Thanks for your response, Terry. The properties are all in or around Adelaide. I'm not sure that same law applies in terms of stamp duty in South Australia, unless it's been court ordered, so I think he would need to pay stamp duty on the full purchase price.
Thank you all so much for your replies. We have discussed our situation at length, read through your opinions here, and discussed options with our accountant. I'm personally reluctant to pay out so much money to the govt and real estate agents in fees/charges. So here's what we came up with in the end:
1) move into the hubby's monster-overpriced…[Read more]
lea replied to the topic 6 Units on one title – no strata, country zoning… help in the forum Finance 16 years, 7 months ago
"Should be a walk in the park".
Yes. It should be. It's not.
"Done deals like this in the last fortnight"
Great. Good for you. I'm pleased you're so well-versed in these matters. I'm not here just to advertise myself like so many others seem to be. I'm here to learn as well. That's another reason why I asked the question.…[Read more]
lea replied to the topic Should I pay $3300 LOC App fee for 0.35% discount? in the forum Finance 16 years, 7 months ago
RateBusters is owned by the same owners as Assured Home Loans – based in Adelaide's north-western suburbs.They count on the fact that most people want to refinance (or sell) before the usual 4 years anyway, so you've not covered the exorbitant cost of the set up AND you cop a penalty for paying it out before their 5 years.Go and barter/negotiate…[Read more]
I wonder why Marc thought mine was a negative post? I aimed my post at providing the frustrated cynics something to perhaps turn their negative thoughts into something a little more positive and constructive.
I quote from my own post:
These are not ideal properties and I probably wouldn’t shop this way personally – but the question from the…[Read more]
To all those frustrated cynics who believe CF+ properties are impossible or too hard or can’t be done – there is no such thing as a magic button to press and BAM instant easy money. You really have to work out what’s important to you. It’s not impossible. It’s not even that hard. It just depends on what your mindset is like right now.
I don’t know if this tale will help your question or not – but here’s what happened to me.
I had my own properties before I got married. He had only one run-down thing that he lived in. We got married and built the ‘dream family home’. He promised right from day one that he was never interested in taking what was already mine before we even met.…[Read more]
Thanks everyone. You’re all great. I’m glad I asked on the forum rather than listen to my family.
I got the property I wanted. I paid $81,450.(gotta love those daggy Adelaide prices, huh?) The tenant signed a 12 month contract at $140 per week. Settlement is 31st May.
The rental agent provided me with a print out of the rental history…[Read more]
Originally posted by The Mortgage Adviser:
The idea behind interest only and using offset accounts to park anything above the interest expense is mainly to provide flexibility. The effect will be exactly the same as if you were paying principal and interest including the taxation benefits if you do not spend the money sitting in the offset…[Read more]
I read an investing book somewhere years ago (I think it might have been Anita Bell) and she suggested rewarding good tenants on a regular basis.
I started this a couple years ago and WOW!! It really works!
Basically, every Christmas, I take them all nice little baskets of goodies with a “Thank You” Card – not a christmas card. I thank them for…[Read more]
Thanks heaps everyone. The people around me are a mix of investors and non-investors. Everyone without exception is saying don’t do it. I have no idea why they’d be jealous of anything I do. I’m just a regular nobody.
So you guys are the only ones saying ‘go for it’. Thanks.
Originally posted by The Mortgage Adviser:
People are generally…[Read more]
It’s northern Adelaide metropolitan suburbs. Lending maximum is 90% there according to my bank, however, I only need to use 78% (I have deposit for remainder and fees)
I’ve been pre-approved for a mortgage for this intended place for a principal and interest loan with an interest rate of 6.62%
Thanks for the tip, though.
Hmmm… I’m still learning here, but these are some things I’ve done to get the rental incomes up in the past:
— built a pergola/outdoor entertaining area
— upgraded air conditioning unit
— replaced old carpets
— installed a dishwasher
— replaced tired old blinds
— re-planted easy-care conifers around perimeters where previously was lawns…[Read more]
Is there any way to can restructure your mortgages to suit your situation?
I recently got divorced and managed to keep only two of our rental properties (plus another one for me to live in). Because of my new single status, I restructured my mortgages to still be able to pay the principal down on each loan, but reduce the payments (and…[Read more]
Stuart Wemyss wrote:
I’m a bit confused.
You say “his income + rentals no longer services the full debt“.
Don’t you have a legal and ethical responsibility to ensure your client can afford the debt before helping him?
Yes, Stu. I do.
His 2002 financials show that his taxable income is not as high as his 2003 financials will be. As the…[Read more]
Originally posted by Terryw:
You’re not going to get too far with standard low docs. GE has a maximum lend or $800,000 per borrower and PMI $750,000 per borrower for total loans when using a low doc.
I’m in South Australia. GE and PMI have lower limits for us than for you guys in the eastern states. I’m maxed at $700,000 GE and $600,000 with…[Read more]
Thanks for the suggestion Nat. I’ve maxed out GE and PMI. I’ve also found two regular banks at 75% with no LMI. (ABL and ING)
I’ve used St George, but at a 65% LVR client is not thrilled. He wanted higher LVR’s.
I’ve got two non-conforming lenders thinking about it – but again, GE won’t play, coz of the MI already involved. Again, client is not…[Read more]
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