How much does a subdivision actually cost?  DWolfe you sound like you know a bit about the topic…

Singer wrote:
Of course people can have money and property to get benefits

… not necessarily so.  apparently if you have more than $5500 in ready cash, you are ineligible.  Refer here:http://www.centrelink.gov.au/internet/internet.nsf/payments/newstart_iat.htmI recall once upon a time when a friend of mine was made redundant from his jo…[Read more]

So in summary:You are not eligible for disability benefit at all.You are not eligible for unemployment benefits due to having access to liquid funds.  Are you aware that your home would not be counted as assessible income?  If it were possible for you to sink your money into a property, surely it would no longer be assessible as liquid income a…[Read more]

Where are you living that is demanding this $1800 per month of rent?!What help is Centrelink providing at the moment?  Are you receiving an unemployment or disability benefit?  Do you have concession cards that give you discounts on medication, household bills, car registration etc?Where are your medical appointments located?

You can offer what you like!  You could offer 20% less if you wanted to.  It may not be accepted, but you never know.It is handy to know why the vendor is selling.  For instance, if they are moving house and have already bought and committed financially to the new house, they might urgently need funds from the sale of their current house (which yo…[Read more]

coolboy wrote:
I was told that they would not give a letter that my loan is not approved unless I show a proof that I dont have sufficient money in the account to pay 10% deposit as agreed in the Offer & Acceptance.

Can you arrange for it to be the case that you have less than 10% in your bank account then?  It seems that if you can do that, t…[Read more]

I'd be wanting that extension in writing, and I would not be parting with more cash to raise owner confidence.  It is not like this is the last  house available on the planet.  Life will go on if this deal doesn't work out for you.  Yes, I believe that any loan rejection goes on your credit file, which is a negative for future applications.  So if…[Read more]

Hi ThomasYou mention you are a 17 year old student.  Does this mean you are in high school or university?  Do you have an income in the form of a part-time job or otherwise?  The bank will probably insist on seeing an income stream before dishing out money.  If you have no income stream, what is the plan if the tenant in your investment pro…[Read more]

Done   I've applied for an ABN

Hi Terry – thus far I haven't needed an ABN to work as a contractor as I simply become a PAYG employee of the agency that commissioned the role, for the duration of the contract.

Brilliant!  This solves my dilemma.  I work in I.T. as a contractor in contracts that tend to be of duration 3mths/6mths.  So I will possibly always face financing problems applying for loans as a regular individual with a short-term employment status.  This would appear to be the solution – the missing piece of the puzzle.  Thankyou !!

OK.  I gather I'd register for an ABN as a sole trader?  And that tax would be calculated at the same rate (and in the same manner) as if I had no ABN? 

OK this is very handy.  I don't have an ABN – a quick internet search shows me that indeed I could get an 80% lvr loan after a day if I had an ABN, albeit at a higher interest rate.  Otherwise I'd need to have had the ABN for at least 12 months.  Thanks guys!!  You've set me on the right path

Hi Richard and Terry – thankyou both for your responses There is $250k equity in property I already own.  I have no hassle with working along the way, but it would be annoying to have to wait a long period of time before making a start, due to having to show a certain number of months of employment.  I have substantial savings to draw upon even i…[Read more]

thenocluekid wrote:
then sell the house for a profit

… or perhaps refinance instead. That way you won't lose money in stamp duty, estate agent fees etc.  

vsdabhi wrote:
If the property is your PPOR you won't pay stamp duty

Sadly this is not true in all states   Refer here ; http://www.realestate.com.au/cgi-bin/rsearch?a=calc&jar=StampDuty

Hi matieOK a couple of things to think about:You don't have to have 20%.  It is possible to instead pay less (eg 10%) and pay mortgage insurance.  It is not a good idea to pay too little, or 0%, because you then have problems if you need to sell the property and its value has dropped to less than what you owe the bank for it.Also notice that in St…[Read more]

I currently work in Sydney, due to relocate to Melbourne in a month or so.  Weeknights are probably best for such catchups, and in that regard, city is easier for me (I'm likely to be working in the city).  It's all about me hehehe.  If push came to shove I'd come over to the East, but it's a mission.  I suppose it depends where everyone works and…[Read more]

I'm keen.  I'm in the West of Melbourne.

Hi Jared,I'd imagine if you are just starting out, you want to have a vague idea of how much you can borrow.  This will at least help you establish where you can afford to buy, and what type of property.A good place to start is actually Microsoft Excel!  Making a list of all your living costs, and working out how much money you have left in your t…[Read more]