Matt – Option 1 is not an option at all unless buying the property outright for cash (or waiting till the property is paid off) because the purchase is happening inside a SMSF.  No point paying a bit more for a subdividable property and paying council rates on it for years if you can't subdivide it till 25 years later.  Your money is put to better…[Read more]

The suburbs of Melbourne offering good rental yields are the non-Melbourne-suburbs

What do you mean, Colin?

Hi Simon

I'm going to zero in on the thing that stands out to me.  You said "don't have any assets other than super".  Would it be rude to ask how much you have in super between the two of you? 

I am assuming it is still sitting in a normal retail super fund.  Or have you started your own SMSF (Self Managed Super Fund) ?

You can, inside a SMSF,…[Read more]

You will find this thread a useful read to explain why

https://www.propertyinvesting.com/forums/help-needed/4347967

There is no point renting out your mortgage-free home and borrowing to buy something else for you to live in.  Nomatter which way you do it, you will be paying mortgage interest that is not tax-deductible.

Ausi ski bum – it would be easier if you just got a broker on board rather than try and upskill on what they spend a lifetime learning

Hi Claire

Answering option 1 – you cannot subdivide a property in an SMSF that is under mortgage.  So you'd have to wait till the loan is paid off. 

Answering option 2 – beware of being greedy.  Chasing high yields in a mining town at the risk of your asset being worth nothing if the mine closes is a risky strategy.

Answer option 3 – there is…[Read more]

rulership wrote:

If the bank wipes it clear do I have grounds  to recoup the money from the person who goes into default?

There isn't much point trying to sue someone that has no money, so it's most likely you will have to cop the loss on the chin.

It mentions a lot of important topics in the course content, but nowhere near sufficient time to enable you to actually understand what you would need to know about the topics. 

Ultimately a lot of selling agents work on commission only.  Not everyone is prepared to do so, and so the employer is prepared to put up with "personalities".  It's the nature of the beast and will always be so as long as the remuneration model is the same.

Hi Elle

Well you have two choices;

1.  Selling your home first, staying somewhere else temporarily, and then purchasing the new place
or
2.  Try to do both at the same time, ensuring that there is a special condition on the purchase of the new place saying that it is subject to sale of your old place.

Either way, first step would be to select a…[Read more]

I cannot stress enough the amount of deductions you will be missing out on if you decide to hang onto this property without some seriously good advice.  As Jamie says, contact Richard.  Within a year or so, he lost opportunity in tax deductions will have you out of pocket more than selling costs would have.

Joe don't be ringing around – ask for recommendations on the forum.  No need to trial someone.  Just take on a proven accountant based on the recommendations of others.

Take care of course with your approach if you decide to knock on the door.  People will immediately have their guard up because they are protecting their turf and their person, and who knows… you might be one of those folks trying to convince them into some dodgy new electricity company.

Whatever you do, the first sentence should put them at…[Read more]

I really don't think you can save yourself much money DIY-ing the painting if you plan to use paint brushes and rollers.  It is bewildering how long it all takes.  You'll spend what you could have saved on things like:

– petrol money driving to and from the site
– more paint, because you are less efficient at using it than the pros are
– speeding…[Read more]

Hi LouieFin's Mum

Whatever you choose to do, remember:

– You don't have to do it "now" just because someone else says so

– If you are trying to build wealth through property investment, listen to others that have actually achieved what you are trying to achieve.  No point following the advice of people that have not.

– Yes you can purchase a…[Read more]

Argh what a shame you diligently paid off the mortgage rather than put all your surplus funds into an offset account, as Richard has pointed out.  They don't teach you things like this in high school.  It's a huge shame

The reason that the interest on the unit will be non-tax-deductible debt is that presumably you would be intending to borrow…[Read more]

If you intend to develop the site, be sure to use a mortgage broker that has secured finance for others for similar sites several times over.  This is not the time to have novices on the team.

Oh OK.  I'm happy to part with a grand total of $2000 to own a property hehehe.  I don't particularly mind where the cost has come from, so long as I can essentially buy a house for less than $1k or thereabouts hehehe.