Xena,

When you say beach fronts have become unafordable, what prices are we talking here ? Do you mean they wont offer a good investment return or are too risky an investment ? or just very expensive ? I’m curious cause I’ve been thinking about investing in SA possibly in 6 to 12 months from now.

Thanx

I’m not sure, but I recon you need to research and find out what vendors or developers have a good name. Check the annual state building awards for a guide. Many of them ( big developers ) wont deal with the buyer directly though, but go through a sales agent.

I just had deja vu !

Anyway I admit I try to buy the roast chickens when they are on sale at Coles. Often after a certain hour of the night. My cat gets most of the good parts, white meat etc.. I get the wings and legs and skin and stuffing.

Also buy the large sizes, cause the small ones get shrivelled up and tough, as they are all cooked together.

Doesn’t kiddie like Kinda Gyms ? He can meet other kids there.

I expect you will loose much money on this. have you done the numbers ? Off the op of my head, I expect it could cost you at least $100 per week out of pocket. Not to mention the termites and rot. 6 month inpections worry me. The seller is smart. Plant and equip have been fully depreciated. Property growth has been strong and may level. Work…[Read more]

The higher you jump the harder you fall. []

DepPro cost me $440 inlcuding GST I will try the cheaper one next time i.e Washington Brown Depreciation P/L

Surely you make the offer conditional to securing finance and have that stipulated in any contract.

Yes I would agree with Terry’s advice below. You may need to stipulate successful in obtaining finance at 6% effective rate or under. things like that etc.

sounds about right to me. $1000 to $1500 depends on the factors previously mentioned and the property cost etc.. does not sound too outrageous.

rents not that great there im told.

if you purchase next financial year, im not sure you can claim these expenses or capital costs incurred this financial year. Unless you can claim past years expenses retrospectively ?

If you can run 100 metres in under 11 seconds, you may just be fast enough to stay away from the loan sharks offering dodgy loans with dodgy property. If you cant, then you may be in trouble []

Kym so many factors to consider that may impact the gearing aspect of a property, not just whats happening in year 1. Brand new vs old, low capital growth area versus high, so many factors. What may look good for the first few years may become not so good down the track such as a property needing heaps of repairs etc… if you found that you had…[Read more]

Kym negative gearing aint necessarily bad. depends on your goal. Its fine in my opinion if you are focused on capital growth. But if you need cash flow then obviously its not for you.

You need a property investment calculator.
Plenty of these around check out a few to…[Read more]

Yes well depending on your confidence that may be a good idea. You need a good property acountant, and conveyencor / solicitor specialising in property. Also as mentioned get an independant valuation, i.e not from the company selling. Its worth paying a bit extra to make sure the job is done properly until you build your knowledge. I personally…[Read more]

Gavalynn, there is so much to consider beyond price alone and that simplistic dare I say 11 second rule. The area for one, against the price of the brand new property. I mean you don’t build a 1 million dollar home in noble park and try to rent it out at $1000 per week. I mean anyone who can afford that rent would not want to live in Noble…[Read more]

So how do the numbers come out ? I assume you done gearing calculations ? whats the weekly cashflow ? I did some rough numbers on it based on a $50K salary and $270K borrowings at 6% and it came out close to zero holding cost. but its rough as I dont have all the facts, but looks like a winner for capital growth anyway at little cost if any.

Hmm thats a good return it seems, though I guess it aint brand new is it? How old is it ?[?]

I wouldn’t touch the display home. Rent guarentee is just a mask. They normally inflate the price to cover the rent guarentee. Also check for special conditions attached to the guarentee. They wont loose but you may. These guys are pros you are dealing with. After year 1 you may own a property that wont rent for what they have covered you in the…[Read more]

The 11 second rule was meant to apply to property and even then not on its own, but in consideration of a range of pertaining factors. So far as caravans are concerned, unless you know all the legals, I wouldn’t touch it with a barge poll.

What about tax and depreciation ? What about the fact that you don’t own the plot but you are leasing…[Read more]