Loser > Loser > Loser > Loser > Loser

I hope that as an investor, you have more confidence in your transactions that you do in judging the market!!!

There’s one in every crowd, and it is usually that one, who knows the least, yet manages to speak the loudest!!!

Jo

Thanks Sizzling_duck,

I guess if he could read english he might. I daresay I am safe on that note.

Jo

Hi Westan,

Glad to see you held up okay against my outrage…I didn’t mean to lash out at you the way I did, but I do get quite agitated over “one-eyed” views, and I assumed that that was what you were doing.

As I said when I sent you the PM, I do admire what you have achieved; I don’t necessarily agree with every aspect of how you have done…[Read more]

Just a quick update on my last post…..

Although I had decided not to purchase, the neighbour had (as stated in my original post) “cornered me” (literally) into thinking about buying his house. He said he wanted to save himself the commission and do ME a favour. So I came home, thought about it, posted the question….

Only to find out this…[Read more]

Hi Smenkhare,

Another point to consider, is that many fibro homes were constructed by Ministry of Housing because of the cheap cost of materials. It may be that these homes are ex-housing commission homes or may still be so, and if they still are, their re-sale value will not increase too much over the years.

Look into it closely first, and if…[Read more]

Thank you all again, for your inspiring comments.

I have, as a result of reading same, re-considered the venture. I didn’t go back for a second look at all, but rang the local council instead to enquire about re-development options.

While the prospects were favourable, the sums didn’t add up. Basically, to pay so much for a property, only to…[Read more]

Originally posted by westan:
i feel that the question comes from a faulty view of buying cash positive properties.
When you buy cash positive why not buy cash positive that will appreciate in value. That is what i do and advise other to do also. i see this types of deals every day.
Here is another question what if the market dropped 10% which…[Read more]

Originally posted by Lucifer_au:

Because without debt instruments I wouldn’t control a portfolio of this size, without debt. Yes credit is dangerous when used unwisely, but in the end I wouldn’t be where I am today without it.

I know what you meant, I guess I thought you were arguing that it was a good thing. I know now, that that is not what…[Read more]

Thanks for the reponses everyone.

I will be going to take a second look at the property tomorrow. It’s a lovely house, in fact, probably too nice to consider pulling down in later years. Had it been an older home, I may not have had my doubts, but it is in such good condition that it would be a huge waste. I paid $212 for mine almost 2 years…[Read more]

Karina,

Whatever you decide to do; remember that if this property is not your PPOR, and you sell before you have owned it 12 months (not a day less), you will be liable for 100% Capital Gains Tax.

Jo

You’re a wise woman Kay,

Caution is a good thing, and I am glad to hear that you pulled out before you got yourself into any situation that was not positive for you.

I guess what I am asking is …. would you rather spend 80K with a 10% return (minimal CG) or 160K with only a 5% return AND a 7% CG rate expectancy.

At the end of the day, it is a…[Read more]

Hi McWong,

These areas, as with most Melbourne metropolitan areas are all experiencing slight price reductions, and I would imagine this to continue well into the end of the year.

Check out websites such as http://www.realestate.com.au and http://www.property.com.au, whereby you can look at the suburb snapshots to see how these (and other areas) are…[Read more]

Lucifer_au,

Excuse my ignorance here, but are you saying then, that in the name of healthy economic growth, people should continue to spend BIG, even beyond their means, just so that we can all benefit from them putting themselves deeper into the poo poos????

Haven’t your heard, the average credit card debt alone in this country is enough to…[Read more]

Hi Alandon21452,

I am correct in thinking you are living in the house in question at the moment?????????

If so, you are not going to be subject to any CGT and the person who advised you to sell it to yourself/put it in a trust is a moron !!!!

Jo

Hi Bid,

Girlfriend I hear you loud and clear on this one….I am having to cough up a 77K CGT bill, and it hurts!!![crying][crying].

However, as your income tax bracket is lower than that of hubby’s may I suggest, that any money made from the sale is put into an account in your name as you will pay a lesser rate of tax on the interest earnt on…[Read more]

Hi Krazystyler,

I remember some time ago when your first posted this date, I said I would love to attend….I now realise that it is Mother’s Day. And as a “mother” my kids have decided to take me out for the day!! [inlove]

So sadly I must decline, but I look forward to the next one, please keep me posted.

Regards,

Jo

Wallflower,

I agree with Mortgagehunter, maybe you could look to a third lender that meets all the criteria you are seeking.

My concern is that to save yourself 1% you are willing to access loans from both banks (which is fine, but…) you are doubling your establishment fees and other bank charges, which may in fact negate any saving.

Jo

Harrow,

Sorry about the delay, just to jump of PC last night otherwise would have replied earlier.

As I said that is a huge debt to start off with (not even taking into account the extra 5 properties, thus totalling 2.5 mill), however, if that is what you are comfortable with then who am I to judge?

I can’t help feeling that you overlooking…[Read more]

Originally posted by kay henry:
I am not hugely phased by any of the taxation or IR rate changes we all have to face. It’s just all part of the landscape of being an investor.

Having said that- who only owes 100k? If you imagine a 1% IR increase (we’ve just had that) and your mortgage is 300k, then that’s $60 a week rise in repayments. It does…[Read more]

Yes I understand the lenders concern with rural areas (I personally agree, although some in here would not, and that’s cool…each to his/her own).

7 x 170 = 1.190 million debt
7 x 200 = 1.4 million debt

Wow, that is quite a hefty sum to owe, straight off the bat, and in consolidation with another person. I am a bit uneasy with partnerships,…[Read more]