I keep hearing this "rich people are selling…" claim.  Can you tell me what substantiates it as fact?  What are they selling?  Is there really a conclusive movement to sell amongst the most well off people?  Or are just some of them selling?  Are some buying?  What are they buying?   See, I see rich peoples real estate on the market (ie top end…[Read more]

Richard and Terry,This is what I was sort of getting at, though I  thought you might be able to explain a little better than me about how this can help achieve the positive cash flow goal better than paying all those extra payments off the actual loan.  I'm aware of the theory but haven't used the I/O structure myself yet, so didn't want to give t…[Read more]

You have a bit of land for  sale in Townsville, don't you?  Where is this one?S

no, not yet.  But we had some fencing that was made out of asbestos sheets.  Gave me the willies!!S

I shy away from such developments in the Townsville CBD when the retail heart there is dead, the best shopping is in the suburban shopping centres, and the hospital is a fair hike from the CBD.  I'd be more interested if you said Douglas or Aitkenvale.S

Building equity by repaying debt quickly is, I think, always a smart move.  However, it won't necessarily result in positive cash flow all on its own.  You should talk to a finance broker about your plan, and get some advice on the best way to accomplish what you have outlined.good lucks

MMmm.  Personally, I think lying to the banks is pretty dangerous.  Your lender is using their own formula to work out how much they think you can afford to repay.  Are you better at working out what you can afford to repay than they are?  There are lots of ways to get more money than the bank wants to give you, but when the bank starts saying NO,…[Read more]

Try David Koch's website, somewhere on Yahoo7.  He has a heap of info for small business there.  I've never really used websites re business, though as I have a fair bit of training and experience myself.  The ATO has some useful pages explaining your obligations under GST, Pay as you go withholding and superannuation law.  If you  buy a busi…[Read more]

Don't either of you go thinking you can plan the kids thing quite like clockwork!  Kids are great, I absolutely agree that it is best if you don't have to go back to work full time when they are babies.  We've been very lucky in that regard.  But when child no 1 is 2 or 3 years old, you may be thinking about child no 2. and so it goes.  Make the…[Read more]

BTW – I love business.  If you've got a good idea, do alot of research, build a business  plan and get some good quality professional advice.  Think about market timing for that too – just as important as for real estate.  My husband and I have our own business and a young family, and it all works really well.s

pagey23 wrote:
things are yet to bottom here, but with jobs losses I can see some desperate sellers in the next year or so.

Here is your answer.  You see, your fear was not just being a big wuss, it was your education kicking in.  Good on you.S

Interesting.  We haven't deliberately changed our friends, but we have noticed that success has changed our friends.  I've noticed that we are closest with those friends who also have their own businesses, and who are pretty savvy financially.  And friends who have not had their own success (with one notable exception), have disappeared from our…[Read more]

Hi Nic and welcome,Market conditions are somewhat dependent upon where you are.  Personally, I'd wait a little longer, keep watching and pay off as much of your PPOR as you can.  The market bottom will come at a different time in different places, and for different classes of real estate within the same area.  It is pretty hard to pick when it is…[Read more]

Fair enough!We have a young bloke who sort of works for us sometimes.  He's not even 20, drives an old Landcruiser ute.  Just bought a brand spanking new 5.5 metre plate boat.  He lives 500km from the ocean.  Boat would have cost over $30K. My sister, mid 20's.  Earning 98K, single, no kids, share appartment in Melbourne.  Wastes all her money…[Read more]

Thanks for that Scott.  I'll have to find out if similar legislation applies in QLD ( I can only assume it does).  I wonder at what point it become necessary to comply with such legislation?  My idea is to provide something that really targets that market and meets their needs, but I may not choose to rent to the over 55's solely.  Perhaps I'd lik…[Read more]

Yeah, he's got me thinking how I could carve out a similar opportunity for myself.  But then, success doesn't necessarily come from copying other people.

My Dad gave me some great advice when I was choosing a degree and a university.  He said to choose something that broadens my options.  I ended up studying a B Com at USQ via correspondence, maj accounting, and left early with an Assoc Deg in Commerce.  The course covered a wide range of subjects, and as a business owner I use that broad in…[Read more]

It has been said in t he past that with a rapidly growing retired population, who are living longer and have different needs, requirements and wants than  traditional retirees, there exists enormous potential for people who are able to think outside of the box in terms of property solutions that cater to this market.  While I'm not interested in n…[Read more]

Welcome Clint,Congratulations on your success. S

Jason, This is a very wide question, and you have provided very little information about yourself so it is hard to answer what is the best thing for you.  Opinion on P&I and IO loans varies.  Many investors prefer IO because it gives them greater flexibility from a cashflow perspective.  Some people prefer actually paying stuff off.  There are a f…[Read more]