[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 11:22 am

SteveMcKnight wrote:

Cheers Glen.

I must say I'm hooked on the rewards myself!

If you go into your profile you can see how close you are to achieving your next 'level'.

We need to outline the missions and badges, and it is on the development list.

Let me know of any changes you would like to see done if the design. For instance, I don't like the chunky sub menus off the top menu.

The development team have done a fine job though. Brent, David, Joe et al… well done!

– Steve 

Just doing a test with the quote function.

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 11:20 am

JacM wrote:

If you quote someone in your post, your comment goes immediately under the original post that you quoted.  This means it doesn't appear at the end of the thread where new comments would be anticipated.  Not sure if this is good or bad, just unexpected.

Doing a test to see!

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 11:05 am

Hi,

Equity is the difference between a property's value and the debt owing on it.

Equity can be created by two factors:

1. Increase in value (with debt not rising by more); and / or

2. A decrease in debt (without property values falling by more)

Subject to you being able to prove you can afford the loan, most lenders will be willing to allow you to access up to 80% of any available equity.

In your case though, it seems you have been 'qualified' for 100% of the purchase price. This means that you wouldn't need to tap any equity to pay for the purchase price, but you might to pay for the related purchase costs (stamp duty, etc). Otherwise you will need to pay those costs using cash.

The question that is not clear from your post is whether you qualify for the 100% loan based on your current income, or whether the lender wants the additional security of the investment property too.

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 10:40 am

Hi,

If you are interested in developing then Troy's information can be a great help.

It's hands on, practical and well worth it.

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 10:38 am

Hi,

I'm not sure of specific areas or streets, but a free tool you can use to gather info on sales for the area is the past history of sold properties on realestate.com.au

You can look at them on this map.

An assumption would be that higher sales prices equate to better areas. Also look at the current properties for lease for ideas about vacancy and rental values.

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 10:32 am

No, but it is on the way! It's one of the wish list items.

We also want a standard way of displaying forum signatures.

And there is a stack of other ideas on the list.

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 9:57 am

Thanks for the great ideas RyanJD.

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 9:35 am

Thanks for the comments so far. Don’t be afraid to put in your wish list either because it will be easier to include them as we make the changes for the current roll out.

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 7:05 am

Cheers Glen.

I must say I'm hooked on the rewards myself!

If you go into your profile you can see how close you are to achieving your next 'level'.

We need to outline the missions and badges, and it is on the development list.

Let me know of any changes you would like to see done if the design. For instance, I don't like the chunky sub menus off the top menu.

The development team have done a fine job though. Brent, David, Joe et al… well done!

– Steve 

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 7:02 am

Hi,

First of all, well done on completing your pre-purchase due diligence.

Now that something has been flagged, the next step is to weigh up its significance. In this case, given that it relates to the title and may impact potential use, I would rate it as worthy enough to get some formal legal help.

I suggest you make a preliminary phone call with a local conveyancer or solicitor and then see what they recommend.

You could also call the titles office and ask them what it means, and whether they can provide you with some literature about notes on title.

Hope this helps,

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 6:40 am

Hi Anne-Marie,

I would get the get the plans and permits prepared and lodged as soon as possible because it can take quite some time to get approval. 

As you do your due diligence, be sure to ask the local council how long you have (once the plans are approved) before you have to start building.

That way you can add value before committing, and have potentially some years up your sleeve before you have to decide whether to build or not.

For instance, you may have as long as three years after plans are approved before you need to start construction (or the permit lapses). Every area is different though so do your homework.

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 5:58 am

Hey Connor,

Welcome to the forums and thanks for making your post.

A little tip… you'll get more replies if you write shorter posts 

Geez, your accountant wasn't much help, was he?

I think you are on the right track weighing up your options. The investing mantra is: make the most money, in the quickest time, for the least effort.

You also need to consider the opportunity cost. In this case it is the interest you could save if you sold and paid down debt.

My gut feeling is that, given the market is flat, value adding is probably quite risky. What will bring the market back to life? When might that happen?

Before you do anything though, you need to sort out the key emotional issue: are you ready to sell (given the family history)?

Finally, bear in mind it takes many months for a subdivision to be finalised, so it might be smart to get that underway soon if you want to pursue that option.

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 5:25 am

Hi,

There are a number of options. Lots of organisations run 'free' seminars, but these are usually fronts to sell property.

Other organisations, including PropertyInvesting.com, offer paid seminars that cover a variety of topics.

Then you can acquire books and how-to products (which might be recordings of seminars) that you can study at home.

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

August 5, 2012 - 5:21 am

Hi,

I think the process is three- fold:

First is identifying the product you desire. This means you need to scope out the size, layout, position, construction material, etc.

Second is the cost. No doubt there will be various options, and it is up to you to decide which is best for form (value) and function (use and quality). 

Third, you need to work through the investing mechanics behind the additional growth and income returns that you expect from the granny flat.

Income

What is the ROI on the spend? For example, you are going to spend $80k for how much extra gross rent? If it's (say) $200 per week, then the ROI is $10,400 / $80,000 = 13%. That's pretty good, even if you are financing it at 6% or so.

Growth

How much extra value are you adding to the property given the $80k (or whatever) spend? Some imputed value comes from the higher rent, but what about the capital improved value. Just be careful here as the property might actually  be worth less if your target sales market doesn't want it.

For instance, if you add a granny flat (and lose the yard), then you are pretty much saying you want to sell to an investor (for return) or to someone who want a granny flat (teenagers, granny, etc).

Food for thought…

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

December 14, 2011 - 11:02 am

Hi Brendon,

You could do this, but just be aware of the following issues:

a) I'm assuming that you would be borrowing in AUS and AUD?
b) I'm also assuming you would be using the rent in the US to repay your AUD loan?

If that's the case I'm a little worried you may be hit with transaction fees bringing the money back every month, plus maybe at the mercy of changes in the exchange rate.

You'd also want to make a decent margin on the personal loan interest rate vs. net rent return to make it worth your while.

Still, it's the sort of thing I would have done to get started. Just keep your head and don't bite off more than you can chew.

Cheers,

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

December 14, 2011 - 10:58 am

Hi there,

Here's a couple of suggestions:

1. Play Monopoly and Kiyosaki's Cashflow games. Play for fun, but also look at various strategies.

2. Attend property networking events. Check out http://www.propertymeeting.com.au to see if there is one near you.

3. Try to make my next live get together in March next year, if you can.

In regards to a strategy, I still believe starting cheap and learning with a regional positive cashflow deal is smart. You may not make a lot of money, but you will learn a bundle.

Good on you for trying!

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

November 1, 2011 - 3:34 am

Down she goes… 25 basis points.

“Over the past year, the Board has maintained a mildly restrictive stance of monetary policy, in view of its concerns about inflation. With overall growth moderate, inflation now likely to be close to target and confidence subdued outside the resources sector, the Board concluded that a more neutral stance of monetary policy would now be consistent with achieving sustainable growth and 2–3 per cent inflation over time.”

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

November 1, 2011 - 2:48 am

Gee whiz, no one wants to be controversial?

I guess I can delete this post if I’m wrong!

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

November 1, 2011 - 2:21 am

Hi,

The fund concept is moving ahead. At the moment I am sorting out the ASIC licensing requirements.

Stay tuned though as hopefully this will be sorted soon, at which point I’ll move on to preparing the Product Disclosure Statement.

If you’re coming to the market updates then you’ll find out a little more information. Otherwise I will make an announcement to the database when I have more details.

Cheers,

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently

[Steve McKnightKeymaster@stevemcknightJoin Date: 2001Post Count: 1,763]

October 30, 2011 - 10:54 pm

Hi,

I’m pleased to announce that the course I have been working on for 3 years now is complete!

We are calling it our ‘Property Apprenticeship’. It is the first course in Australia dedicated for property investors where those who successfully complete it will receive a Certificate IV in Business!

I will be providing more information about the course at the next round of market updates before releasing it to the database shortly thereafter.

So, stay tuned… more information will be coming soon.

Cheers,

– Steve

Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.com

Success comes from doing things differently