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what sort of article and for what purpose?
what new regs come in in jun 09? do you get sent a letter to comply to like they do in nsw?
have you considered a reverse mortgage? this allows you to withdraw funds from the equity in your home which would give you the money to live well. i'm not sure how it affects a pension but as it is borrowed funds, i wouldn't assume that it would.
a reverse mortgage allows you to stay in your home but access some of the accumulated equity in it. the loan is not repaid until after you have both passed on and the house is sold.
it would give you the money to be generous with your grandchildren and have some fun!
i would be buying as much cashflow pos property as possible now while you can. let time and capital growth look after paying for your home unless you are nearing retirement.
why do you establish a new disc trust for each property?
ballarat is fabulous now that interest rates have fallen and property will finally pay for itself again. i have decided the keep the property now that i can refinance.
my intention had been to build, sell and make a profit. that's why i was selling
what's a firstmac 3.00% product?
……I am thinking of getting floor/ceiling plaster up, painted, then floor board, then only kitchen going in..
you've got it about right. do all the electrical and plumbing first though while there are still holes to thread into and the cupboards are out of the way.
get a locksmith to let you in and change the locks. only costs $200-$300. definitely not worth waiting for a tenant to return key which may never happen.
well in the bad old days, you could stay where you are for months and not pay anymore… as you are living there with no lease, they have to take you to the tribunal to get you out. have you ever jumped through the hoops to take a tenant to the tribunal? you have to wait time after the rent is overdue, then issue them with formal notification, then wait for a date etc. then they give them time to move after the hearing etc. it can take rather a long time……. months in fact. then the sheriff can evict you.
my mum had a tenant once who didn't pay any rent for a year. (she had dementia but we didn't know, plus she could be a softie). i started the process of eviction which is a joke. months later, the sheriff evicted the chap and we changed the locks. that night, he went around the back of the property, pulled off a sheet of iron and moved back in……
now, i'm not suggesting that you would lower yourself to act in such an underhanded manner, as you're not likely to be one of the multitude of lower end renters who abuse the many loopholes in the system. i mean why would an owner feel aggrieved about tenant's rights in aus?
all this in accurate but tongue in cheek. that and cleaning up domestic waste are the reasons i got out of residential property and focus on commercial.
thanks world changer. the going concern thing could be great, means less borrowing.
just a further question, knowing that richard is not here to answer it; does anyone know what he means by timing the settlement to the end of the quarter? the gst would still need to be paid and reclaimed?
all the best, have a great time overseas! and thanks for your reply.
world changer; now you mention it, yes i remember that. AWESOME! thanks
i would be buying it with it tenanted as a medical practise so i guess that qualifies as a going concern? it has been used as this since 1993 but the owner/proprietor is retiring. a new leasee has expressed interest which is the basis that i would proceed upon.
thanks for your reply. it is very good news, i think! the ato worker bees must have phd's in obtuse writing……!
what does the adjustment period refer to? from what i can understand it to read; in aug of this year, there was a change which allowed you to keep the property as long as it is still actively marketed. how long would that apply for? if the property sits unsold for 12-months or longer, would it still be excempt from repayment?
would a letter from your real estate agent confirming that it was still on the market be enough?
firstly, my very best to you. without being in the least bit patronising as i know from experience; well done because you are thinking of doing SOMETHING!. heaps of people just talk about it and use excuses not to. i have been single for 13 years with 4 teenagers. my net worth is pretty good now though.
firstly the concept of buying some kind of property is really sound as it means enforced savings. when the dosh is as tight as it is for single parents, there is never any left for 'saving'. (wait till they want size 12 nike's!). however, if you have a mortgage you will find the cash to pay for it where you may never be able to save otherwise. i'm really good at budgeting and i never would have been able to save 1000's. if you don't have that enforced saving regime, in five years time you will be no better off than you are now.
onto your issue. land on it's own will just cost you money unless you have an ultimate goal in mind to use it for. would you be able to shift a house onto it or put a small kit home on it? worth doing the costings on. are there properties available now for that sort of money (ie the cost of the land plus some sort of habitable dwelling). if so, always go for something which pays all the bills and there are places here now in victoria which are cash flow positive. alternatively, if you live in it and gradually do it up, you'll be saving and adding value; ie actively working towards a better future. i used to buy a can of paint or some tiles or something whenever i could glean a bit off the top of the grocery bill. mind you, my entire pantry was colour co-ordinated; all black and white!
as to land tax etc, i don't think it's payable in nz and it doesn't kick in until you own a lot more than your suggested block. about your borrowing; it's worth asking around whether you can actually borrow as you used to be able to borrow even on centrelink benefits as it is deemed a steady income unless your child is nearly 16 . so if your income is low doesn't mean an automatic disqualification from borrowing.
all the best
thanks terry for your worthwhile reply. your posts are always worth reading.
crashy, have you got any pics of your tiles. i looked up metro tiles to see what they looked like but the site maintains that Marrazzi tiles not found.
the very best of luck with your project. my thoughts;
if you open up the living/kitchen area (currently the kitchen/main bedroom), you will have a largish living area. then you need to consider whether your target market are likely to prefer a dining room or an extra bedroom. will the home have more appeal as a four bedder than a 3 bedder with dining?
if you decide to go with the 4th bedroom, it would be easy to put a door through from the entryway into the area currently designated as a living room and to close off the dining (new 4th bedroom) room. this would create a large 'main' bedroom.
you also have some space on the front of the house beside the front door. a new dining area or 5th bedroom could be created with a stud wall across.
currently your laundry is larger than your bathroom. perhaps you could cost swapping them over. either way, i think that any home with several bedrooms needs a second toilet. one could go into the laundry easily. alternatively, if the budget allowed you could put a modest ensuite in the new main bedroom on the wall currently adjoining the dining room. the sizes of the rooms are not clear so i cant' really see whether there is sufficient room there. i do mean modest by the way, just a shower, toilet and basic vanity.
in terms of your budget, can i suggest that you leave things like light fittings, door handles etc to last. pay for the big ticket items first and if you have money left go hard. chances are that your reno will cost more than you think. not casting aspersions but have done it a lot.
have you been around the traps of the second-hand building suppliers? some of them are very expensive so be careful but it is possible to save loads. also garage sales can be worth it sometimes, depending on whether you have time and inclination.
one final thing; leave any old carpet in place until you have finished all the painting/sanding etc. protects the floor. less sanding to do if no paint on it. i always hire the floor sander and do the floors myself but it takes a bit of practise and professionally done floors look fabulous. you need to weigh up the cost of diy versus paying someone; whether the degree of better finish is worth the outlay. it is certainly not rocket science. one hint though, don't hire the smaller edge sander at the same time. i find floor sanding to be failry strenous and i need a couple of days between attempts usually!
the last final thing!; if you enclose the front and visible sides (preferably the whole house if budget allows) with lattice it will instantly make the house look more solid and larger. it will also have a more 'finished ' look.
all the best