Well a subdivision isn't just a bit of paper that says this block is now two.  There might also be things that for eg, the electricity company and the phone company require you to do.  In some cases, the electricity company might demand you pay for a new pit to be installed.  You'll have to do things like ensure there is a driveway crossover (i…[Read more]

Have you checked if there are any covenants on the title certificate that prevent subdivision?  Wyndham Council says that resulting blocks have to be 300m2 each.  There might be other stipulations such as not being allowed to build within a metre of fenceline, having to have a minimum yard size etc etc.  Depending on the situation, it could be tr…[Read more]

I see some sentences there that suggest it might not be smart for you to go guarantor on a property for him:"he could have a go at being the responsible home owner… ""he was only recently out of bankruptcy""Our income hasn't been overly stable since we have been together and finances seem to be part of our breakup problem"If you are thinking…[Read more]

Another thing to look at is the Section32 (in VIC anyway) which contains the council rates and water notices.  If they happen to be stamped with "Overdue – Final Notice" it's a fair assumption the vendor is in financial strife.

I have found that an alternative way of finding out the reason for the sale is by asking the agent if the vendor "has found elsewhere nice for themselves to live as yet", or simply ask "where the vendor is moving to" with a stupid grin on your face like the whole adventure must be terribly exciting and how wonderful that you are involved in it…[Read more]

Imagine if this all goes belly up.  What happens when you move to your next rental and the agent asks for a reference from your previous landlord…..    as everyone has pointed out, this whole arrangement is fraught with danger for you.

Hi Terry,I wonder how long it will take for the rules to change and we'll be able to access equity in smsf owned property.  Your thoughts?  Also I'm unclear on whether the equity cannot be accessed while there remains a debt on the property, or whether the equity cannot be accessed at all.jac

So did you end up finding the property on RPdata?  Your friendly mortgage broker should have an RPdata licence and be able to provide you with the report  you require

I was looking at Quest apartments with great excitement about 4 years go.  This was before I started educating myself properly on property investing.  Amusingly the same apartments are now on the market for EVEN LESS than what they were selling for 4 years ago. Hmmm.

Have you factored in the cost of bank interest between now and the likely sale date of the townhouses?Remember you will be unable to sell them off separately until you subdivide.  Talk to a Surveyor about this to understand the timeframes and likely costs.  You'll also need to factor in cost of driveways, fencing, landscaping, clothesline, that so…[Read more]

In theory you could do it.  It depends on the lender and the LVR (loan to value ratio).  For instance: if you were to refinance your entire portfolio with a lender that is offering an LVR of 80% it would look like this:Proposed PPOR : $650kIP #1 : $400kIP #2 : $400kTotal value of properties = $1,450,000Lender would be prepared to loan 80% of t…[Read more]

Do you have landlords insurance? If so, have you lodged a claim and given the photos to the insurance company?

sonyasal,Are you saying that your insurer is refusing to pay only lost rent (since the tenant was on a week to week lease)? Or are you saying that since the tenant was not on a fixed lease, they are also refusing to pay out on damage to the property?  My understanding is that damages would be paid out, but not lost rent.  It is considered that t…[Read more]

Hi SueVery interesting.  So it's not really a rent by the room but a share house.  Do you have letting contracts of any kind with each separate individual?  I'm also interested in the manner in which your share house is insured?  ie Do you tell the insurance company that it is just one tenant who sublets, or do you tell them you actively sou…[Read more]

Yep. If there were a super easy way of getting zero percent homeloans, we'd all be doing it!

Cool.  Indeed it could go in your favour or against you, but why risk losing the farm due to being greedy to save a few dollars.  Slow and steady wins the race.

Good luck

I will also say this: tread VERY carefully.  This could start out as an endeavour to save a little bit of money and end up costing an awful lot.  A bit like gambling perhaps.  If you can't afford to lose, you don't play the game.

I kinda sounds like you elected the east coast house as your PPOR, and that therefore you do not qualify for the 6 year absence ruling.  The type of loan you took out to purchase the east coast house would no doubt be sufficient grounds to deem this to be so, in the eyes of the ATO.  If you gave them a quick call they'd verify for you.

A couple of other thoughts:A Japanese bank may not accept an Australian property as security for an investment loan.It might prove difficult to later on leverage the equity growth in the Australian property held under mortgage with the Bank of Japan.  So this might limit how quickly your portfolio can expand.