[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

June 28, 2011 - 3:30 am

Thanks Terry, i'll work on it.

[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

June 27, 2011 - 6:27 am

hi folks,
thanks for the advice, all good points.
we're currently renting so there's no PPOR loan that we can pay off.
We lived in her property for 1yr but moved out a few months back (it's too small for us to live in now). Also they're all interest only  set ups with a mix of variable and fixed interest.
at this stage we do intend to some day use the lump sum as part of a deposit on the next ppor, so it sounds like offset is the way to go.
***update*** i just rang her home loan provider "rams" and they dont offer offset accounts. Don't know if she would be able to move her loan to another bank due to her low income and decline of equity recently.
What's plan B folks?
I do have the ability to set up an offset on one of my home loans but it wouldn't be as advantageous as reducing her interest as she will have no income to claim a loss on……

[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

March 13, 2010 - 12:02 am

Hi Chelkin,
I work for a Real Estate office on the Gold Coast that have rentals in your area and throughout the GC. What you need to know is that after a property is advertised for around 4 weeks it becomes "stale"…which means all of the current renters in the market have looked at the property and decided that it's not for them for reasons such as price, location, suitability of the property to their needs etc. From that point you only get interest from "new entries" into the rental market. A price drop will re-invigorate the property slightly and may mean people that have previously passed on price will now be interested.
A good property manager will be as skillful as a sales agent. Renting a property to a prospective tenant requires just as much sales technique as selling a house e.g. asking direct questions "could you see yourself living here", "would you like to rent this property"…also need to provide correct answers to objections…seems simple but an unskilled prop manager won't ask these questions or have the right answers.
In saying that, it's not uncommon for a property to be vacant for some time in this market…..sometimes price drop is not always the answer, it just requires patience to find the person that is suited to your property. With my I.P's i drop until i feel it's at a low enough level and then hold and wait……
Call me on 0423294789 if you're interested in changing Property Managers.
Regards
Glenn Staker

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March 7, 2010 - 11:18 am

I've done the queensland real estate REIQ course…..it goes for 5 days and costs around 750 bucks. It's worth doing if you want to learn how agents operate and the process/documentation of buying/selling/property management……so if that's what you're after then go for it. I did the course and went into real estate sales on the Gold Coast. Being in RE sales helps with my property investing a great deal as you meet heaps of people in the industry and find out about properties before they come on the market.

Any course is worth doing if it improves your overall knowledge.

Cheers
Glenn

[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

August 21, 2009 - 11:34 pm

whatever the case it's terrible for their reputation…..we basically blame ING for what looks like us losing the contract. We had 28 days for finance on a 30 day contract….after we originally had 14 we got an extension because they were taking so long. They told us after 18 days that it was a no go so we've had 10 days to try to get finance through someone else….finance date is now next wednesday and our broker has still not gotten back to us…cant see how we'll be getting approval and then a valuation etc prior to wednesday. So we're basically resigned to losing this contract…..the seller has already indicated that we won't be getting another extension.

[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

September 19, 2008 - 3:05 am

i agree with banjo
i tend to think that most of the stuff you do is fairly similar…..but you do need to have your target market in mind when renovating to sell or rent out…..
 
i may cut some corners on some of the finer finishing touches if the place is to be rented. A renter wouldn't put near as much time into inspecting the place and it's structural elements as a buyer………a renter will notice whether the stove is stainless steel or not but isn't going to inspect the slight plaster crack in the roof or the water damage at the back of the cupboard.

thats my opinion anyways

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September 19, 2008 - 2:52 am

you should be able to get your accountant to do a depreciation report at tax time…….they should have a list of items that you can depreciate and it's a matter of estimating the value of each of those items. you should be able to do this with no inspection required………
i believe you can get a quantity surveyor to do this report instead if you wish.
Maybe ring your accountant and enquire with them…..

[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

June 18, 2008 - 7:36 pm

u can get alot of useful stuff from your local tip shop or lifeline / salvos type stores including basins, tiles, mirrors etc even tools like tile cutters. sometimes people have heaps of tiles left over and just take them to the dump or the op shop. ikea/bunnings/spotlight can be good for accessories like towel racks / toilet roll holders / blinds etc. whatever you do don't assume that bunnings are the cheapest for everything……

yes it does depend on the standard of your bathroom……but you should be able to re-tile and replace vanity / mirror / shower head & handles for under 1000. its unfortunate if you have to replace shower screens, bathtubs etc as it can get expensive. i've only had shower curtains in my places which are really cheap and can be bought with modern patterns on them etc….and can't be broken by careless tenants. i picked up a great vanity off ebay for really cheap too.

the best thing you can do is ask on forums like this

cheers
g

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June 4, 2007 - 2:08 pm

im really happy to see lots of other ppl driving crappy cars also….its just been a case of trading down over and over for me over the last few years. ive owned a wrx, a civic with wheels worth 3600??? stupid yes…a black veilside supra….downgraded from the supra to a honda accord just before i bought my first house….then downgraded from accord to a 1978 toyota corolla coupe that cost $1300 in order to free up some cash to get my first i.p.
i figure i can't downgrade any further now unless i get a moped…..and my car is now actually a very slowly appreciating asset….it gets quite a few comments from onlookers i must say….but yes being newly single i cant actually bring myself to take a female on a date in the corolla haha.
some of the comments have been very interesting…i have the constant battle in my head of whether i should go and buy a better car or just keep plugging away in the old battler corolla….i guess everyone needs to just find the balance that makes them happy. i think i may upgrade within the next year or so to a car that at least has air con!

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March 7, 2007 - 4:23 pm

so my i.p. went unconditional today….settlement is not until may 1 though. i’m interested to know what you finance ppl out there think i should concentrate on now. i’ve made this step of getting my first i.p., what next?

at the moment:

ppor – owe 309k valuation 380k P+I
i.p. – owe 230k (inc fees) valuation 220k I.O. renting for only 190p.w.

should i now concentrate on reducing my ppor debt as quickly as possible to free up funds for further investing by re-doing my loan once the amount owing comes down?
should i go to I.O. on my ppor?
should i continue to spend money renovating my quite old ppor? should i spend money increasing the rental returns on my I.O.? should i turn my ppor into a investment property and rent it out? should i stop spending so much time thinking and just relax and have a beer and be happy? [biggrin]

happy to hear everyones input and suggestions so i can then form my own opinion….

on another note i read in the gc bulletin yesterday that the gold coast may experience an increase of up to 40% in capital growth in or around 2008….although it is just speculation of course.

cheers
g

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March 1, 2007 - 4:41 pm

Originally posted by Mortgage Hunter:

Originally posted by 65ens:

i am nowhere near as experienced as all of these guys but the way i look at the I.O. vs P+I scenario is like this:

say if i buy a house for 100,000 and then sell that house for 175,000 in 5 yrs time creating a 75k capital gain.

If i had the loan set up as P+I i may have paid 50,000 off the principal. So i would receive a “profit” of 125k when i sold it……….. but in reality the extra 50k i paid off the principal is just my money being returned to me…..its kinda like saving 50k in the bank. in that 5yrs i could of just paid the interest on the loan and put that 50k into other investments and made further profits rather than it sitting on my mortgage doing nothing.

thats my simple way to look at it….coming from a simple mind (who failed maths in grade 10) hehe.

Analogy is great.

But your figures are hopeful. I suggest you would have only made a $5K dent in the P part of the loan in that time …

All the Principal repayment action happens in the later years of the loan!! [blink][blink]

Simon Macks
Residential and Commercial Finance Broker
[email protected]
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.

of course…i was just trying to use simple figures to demonstrate the point i was trying to make.

[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

February 28, 2007 - 7:10 pm

i am nowhere near as experienced as all of these guys but the way i look at the I.O. vs P+I scenario is like this:

say if i buy a house for 100,000 and then sell that house for 175,000 in 5 yrs time creating a 75k capital gain.

If i had the loan set up as P+I i may have paid 50,000 off the principal. So i would receive a “profit” of 125k when i sold it……….. but in reality the extra 50k i paid off the principal is just my money being returned to me…..its kinda like saving 50k in the bank. in that 5yrs i could of just paid the interest on the loan and put that 50k into other investments and made further profits rather than it sitting on my mortgage doing nothing.

thats my simple way to look at it….coming from a simple mind (who failed maths in grade 10) hehe.

[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

February 16, 2007 - 5:19 pm

well folks i just thought i would update u all. i now have a contract on my 1st I.P for 220k. a 2 bed in a block of 4 at palm beach on the gold coast, 250m from the surf.

the wisest thing i did was speak to a finance broker rather than the bank manager. she came up with many new and inventive ways for me to get the money i needed. i was also fortunate enough to be getting regular overtime which they have now taken into account. i also convinced my bank manager to do a valuation on my house prior to putting an offer on a property which came back at 380k. this gave me the piece of mind i was looking for. i will be going I.O. for this loan.

i am hoping my choice will have superior capital growth to the “further out” suburbs that i could have bought in. time will tell

thanks for your useful tips people
glenn

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December 15, 2006 - 3:59 am

oh and with the toilet…i left my original toilet base there and got a replacement cistern and lid from bunning for 60-70 bucks. it also includes the piece of plastic between the lid and the cistern to hide the pipe and give that modern look. it totally looks like a new toilet.

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December 15, 2006 - 3:57 am

a few other ideas:

i got my vanity with semi recessed bowl and 2pac doors from ebay – $400

i got a MASSIVE rectangular mirror from lifeline for 20 dollars. – it had a crappy old copper frame on it. i removed the frame and all of a sudden i have a trendy frameless mirror!!! it looks a treat and opens the whole bathroom up. mounted with liquid nails type glue and the tiles come up to the edges of it.

other than that tiling is dead easy and i hav actually tiled over my floor tiles and it looks very good. look up “how to tile” “how to remove a vanity” on google…u will be amazed.

i did pay a guy to remove and replace my bath as once i started it looked like too big a job and my shower is over my bath so i didnt want to go for weeks without the use of a shower!!!

good luck

[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

May 31, 2005 - 11:37 am

gday,
well 8 months ago i had a sports car with alot owing and was renting with absolutely no savings. so i decided it was time to buy a house.

u must look at everything in your life and decide how to save money. i sold the car and got a little 4 cylinder, i sold everything i could think of that i no longer used on ebay. i did not indulge for 6 months on anything. sure, expenses pop up that u didnt expect but you must not let that be an excuse to lose your focus.

i redid my budget almost every single day….if i spent 5 dollars that day i redid my budget. u must become completely obsessed with your budget in order to save quickly and stick to your guns.
u must do without for a while in order to reap the rewards in the end.

so yeah after 6 months i had enough for a deposit and bought my house…i saved more than i could of imagined in that time. i am still budgeting now end plan to for quite a while.

but i was lucky in that i am single and did not have to satisfy anyone but myself….it would be hard with a wife and kids but once again dont let it be an excuse.

[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

May 20, 2005 - 5:00 pm

i used to date a girl whos father was a support member and i ended up on the mailing list.
interesting to notice that on one of the charts their gold coast properties have had an amazing 0.00% vacancy rate for as long as i can remember.

[GlennStakerMember@glennstakerJoin Date: 2005Post Count: 23]

May 19, 2005 - 7:41 am

well folks you will be happy to know that i got a offset account set up when i got the loan. Im paying extra on the loan as well as putting all savings into this account.

Im thinking that maybe when i get an IP i may be able to draw from this offset as emergency funds for the IP…eg breaks downs, maintenance type things.

i have no ties etc so will have friends boarding with me to help reduce the loan quicker.

If i was looking at an IP for around the 300-350k mark how much equity would i need? is there anything else i need to do also? This would be for an IO loan….my house is currently worth around 350 and i owe about 320…