Hi Zigreenman

Each IP author has a different opinion on the best way to invest. Personally, I would just read widely – take into account the different opinions/advice and use your own judgement to formulate your own strategy. Also, everyone’s different in terms of the risks their willing to accept, their level of income, etc so what works for one…[Read more]

Heath Workman wrote:
you can pick up positively geared properties down there for under 100k.

Hi Heath

What’s the historical growth been like in these areas and are there any driving factors that will lead to growth in the future? Everyone loves a CF+ IP but if there’s little or no growth, it’s not worth it (in my opinion).

Cheers

Jamie

Hi Adam

Yep, that makes sense. I like the “preferred” tenant angle though. Could possibly work in an area with low vacancy rates and tenants lining up to rent the property.

Cheers

Jamie

Atwater wrote:
Thanks for this in advance.

Hi Atwater

I’m a little (ok a lot) confused as to what it is your asking about.

Cheers

Jamie

“If you’re good enough you’re old enough”

Cheers

Jamie

Hi JPCCM

As a general rule, a lot of lenders take 75% of the rent into account when calculating borrowing capacity. Depending on the deal, there are lenders who take 100% of rent into consideration.

Cheers

Jamie

For anyone that comes across this post – I can highly recommend the Noirot heater. The one we purchased is designed to heat up 25m2 but we’re using it to heat up half a house and it’s doing a great job (this is Canberra I’m talking about as well!)

Although, I might get a rude shock when the electricity bill comes in

Cheers

Jamie

bbt wrote:
Edit: Jamie you asked while I’m waiting until I’m at the $50k mark, it is purely for comfort. I’m looking around the $300k mark for my first purchase and 50 paid down (maybe more depending on how I structure it for FHOG) seems like a reasonably safe level of leverage to me given the current market. Additionally to this my financier…[Read more]

All good – my preference has always been to claim at the end of year. Nice time to plan a holiday

Cheers

Jamie

adamInTheGong wrote:
Hi Anthony,

There is a new answer to 4) and that is for the tenant to take out insurance to protect their rental payments. This helps a tenant who would usually be considered a good tenant to keep paying rent in case they lose their job through no fault of their own. Obviously this also helps the landlord mitigate their…[Read more]

Totally agree – I’d also question there cash-out policy (which is probably non-existent).

Cheers

Jamie

You can make it legal – anything can be worked into a contract.

Cheers

Jamie

But then you forgo the joy of tax return time

No, I’m only joking. If cash-flow is an issue then the variation can be very handy. I haven’t personally lodged a variation form before but my understanding is that it’s quite easy to do yourself (so perhaps suss it out before going to the accountant).

Cheers

Jamie

Are there any renovated properties of a similar size within the same area? If so, how much are they going for?

What does the market within that area demand?

Have you spoken with any agents within the area? Most will be keen to just get the listing but there might be some who will offer frank and honest advice as to whether it would be…[Read more]

quattro4 wrote:

I am looking to get a valuation on Ashfield property once the landscaping is done, and wondering if i should go through the bank, or through a valuation company external to the financier. I was surprised with my last valuation because we waited to do all the renos, then they didn’t even come to the house. Given its a different…[Read more]

Or you could PM Alistair who has offered good advice – he’s an excellent contributor to the forum and he’s also a broker.

Cheers

Jamie

Shape wrote:
A lunch for expert advice from Terry – Yes please!

Yep, I was thinking the same. Sounds like a pretty sweet deal to me

Cheers

Jamie

Oops – that’s embarrassing. I thought both posters were the same people. Anyways, Chris – I hope that last post helps. I used a $500k purchase an example because I thought I was responding to David.

Cheers

Jamie

chappy1970 wrote:
Richard is there a simple formula to use to work out what the monthly salary would be, incorporating interest from an IO loan of an investment property.My wife and I are crunching the numbers at the moment to determine what our purchasing power is.We have an Equity loan organised from my PPOR. The outstanding on the PPOR is…[Read more]

david24 wrote:
G'day all,I would like any advice or what would you do in my situation.We live in Sydney,house worth 850k,our mortgage is 200k.That makes our equity around 650k.We have 2 teenagers 15 and 12.Our income,me 75k,my wife 25k.Obviously i would go to a financial advisor with any ideas i may have,but im interested in what you Ladies and…[Read more]