Hey Jins,

I was in this position once and didn’t make an offer by the deadline. Lo and behold, the property was still on the market a week later. I’m not saying that the real estate agent was pulling a dodgy, but it certainly did smell a bit fishy…

Keep an eye on it and make sure you know exactly what it’s worth. You never never know…

Good…[Read more]

Generally I’d use a conveyancer, but if you have any special conditions then you might want to get a lawyer involved. I also reckon that you’re better getting a lawyer in NSW as, in my experience, you might want to be a little more careful there (different laws, especially regarding settlement times – you need all your ducks lined up…[Read more]

Interesting post!There's some good advice here, such as "it's not timing, it's time in the market". Remember property investing is a long-term thing.The Aussie market is made up of lots of little markets, so look at your little markets. Some of them are unpredictable but at the moment there are a few markets which are very steady and stable. This…[Read more]

Hi Nathalie,I'm sure lots of people would be happy to be your mentor, at a price! We do free podcasts which might help you get started in property investing. Head over to iTunes (you can search "investing" or "property investing" and look for EPI, or go to our website to have a listen. We release a new podcast every fortnight and there are quite a…[Read more]

propertyboy wrote:

EPI_Den wrote:
I'm with Commonwealth Bank and I recently negotiated a further decrease on my loan. I'm now on 6.61% which I think is 1.14% below their standard variable rates. I'm happy with this but it's not out of the question to fix part of it if I see a really good deal! Den

How did you negotiate this? Do you have…[Read more]

Vlauhk wrote:
Thanks.The special feature are 1) location convenient (the apartment is located at Daly Street), 2) Nice view (the unit is at 18/F, facing north).  Per sales agent, I can expect AUD600 rental per week.  He claimed the pricing is way below market price and I can expect gain from the property resell in the future?!  May I know the…[Read more]

This is always more complex than you realise, especially if you’re not sure whether you’re going to move back in or not.
First of all, you need to speak with an accountant to find out the tax implications. There WILL be some!
You will most probably need to get your house valued as well, as the value the house holds will become important (for…[Read more]

I’m with Commonwealth Bank and I recently negotiated a further decrease on my loan. I’m now on 6.61% which I think is 1.14% below their standard variable rates. I’m happy with this but it’s not out of the question to fix part of it if I see a really good deal!

Den

Tommy1 wrote:
Pretax cashflow $2,020p.a. (at 100% finance)
Pretax cashflow $3,415p.a. (at 100% finance)

Can you please advise on how you calculated the pretax cashflow.
Thanks

Hey Tommy,
We have a Cash-flow calculator on our website (it’s free). Feel free to take a look and play around with some numbers. If you need a hand, message me.
Cheers,
Den

With no real reduction in demand, and prices softening, there are more and more good buys popping up here and there. I’m starting to write a series of articles on where to have a look,beginning with an article on three areas in Melbourne where I think there are good buys right now. Feel free to go to my website and have a look…[Read more]

Hi all,I'm particularly impressed at the way emptyvessel has gone about describing the path to becoming a property investor – well done! I was in a similar position, but I wasn't as well organised and planned. Now, after purchasing my 10th investment property last month, I have to say that I wish I'd started planning and goal-setting earlier, and…[Read more]

Hi Steven,My advice for a beginner property investor is to avoid this kind of property. A few years ago I fell into the trap of buying something similar (I had 20% deposit and loaned 80%) because the numbers were great as far as cashflow was concerned. Not long after I bought the property the bank changed its lending requirements and would only…[Read more]

Have you spoken to your local council? Before you decide anything, go in to the planning department, let them know your dilemma and ask them what your options are. I've never found local councils to be unhelpful (seriously!).Good luck!

Why not ask an expert to come and have a quick look? The amount you pay will surely be worth it in peace of mind…<br /:)” title=”>:)” class=”bbcode_smiley” />

I tend to agree with ALF1. There seem to have always been reasons why property is about to crash in value, yet this has never really happened across the board in Australia. It certainly hasn't happened after such a considerable period of sideways movement. If you're going to buy a property, the number one consideration is that the property you buy…[Read more]

Hi Investhut,Take Richard's advice on this one. DO NOT re-draw on your current mortgage to pay a deposit on your investment property as this would not be tax-deductable debt. Instead, borrow 100% of the costs of the investment property, the equity in your existing property securing the deposit (there is a chance your re-draw facility will be…[Read more]

Hey JayDee,Here are some opinions for you…1. I think you should be careful when you select suburbs. If it is somewhere you'd like to live, then pick an area you'd like to live in; if it's for investment, choose an area that gives you the investment numbers and prospects you want. I have blurred this distinction in the past (bought a property to…[Read more]

I agree! Change your loan straight away so that this loan is your investment property loan (this is important for taxation purposes – you don't want to get your investment debt mixed in any way with your personal (non-investment) debt). Also, try to make it an I/O loan as soon as possible as this will increase your cash-flow from the start -…[Read more]

Hey Zads,I'm a little concerned that you are completely new to investing, don't know where to start and then decide to look in Tennessee! That might be OK if you're living in Bristol or Memphis or Nashville…but if you're an Australian wanting to invest it seems like there are risks galore for you (if you can loan the money) even though your…[Read more]

No prob Leo,One other thing you have to be careful with is when you do something purely to reduce your tax – the ATO looks dimly on these things.  (For example, if you capitalise interest, you need to do so in order to pay your PPOR off as quickly as possible – the tax benefit is just a lucky side benefit).Essentially, make sure you have a good…[Read more]