Hi Wisepearl. Constructing a basement adds a lot of unknowns. If you are dealing with a high water table and neighbouring buildings being close by, then you might need an expensive watertight basement wall. Even if you don't have a high water table, then you will need some kind of temporarary and then permanant basement wall.I can't really comment…[Read more]

Why would your company want to own a residential investment property? Is residential investment property a part of the business?I would probably se up a seperate company and trust to purchase properties in if I were in your shoes, so if your existying company went bust there would be some level of protection for the property.And also, why do you…[Read more]

tonyc00 wrote:
Hi What are the downfalls for a 90 day settlement? By co-incidence I'm in a similar position – I've made the 0.25% deposit on Monday, to be followed by a 10% next week, and the vendor has requested settlement is mid May.I see an upside in that the property is slightly negative geared therefore I get any capital growth between now…[Read more]

Kent Cliffe wrote:
Geographic supply constraints similar to Sydney. http://www.planning.wa.gov.au/dop_pub_pdf/mrs100_2007-Nov-29.pdf* look at the hills to the east.

Hi Kent- Interesting post but one thing I do not agree with you on is the geographical constraints of Perth. While Perth has hills to the east, I dont think the constraints are…[Read more]

You would need to get council approval which would mean satisying the BCA. If you give the local council a call or drop in and see the twon planner I think they would be able to help. You would probably need to get plans drawn up and submit them for approval.Some of the things you would/might need to satisfy arE:-Building setbacks-Ventialtion-Fire…[Read more]

If you give them a call I wopuld think they would quote.Cheers,Luke

Hi- Stacey Surveying would be the guys to call then, they sound like they really know what they are talking about when it comes to subdivicions. Just so you know, I do not know they guy but I am on these forums all of the time so I have read quite a few of Ashleys posts.Cheers,Luke

rbugno wrote:
Hi Anandd,I'm interested in finding out the numbers in your project.  How much will it cost & what rental can you get?  How will it reduce your mortgage and by how much?  I have a property coach from RESULTS Mentoring and that's what i reckon you need before you get an architect!  A coach can help you research the numbers to make…[Read more]

I havn't read the enture thread because it is so long, but will read the rest this afternoon at some stage. I just would like to point out that anyone who bought a ouse in Perth in 2003 and 2004 at leat doubled their money due to general increases in property prices in Perth. I do not want to offend anyone, but lots of people who do not know the…[Read more]

I have read a few good books:-Trust Majog by Dale Gatherum-Goss-How to Legally Reduce your Tax by Ed Chan & Tony Melvin-Family Trusts by Nick Renton-What every Property Investor Needs to Know About Finance Tax and the Law by Micahel YardneyThese books are quite good and cover lots of things. The questions you asked relate to the fundamental…[Read more]

Hi,If you are working in Port Healand and you are smart with your money, you will be able to save some serious money in a relatively short amount of time. If I were you I would be saving everything I can and waiting for a year or two, reading lots of books and talking to people who invest in property (people who ACTUALLY invest in property i.e.…[Read more]

Paullie wrote:
Accountant told me losses can be carried forward indefinately.

You should consider how much your wife is going to earn when she returns to work, and when in the financial year she intends to return to work. If you incur for example a $5k loss on the property for the next 3 years before she returns to work, then from what I…[Read more]

I am not a valuer or finance professional, but:-If they are on the same title, the valuer would have to value the units as one. If the units can only be sold in one line, then they would have to be valued in one line-If one side of the duplex is in terrible condition, then the vlue would be brought down by that unit as they are being valued in one…[Read more]

The value would cetainly be lower for a dual accupancy compared to a subdivided block, even if the second dwelling you built is exactly the same in both cases. It is easier to sell two houses on seperate titles compared to two houses on the same title. I would also factor in the flexibility that you would have with the sub-divided option- you…[Read more]

boney bream wrote:
Thanks for the advice!!I read on here once that gifts to the tennants are tax deductible?  I did give my tenants a bottle of bubbly and a carton, as they have done some great things to the place, do I just keep the receipt for tax purposes?

Hmmm, interesing. I suppose that you technically should be able to, but it might be…[Read more]

Paullie wrote:
You would need50k for deposit15k for costs5-20k for small reno80k cash would be about right.

Must have posted at the same time!I would allow an additional $3250 for holding costs (based on a 2 month reno, plus one month to have the place rented out at the end of it, and a $200 000 loan at 6.5% interest) and an additional $10 000…[Read more]

I would think that if you wanted to borrow 80% of the value, then you would need:20% Deposit- $50 000Stamp Duty- $7000 approx (depending on your state, you would need to check this)Conveyancing, Pest and Building Inspection etc- $1000 – $2000Renovation- It depends on what you want to do, and how much work you would do yourself. Could be as low as…[Read more]

I would suggest that if you have no experience with structural renovations or domestic construction, then renovating a fire damaged property maight be a bit ambitious. Even if you get a builder to do the work for you, how do you know that they are doing it right? Or that you are getting a reasonable quote? I don't know the guy but from what I…[Read more]

I have called mine 100A, keeping the front house as 100. Seems to work ok, no confusion from anyone.Cheers,Luke

Correct me if I am wrong- I don't think you can technically claim the any expenses incurred in getting a newly purchased property ready for rental. So if you purchased a property, then did maintenance (i.e. painting, fixing gutters etc) prior to having it available for lease, then these expenses would be added to teh cost base and not able to be…[Read more]