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  • Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    August 18, 2025 - 1:29 pm

    Thanks for replying Steve :)

    We are actually trying to sell another asset right now to see us to the finish line, had our first open on Saturday which was the worst first open I’ve had in almost 30 years in property :(

    If we do manage to sell, the incoming cash would likely be just enough to both hold and complete a secondary subdivision, but after grinding on the initial subdivision for the past two years and at the point of having to eat 2 min noodles for the next few months, I think I need a bit of time to breathe. We are completely tapped out on serviceability even though we have an LVR of around 33% across our properties.`

    I’m hearing you on the ‘simplify and exit’ and have started looking back into selling the 1800m2 shed to clear the block and make it more saleable and attract the right type of buyer. We have rejected quite a few buyers due to them wanting to establish a commercial operation within the shed which doesn’t suit the zoning, nor all the neighbours, us included! No point in us solving our short term money problem to create a much bigger life problem.

    Thanks again for your input.

    Keira :)

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    January 27, 2025 - 1:47 pm

    Hi Benny,

    Thought you’d enjoy this update…. Our tenant has given notice to break her lease. It’s realistically the best outcome for us, no loss of rent, no having to be out of pocket for a letting fee and her having to repair the damage she’s caused. Only issue is, that we still can’t increase rent without going through QCAT for an official application… what a waste of everyone’s time. I’m strongly considering short term rental options now. A smaller studio nicely fitted out but further away from the beach is leasing for $250/night midweek and $300+ a night on the weekend with a minimum 2 night stay, that exceeds our current rent of $425 with just two nights. Of course cleaning and such has to be taken into account…. but they wonder why there’s a rental shortage and they leave us almost no choice but to remove our property from the long term rental pool!!!

    Thank you for all your comments and suggestions. I’m a very ‘out of the box’ thinker so have considered all the options and then some. Really trying very hard to hold onto this property for the potential CG once the CBD is completed, it’s why I bought where I did in the first place… but it is getting very hard to manage!!! Fingers crossed for a rate cut sometime soon!!! Cheers :D

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    January 11, 2025 - 10:53 am

    Hi Benny,

    Thank you for weighing in and understanding my pain!!! Sometimes it just helps for people to ‘get it’.

    We’re on the Sunny Coast which has also gone through the roof as you’d be aware. We bought a small beach shack within 1km of both the beach and the new CBD as a buy and hold but worked out a way to have two tenancies in the property (which originally would be positively geared) whilst keeping the house to a single dwelling standard. Due to our set up, we pay a portion of electricity and all of the water.

    One tenant is approved for one cat and herself. Prior to xmas during an authorised repair, we also found 3 dogs and a boyfriend. Our water useage has doubled through 2024 and the electricty useage has increased over 50%. I chose not to breach her so close to xmas as it felt cruel but notified our PM to have the discussion when they were also fully back on deck. During a routine inspection this week, the PM also found the extra dogs and immediately breached her. Our other tenant has also complained about the boyfriend being there all the time. So that’s the increase in wear & tear and outgoing expenses! I wrote to her yesterday explaining that when we were notified of market rent in June 2024 it took into consideration that she was a single person and a good tenant so we chose to keep her rent as low as possible despite needing the funds for our own increasing liabilites. That I would have considered adding pets and a person to the lease prior to the renewal where I could have allowed for the additional expenses. Of course she chose not to absorb any of that information and instead hurled abuse back in the form of threats to go to council, calling us greedy and dodgy. It’s so disheartening when we always do right by our tenants and fix things immediately and have only raised the rent by $5 in two years.

    So she ended up sending 4 emails back yesterday, and by the 3rd and 4th she was begging for us to put her on a modified lease for the market value amount which includes two dogs. As you suggest, I think the RTA / QCAT is the only way to get formal approval to make this happen. But what a collosal waste of everyone’s time for two agreeing parties. But if we don’t go through the RTA & QCAT for approval, then at any point she could say we forced the outcome and we could get fined. There seems to be zero space for situations like this, it’s absolutely insane!! I also do not want to keep her there at the current rent with the additions.

    Our land tax has also gone up from $2600 in 2023 to $4000 in early 2024 to $6210 due now. Three bills in under 18 months and upon taking this up with state revenue their response was, ‘we can bill whenever we want’. More ludicrousy from government!

    It’s like they want to rid QLD of investors, they’re making it so bloody hard when all we are trying to do is secure our future retirement and not rely on government funds. And to make it worse, due to thinking this property was going to be +geared, we put it in a trust and can’t get a single benefit from the property being well and truly in a negative space. Really trying to hold on until after the CBD is built though.

    Thanks again for your reply :)

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    November 7, 2022 - 12:16 pm

    Hi Steve!

    Thank you for taking the time to write a reply :) I actually thought as much, but wanted to throw it out there just in case someone had a ‘creative’ work around!

    It still stacks up for us even with having to pay full weight on SD due to what we plan on doing with it… but it would be nice if we could keep that extra $20k – $50k in our pockets of course. We still need to convince the owner to sell it to us prior to him trying to have it rezoned, that’s the hardest part! He’s owned it since the 80s and has already relocated interstate so there’s still a chance ;)

    Thanks again,

    Keira & Keith

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    November 19, 2020 - 3:08 pm

    Hi, I’d prefer pick up at this stage as we’re packing to move, but if it doesn’t go, I’ll see what it would cost to post for you. Cheers.

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    September 17, 2015 - 12:34 am

    Hi Roach,

    I’m slightly seasoned in Australia, have traveled to USA with Steve McKnight and have my super invested in his USA fund and have just gotten back from NZ where I have now made two formal offers. My hubby is from NZ and we are looking at buying in his home town, which is a uni town with very low vacancy rates and still the opportunity for good returns with positive cashflow. We have mainly done buy reno sell in Australia and 1 duplex development but whilst the market was moving, we couldn’t make the numbers work here (little did we know!) and now we DEFINITELY can’t make the numbers work for a reno or development and we are a bit hesitant to invest in such a crazy hot Sydney market. So we started looking at NZ as a viable option and it’s stacking up for us so far.

    I started looking in our target area before we traveled over (for a family gathering) and then did several inspections whilst we were over there. I then managed to find an Aussie Mortgage Broker who is also licensed in NZ to start working on the finances for me. The big 3 banks here Westpac, ANZ and CBA all operate in NZ (CBA = ASB in NZ) but all have different lending criteria. Westpac will take 100% of your income into account, ANZ takes 80% of your gross income into account and ASB only takes 80% of your net income into account for serviceability. So we were advised to open up a Westpac account whilst there which we did! Westpac will also pay up to $2000 of your legal fees which is amazing!

    NZ is not that different to Australia and I love that it’s just a 3 hour plane trip (for me) away. The pros – No stamp duty, no land tax, no capital gains tax and positive cashflow in good strong towns is still achievable. The Cons – I’m finding the rates to be quite high, especially on multi-unit sites and a lot of the properties are around 100 years old. Agents fees are also around the 10% mark for an all inclusive service and insurance is up there too, but it’s still doable. Since the Christchurch earthquakes, there are also issues with insurance. If a house is pre-40’s, it has to be re-wired, re-piled and re-gibbed to be insured. There is definitely a very different standard of living over there but as Steve always said, we don’t have to live there!

    We missed out on the first offer we put in (2 houses on one block) but we were quite happy that we did. It made us realise what we really wanted to focus on and now we are targeting a very specific type of property. We put in a formal offer today which we have been told is tentatively accepted and if it goes through next week, we are buying at an 11% return already. We plan on tidying them up to increase the rent return and to keep them low maintenance.

    My husband and I have always done buy – add value – sell. This is the first time we are properly venturing into the buy & hold market and I’m really excited about it. We will still have the funds to do something here if the market settles but in the meantime, we want our money to be working for us somewhere and NZ is a no-brainer for us right now :)

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    July 29, 2015 - 7:52 am

    Hi,do you still have this? Could you please sent me details.

    Thank you

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    May 19, 2008 - 10:43 am

    WOW, i went to Steve's last seminar and not even HE, a proven, respected, self made property mogul, would dare suggest that anything is so absolute and definite!!! Scamp, are you as qualified as him to be giving advice??? Otherwise i'm guessing that yourself and a few others on here have managed to aquire magical crystal balls somewhere and in that case, i'd really like one too!!!

    I think it is great to have an opinion but really, if everything in life were that easy to predict, we would all be filthy rich! I personally, am going to keep myself educated and informed and react accordingly to the market when the market changes, not to the latest blast of opinions or headlines. To me, this is not behaving like an 'idiot' (as some on this thread would like to put it) to me, this is behaving like a professional investor. Each to their own i guess!  

    Oh, and scamp… if there is an oversupply of property can you explain why, (in Sydney at least) we have the lowest vacancy rate ever, rental increases of 20-40% in one hit are not uncommon (yep, i have experience there!), 50-100 prospective tenants are lining up for every rental open home and renters are bidding UP, yes UP, the rental price??? Oversupply…. WHERE?!!

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    April 15, 2008 - 4:25 am

    Hi Budgy,

    I was at Melbourne too, it was a great weekend wasn't it! To answer your question, you can do quick reno's in an apartment block if the numbers add up but there are a couple of things you need to be mindful of….
    You need to check your strata bi-laws and make sure you renovate within them. For example, some units don't allow top floor apartments to have floor boards due to the noise. Also, you only own the space inside the unit so if you want to put downlights into ceiling space or even run new plumbing into 'common' space like the ceiliing void, you need full permission from the strata. Some things need a full vote, other smaller things only require an answer from the executive committee. As it is only a small block, their are less people to contend with which is always good. However if its only small and minor changes, you shouldn't have any trouble at all.

    I did my first 2 renos in units in sydney and thanks to them, am now onto my first house. Just make sure the numbers add up and remember to include strata fees as part of your holding costs. Hope this has helped a little. Good luck :)

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    March 9, 2008 - 8:57 am

    i have so much to learn :) and stamp duty…. arrggghhh!!!

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    March 9, 2008 - 8:53 am

    Looks fantastic, well done!!! Would love to see some b4 pics, do you have any?

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    March 8, 2008 - 12:48 pm

    Anrobel, i recently discussed this with my broker and he said as long as you have a 2nd property to secure the LOC against then it isn't a problem. Haven't had first hand experience myself though so i'm not 100% sure of the finer details. Definately worth a shot though :D

    Profile photo of FireflyFirefly
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    @kiz
    Join Date: 2004
    Post Count: 30
    March 8, 2008 - 12:38 pm

    What an AMAZING opportunity! Have you considered signing contracts yourselves at the 600k asking price and then onselling it for 800k within the settlement period? Have the 2 settlement days on the SAME date and you effectively have a "NOTHING DOWN DEAL". If you are concerned at all about the 'buyer' committing, give yourselves an OUT clause in the contract. Have a cooling off period and if you can't secure your 'buyer' within that time, simply exit from the contract. It seems too easy, am i missing something???!!! But seriously, if this is a 100% genuine situation, take the bull by the horns, a hefty profit awaits! Please let us know how you go, it would be great to know that those deals still exist, even if it is just because of 'who you know'! Good luck

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    March 8, 2008 - 12:25 pm

    P.S If you have a BUNNINGS in your area, they conduct DIY workshops for free on the weekends for everything from tiling to decking and pergolas. Great start for anyone new to DIY and even better when its free!

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    March 8, 2008 - 12:24 pm

    Hi again! James007 i'm in Sydney and use laws auctions at whetherill park for my tiles and vanities. Ebay has been great lately too for shower screens and fittings. $10,000 is not a HUGE amount for a bathroom but you can definately do it cheaper. Plumbing was my biggest cost on the 2nd job as i had to move a lot of the pipework. Nami is correct, the less you move the less it will cost as the rest is just cosmetic. Nami, its not that hard to demolish a bathroom at all. Just be very careful of plumbing pipes and electrical wires when removing the tiles with any type of machinery. I'm an average 30yo female and i have completely stripped 2 now, screed and all!!!  The only thing i needed help with was the very heavy cast iron bathtub but other than that, i did the lot myself. Also make sure you wear a good dust mask, gloves and goggles. Respraying the bath can be a good alternative too as it means even less plumbing. But be aware that to spray still costs around $500 so make sure you get a certificate of warranty as i have friends who have had a bad experience with it. Basically, if you shop around, the fittings and fixtures will be the cheapest part of the fit-out and the trades will be the most expensive. I'm just about to do my 3rd reno and this time im redo-ing one bathroom then completely building a new 2nd one so that should be interesting! In the meantime, if anyone wants b4 and afters of my 2 previous bathrooms for an idea of cost and quality, PM me and i'll be happy to send you some pics :)

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    March 8, 2008 - 11:58 am

    I have been refunded on my last 2 loans. The first loan i settled in 8 months and received about 50% back and the second loan i settled after 17months and still got around 40% back. (The second cheque came from gemworth) Both of these refunds though i owe to my fantastic mortgage broker who applied for them on my behalf. I'm sure if that wasn't done i would not have received anything. (Thank you to Mick Harms at Wizard in Randwick!) As far as i understand, every company has a different policy as to when and how much they refund, if any at all. My broker was saying that some institutions are stopping refunds altogether, pretty bad when they are not the ones who fund it in the first place! My advice though, look into it for yourself, put the pressure on and you may just get a large surprise cheque in the mail rather than the never ending bills!

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    February 18, 2008 - 12:36 am

    "do unto those as you would have done to yourself"

    Linar, it seems you are going to do this as if the shoe was on the other foot you would cop the mistake. HOWEVER, why wait until settlement for them to find out? If you want to be completely fair about the situation, why not point the amount out to them and tell them that is what you are going to be paying??? Then you haven't been sneeky or in any way dishonest by withholding information they may not be aware of. Wouldn't you feel better doing that? That way there are no surprises and misconceptions come settlement day and you give them a chance to voice their concerns, if any.

    That is simply the way i would do it and i WOULD be prepared to pay the agreed price. I also believe in what goes around comes around. Ripping someone off to the tune of $20k just because there was a 'clerical' error is neither ethical or moral in my books and i personally wouldn't want to do it regardless of their status as a developer. They are still people at the end of the business chain and it is impossible for you to know their financial and personal situation, don't always assume that it is a small amount to them that wont effect their livelihood. Food for thought?

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    February 12, 2008 - 7:34 am

    thanks for the replies, i thought that was the case, it may be different in the USA :( not easy to make money in this country without the government taking a massive chunk of it…. still, will not give up :D

    Profile photo of FireflyFirefly
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    @kiz
    Join Date: 2004
    Post Count: 30
    January 31, 2008 - 11:42 pm

    Me on the other hand, i have my cash in a high interest 6.7% on call account. Am keeping an eye on things and if a bargain comes up the interest rates wont stop me from buying. Am doing the conference in April and then the mentoring program so am kind of holding my breath until then. To be honest, i'm a bit unsure of exactly what i should be doing! kInd of scared really!

    Profile photo of FireflyFirefly
    Participant
    @kiz
    Join Date: 2004
    Post Count: 30
    January 5, 2008 - 7:26 am

     Hi Chook,

    I have just learnt from my mistake… i just renovated a property which i had tenanted for 12months before moving into it. I lived in it as my PPOR whilst i renovated and thought that i would not have to pay any CGT… but alas, i was wrong!

    If you plan on turning it over quickly, it needs to be your PPOR from the day of settlement which means either living in it or having it vacant whilst doing work but NOT having tenants. If you put tenants in first you still get a CGT discount, for every day it was tenanted and you match that period of time living in it you get a pro-rata discount… for eg…. My place was tenanted for 12 months. I then lived in it for 6 and on-sold it. I get 50% CGT discount for holding it 12 months then i get another 50% off that because i lived in it for 50% of the length of time it was tenanted. I hope this hasn't confused you but i was unaware of this rule until the visit to my accountant. To be 100% sure of all taxes you would have to pay i would strongly advise that you tell your accountant what you plan on doing so they can fill you in, after all, its their bread and butter! Hope this helps :)

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