My dad is looking to terminate his agreement with his rental manager so he can self manage the property.

I know he needs to give notice as per his contract with the rental manger (30 days).

My question is around getting the tenants to pay him rent

Should he
A) Get the tenants to pay him rent immediately and then simply pay the…[Read more]

My dad wants to get rid of his rental manager so he can manage the property himself.

The tenant signed a 12 month lease about 2 months ago.

How much notice does he need to give the real estate and will he need to draw up a lease with the tenant?

Is there anything else he needs to be aware of?

Thanks

Ryan

She should continue doing covers on Youtube.

There is a guy called only1noah and he simply did that.

Recently he did an Indiegogo campaign and raised almost $40,000 in funding from his fans to make an album
http://www.indiegogo.com/projects/join-the-noahnation-and-help-finish-my-first-worldwide-release

ps. ellisekibel.com is…[Read more]

Any sales/commission based industry is difficult to crack. I know it's difficult not to focus on the dollars when going into self employment because we all have to live. However, being driven by money can set you up for failure. If you're passionate, genuinely enjoy what you do and you're good at it – then the money will…[Read more]

I'll be sure to come along some time in the new year

It's a really good idea to speak with your accountant about this.
He'll probably advise you to borrow the money for the build because:
1. The interest is tax deductible
2. The valuation will be less than the cash you'll spend.

It's often better (for tax purposes) to let both dwellings out but you will be up for CGT…[Read more]

I see and hear every day of the week clients who say i need to buy 20 properties to be comfortable yet if they had 6 all paid off (after the accumulation phase) they would be in a far better net position. 

Number of properties are all well and good but if they are highly geared means nothing.

Cheers

Yours in…[Read more]

I like to keep this Properties after developed and also want to know how its look like this Development journey. LOL

MI

Why development in the first place?

Why not buy more investment properties rather than develop?

Is the return on development really going to be that good for you?

Well down jac and Richard and happy birthday my Richard, but your glad the power come back on to celebrate. 

I am so going to…[Read more]

Ryan, 

I just saw a documentary on Bitcoin on Bloomberg, You are right. You have to download every single transaction to buy or transact a bitcoin. 

Excellent piece of information. I think bitcoin is not for me. 

Thank you. 

Bitcoin is a decentralised currency. Meaning you don't have to go through a bank or organisation to…[Read more]

I have heard speculation that they will. But as always nothing is fact until it actually happens.

I'm sure so many things could happen in the economy that would affect it.

I would also like to ask the same question as Hari?

I have heard others say that they are expecting rates to go down again as well. Do you think this is true?

Ramki couple of suburbs i don't mind but a couple I would avoid like the plague.

Too right. Should have checked the article date before posting.

Here is a more recent…[Read more]

Basically you CANNOT secure traditional lending on an uninhabitable house. You would either need to borrow equity against another property or gain a construction loan which means you would need to provide detailed costings and plans…[Read more]

  The part that I don't get is this – WHY does a 50% deposit offer much more incentive to a seller (or RE agent) to offer a 10% discount.  My thoughts are "I can see value in a 100% cash offer – it can be a VERY short settlement, leaving the seller to "move on" quickly.   

But WHY is a 50% cash deposit much better than the…[Read more]

Perhaps I am labouring under a delusion, but isn't a seller only entitled to something like 5% or 10% if I were to default – or is it the WHOLE deposit (as I think you are indicating)?.   I've never come across this, as I have never put more than 10% down. 

Anyway, if the seller is allowed to keep all of a deposit, that pretty…[Read more]

http://www.apimagazine.com.au/blog/2011/08/brisbane-is-it-time-to-catch-a-blue-chip-bargain-before-a-boom/

A) Now I know that land appreciates but as I am investing with between 200-300K,

I was looking at getting another unit in a small older block within a 25km radius if Melbourne's cbd.

C) My strategy is to buy units in good growth areas, whilst negatively gearing them, look for capital growth in all of them and accumulate…[Read more]

   Personally I like to stick within 20Kms CBD and to find a positive cash flow property is impossible within this range.

I don't like to invest my money in outer range suburbs as their are some issues regarding capital growth,  tenants and too much land available. If you can find a positive cash flow property around CBD…[Read more]

A question for you Terry:

What happens if the husband is living in Brisbane but the wife is living in Sydney. Assuming both properties were jointly owned (in both their names) would they be able to claim PPOR for both properties (as technically it is their…[Read more]

Then remove the extra toilet from the bathroom and put in a shower in it's place so you have a free standing shower and free standing bathroom.

Then you have the benefit that at least the toilet is separate from the bathroom. Meaning a woman can do her make up while her man…[Read more]

You will also need to source a construction loan if you will be building a property. Different from a tradition home loan so you will need to…[Read more]

Generally speaking most accountants (of which I am NOT one) saying that interest only loans with offset accounts are a great way to go.

Being interest only it minimises your expenses, giving you more cash flow to continue investing. It also…[Read more]

There is a company called "Positive Real Estate" they offer a mentorship program (expensive…aka thousands of dollars to join) but they run free investor nights and will often take you out for a free coffee to discuss your investment plans.

Obivously they are going to try and sell you on their service, but there is no such thing as a…[Read more]

For those who can't be bothered clicking the above link here is what it says

Overland flow flooding

Overland flow is excess rainfall runoff from homes, driveways and other surfaces.   Overland flow flooding is water that runs across the land after rain, either before it enters a creek or stream, after a creek or…[Read more]

This has happened because you have crossed the properties as security for the loans. ie cross collateralised.

Not much you can do now.
But, if there has been no CG in 10 years wouldn't you be better off selling the other unit as well?

Terry is right. By having your loan both with the same bank you have got yourself in a…[Read more]

Consider 95% loans – Stretch your deposit further by purchasing more properties with the one investment. You will likely have to pay Lender's Mortgage Insurance but it will possibly mean you can buy more properties sooner.

Get a good mortgage broker (who is also an investor) – A good broker will not only help you find…[Read more]

Defining short/mid/long is good but defining them as 1 year, 5 years, 10 years, 20 years goals is better.

Also be more specific

Year 1 – Buy one property in the range of $200,000-$300,000 that delivered $400-$600/week in rental income. I want to buy a property that is…[Read more]

I just want to say that 5 properties is a good goal. But a better goal is to understand why you want those 5 properties and what your short, mid and long term goals are.

Just "buying 5 properties" won't make you financially free just as "starting 5 businesses" isn't a guaranteed way to be financially successful.

Know exactly what you…[Read more]

Didn't realise that desktop valuations were only done on sub 80% loans.

It makes sense though. When there isn't as much risk for the banks why would they pay more for a full valuation when history has probably proven they don't really need to.

And when the loan is over 90% they are taking much more…[Read more]

Is a second toilet really a selling point for a 1 bedroom unit? I highly doubt it.

But it you only have the one bathroom with a single toilet and it's a 5 bedroom house then it may make sense to keen the separate toilet.

It is all about making the most of the space you have. If people won't need a second…[Read more]

Yesterday Bitcoin HALVED in value due to the fact that China put major restrictions on the purchase and exchange of bit coins using Chinese currency.

It is a very speculative market. Many are calling it a bubble like the internet bubble of 1999

Also to do a transaction you are required to download the log of every single…[Read more]

I thought you do't get control over who the valuer is anyway? It is up to the bank to choose their own valuer

This means they won't drive by or even visit the property. There is enough recent sales data to value it using only the internet.

You can find previous sales prices through a property like Real…[Read more]

I actually personally know some of the people who work for Positive Real Estate so let me indulge you a little bit.

Firstly – The company is legit. I have found the smaller real estate mentors and sales people to sometimes be cowboys taking loads of commissions and leaving the investor no growth in the property (one of my friends got…[Read more]

Go to the body corporate meetings and find out exactly what the strata is so high. Is it going into a sinking fund? Is it paying repairs or maintenance?

Before you buy a unit you are actually entitled to see the minutes of the body corporate (for the last 2…[Read more]

Come to think of it I don't think I have ever seen an incorrect comment from Terry

If the company is paying sales people to sell this to you the chances are that they have already taken all of the cream off the deal for themselves. Meaning its probably too good to be true.

I have seen many people…[Read more]

It would be hard to offer a standard vendor this "renovation JV" and have them say yes.

You would need to be able to prove your track record of success and make the deal very beneficial for them.

I am assuming…[Read more]

Are people living that far out of Perth doing so because they want houses or do they want to live in units so they can be close to the beach?

Before asking "Is this…[Read more]

Some things I am considering:

– With all the new properties going in to house the athlete will this create a over-supply?
– Is surfer's still oversupplied and does that or will that affect southport?
– What areas will increase in value due to access to new…[Read more]

This is because a lot of things are depreciated at different rates.

For example, floorboards are going to depreciate slower than a whitegood like a dishwasher or a fabric like curtains (they get dirty quickly!).

Depcreciation is generally…[Read more]

What you pay depends on

1. What percentage of time it was an investment
2. What tax bracket you are in.

So if (as Terry said) you profit $34k after associated costs then you next need to…[Read more]

You could potentially use the profit from the sale of the land to buy another property (as long as it doesn't devalue your existing property as there will be less land).

That way you could avoid all the construction costs and…[Read more]

There are so many things you can do to get started

– Read property magazines
– Read property books
– Save your deposit
– Visit a mortgage broker to find out how much you can borrow
– Visit open for inspections to get a feel for property investing
– Join a mastermind or visit a…[Read more]

Some reasons for high cost:

– High costs in transportation of materials
– Labour more expensive as less people willing to work out there
– Higher margins…they can charge it because there is no one else
– Subcontractors – Harder to get…[Read more]

The fact that it has hit the mainstream potentially means that the rich people have already made their money in it.

Bit coin is a very interested currency and hard to predict what global demand for it will be unless you know a lot about it.

Truthfully, if you want to learn about Bitcoin in…[Read more]

I have a podcast called Positive CashFlow Australia. There is about 15 mp3's up there now (ranging from 5-20 minutes) but the idea is that every single blog post we create will also be turned into a YouTube video AND a podcast.

just search for "positive cashflow Australia" in iTunes.

there is also "CashFlow…[Read more]