NHG wrote:
Hi, what city?Also I assume your using your first home buyers grant?

The suburbs mentioned are suburbs of Melbourne

What are your jobs and where do you currently work?  This will have a big impact on where it is convenient to live…  Have you looked at Laverton?  It's the last station in zone 1.  It has fast train links to both Melbourne and Geelong.  You can still get a 3br house for under $350k there.  You'd be just down the road from Altona which has Altona…[Read more]

If it is an investment, you are not trying to buy a place to suit your lifestyle.  It's only about the numbers.  Look at historical and projected capital growth, rental yields and vacancy rates for each of the areas mentioned.  The rear pages of "Australian Property Investor" magazine are good for this.  Also keep a close eye on a couple of are…[Read more]

It really depends on your target market.  If your target market is renters, talk to a few local letting agents about things like this:Does a "study" attract additional rent?What is the differential in rental return between a 3br and a 4br house?How important to the renters for a property like this to have a large yard?  Do they prefer low m…[Read more]

You'll have to pay CGT at the very least.  I doubt you'd get out of stamp duty.

I suddenly have an interest in getting an iPhone

Re the childcare issue, might be wise to consider living near family members that are retired and have a burning desire to do lots of daytime babysitting!

Hey reddahadyn, how is your project coming along?  It would be awesome to see progress pics if you have time to post them!

Is there a reason you intend to buy the first place outright?  Why don't you get a loan.  It'll give you more to spend – and then hopefully you'll be able to get a place in an area that can be tenanted all year round for a decent rate.  Leverage the bank's money

Townhouse – for the reasons you have already highlighted.  Note that sometimes a townhouse will be on its own title, and sometimes it will be subject to body corporate fees (eg due to shared driveways).  You need to ask that question when enquiring about a property.

Apartments in Melbourne don't have a history of appreciating as quickly as houses in the suburbs. Personally I think you would be better to spread your risk and get two houses in the suburbs, rather than one box in Southbank.

If you pay off the apartment, the problem is that it will then be earning a positive income which will be taxed.Get another property   The apartment is paying itself off anyway.

re 4) :I think Richard means to also have an offset on your PPOR loan.  Pay into that instead of hand the money over to the mortgage itself.  Saves interest for you, but the money is retrievable if need be.

CGT works from CONTRACT dates.  Not settlement dates.  So yes.

I'm going to state the obvious here – you'll want to sell your half to your brother at current market rates, not what you paid for it when you first bought it.  You'll probably need to get a valuation to come up with a fair price, particularly since it is your brother that is buying from you.

I think it would be a good idea to speak to an insurer about this plan. If something happens with the house during the tenancy, it might only be claimable if landlord insurance is in place, and there might be a requirement for a contract.

I have a colleague that runs two boarding houses.  They use AAMI for the building insurance, and Terri Scheer for the landlord insurance.  http://www.terrischeer.com.au  I know they've claimed on it, too.

missmolly72 wrote:
If I sell then at least I will ahve no debt and over $100000 in the bank and maybe start again in a year or 2. 

The only problem with that plan is that houses will go up in value during that 2 years, and as such you will require an even larger deposit and stamp duty contribution to get back in…I'd hang on if I were you.

Look at houses outside of Melbourne.  Possibly even Geelong or Ballarat. 

Surburban investments tend to involve land which is the part of the property that goes up in value (apartments are not great because they are just a box that depreciates).Why did your friends not have the necessary insurances in place?Speak to AAMI about BUILDING and also LANDLORD INSURANCE WITH TENANT PROTECTION.  Understanding the manner in…[Read more]