The second meeting for the WAIP (West Australian’s Investing in Property) group is this Wednesday. We are very fortunate to have a member of the Property Wizards coming to present to us.

The last meeting was a great success. If there is anyone out there in PI.com. land that did not attend last meeting and would like to please…[Read more]

Good point Terryw, my friend has explored this avenue but unfortunately it is not feasible at this time. Thanks for your help and suggestions guys, much appreciated.

Thanks
krs

Good luck!

Kel

I presume from your comments that land tax is not only calculated on the amount of land one entity holds but the amount of different titles the entity posseses? Is this correct?

Cheers
Kel

Is the property in your personal name? Have you been the only resident at the location ? (i.e. you didn’t rent it out before you moved in) If the answer is yes to these qu’s then you shouldn’t pay CG tax. Your own home is CG free!!!![thumbsupanim]

Cheers
Kel

Where a company owns the same asset after the capital profit has been distributed to the shareholder, tax payable will be effectively 48.5 per cent.

I thought that when you bought and then sold a property in a company that the company while being liable for 100% of the CGT would only pay 30% flat tax rate?

So for example if I purchased…[Read more]

The cost of the “proper removal” will depend on where you live and sometimes how far you are away from an approved licensed holding facility.

Unfortunately you are absolutely right it is expensive. But the hassle and potential health effects/liability are probably worth spending the money. Some unaccredited removalists will dump…[Read more]

When you crunch your numbers/budget, I would advise you to always add 10% for undisclosed costs. If you are then still achieving +ve cash flow then I hope everything goes awesome for you!

Good luck

krs

Beth

Another creative way could be to put your house on the market at the end of the financial year and only sign the selling contract at the beginning of a new financial year. This way you do not have to declare this CGT until your next tax return (12 months away) and then, as already mentioned in previous posts, you don’t…[Read more]

I used RMG Accounting in Subiaco. Their details are on their website. Sorry, I don’t have them in front of me right now. They were really helpful in answering questions I had in relation to the family trust docs.

It’s odd your accountant won’t help. Any reason why? Maybe they are recommending you seek legal advice before…[Read more]

I agree with amerc79, if it’s working and you feel comfortable (and I suppose you are making money!) then go for it! Everyone’s different and only you can decide if the goal you have set yourself is right for you.

Good luck!
krs

In Perth subdividing costs are around 15-20K usually (this also normally includes the purchase of required fencing). In Perth watch out for public open space policies that normally lie buried deep in some councils planning policies. If you don’t account for it, it can increase your costs significantly and is proportional to the amount…[Read more]

Great post Dazz!!!!

I am employed as an Occupational Hygienist for a large Mining company in Western Australia (and no it doesn’t mean that I clean the toilets!!!! – I only say that because that is what my grandmother asked when I got my first job). I am sure you can imagine the look on my face after four years of University! Basically…[Read more]

the main draw back is that lenders who I have spoken to won’t give me a loan

Have you tried more than one lender? I have learnt in this game that it is important not to give up if a wall is in your way…there is probably always another way around that wall…… but you need to take action to ensure this. However, if you are maxed…[Read more]

Welcome to the forum! My first tip would be to look at the huge amount of information on this forum (if you have not already) to get some ideas about how others have been successful in property investing, a lot of us have had the same queries as you at one time or another!

My number one concern is CASH FLOW.
I want to spend a maximum…[Read more]

Cheers for the feedback…I obviously need to do some more research!

Good luck!
krs

I was talking to an experienced investor today who has used LOC’s in the past in their property investing.
Some of the information I got out of this person is outlined below.
1. Current interest rates are used and payable only if/when you draw on the loan.
2. There are no additional account keeping fees (but depends on who is the…[Read more]

wasn’t there a large exodus away from LOC? Reasons given are: higher costs, higher interest, possible lack of discipline would undo the benefits of the LOC? Are you now (or have you never gone away from) advocating LOCs?

Great question C@34!! I just applied for a loan as part of a contract of sale for a property but…[Read more]

Welcome to the forum!!! Do you mean the Swan Valley in Perth?

Cheers
krs

This seems weird to me, is the studio attached to the main house? Do they share common services (e.g. water, sewerage?) I presume they do if they are on the same block, but people rent out different rooms to individuals all the time!!

I would be talking to the council and get them to explain to you exactly why the contract is worded in…[Read more]

I would think that the “11 second solution” would apply anywhere. However be aware that a good understanding of what things like insurance, rates, water cost in the UK would help you make more of a conclusion. Possibly the cost of what is similar to Aussie’s strata fee would be something to watch out for seen a lot of UK houses have…[Read more]

rip offs in the industry are common place. if you don’t watch them, dont be surprised to find half the rubbish buried in the fron yard.

Ausprop has a point, be careful! One way that you can check whether they are “rip offs” is by asking the company to show you proof of their asbestos removalist license. In WA this is governed by…[Read more]

In answer to your question:
Is landlord insurance necessary? I assume this form of insurance cover is different from the normal home and contents insurance?

Some people don’t look at landlord’s insurance as a priority until they get their fingers burnt. I got my fingers burnt and for the extra few dollars a month that I now pay it…[Read more]

Thankyou so much for sharing your stories. I think there are two important messages that I can see so far. The first is that it is okay to take baby steps as long as you keep heading towards your goal, whether that be one IP address or thousands. And secondly, if the time is right trust yourself to take a leap of faith and see what…[Read more]

I also want to invest in fast growing area – either in blocks or in ready property. I need advise on both issues – how to go about it, best way to look, best areas for investment etc.

Try south of Perth – Mandurah, Singleton Beach, Rockingham for property in fast growing areas. If you do a search on Mandurah and/or Singleton Beach in the…[Read more]

It will WORK for other people! So work out if the shoe fits you personally and leave other people to make up their own minds!!!

While I admit I haven’t been a “valued” contributor to this forum (yet), I just want to put my two bobs worth in and say thankyou to Steve, (and forum contributors), for allowing us to have this oppurtunity…[Read more]

I hope you don’t mind but could you explain to me what “da cc” is please.
Apologies for my ignorance.

Thanks so much.
krs

I live in Mandurah and have had some success in property in the area (admittedly some of it was luck by getting in at the right time). While the area is now getting pricey it is amazing how much you can benefit by looking for a property that you can turn into positive cashflow (as Purplekiss suggested).
If you are thinking regional,…[Read more]

I too was a fellow participant today and totally agree with your forum post (both the fried brain and the inspired part!!). If there is anyone out there who is unsure about attending the masterclass…go for it, it was well worth it!

Can anyone point me in the right direction of an accountant who is knowledgeable about property…[Read more]