Forum Replies Created
Thank you for your thoughts everyone.
I have already spoken to ANZ on this as they are my current financier and the valuer there said his hands are tied as it is against bank policy.
I am only a little fish, so as yet they are not falling over themselves to help out.
Perhaps I have found a better deal now anyway.
regards
rav
HI,
Might be a little off the wall and depends on how much spare time you have.
But have you thought of approaching some local handyman/builders and offering some of your time in return for learning skills from them?
I have spoken to a couple in my area on this idea and they were happy enough to consider it. Though you need to be mindful of the risk you take in getting hurt while helping them.
cheers
rav
HiGuys,
V interesting to read people’s views, when they are not actually “Johnny on the spot”.
I moved to Mount Isa in Feb this year and even in that short time the market has lifted substantially. In the last 2 months or so, the market has slowed in that they are taking longer to sell and prices have leveled out.
Rents are high and getting higher,due to lack of available accomm. Especially for a nicely presented family type home. When I arrived we rented 4brm for $250pw. Any nicely presented landscaped place now would be pulling $280 to $350 pw on a new lease.
This could change late next year as the council has opened a new subdivision in Snob’s nob of 180 lots that should have some houses in place by Easter next year.
I’m dubious about the wisdom of this one. Some of us may have money, but that doesn’t necessarily mean we are prepared to pay coastal prices for a nice house in an inland mining town. These ones, won’t be going cheap. talk is $90 000 for a serviced building block, add a decent new home and see what else you can buy here for that money.
And yes there are some definite no go areas in this town!
The $100 000 av income? I wish!!! Yes if you work in the mine, then perhaps 70% of workers would be grossing $80 000+pa.
But remember that in a pop of over 20 000 only a small proportion of those are in the mine itself. There are also a lot of FIFO workers here on massive money, but they only spend that when they go home to Melb or whereever. We still have teachers, medical staff, and checkout chicks who need somewhere to live and their wage by comparison is pitiful.
Yes this town is in an economic boom, another company has taken over the mine and completely turned it around, as well as having the back up of a strong world metals market.
New businesses are opening up all around town and many of them are National Chain type stores that no doubt have done their research.
Myself, I would say that econmoncially the town will be strong for at least 6 years. Who will want to rent your IP beyond then, I wouldn’t want to guess.
At the end of the day, it is a one industry town, and it is subject to some huge cyclical depressions and highs.
hope this helps
rav
Hi Steve,
Just had a look at the page for investment detective. Unfortunately I could not get the video to run. Would be very keen to know more about the product.
By the way thanks for going to the effort of writing your books. They have provided me with some of the most applicable information on property investing I have found to date. Great Job.
cheers
heather
Hi Kiwi-Fulla
Can I have a little more info on the options idea please. This is something I have never heard of. How exactly does it work?
Cheers
Rav
Hi Jake,
Congrats on finding something many people believe no longer exists. Double check your rental estimates though, ask some other PMs and maybe ask for a rental history on the property.
And do a proper figures run including insurance, vacancies, rates, onging repairs, property management fees etc.
As to the First Home owner Grant, if you cannot prove the property is going to become your permanent place of residence (QLD minimum 6 months) then forget about accessing the grant for this one. Do a search on this site. there was a discussion somewhere that had the links to all the relevant state info on this.
As to the other questions you have I cannot help. Except to say, that perhaps you should check that the vendor will allow you to add that “and or nominee ” clause to the contract before going to the auction. I think vendors at auction have the ability to stipulate very strict terms and they might not allow the addition of that clause if you have not prearranged.
also I remember a little birdie telling me that you can be the winning bidder at an auction, but until you actually sign the paperwork, you are not obligated to follow through. might pay to double check on that one too with a solicitor, so you know exactly where you stand.
good luck
Hi Calvin,
Always nice to hear that someone else thinks an idea might have some merit. Unforunately, I can’t act on that one myself.
cheers
H
Hello All,
just read this post with interest. Personally I’m all for the laundromat, hands off approach.
But the thread bought to mind an idea I had when I first went to Maggie Island off Townsville.
Essentially, back packers are not all the get drunk fall down type, many just aren’t full on party people and then there are those that just want to take a bit of a break from the full on back pack experience every now and again. The island is the ideal place to have a little bit of a chill but as yet there is very little reasonable accommodation that allows you to have some quiet space free from the smell of last nights alcohol and what ever else.
Also you get a lot of Australian people, couples, familes, whatever that would like to overnight in clean simple affordable accommodation, so they can take their time to enjoy the island (one day is a little too short)
On the island we seem to have big packpacker party central places, flash new appartments, holiday home rentals (bit harder to access)
Longwinded I am, but essentially I think there is room on maggie for a backpacker retreat so to speak.
I guess it would be a lifestyle business tho. as the capital required to set it up would be significant, island prices being what they are.
idea is no good to me, so others are welcome
I’m with you brendan,
I could probably borrow for a $200 000 home here in Townsville without too much trouble.
But $36 000 is just too much risk. [blink] Go figure!!!
HiGuys,
I’m sitting here smiling for you all. Never mind the marriage bit. You’ve found love and you know it. That’s the biggie!!!
Congrats!!!
Thanks Oakley,
I am aware that my current employment history is borderline for most lenders. Am aiming to go permanent in the next two months.
Don’t want to wait though.
cheers
Hi Kerri,
4742 is postcode.
Should probably also say it will be a 20% deposit + closing. Although I would love to be able to get away with a smaller deposit.
Heather
Hi Investron,
I just had a quick peek at your profile and you live in one of the few places of QLD that doesn’t suffer badly from those peculiarities.
I’m in Townsville and those one liners are pretty spot on!!!
I’m going to move to the Atherton area in the next 5 years. It’s all part of the plan.[cheesy]
Hi Ty,
Have a bit more of a look around these forum boards.
There was a recent topic on the first home owner grant. The crux of which is that you can own property as an investor and so long as you don’t live in it, you are still eligible for the FHOG at a later date (assuming you meet all the other criteria). The links to the relevant government websites were in the thread somewhere. Won’t be too hard to find if you run a search on FHOG.
I got tripped on this one. could have been playing the game a little earlier [biggrin]
Also one on coping with a uninterested/uncertain partner file path below.
https://www.propertyinvesting.com/forum/topic/14918.htmlIn another Tassie thread I mentioned that the longford meatworks has/is going through expansion phase and wondered what impact that will have on Greenhams at smithton. Maybe something to consider as well. (Before I left there were articles in the Tas Country saying that the state could only support one ab).
I’m not trying to talk you out of it. I would go for it myself. Just throwing things out there.
cheers
heather
Hello Ty,
I would say go for it. Essentially you are getting into property at pre boom prices.
But be business like about it. Just because you get along well with your brother doesn’t mean you shouldn’t set the deal up properly.
You say the house should bring in $120/week. Have you really looked into this? Consider what sort of tennant will your property suit and are there many of them around?
If you two of you are too busy, who is going to manage the property in the case of vacancies, bad tennants etc?
Have an AGREED exit strategy. If it doesn’t turn out as you both planned. How do you dissolve the partnership?
These are just some of the things I think you should have a pretty good handle on before you go into this.
cheers
Hi Guys,
I would say “proceed with CAUTION”. Do your research very carefully and have some serious worst case scenarios to work off.
I moved there from Queensland in July 2002. Things were just starting to warm up property wise, then I got to see the train leave the station without me too. (quite painful, as I was not in the position to buy anything).
My biggest concern is ongoing industry/employment to back up your investment. Yes Tassie is going ahead Tourism wise and agriculturally. But I expect growth in other business is slow (compared to other states). Tassie is one of the lowest paying states in Aus, wage wise, and neither growth in Agriculture or tourism is likely to change that as they are not high payers either.
As to the West Coast, it is a quiet, sleepy wet little place a long way from everywhere else. Alot more tourism traffic going that way though and will continue to do so. So maybe somewhere like Strahn (spell check) which is remote enough to be forced to be self sufficient (hard to commute) and is becoming a more major stepping off point for tourist activities.
Be very aware that tourism is very seasonal, though more and more are braving it in winter in the name of beauty.
The other towns I that area, I couldn’t say.
Wynyard on the north coast, is a stunning place, especially Table Cape. The growth in property prices there has been astounding due to people moving there for lifestyle (mostly retirement/semi retirement).
I lived in Longford outside Launceston and worked at the local export meatworks. Employs around 300+ people (pretty big for Tassie). they have just put their new EBA to bed late last year and are in a major expansion phase. Time will tell if the state can supply enough cattle to make the expansion worth while.
Two points here.
1. I believe the meatworks will prop up the rental market in longford longer term.Mind though that these people do not earn big money and also that plenty of people do commute to longford. To give you an idea, they were coming from Campbelltown to the south and Beauty point up the Tamar river and Westbury to the west.
2. If the expansion of the meatworks in longford is successful. It will put extreme pressure on the meatworks at Smithton, in the north west. which may affect property you buy in that direction.
In general I would be concerned that the lower end of the market is overvalued (from all those mainland investors. Oh the frustration I felt !!![bawl])
A friend recently sold a rental property for $3000 less than he paid for it. (not a happy boy). But that may be an indication of what is going on.
I am also concerned about the number of interstate people moving there. For me, Winter 1, I coped, Winter 2, I didn’t notice, Winter 3 I couldn’t face up to and left. How many others will be like me and what effect will that have on the market too?
Anyway, all this is just my opinion, and I don’t have an IP yet. I love Tassie. But please do your RESEARCH.
GOOD LUCK
Hi Robert,
I am another newbie and this talk of interest only loans has me curious, as I alway thought that they were difficult to access.
Generally speaking who is eligible for an interest only loan?
Do you have to have equity in an existing property to leverage off?
Is an offset account a regular feature of an interest only loan these days?
Are there restrictions on property locations that are suitable. ie are IO loans not an option in truly regional areas?
Anyone else with experience in this please chip in.
cheers
heather