foundation wrote:
Option 1) I buy a $6k (just an example) tele today, but (thanks Harvey Norman!) still get to invest the money for 3 years: at the end of 3 years I'll have just the investment return and a tele worth $1.5k if I'm lucky.

Ahh see… there's the kicker – to you  having TV during that 3 years isn't worth anything.  To me that's 3 y…[Read more]

Yes I think you have it there – we obviously do think differently!  At home I have 42" pioneer plasma TV.  It's fantastic watching a good show or movie in full HD – a daily pleasure of life for me.  I don't own it, it's on 3 years interest free terms.  It'll be paid off comfortably before the 3 year period – hell I have the cash to pay it all off…[Read more]

F. – my next question is then, why participate in a property investing forum, when you are in essense idealogically opposed to the idea?  You say you don't advocate anything for others, I find that quite a comical statement given your quite prolific promotion of anti-debt theories here.  If you are trully happy with your own life and choices, I d…[Read more]

Heh, good to see this post again, a little trip down memory lane from last year!F – Every post I see from you just makes me more hungry to know, what strategy do you advocate to acheive financial freedom, and how is it going?In response to your Max & Penelope story, here's one of moosehead's.  Oops used his real name… doh.2003Age 23Income 50k p…[Read more]

Thanks for the replies guys, looks like I need to shop around a bit.

I think it's more like (to the vendor) "I have 80 bucks, will you loan me the other 20?  I'll pay the 20 back to you over x years at x.x interest rate, deal?"The main problem with this strategy is that it only works with vendors who aren't under pressure to sell.  If they were, they most likely need the money soon, and won't be interested in v…[Read more]

My advice would be – don’t read one book on property and adopt it as your bible. Positive cashflow is only one way to invest is property. After I read Steve’s book I was sold on the idea, but after doing some more research and reading, I believe investing for capital growth is where the real money is.

Check out Michael Yardney’s first book or…[Read more]

This is something I have wondered about myself also.  All well and good to say that you can keep buying properties and funding the shortfall with increasing equity, but what sort of loans are we talking here?  From my limited experience with banks, even with a high salary, they won't lend you much more than 600-700k total because of s…[Read more]

Great thread.This is something I think about just about every other day… and the main reason I am into property!A few days a week, I would get up at a reasonable hour and head over to my office and review my investments, look for new deals, basically keep my affairs in order.  It would be a small place, just with a assistant to take calls and…[Read more]

Thanks for the responses.I suppose it would be a lot simpler if I just wait to settle!:impatient:

Some interesting discussion here.If I may I would like to throw my hat into the ring.A couple of people have said that they don't think house prices will double within the next 7-10 years, as has been the trend over the last 25 years or so.  The argument given is that affordability will prevent prices from growing any further.I agree that…[Read more]

Hey Bruham,

Sorry if I came off a little strong, I guess I was venting a bit of transferred frustration built up from my encounters with the naysayers I have encountered since becoming a property investor

Didn’t realise you were only against borrowing against your own home. Not something I can really comment as I’m a renter (employer pays…[Read more]

Well thanks for economics lesson F but I do appreciate the cyclic nature of economies and the somewhat inevitable process of growth & contraction. But to go as far to say that all debt is bad and borrowing against property is stupid, is where I disagree.

Edit (in reply to your edit…)
With regards ownership. I’m no lawyer and have no…[Read more]

I have always believed that there is no such thing as GOOD DEBT.
All debt is bad. Yes you can work a rort on your tax return.

But over all, you would be better off collecting full rent from your rentals,paying no bank interest (Oh GOD! how wonderful). Then paying some taxation.

At least with our taxes they might do some one some good. Or build…[Read more]

I would advise against using cash to purchase the property if you are doing this for wealth creation.

Why? Real estate as an investment vehicle by itself is inferior to other vehicles (etc shares) over the long term. The only thing that makes it superior is the amount of leverage you can get on an RE investment.

If had 165k sitting around I…[Read more]

shake the disease – I wonder if your opinions are backed by your own research or if you are just joining in with the crowd who bash melbourne CBD investing?

My opinion is that it COULD be a VERY GOOD investment. Reasons being (these are my opinions only of course):

1. The demand is there. Look at the forecast building starts VS underlying…[Read more]

I’ve also just read Michael Yardney’s book, and found it excellent. He presents an alternative to Steve’s +CF strategy which anyone trying to find +CF IPs should read. Michael also goes into the economics of the property cycle which I found very enlightening.

Hi all… my first post after reading both steve’s books and michael’s in the last 3 weeks

Can anyone give a run down on the available off the shelf develoment calculators… features, cost etc?