The Bank of Queensland would do 80% but there were some conditions – that was about three months ago. We didn’t quite have enough for 20% deposit at the time so didn’t pursue it any further. It was a real shame because the 9 units yielded about 14% gross and I was able to put $800 positive cash flow in the pocket a month.
No doc loans…[Read more]
I notice that settlement is not until October this year. That’s at least a six month contract. How were you able to negotiate such a long contract and why did you?
I understand that with more than 4 units financial institutions regard that as a commercial proposition and therefore will not lend finance in the form of an investment…[Read more]
I agree Robert. It does put a dint in the old Cash on cash return, initially. However, if one can find people who have most of the deposit when you buy, are prevented by banks from gaining finance, and are a good risk for you it may be good to do the deal.
Andrew, thanks for your post. Where was the Break Free Events seminar held and what was it about? I’ve had a look at the website you nominated. It looks good. Just waiting back on my email I sent her.
I haven’t wrapped yet, but am about to. My research located a practice direction under the hand of the Office of State Revenue, Qld. Govt. (www.osr.qld.gov.au). It related to the applicability of the FHOG and instalment contracts. It, essentially, states that the contract must have been on foot for a year; either $7,000 or 10% of the…[Read more]