[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 11, 2012 - 10:48 am

Hi All.

Thanks for starting this post Plummer and sharing Derek.

This really boils down to the fact that in most councils have regulations covering rooming houses, (this is really the basis on which this property was being let) there are fire regulations etc for a REASON.

There still seems to be so many backyard operators trying to get away with cramming as many people in as they can, with no regard to tenant safety, and in this case it has been a tragic outcome. This unfortunate story also adds to the myth that all landlords are only out make as much money as they can, no matter the cost.

Seeing so many new users here, I'd say take a lesson people. This is the wrong way to do a rental property.

I hope they throw the book at the landlord….

Disgusted.

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 10, 2012 - 12:36 am

The oversupply that Jamie mentions tends to happen, then you have flattening of the market until the stock gets taken up.

It's going to really depend on the area and on what sort of flats are being built. A boutique block of say 10 will be different to a 4 storey with 20-30 and a 10 storey with 100 will be different again.

If you do think they are good value (your homework should tell you soon enough if they are or not) then try to find something unique about what you are buying. Look for extra carspaces, storage or living space. Does it have a better aspect – say near the beach or park/bush. Make sure you find something distinct about what you buy so tenants and future buyers can see value.

Cheers

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 8, 2012 - 1:17 pm

Hi all,

Typing on an iPad, excuse any oddities!

With the active topics I've noticed that they are not segregated like they once were  in topic order. They seem to be in a list of what was talked about last, while this is good for any new items, if you are interested in a particular subject say "help needed"  you have to look through pages of everything to get a complete picture. Not so handy…..

I love the new site, but I would love to have this function back as it made for much easier navigating. If it still exists can you let me know how to get there ?

iPad slow going!

btw the smilies (emoticons) I dislike intensely! Sorry gang I love pretty much everything else! 

Thanks again for letting us have our say!

Cheers

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 7, 2012 - 5:58 am

Sorry forgot to ask – What exactly are you buying? 2 or 1 bed.

http://www.realestate.com.au/property-apartment-vic-bacchus+marsh-111483355

Something like this already exists and after a 1 minute check will prob rent for $190-200 pw.

There is a LOT of stock both for sale and for rent. There are brand new 3 and 4 bed homes for rent for $280… where will you be sitting in this market?

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 7, 2012 - 2:46 am

Wish I had been here for a decade – I might have learned wayyyy more than I have!!

Considering I read Steve's book in 2003, then didn't look at the website until about 6 years later – sigh.

And I think Richard, you would have helped probably everyone who is here

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 7, 2012 - 2:32 am

Lol, keep adhering to your investing JacM!

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 7, 2012 - 2:30 am

Ok,

So a another friend is buying too…. how many properties do they hold? Are they seeing value because they are knowledgeable or are they new to investing like yourself?

You asked a lot about whether you should get in due to family, you haven't told us the most important part – WHAT IS THE INCOME? (not shouting, just making a point).

I would invest with the man on the moon if he was going to guarantee me the return on my hard earned money that I require.

The main investigation you should be doing is – is there demand for what you are buying as far as renting and selling, what RENT will you be collecting while you own it? What is the yield of the property?

Try and buy a cash flow positive property first, then you will live to buy more. If you buy something that sucks money out of your pocket every week and you have a hard time making the payments, then you have a recipe for going broke.

Ask yourself, if it wasn't your friend, would you still buy it? if there wasn't the money incentive (30k) would you still be able to or want to buy it? If it wasnt your friend, would you still buy in Baccus..?

Lots of questions you need answers to.

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 6, 2012 - 11:46 pm

I agree with the above points……

And I'd add a few more,

What has the growth been like in the area over the last couple of years? What major infrastructure is going in? What has changed in the area to make apartments happen? What is the likelihood of this project going ahead? Who has offered you the project, how do you know them? What is the rental return? Who is the renter going to be?

You need to look at it from every angle. If you know something about the area, such as a new train is going in, or a major uni is being built etc, to warrant apartments, then maybe it's a go. But you need to really do your homework.

The other question I have is – what do you mean take a hit? I never invest to lose money……..

Cheer

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 6, 2012 - 6:52 am

Bad!

See how your solicitor goes, if you can get out with minimal outlay I would.

If you are stuck – maybe explore the option of negotiating some sort of joint ownership with the neighbor (bring wine and maybe cake) so that you have no issue with being kicked out of the access agreement. Maybe some cold hard cash will help them decide that you would be nice people to share road ownership with. If you don't own any of the road the neighbor can wear all the costs – maybe use that as leverage.

If you are even more stuck maybe negotiate with the seller to drop the price by what you estimate the access to cost eg $50k and hire a guy with a front loader to dig you a dirt track. If they really haven't legally disclosed everything, use that as leverage. The last thing they will want is for the sale to fall over a month from settlement.

I hope this works out for the best, let us know how you get on.

Cheers

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 6, 2012 - 6:44 am

Hi JP,

There are two huge threads with book lists, just run a search on 'book list' and you should find them.

I would say that based on suggestions on the site there are 100's of great books to read!

Cheers

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 5, 2012 - 11:32 am

Hey bit of friendly competition never hurt anyone! lol@JacM

And this forum is full of great people, that's why we all hang out here

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 5, 2012 - 10:43 am

Aww Cmon man!

You're beating me! And btw good luck, JacM (illions) will beat us all!

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

September 5, 2012 - 6:25 am

Hi Richard,

Terry is right, go get some specialized advice (pay for it). If you are planning to develop and keep developing, you may need to register for GST, what if you do decide to retain some, you may need a different entity to hold those.. the list goes on.

Good luck, pay for some advice that is particular to your situation.

Cheers

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

August 30, 2012 - 5:41 am

Hi there Mr LasVegas,

Firstly, your assumption that new units will bring down the value of your property is pretty much unfounded, they'd have to stop all development if this was the case.

Once development first starts happening in an area the prices of other existing properties often starts to head upwards. Even if your land is not zoned for medium density, it may become more desirable as people see it as being one of the few remaining detached dwellings in the area (even if it's not).

The way to make sure that you have attractive dwellings built around you is to be involved in the planning process. 

As far as your conveyancer goes, they will not do you due diligence for you (whether it is a good place to buy), as the property buyer, you need to do as much homework as you can about an area before you get in.

I personally wouldn't get too worried about the rezoning, you can always try to meet with the developers (if they own those blocks) to work with them, and also you haven't said for sure that the blocks are owned by developers at this point in time. They may not be redeveloped for a long time, or they may actually be redeveloped into something nicer….. you never know!

Cheers

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

August 30, 2012 - 5:16 am

Hi Clint, (and Bardon)

If you do have to sell, maybe auction it and pass it in, to negotiate after. We did this (not in the current market) and it worked well. The highest bid at auction was about $50k less than we got in the week after. One we put up for auction, it never got to auction it sold previous as the buyer didn't like auctions, and another one we passed in, and in the next week only got $5k more….. still not bad for a week of waiting. It's not for the faint hearted tho! We also staged (furniture etc) these properties and had fresh flowers etc at every open.

You're right about having to pay the agent extra, it feels like a bit of a waste when the agent pockets a bunch of cash he didn't really do much for, but it does give buyers an end date.

The other option you could use is sale by set date, set a 6-8 week timeframe and pick a date. This also puts the idea in peoples heads that it will sell.

I highly doubt if you decide to go the sale by negotiation route that the property will sit stagnant for too long….. it's Elwood.

Theres a buyer for everything……

Cheers

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

August 25, 2012 - 1:01 am

Hi Alfrescodining,

I've even done it on a $200k house just to get a point of difference in an area. It's huge OS especially in USA but their version of staging is that the furniture is sold with the property, whereas here it's just for display.

Well worth it

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

August 24, 2012 - 6:05 am

Lol Cheers JacM!

If I could be everywhere at once……

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

August 24, 2012 - 2:48 am

Hi Ben

From experience definitely worth it. If you have more than one unit you can move the furniture from one to the next and so on. Probably cost $5k-$10k (depending on standard of finish) upwards to buy all the items, or you can hire furniture etc. Well worth it you will see a better sale price and generally a quicker sale.

Cheers

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

August 23, 2012 - 10:27 am

This is what Due Diligence is all about.

If you do your own research and you make sure the property suits your investing needs, then that's the end of it.

Good luck with it all Zahn

Cheers

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me

[DWolfeParticipant@dwolfeJoin Date: 2009Post Count: 1,253]

August 23, 2012 - 7:29 am

Brilliant! Nice lol to end the day on!

There is also this thread https://www.propertyinvesting.com/forums/community/heads-up/4344788

and this one https://www.propertyinvesting.com/forums/property-investing/general-property/4334320

I'm trying to keep track of the blog threads and book threads in each post, they get lost over time

Cheers

D

DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email Me