

Thanks[]

[diclemMember@diclemJoin Date: 2003Post Count: 537]

September 3, 2003 - 4:41 am

Hi Everyone,
This is my first time to this website, I just bought the 130 property book today!
Thanks for your helpful tips on books to read, it’s great to find a website that actually gives you great information instead of asking you “Send your money now and I’ll tell you how it’s done”.

Good luck to all of you in your investing endeavours,