Someone on here said that John McGrath (of McGrath Real Estate, sydney, and owner of realestate.com.au) is speaking at that one too. And Marc, given you don’t value philanthropy and free things, I’d be happy to take them off your hands for you.

kay henry

Is LTV what other people call LVR?? [blink]

Seems highly irregular for people to say it doesn;t matter if one has negative equity… Sure, we can just keep paying off our debt. We now have 600k of assets and 1.2million debt… Oh No! Only last month it was 700k of assets- oh well, never mind- who cares? [confused2]

Our assets are supposed to…[Read more]

nathan,

You owe 180k on it, so you’d hardly sell it for 180k- why start over when you’ve just begun?

Beachside property- might be some chance of CG there over a few years. If I was you I’d buy and hold, and wait until the next cycle. Until then, you can maybe do some improvements for the tenants and get some more rent, and add some money into…[Read more]

ggump,

Dunno who you are, but you only have 1 post here. You may be friend, foe, or stranger of westan- not sure- can’t tell from your post :0) Anyhoo, I guess you’re entitled to ask a question about a Forum member. Westan does do some spotting, so if someone wanted to know if they should do business with someone, guess this is a way to…[Read more]

Filthy designer outfit indeed! tsk! [goatee]

Julie, a 1980 house should be in pretty good nick. Get your solicitor to check the age of the house though. They can do that through Council. If you think the house is older than 25 years, it may have been that the house was relocated to the block of land (I’ve had 1st hand experience of this). A…[Read more]

Nat,

I used an example- 105% loan (which a lot of forumites seek) and a percentage of lost value- I used 10% so as to not sound like a drama queen- I could have used % drops of 20%.

If prices are falling, you can STILL build equity- just add more money to your mortgage- I don’t think that is such illegitimate logic, although you might.

I am not…[Read more]

Why don;t we just call it “nequity”? [biggrin]

kay henry

residentialwealth,

Yep- this would be happening in many places in Australia right now. Say you bought a place in docklands recently, got 105% loan to cover all costs… and your property declined 10% in value… do the maths.

This 105% loan stuff- ugh- it’s a shocker! No equity at all, and then the market changes. In a softening market, we…[Read more]

hehe Celivia… and out of the goodness of MY heart, I’ll buy it off you for a song! Yep, you’d never meet a bigger bunch of saints than property investors [angel]

kay henry

Marisa,

You initially mentioned fully furnishing the place. I’ve thought of that strategy too, but the problem is when something breaks down. If you supply everything for the house, then you as the owner are responsible for replacing stuff- TV, DVD player, fridge, dryer… can you afford it? Sure, it might be good for depreciation, but how much…[Read more]

freedomfinder :o)

In financial terms, I reckon having my salary and about that again from RE investments would be about right for me But it would take me to retirement to actually get that from RE. Meaning that I’d have to actually have my IP’s paid off to get that kind of money. I’d have to double the amount of IP’s I currently have to get the…[Read more]

Gatsby :o)

I think PG is still overseas. He pops around occasionally, and I’m sure he’ll put your pic up as soon as he gets it :o)

PGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGG! Come back- we miss you!!

kay henry

I would be super happy with that kind of money that was mentioned in the original post. Even if I could never afford a house in sydney- well, that’s bad luck- it’s good to be satisfied with one have. Striving constantly is not my goal in life- it’s to be happy with where i am now- every day ;O))

paul_s, you said if you can’t save, you’ll never be…[Read more]

I answered ya, Pisces [blush2]

Pisces, wouldn’t you just be buying constantly as part of your strategy? Why wait? The market is so soft now that it’s a buyer’s market. Perferct timing, I reckon.

I remember a few months ago- at more peakish boom time, investors were saying people were mad to buy now, and they wouldn’t be buying for years. I think…[Read more]

Caveat emptor folks! The thing about being registered with ASIC is that there are certain obligations and you’d know that the person registered is able to run a company etc.

What about all these partners “parting with their money”? Anyone amongst them got a criminal record for fraud???

You would want to go into it VERY carefully.

kay henry

Glen,

Back to my simplistic approach :o) Paying off IP’s means I can afford more IP’s. If I pay an IP off in 7 years, then I can use that built up equity to buy more. People say one can’t afford to keep borrowing if one has neg IP’s. But one CAN if one pays off the IP’s at a more rapid rate. In fact, I reckon it is not a snail’s approach, but a…[Read more]

Tinkerbell- re your question… there are many Mortgage Brokers on this site- sometimes it doesn’t matter whether they live in your region or not- a lot of stuff can be done over the phone. A very good friend of mine on here had hers donew with a very good Mortgage Broker on here, and was extremely pleased with his professionalism and the deal he…[Read more]

Ok Pisces, I’ll go there [biggrin]

The way I see it is that you are either paying someone else a fortune, or paying yourself a fortune. So I pay 50k (some people have) for a seminar, and put that money into someone else’s pocket to fund their lifestyle, or I sell my IP for max price (what the market will pay) and get to keep the money…[Read more]

Glenetti,

You asked about the experience of PM’s. I see PM’s as like any other profession- sometimes people make mistakes. I imagine it’s a really hard profession- what if tenants don’t pay rent? It’s hard to get blood out of a stone. Sometimes tenants have been known to trash places. I don’t see this as the fault of PM’s- it is just events that…[Read more]

glenetti :o)

Don’t be intrigued by my simple way of doing the maths. I have avery simplistic approach to RE. Even using other people’s money- becomes *MY* burden- because I have to pay it back. Using a deposit – say from my equity- is still using *my* money, and I sill have to pay that back.

I know that no money down etc is a really fashionable…[Read more]