If you're in Melbourne, try Educated Investor in Collins Street. I find the staff there knowledgable and they'll definitely point you in the right direction. If you're not, try their website… http://www.educatedinvestor.com.au/No one book holds the key – read lot's and take little bits from all of them. I'd spread your reading between investment…[Read more]

When we bought our PPoR we spoke to a couple of the neghbours and asked them a few questions – Is the street used as a drag strip? Young Families in the area? Quiet? How long they'd been there? What did they think of it? etc etc… You'll get heaps of info from them… Secondly, did you notice kids running around the streets or riding their bikes…[Read more]

wdemirdonder wrote:
Cheers guys for all your help, so lets say I'm new to investing and this would be my first IP. Would LOC be the best option, and does anyone know if this is true ? 1. You can buy a IP and as long as you don't live in it, you can later purchase PPOR and get FHOG

Dude, you're asking the same questions in 2 or 3 threads SRO…[Read more]

From the first link above…You and your spouse/partner must not have owned residential property, either jointly, separately or with some other person prior to 1 July 2000, in any State or Territory of Australia You and your spouse/partner must not have occupied for a continuous period of at least 6 months, a residential property in which either…[Read more]

You probably want 2 appointors and you also need what's called a settlor – someone who deposits and initial amount ($10.00 generally) who then has no claim to anything whatsoever. They are basically the person who gives your company the money to hold in trust. Is $2k the quote to set up your company and the trust? Because if it's for both it's…[Read more]

Chris / JoThis is a public forum and you make comments to gain feedback from people, in this case a lot of people that have more experience in these matters. For what it's worth I don't consider myself to be one of those, just a beginner myself.Research and Preparation are the most important things when it comes to investing in anything, not just…[Read more]

You can get a month by month amortisation calculator here… http://www.infochoice.com.au/Home/Banking/Calculators/tabid/137/Default.aspx?ArticleId=15319It shows exactly how much is going on interest and principal each month. Hope it helps

You can do both – the IP first AND still get the FHOG… https://www.propertyinvesting.com/forums/getting-technical/finance/4325600Third post from the bottom of the page. Go to work!

dgabriel wrote:
Thanks for your advice too imugli, I am starting to think you are right, but am still in 2 minds. Maybe we are just not in a position yet to buy. We have been putting away all our spare money, but it is slow going, and a decent chunk of my spare money goes towards the negatively geared IP. I guess it is also not a good idea to…[Read more]

Best place to start is by reading lot's of books on property, investing and tax / structures. Then figure out your objectives – what do you want to gain from investing? Reduction in taxable income? Passive cashflow (i.e income you don't have to work for)? Asset protection? A 'legacy' for future offspring? Is it simply a land grab (because they…[Read more]

Don't draw on your IP. The interest you pay on the equity draw or redraw won't be tax deductible like it is now… Second, you will, in effect be borrowing 100% of the value of your new place – <$38k from the equity and the remaining on a new loan. Can you afford the payments on that? You'll be at least 90% geared – could you afford a negative…[Read more]

Think of a line of credit as a great big credit card, but secured against your property as opposed to being unsecured like a normal credit card. You have a limit and an interest rate and you have to pay x% of the outstanding debt each month, not an MMP as such like with a standard mortgage…

Qlds007 wrote:
ImulgiPrecisely the reason why i asked the question.Seems to me like the office plants dont really understand how – gearing works.

Some 22 year old fresh out of uni with a degree they'll never get a job for, no doubt…

joanne76 wrote:
Richard

With $430 a week rent plus tax benefits we can reduce the interest paid through our line of credit and this will help us reduce our debt faster than we can by our selves.

Regard

Joanne

Yes, but you've said it's COSTING you $130.00 per week. How are you paying down your debt when something is COSTING you $130.00 per…[Read more]

joanne76 wrote:
RichardWith $430 a week rent plus tax benefits we can reduce the interest paid through our line of credit and this will help us reduce our debt faster than we can by our selves.RegardJoanne

Yes, but you've said it's COSTING you $130.00 per week. How are you paying down your debt when something is COSTING you $130.00 per week? Do…[Read more]

joanne76 wrote:
RichardWith $430 a week rent plus tax benefits we can reduce the interest paid through our line of credit and this will help us reduce our debt faster than we can by our selves.RegardJoanne

Yes, but you've said it's COSTING you $130.00 per week. How are you paying down your debt when something is COSTING you $130.00 per week? Do…[Read more]

Martin63 wrote:
Thanks for the reply imugli.We currently operate our business within a family trust structure, and perhaps I should create a new one for property investing to help protect the assets from creditors of the business in the unlikely event that something should go wrong.

 Sounds like a good idea to me but again, figure out what…[Read more]

Welcome aboard, Martin. Enjoy your stay with us!Investing and structures is really a different for everyone thing and would possibly even be dependent on the structure of your current business and what your objectives are.For instance, my objectives are asset protection, passive income and flexibility as to who gets that income, so I have my IP…[Read more]

Qlds007 wrote:
imuli, Yes you always link the offset account to the non deductible debt.Only if you have no NDD would i link an offset account to an investment loan.

Thanks Richard!

AimHigher wrote:

imugli wrote:
IMO you should start by getting the current IP to CF+ status – set up an offset account linked to the IP and dump everything in that. THEN start looking at your next one.

ImugliBut how do I get the IP CF+??? We're in a bit of a bind in terms of tenants. The ones we have now are excellent. Always on time,…[Read more]