[FullyMember@fullyJoin Date: 2011Post Count: 16]

April 17, 2011 - 2:24 pm

Actually,

http://www.collegesquare.ymca.org.au/about/Pages/default.aspx

Obviously is student accommodation….

[FullyMember@fullyJoin Date: 2011Post Count: 16]

April 17, 2011 - 12:17 pm

Xdrew,

Thanks for the response think you have identified exactly why they are priced as they are. I've been very weary of Auburn and think i might cross it off my list.

Interesting what you say about the Lygon street, Carlton though, seems that once that 'stigma' associated with being an ex-student accommodation disappears prices could continue to rise above what they are. Might have to chat to my mortgage broker and see what he thinks. Find it odd that banks would be hesitant if its your normal run of the mill apartment and not tied into student accommodation. Considering the prices of other apartments in the area could be worth further investigation.
There not likely to add the specification of it being student accomodation are they?

Cheers,

Matt

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April 11, 2011 - 11:26 am

http://en.wikipedia.org/wiki/List_of_sovereign_states_by_public_debt

Australia's at 22%

If you read further with Japan there external dept is only 51% (2.2trillion) and there assets value is 5 times that (11 trillion). Not sure what that means though..

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April 8, 2011 - 9:19 am

NSW2011: Mate I'm having the same sort of trouble. Real estate agents seem to think if they put '+' or 'from' or 'offers above' that you can't make an offer under it, had one guy get angry when I did and never called me back to let me know how the offer went- I imagine he probably shredded it (They had offers above 269k I offered 265k)

The property is still sitting on the market 6 weeks later and am waiting for the 'call of shame' asking if i'm still interested, i'll offer 255k then

I'm with you though, lots of buyers holding onto those inflated prices inflexible to move and spurred on by Real estate agents telling them to keep waiting as something will come up.

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March 30, 2011 - 2:23 pm

Nathan,

Yes very helpful, will do some research and see how the numbers stack up.

Thanks

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March 30, 2011 - 9:39 am

Nathan,

I've been looking at mining towns but haven't looked into Mount Isa until now and must admit it does look fairly solid. Biggest copper mine in the country, as you said many big retail company's having franchises there and has expected growth of 20,000 over next 10 to 20 years!!

As I said above I've lived in mining towns last 5 years and know there's certain places I wouldn't touch with a 10 foot pole. Being only 188km's from the NT border can you give advice as to where to stear clear off?? Also if you don't mind answering what type of properties you own and any cost to be mindful of?

Cheers,

Matt

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March 30, 2011 - 9:15 am

Wendy

I've been looking a lot at mining towns myself but being a cautious person by nature i'm a little hesitant.

You'll find mining towns will give very good rental returns usually providing positive cash flow on minimal outlay.

I've lived in country WA for last 5 years and can offer you my experiences and thoughts

1. You really need to know the life of the local mines and if any new mines are on the horizon- Places like Kalgoorlie, Port Hedland are well established and will be around for many a year to come, even if one mine closes down it wont effect the market much.
2. Even with the above i'd still do research into the area and mines to make sure your confident it's not going to fall over- Have a look at Ravensthorpe, people lost a lot from that and was considered fail safe
3. The cost of repairs. I live in a remote place now and if you need a tradesman the callout fee is usually starting at $1500. Even when I lived in Kalgoorlie tradesman where twice as much as what I was paying in Perth… I feel this is one of the really big issue's and as you said without looking at the place who knows how good the property is. Even in small mining towns whose going to do the building report? Maybe the sellers best mate Johnno next door. Can you trust them and if you need an independent report from someone out of town how much will that cost? Last thing you want is those profits being eroded by tradesman.

I'm really interested in buying into a Mining town as I have many friends making a fortune in Karratha and know how good it can be. The above three things are what I'm mainly taking into account and I'm sure there will be other things people can add.

Just on WA i'd say your main problem would be cyclones in the northern mining towns but you'll find most houses seem to be built to handle them. The kimberly floods fairly often and although this year is one of the worst on record it doesn't effect any of the area's you have probably looked at. Personally when looking in WA natural disasters are a minor concern.

Good luck,

Matt

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March 26, 2011 - 10:04 am

Thanks everyone for the advice, although haven't replied much it has been very helpful.

I've decided the best way for me to start is with a cheap unit that with a bit of a touch up can bring some immediate equity and fast track my second property- a lot easier said then done.

I've found and made an offer on a unit that needs a bit of work and is selling for about 45k less then the other units in it's complex. It needs the floors, walls and kitchen redone but have the luxury of a very large extended family that can do the whole lot for me in a couple of days and at cost… They've all had a look and agreed it shouldn't be any more then a couple of days and will cost between 5-10k

The only thing that has been a bit annoying is I put the offer in on Thursday Morning and was called on Friday afternoon to say someone else had just made an offer and if I wanted to change mine. I told her no straight out and was advised the seller would make a decision over the weekend and get back to me on Monday.

So a little annoying but that's life and just have to wait and see.

With everyone's advice on these forums I have a few different idea's and am much more comfortable with were I'm going.

Cheers,

Matt

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March 16, 2011 - 10:51 am

Kent,

Thanks very much for that insight. I was actually running scenario's last night for about 5 hours and came to a similar problem, unless the property I buy is appreciating in value I'm better off sitting the money in a bank earning interest. I think i came to the conclusion I need the property to appreciate 5% a year over say 5 years for it to be worth while…

I actually didn't think about the problem of gaining a loan on a second property and is a very good point you make. I just assumed like your client i'd have another 30k in 6 months and go again. I'm not in a rush so will make sure my research is spot on and hopefully start out on a good footing.

Thanks for your help,

Matt

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March 15, 2011 - 12:46 pm

Jamie,

Yep i'm very much open to buying interstate and have been looking into that. My biggest obstacle is not having the knowledge I do on Perth which your right, I can get with a lot of research.

Cheers,

Matt

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March 15, 2011 - 10:03 am

OB 1

Had a read or 10 and find it fairly interesting, haven't seen anything like this before.

Correct me if i'm wrong but you obtain a vendor to finance the purchase, pay a 10% deposit and the interest on the loan then pay them out after 2 years with a $25k bonus?? Simple terms but only way i can understand it without having the force.

Let me know if i'm on the mark

Matt

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March 15, 2011 - 9:24 am

Thanks everyone for the advice its much appreciated. Some interesting comments that i've started researching.

Unfortunately I'm not on the mines, I work for the government and am based in a remote town for 18-36 months, up to myself really how long I stay. More then likely my next spot will have an income of around $100k and a few other bonuses will also disappear.

My simple aim is to own my own house In Perth by the age of 40 so the rest of my life isn't too difficult. As you guys have mentioned I just need to work out the best option to do that. Most of my mates are either stuck in dead end jobs having to rent the rest of there lives or buying there house on a 30 year loan in Timbuktu that should disappear when there 55, something i'm not interested in.

My main thoughts is to buy several investment properties with the hope of CG I can sell in the future and turn some tidy profits and buy something outright. Having a look through Perth there's not much around $250k anyway apart from Hotel apartment's which I wouldn't touch with a 10 foot pole. There seems to be a fair bit around the rest of the country though and will continue to research.

Andy I'll be reading your other posts after this.

Dereck I understand your thoughts on two $250k or one $500k and thats what I need to do work out. Despite what most people think house prices have hardly moved in Perth for two years from what I have seen and can't seeing them being more then $750k by 2020 rather then $1 million like most people think. (house prices shouldn't have been more then 360-380k last year going on 100 year of trends which would suggest the next 10 years might slow to get back into the long term trend so 750kish)

McGrandles- Thanks for the advice, will definately check out those suburbs you have mentioned.

Thanks,

Matt

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March 14, 2011 - 1:19 pm

Dan,

Rick stated that he has gone through House Buyers USA which has 'fees' associated with there help: http://www.housebuyersusa.com/intl/aus

Obviously they are not  simple 'give me the $4000 and we will give you advice', looking at that site it seems to indicate they'll do a lot of the leg work for you to start buying and investing in the US. The site states it cost $3950 to set up and then $2950 for every property you purchase through them. Not opposed to paying for help, especially if those returns can be achieved, but would much rather pay once results have been achieved not before.

My other concern is when it says :

• Access to USA attorney
• Access to USA accountant
• Access to USA insurance agents
• Access to USA property management

What does 'access' mean? Is it free access as part of the package or are you likely to get charged hundreds of dollars every time you call them up?

Not sure what experience you also have Dan but any thoughts will be appreciated.

Matt

[FullyMember@fullyJoin Date: 2011Post Count: 16]

March 14, 2011 - 10:49 am

RickH wrote:

Hi Guys,

The basics are:
Tennant in place prior to closing : Yes
Rehabbed – prior to rehabb the advert for the property listed it as being very good condition needing only minor
cosmetics.
The total price is $49,000 : Zilow Estimate: $65,000 and prior sale in 2007 was $95,000.

Rent of $10,000 p/a less the normal expenses of property management insurence and taxes
for net return of just over 15%.
With the work done maintanance will be minimal.

The reason i went for Kansas City is have have researched this area for nearly 6 tms and while better returns in other states, from what i see vacancy rates are very high particularly in Detriot (sorry wouldnt go there).

Finally : yes i used a buyer service. I went through housebuyersusa in the end due to lower costs.
I have been dealing with 2 buyer services one for 5 mths and housebuyers for only a few weeks.
BOTH provided great service one was pay all fees up front and one was pay on closing of property.
I would be happy to reccomend both services.

Rick,

I've read almost every post you have put on this forum over the last few days and am very interested in your experience. Unfortunately the forum seems full of people simple selling there product and I'm really after some advice from someone whose taken the plunge like yourself.

My main query is what where the real costs involved of purchasing the property in the US from a US property investment site? Most sites seem to ask for $4000 upfront before you even start. I realise there will costs involved but i've thrown enough money away in my life already and want to make sure i'm going to be getting value for my dollar.

I came across a site which set out all the cost involved which i've attached. http://usprime.com.au/2011/02/53005/
Is this a realistic cost analysis similar to that you dealt with? I realise there maybe rehab costs also involved.

Any advice would be appreciated.

Matt