Originally posted by mytch:
I’m 24 with 2 properties and a business than turns over 7 figures a year, so I’m close to my goal of retiring by 25. When you own a company you make 50 times what you’d make as an employee – dividends are what make a company owner wealthy.

What is the business? and where is…[Read more]

NUMBER 2

Cheers,
Marc.
erardent@hotmail.com

“we get sent lemons; it’s up to us to make lemonade”

Originally posted by daz61:
HI Everyone,
Today I went to an auction in my street,there was not 1 bid but someone had put an offer in subject to finance 465k after the auction. The home is 8 yr’s old 34 sq dbl storey,dble garage on 2300 sq mtrs Narre WarrenNth. I beleive If I spent 20 – 25k I could resell at 530 – 550k. Does this sound ok or not,…[Read more]

Yes, it is painfully slow in all changes of pages.

Cheers,
Marc.
erardent@hotmail.com

“we get sent lemons; it’s up to us to make lemonade”

Why don’t you look for an I.P that has a purchase price that will keep you under the LMI threshold, thus no LMI to pay?

Cheers,
Marc.
erardent@hotmail.com

“we get sent lemons; it’s up to us to make lemonade”

Traditionally, as a rule of thumb, most banks won’t let you borrow more than 35% of your gross wage for home loan repayments. However, I have heard of people borrowing much more than this cut-off figure in recent years, and it amazes me that lenders allow them to do it.

This figure is seen as the cut-off point for your lifestyle before it starts…[Read more]

This is a standard practice for real estate agents.

They send a letter to every house in selected streets asking if the owners are considering selling. It is slightly different to you as a private buyer, but similar and it works.

The conversion rate is low, but you only need one or two for it to be…[Read more]

Another option for you to think about –

Keep your PPoR , move out into a rental (we have done it with our PPoR after acquiring I.P’s) . This is something that many people struggle to do mentally – too big an emotional attachment to the PPoR. But if you can get past that you can accelerate your wealth creation a lot.

If you are able, rent a place…[Read more]

Originally posted by lisapearson:
Hi all, another newbie here. I’ve got a question for people that have bought in regional areas – did you go and inspect the property yourself and then decide to buy, or did you acheive confidence that it was a good buy some other way? I’ve seen all the discussions here and want to investigate the possibility some…[Read more]

If the presenter begins to tell you how to become a property investor for only $50 per week, and you can secure your future through property investment and negative gearing, then you know that they are there to try and sell you one of their properties that they are selling on behalf of a developer.

The big ‘property secret’ is that you don’t know…[Read more]

Settle down boys and girls.

One thing I noticed from the first post which may or may not have been highlighted in a private email to justme28:-

She talks about her partner’s $20k credit card debt being rolled into the L.O.C.

I am assuming it is personal debt, so because of that, I would say that if you are going to roll it into the new L.O.C or…[Read more]

Originally posted by Terryw:
Not from what I am seeing with valuations etc. One of my properties has just dropped 12% comparing a Jan 2007 valuation with Jan 2006.

Terryw
Discover Home Loans
Terry@discoverhomeloans.com.au
Send an email to get my newsletter.

How often do you have your properties revalued Terry, and what sort of cost is…[Read more]

“Also marc, are u doing acting in LA? just curious!”

No, WorldChanger – just acting the fool!

Actually, we are here for my wife to follow her dream of traveling as a nurse. She is doing a 2.5 year travel nurse contract, we have been in L.A for the first 18 months; one year to go! We are heading to the East Coast in June for the last 10 or so…[Read more]

Originally posted by Mal111:
We are looking at buying a place in Melbourne and were wondering if the vendor has access to the deposit paid by the purchaser, or whether it must pass a certain threshold first?
If it must be above a certain threshold, who has access to the account and interest?

Hi Mal,
I am from Melb and have experienced this, but…[Read more]

Originally posted by JaazOptm:
Hi Marc

I’m a newby so if what I say is incorrect or doesn’t make sense I hope u wouldn’t mind.

I’ve read Steve’s books very recently, and from what i gathered, his definition of positive cash flow properties sounds a lot like ur positively geared property definition, and what you call positive cash flow property…[Read more]

Pifalls:-
too many kiwis.
(just joking)

Cheers,
Marc.
erardent@hotmail.com

“we get sent lemons; it’s up to us to make lemonade”

Hi Bug,
I am living here at present – have been in L.A for 18 months, but have not done any investing while I’ve been here.

As a result, my knowledge of the finer aspects of the systems here is bugger-all, but I can tell you, as has Nigel, Derek and Chad, that there are many areas with pos cashflow, but you need to research your areas very, very…[Read more]

Originally posted by TapFam:
Goodonya LA Aussie. The picture is coming more into focus as the discussion expands. I’m hoping my lender will let me leverage to 90-95% without mortgage insurance. How many IPs should we have with the same lender???

Good question; we have all ours with the same lender (St.G), but I know that many people run out of…[Read more]

Hi S.M.T M,
don’t apologise for the long post – you should see some of mine! I’m the king of waffle.

Is this block for a PPoR or an I.P? This difference has a huge influence on your mentality for the deal.

If it’s for an I.P then let’s get one thing straight right now – you are an INVESTOR. You are buying with your head and your wallet – not…[Read more]

Good discussion there people. If I can add my 2c worth:-

I agree with Terry – selling your PPoR to free up equity doesn’t really improve your equity position much;
– selling costs eat into some of the profit; you can access almost the same amount of equity through refinancing.
– loss of future cap growth on the property if you sell.
– move out of…[Read more]