There's 101 tricks/tactics that are used by agents – the problem is, it's not always possible to catch them out on it. All you can do is carry out your due diligence – work out how much you're willing to pay for the property and kick off negotiations. 

Cheers

Jamie

I'm not a huge fan – often overpriced and valuations come in low too often.

Cheers

Jamie

Hi HF

Welcome aboard.

A big thing to consider here is your ages. Given that you've got a relatively small deposit – any purchase you make will involve Lenders Mortgage Insurance (LMI) –  as you'll have less than 20% to put towards the deal.

The lender (and the LMI provider if it needs to be signed off by them) will want to see that there's an…[Read more]

Prob the same as last time – no movement.

Cheers

Jamie

Talk to your accountant but I can't see why you couldn't claim IP related expenses during the period that it is an investment. At the same time, you'd assume that there would be CGT implications for the period that it's an IP – but it's highly unlikely that the property going to change in value in a few weeks. 

In any case, it's something to…[Read more]

I'm with Derek.

Plus there's way too many cowboys out there these days spruiking to be property coaches/mentors/strategists – you name it.

If you do go down this path – then word of mouth recommendations would be a good start. Do you know of anyone that's had a succesful outcome from using one of these services?

There's so much free information…[Read more]

Not sure if I'd be setting up a LOC to secure an entire  IP – it's an expensive option. For a smaller equity release possibly – to secure an entire property, no.

Cheers

Jamie

minds-eye wrote:
Thanks Jamie,

When you make an offer on a property and provide the seller with a 10% deposit, do you "borrow" the entire property value (i.e. 400K) from the bank. Have it sitting in your account, then you make a withdrawal of 40K and give it to the seller for deposit?

Then in 6 weeks or so after settlement you transfer the…[Read more]

Word of mouth.

Cheers

Jamie

Hi Tom

Personally – if it were me, I'd either buy your partner out and own the property yourself or sell up, split the proceeds and start again.

Agree with Terry – I wouldn't want to guarantee anyone else's loan.

Cheers

Jamie

minds-eye wrote:
Hi Jamie.
Thanks for your reply. But it wasn't the figure amount that I was questioning.
Why 90% finance? Would you not give the seller a lump sum of the full amount?

If you are referring to a 10% deposit. Would you give this out of your own pocket? and then give the bank another 20% deposit on the remaining amount?

Seems like…[Read more]

Hi Sebastian

That's actually a pretty nifty website – thanks for sharing.

The ABS website is an obvious one – but something tells me that this won't be news to you….so it prob won't receive a squeal of delight.

I wonder if it would be possible to download an entire dataset of every town in the country by population….

Most towns have…[Read more]

minds-eye wrote:
Hi JacM,
I am at the stage where I am looking to buy my first IP.
I find it interesting that you mention 90% finance.
Can you please elaborate?

Probably best to keep it vague like "a sufficient amount for buyer to complete the purchase" rather than stipulating an amount.

Cheers

Jamie

It depends Matt – if they were taken out before you applied for the mortgage then it would have a big impact. If it were done after settlement – then it won't matter unless you're wanting to take out another home loan soon after. 

Whatever you do – don't over stretch yourself.

Cheers

Jamie

Nigel Kibel wrote:
I think that Brisbane is still undervalued

Yeah I agree – just had a client pick up a nice, modern detached house about 10kms or so north of the Brisbane CBD for a price that would probably be 50% higher if it was purchased in Canberra at a similar distance away from the CBD. Makes me wonder why I'm putting up with these…[Read more]

Freckle wrote:

Jamie M wrote:
I think the old ACT still has legs – you can pick up a detached house on a decent block in the far south and north burbs for low $400s, tart them up with a cosmetic reno and rent them for high $400s per week. Long term the growth will be fine and the yields will be ok so the holding costs aren't overly…[Read more]

I think the old ACT still has legs – you can pick up a detached house on a decent block in the far south and north burbs for low $400s, tart them up with a cosmetic reno and rent them for high $400s per week. Long term the growth will be fine and the yields will be ok so the holding costs aren't overly burdensome.

I'm a bit biased though – I've…[Read more]

Off the top of the noggin – suncorp and amp don't. Not sure if I'd approach the latter with a 95% deal though.

Cheers

Jamie

s0805 wrote:

Jamie M wrote:

adam.p wrote:
Thanks Jamie. That's what I had in mind.
ANZ are a bit funny – they see changes such as reverting from P&I to IO as "credit critical" so ask for  a new application to be submitted. There's been moves to change this – and I've been told that these sort of adjustments can be made in branch now, but I'm…[Read more]

Limited experience is even more reason for staying away – and a property sitting vacant isn't putting money in your pocket.

Brisbane seems to be going pretty strong at the moment. It's a big place – so difficult to comment on particular areas and dwelling types but I'm seeing quite a few investors buy there at the moment (mostly detached houses…[Read more]