Yeah, gearing amplifies losses too. [biggrin]

But like to be positive[thumbsupanim]

Hi,
As above plus I’d recommend taking advantage of being at uni and take some elective courses in economics and or accounting and financial management. I learned lots of useful jargon and concepts while studying economics and AFM (plus contract law / business law has payed for itself a couple of times over)

Also, while your situation is simple,…[Read more]

In Victoria you don’t need a solicitor to hold the deposit in trust. You may open an account in the names of the vendor and seller to hold the deposit until release.

However, unless the property is of very low value it is probably easier to use a solicitor to hold the deposit in trust.

I’m selling, for example, a $10,000 storage unit and the…[Read more]

Indeed Ayr007 there are many sneaking little costs here and there when buying and keeping property.

I’m hoping the rough working I presented was enough to demonstrate the way you work out positive cashflow.

I think what it also demonstrates is that positive cashflow is tricky to orchestrate (without just paying cash with no mortgage).

Hi,
Well based off what you’ve said, $30 / week for one house means you’d need 100 such houses to make $3,000 / week. Can you own 100 houses within 8 years? yes. Can you buy and hold 100 houses from the first to the last? Probably not (unless you have a huge income)

The reason for this is that 100 houses / 8 years = 12.5 houses / year that…[Read more]

Hi,
With 100% finance it is a fairly simple equation.

To be positive you need to cover
-interest payments (assume IO loan)
-council rates
-maintenance
-property management

So, assume interest rate 7%, assume $700 rates (just plucked this out of the air as an average) assume say $500 maintenance and $500 property management and vacancy. That…[Read more]

Hi,
You can get the DIY Conveyancing kit from http://www.diyconveyancingkits.com.au/index.html
You can get one specific to your state for about $60. It comes with all the forms you need and a manual that tells you everything that needs to be done and give references to government departments and such.

I’ve used it to purchase and I’m currently…[Read more]

I think the simplest way to answer this is to analyse where your money is working hardest.

EG: loan interest rate = 6.5% then every dollar you pay off the loan is effectively earning 6.5%. If you have an internet only account earning 5.5% every dollar should go to the loan in preference to the account as you will get more out of it. If you add…[Read more]

Well for one thing you could try a private sale to start with. You coudl save many thousands of dollars doing it yourself and lets face it, unless you’ve got a strange property or a very expensive one the basic RE agent will just put up a picture on the net and hand out the keys for inspection. On a $250k house you could save in the region of…[Read more]

Hi,
The bond you paid is yours by default. If you end your lease you normally get given a form by the RE agent or owner to claim your bond back. If they don’t give you the form you can contact the RTBA (residential tennancy bond authority) for a form and fill it in yourself. You don’t need the property manager or landlord to sign this document.…[Read more]

Hi,
By liquidity I mean how easily you can get your money back out. For example a bank transaction account linked to an EFTPOS type card is 100% liquid. At any time day or night you can get your money out and use it.

A house on the other hand will take at least a month or so in the best case scenario.

Shares listed on the stock exchange for a…[Read more]

I’m with the idea of make the tenents happy by giving them a place they want to live in.

I’m a tenent also and frankly I couldn’t give a stuff about the landlord or the prop manager. I pay for a nice place to live and I’d be most happy if the land lord kept it that way or improved it. I look after the property because it’s where I live and I…[Read more]

Hi,
I’d spruce it up a bit and offer it as a weekend retreat. Just get some gourmet food delivered for saturday breaky and you’ve got a wonderful romantic cottage for two.

Or

Set it up as a training room for any sort of training. That is, put in plenty of power points, maybe knock down a wall to make a large conference/presentation room and…[Read more]

If now is not a good time to invest because of interest rates, then when is a good time?

If you start now before any further rises that would be better than starting after no?

You’ll find that the terms people like to bandy about (and this goes for any field of study) are more intimidating than what they actually mean.

eg:
“make sure you know…[Read more]

It is important to point at at this stage that Steve didn’t do his thing by attending his own master class.

Heck for a couple grand I’ll readily tell you everything you need to know about any aspect of property investing. Anything I don’t know I’ll happily look it up and tell you.

Alternatively you could invest the money in a couple books…[Read more]

Hi,
Property trusts are a good way to earn income off property without having to fork out a lot of money.

Generally you can get in for $10k and earn 7%-10% income. The good thing about this form of investment (as an income generator or cash holdiing place) is it is backed by real assets (unlike debentures for example).

I think if you’ve got a…[Read more]

Update on what I’ve found effective so far:
Well I put a post on DIYSell.com and that got a couple of enquiries but the biggest generator of interest has been:

eBay!

I’ve gotten about 6 requests for more info with at least 2 of them waiting for my vendors statement. I love eBay (this is not an endorsement for any particular use of the…[Read more]

You can’t eat raw olives, the tanins are waaaaay too high. That’s why you only ever find pickled olives.

To make them edible you need to soak them in water and salt for a long time. Search the net for recipes. But they are certainly not a fruit to eat fresh from the tree [ohno]

Hi,
This is the method Henry Kay taught in his seminars. The idea is that you secure the apartment now off the plan with settlement due in a 18-24 months. Hopefully when the apartments are released they are worth more which means you can either sell with settlement on the same day as you are supposed to settle (like a flip) and you pocket the…[Read more]

I’ve also put it on eBay [biggrin]

Anyone had success selling real estate on eBay?