IT depesn on the contact….no real standard contract- but normally for a NSW 2005 COS is on the page where u sign- page 6-7 roughly

Regards
Michael

LVR = Loan to value ratio.
Ie $100,000 for land purchase, and make say max LVR of 60% — means the max loan ratio is $60,000.

Yes kit home is easier- as it’s consider more of a standard build VS a shed.

Regards
Michael

Hi,

Hate to be the bearer of bad news but i promise you there is a solution

1. Hopetoun is what LMI and lenders consider as Cat 4 (red Zone) area; meaning it’s high risk…so your lVR needs to be under 80%
2. Hopetoun is also a rural area with Population under 10,000 – so LVR needs to be under 70%
3. Vacant land only is not the preferred way a…[Read more]

Info on where to buy? — > it be the same if your a O/S investor or not…makes no difference there, if you make money it doesn’t make a big difference who the client is. Money is money

Info on IF O/S investors are allowed to buy or not – > http://www.firb.gov.au/content/default.asp ( VERY IMPORTANT!)

I do a lot of O/s Investors transaction,…[Read more]

In any industry this day and age- the internet has became a dominate part of doing business- even my Local milk bar store has a online purchase system now 0.o

It’s simple as a Phone call/skype/facetime an a few emails an your done.

Phone call to understand your requirements
Email to collect your payslips, and bank statement etc…

Regards
Michael

Not sure…but yes def a lot of international buyers.

Regards
Michael

I have a lot of client in the past who has bought in Modbury Heights as a investment…but in last 2 years it has slowed down a lot…i dont live there but here are the numbers.

2001- 13% growth
2002- 14%
2003- 20%
2004- 15%
2005- 5%
2006-5%
2007- 17%
2008-2009- 2% growth only
2010-2011- 3% DROP

So as you can see the area has gone through some…[Read more]

is he buying cash? or borrow (mortgage)?

Regards
Michael

shoooshoo wrote:
hi Josh, thanks for your comments.  I saw both my third party broker and bank manager. interesting, thanks guys. Michael your number 5 point: …rather then the "current SVR + 2%= 9%"… SVR is that the servicecibility + 2% interest rate rise?

The way the bank see if you can afford the loan is to calculable it based on SVR (…[Read more]

Just cos the bank says you can’t afford serviceability doesn’t mean it’s true….only you know if you are struggling financially.
Don’t let a bank’s decision decide what and how you can buy….

Simple way of increasing serviceability without changing jobs/ increase income.

Top 5:

1. Reduce credit card limits ( and another debt)
2. Shop around…[Read more]

What makes sense and to us may not apply to your directly. Every situation is slighty different- Ie if i bought the place and my mum (who gave me the $$$) will be complaining everyday and hate me for it; then i will not go ahead with the purchase even if it makes financial sense.- To me Family first money last….there are more then 1 Strategy to…[Read more]

Simple- you just tell them you dont want to Cross…it’s your choice- if they can cross it means you have enough equity in the properties…so you can simply

1. Cash out the “Equity” and use this as the deposit for the purchase – make sure it’s a split loan with a separate offset account.

So you simply let St George bank know you dont want to…[Read more]

I personally always buy my own.

Cheaper and you can choose the quality your after + you keep the left over paint.

Regards
Michael

From a investors point of view- you first need to look at the basic numbers how each one affects you:

1. how much do you make?
2. How much tax do you pay and what will the affect on the tax be on buy 1 or 2 etc…
3. Are you and YOUR FAMILY willing to accept the possible change in lifestyle?
4. Your age? are you nearing retirement ?
5. Short and…[Read more]

your young and got time on you hand…but the house and land….the unit would not give you a good return in term of capital growth generally speaking.

Land all the way! a great foundation property, my first investment was a place with land—and it has paid off 7 years later; all my Ip now usese this foundation property as it’s “base” for equity…[Read more]

It’s a US deal.

Do you know why you got so many enquires? have you gotten a copy of your credit report before ( everyone is entitled to a free copy of their credit file once per year)

Also some smaller lenders will give out credit card for free if your a mortgage holder- simply ask and see if they have one or not.

Regards
Michael

HI,

Firstly no lenders will not consider this as favourable sale…and will organise their own valuation OR use the sale contract price–which ever is lower…

secondly why consider low doc when you can go full doc?? unless u want to declare a higher income or your income from 2009-2010 has a massive change.

With 2 years ABN that’s enough for a…[Read more]

Reading the post agian:

“I have a home that I own, I want to borrow against this house and turn it into an investment. The money that was borrowed would then be used to partially fund another property which would then become my PPOR”

It sounds like he got a PPOR that has no loan- but this will be rented out (no loan so no interest to deduct)…[Read more]

Matt- House unencumbered or not makes no difference in tax deduction..

Copy and paste from another post:

Interest is deductible to the extent to which it is incurred in gaining or producing assessable income or in carrying on a business for that purpose and is not of a capital nature ITAA97 s 8-1.

Interest on borrowed moneys may be deductible…[Read more]