[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

March 20, 2008 - 2:40 am

latest news !
found a really good mortgage broker through a selling agent
,after three hours at the bank trying to get the deal right ,
and only limited success and vague promises ……..he was able to make it happen  WITH THE SAME BANK !
armed with this we asked for a 5% deposit  on the day of auction
 'no definately not, i will ask the auctioneer,yes no problem but every one else will be offered that term  '
found ourselves bidding against a developer who had a cut off point
and won the property
same neighbour hood  better block
excellent chance for history repeating in a few years
nice result

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

March 15, 2008 - 1:51 pm

i was at a property seminar that got hijacked by a guest speaker
…. who in the course of his discussion on how to buy a million properties on your credit card using shares
was asked about land tax
his response was pretty dismissive ,but contained an element that interested me
oh you never buy them ALL in your name !
you allocate 99% of the property in your name and 1% to some one else like a daughter
and the next one is 99% you and 1% your mum
etc so the one ENTITY never goes over the threshold

most of what he had to say failed my scam detector and i walked away from the event feeling cheated….
except that one sentance
which i would do a bit of looking into….
perhaps a trust would be a more legitimate entity
but it does add an incentive if the government is going to take the money anyway

miss the coffee in leichhardt !
not the rent

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

March 15, 2008 - 1:10 pm

just re read that and what i am really trying to say is (in my recent experiences )
they will deduct a monthly payment that services the maximum amount of the loan
even if you have not drawn it down…..
ring first and brace yerself for the explanation…….
cheers

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

March 15, 2008 - 1:04 pm

ring your bank and check first  !
i have deposited lump sums twice to find that…. i no longer had access to the money ( first time )
which was a major hassle to undo
and more recently despite my broker saying different  putting 30 grand into a loan account ( i o like yours )
did not reduce my monthly repayments ( and will not ,so why did i split my loan in the first place ? )
went to bank and it seems there are really a lot of conditions
and my dream of parking the odd lump sum until it is big enough to use as a deposit is a rare one……..
good luck !

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

February 28, 2008 - 9:09 am

what rmitchell said

if you are even remotely self employed,or have a second job, or an abn no
have a look at leasing , the depreciation is worked into your monthly payment and can be (in my case anyway ) 100% tax deductable

my observations are a used car usually requires a deposit ( like 1/3 ) where as a new car only needs your first months payment
sadly the bank dont see my 4×4 as a money making opportunity and factor it into my borrowing limit…..
after the last lease ran out i was able to sell the ute and apply the money to our next house AND buy a brand new ute for the same monthly payment (nice!)
orrrr

buy a cheap rocket stick a $200 stereo in it and four new tyres and be happy
only a fool would finance something that GOES DOWN in value
WITH THEIR OWN MONEY

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

February 28, 2008 - 8:45 am

yeah ! it must go hard with age !
thought i was a genius deciding on a picture rail
now i am just nervous…..thanks

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

February 25, 2008 - 8:58 am

any thing is negotiable
however the real estate agent involved usually banks the deposit in their trust account and takes commission from that amount ,
so they like to see a suitable amount to cover all that hard work
i wrote an offer on saturday and could SEE the panic set in when i said i wanted to finance  100%,
so in the intrests of having it presented in its best light put 5% deposit
( which i figured covered commission  and saved me a little mortgage insurance )
the relief was quite visible
she is coming tomorrow with the counter offer

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

February 10, 2008 - 1:25 am

find out exactly how much you can borrow to the nearest dollar ,take all the paper work with you and show that that is the maximum you can afford and make that your offer,you may be surprised !
i have a friend who bought the house he had been living in for many years for way under market value , all the owner really wanted was enough to buy a unit in a retirement home
especially if it has been on the market for a while and needs repairs they may decide to take the money offered rather than put the hand in the pocket
any thing you can do to build a deposit ? garage sale, sell your jetski , deliver pizzas for a couple of months ?
the universe apprieciates small and silly gestures
good luck !

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

February 9, 2008 - 6:01 am

im thinking the tennants deserve to pay market rental
which may or may not be linked to your interest rates
if you want more for the same premises during a lease period you may have to consider giving them some thing
fridges, cable tv,and high speed internet spring to mind
after running a business during the eighties and paying 18 to 25 %
i fix my loans and it works for me
as i understand it the rate rises would increase my negative gearing so the government takes half the hit every time
that helps
cheers

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

February 9, 2008 - 5:37 am

offer to take a car boat or jetski as part payment ,on say 298k
accept the buyers claim that his or her 15 year old bmw is worth twenty grand
take it straight to the auctions and get seven for it
but you have helped them get over the deposit barrier (and pumped up the price to cover your loss )
assuming no one is too greedy the flat should still value up to proceed
(perhaps i should write that in caps )
perhaps you could cover your bases and have a real valuation done,so you know what figures you can work within
might even spur your agent into a flurry of activity ?
good luck

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

February 8, 2008 - 11:54 pm

i hate to quote kiosaki on a mcknight website but………
one deal wont make you rich ,its a system of doing deals
so if you have to move house, and state to get the deal going every time its not really a good system
and you will miss your friends
unless you are moving closer to family or friends ,or getting a massive payrise or valuable experience
i would advise buying a bunch of books and working out how to buy a property
that achieves your aims (steves book is excellent at helping you define this type of property )
its a lot less fuss

pat the dogs for me
i would still be renting if i had no dogs !cheers

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

January 26, 2008 - 11:17 am

read the water damage clause carefully if you do go terry scheer,i had a shower pipe burst inside the bricks and fill up the cavity……
now days i use a broker to chase the best deal as they have the finger on the pulse .
and when things go wrong my guy who spends millions a year has a lot more pull than  a two property investor
cheers

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

January 23, 2008 - 9:27 am

latest update !
my friend sold for about 100k above market value,
most of the adjoining houses are suddenly very run down ( no longer have tennants) and were sold in one lump to the developer .
my friend has no interest in sitting on the porch with a shot gun hoping for the million dollar offer as he is too busy and would rather buy a house nearby and take advantage of the new development
notes on due dilligence !
one thing we found was a scruffy property in this area costs a little more than anticipated
a nice one costs as much as my friend got for his well positioned roughie
the old property was beautifully financed
due to recent interest rate rises the new one will be more expensive per week
due to long settlement he may have hit his lending limit with the nice bank and have to go lo doc and pay mortgage insurance
( again )if he wishes to purchase straight away and not wait till after settlement…..
settlement is in six months…the tax department uses the contract date not the settlement date for its calculations (never done a long settlement before so that was news ! )
despite having a contract for sale at $xxx the bank is using the 9 month old valuation leftover from the refinance
and no they arent going to let the old cheap fixed interest loan slide on over onto the new property
so its off to the mortgage brokers (again)
more to follow cheers

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

January 23, 2008 - 8:52 am

looks like you did good,a massive deposit helps make things more positive .
(but no one seems to mention that here )
but i am assuming you are aware of the tax benefits of making a small affordable loss and did a few sums before hand.
so it probably wont double in value over night ,if you wanted that you would have bought shares (not last night ! )
property is a longer term thing so we all wait and watch and hope that a lot of burned stock market investors choose to park any remaing funds in the "safer "property market
free advice…
main thing is to get a few payments up so you are not forced to sell due to sickness or injury
and get landlords insurance even if the tennant is your mother !
that feeling you have could be excitement !
cheers

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

December 7, 2007 - 11:26 pm

i have flown to perth a couple of times to paint and recarpet flats i buy everything i need at "global warmers "and give the tools to my mum after…if i did the sums it would probably be smarter to work that many hours and send the money but i get a lot of time off from work
after working in fiji and looking at a number of construction jobs there i thought a good way to go would be to fly in a crew .
lock them in for ten hour days (yes pay the overtime ! it makes the trip worth while for you and them ) and give a week off at the end
in your case a nice feed and a plane ride home.
i would definately go there, take a LOT of detailed photos (print them on A4 ) and have materials delivered for day one
just because its a bit different to the usual "path of least resistance " it might not be a bad idea
good luck

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

December 7, 2007 - 11:05 pm

if we run out of oil we will be so stuffed that another 250 k of debt wont change your life , i expect it  will be a long drawn out process with regular  price hikes rather than  a sudden stop .
i was worried about this and decided to purchase  more centrally so as not to NEED transport ,( ok  i know we all  need stuff transported ,but i can walk to the shop ! ) if it all goes pear shaped central will be best
most books will tell you to stick within  6 ks  of the gpo  as there is best growth there
having said that there are lots of good reasons not to buy most properties and when starting out you will hear all of them !
 so be stubborn and persevere ,it has made my life better
(that and the berlin wall coming down !)

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

November 23, 2007 - 6:12 am

do your sums ,a few weeks vacant every year may be more than the hit you take on a long term tennant who pays every week , i go for growth so tennants who are happy to stay put suit me fine .i know its not what you see in books but the reality for me is changing tennants regularly is a hassle an always costs something
cheers and good luck

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

November 15, 2007 - 6:01 am

sorry should check in after running my mouth off !
if you havent read up on this in the mean time  it is a bit like steves wrap strategy where you agree to finance part of the property  yourself (as a second mortgage )
your target customer is some one who feels they can afford more property than the lenders allow or lacks a deposit for whatever reason ,in other words an aggressive investor hell bent on building up a portfolio as quick as possible
the buyer then goes to the bank and asks for 80 percent finance and  hopefully qualifies nicely without mortgage insurance and a jacked up rate as he or she has a deposit  ( your loan )
you recieve intrest payments and after a year or similar specified time the property is refinanced /fixed and flipped /the farm is sold /grandma 's will is distributed and you get your money back……….
it is a way to get a premium price for a scruffy property and open yourself up to a different type of customer who doesnt really care what it looks like and will act  fast if you leave a bit of profit in it for them
good luck

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

October 27, 2007 - 6:50 am

we are  "stalking " several houses in our area and would be horrified to discover one had sold without us finding out !
i am not sure why but a friend had his house " quietly listed "
he had bought it for cheap and lived there a year or so before selling, it needed a total reno,
as he was moving out a friendly neighbor  from the town houses up the street came  to see if he could buy it as he loved the street but needed a house, he let slip what he thought it was worth and a sign would have been a very minor inconvenience

[suavemechanicParticipant@suavemechanicJoin Date: 2004Post Count: 106]

October 27, 2007 - 6:31 am

thanks guys