Explosions? Good area?

Contact a financial planner/advisor (possibly through your insurer) to advise on how to continue your income – options include putting some of your insurance payout back into super (you will only need to wait 9 years to access it and its earnings tax-free – i'd suggest an industry fund as they have the lowest fees – see super ratings), managed…[Read more]

I just use my sharp financial calculator – otherwise google is your friend.

I saw a commercial property the other day leased for a 7.5% net return. It looked great until you realise that the rent paid is unsustainable – they were paying 20-30% above Sydney Industrial prices for B grade property for a D Grade industrial building near God only knows (probably 60% above comparables).

There is usually a 5 day cooling off period to allow you to undertake your investigations/arrange finance etc – if you pull out during this period you will only lose a small % of the purchase price – I have had sales fall over during this period (pest/building inspection, finance woes, any excuse). This doesn't apply when buying at auction (or…[Read more]

Assuming that they are your plans & specs ie not 3 different project homes (ref Mackar), then it may come down to which builder & subbies 'need' the job more. Margins do change if you need work at a particular time eg quiet period and you are looking for continuity for your trades.Quality is a big issue – need to ensure that you are getting what…[Read more]

JL, an old acquaintance of mine bought up quite a few houses in a reasonable mining area years ago. The theory is that miners/mining companies will pay rent but they will not buy in an area. Thus there is always good demand for rental properties & good cashflow.

You may have an issue in transferring more than $450k (over 3 years) into a smsf unless you already have that much in another superfund. An accountant should be able to help you sort out the right structures for your goals.

For information on Australian Housing Affordability see: Housing Occupancy and Costs, Australia, 2005-06 (cat no. 4130.0.55.001)  http://www.abs.gov.au/ausstats/abs@.nsf/viewcontent?readform&view=productsbytitle&action=expandwithindex&Num=8&

A very long and interesting thread elsewhere on housing affordability: http://forums.ski.com.au/forums/ubbthreads.php?ubb=showflat&Number=255705&page=1&fpart=1Arguments from many different viewpoints (this is not a link to a property investment website just to a lifestyle)

To answer your last question first – use a single director company eg yourself or spouse/parent.Property valuation should be provided by a registered valuer – member of Australian Property Institute MAPI (VAL) & registered with Dept of Fair Trading/VCAT etc, a real estate agent is not generally qualified to provided a valuation (only a market…[Read more]

Must be a few real roughies out there to turn 33% on total investment, it is more like making 33% (or more) on what you put in ie deposit + cost of works.ie Cost: $200k, dep $40k, works $30k : you might sell at $250-260k – what idiot would pay $300k+? Developers profit on a complete package is even tight at 25% which is down on numbers we used to use.

I actually 'speak' to my MA. Discuss next lease renewal, strategy, works, condition, increase & inspections. She emails the inspection 2 times per year, sometimes I attend as well. All of the agents that I have dealt with undertake their obligations at least annually – what do we pay them for otherwise?

It's research material & either part of your libary or directly tax deductible. It costs $275, get over it.BTW you are entitled to copy 10% of a document for reseach purposes anyway but not 10% x 10.

Is there an administrator appointed? If there is, you may be lucky that the aministrator takes on the responsibility for the payment of rent until they vacate/another tenant is found (this will work for commercial, don't know how you will fare on a resi).

The licensing requirement under the dept of fair trading is that they must undertake an inspection upon commencement of the management agreement then annually. Even from a tenant's point of view you could take them to task over this.

Depending upon how much it is worth you may be able to relodge an amended return. If you don't it is lost as it was incurred in 05/6

You may need to check into this but I would suggest get the development approvals etc to maximise the value of the property, then get the place valued by a valuer (instructions that the building is to be valued as a development site with DA/CC in place) – this will maximise your cgt free portion (ppor). Then transfer the property to a new entity…[Read more]

If you have any back up of your instruction to the agent (ie email) advise them that you are giving them a monthls any you will also be taking them to dept of fair trading. If the agent is incompetent, then give them a real shake up. I have found that many country agents were reasonable however they aren't quite as driven as those in the major…[Read more]

Views do command a premium – I'd agree. I found a place a number of years ago which was located opposite DOH, near a fuel refinery & a little away from a medium security housing devt (gaol).The redeeming factors were: Sydney City skyline & water views, close to ferry & transport arteries, views of Homebush Olympics site (pre-2000) , closure & g…[Read more]