Is this a villa or unit? Either way 228sqm is massive for a villa or unit. 

Going back to your question – there is no black and white rule. It will ultimately come down to supply and demand of the area, are there any plans to drive people in or out of the suburb, etc? 

Regards

Shahin

They do 4 unless the loan amount is over $1mil. 

Regards

Shahin

Ok recent sales will help you. Print these out and give them to the broker to submit as part the application. Im sure the valuer will know this anyway but better to be safe. If you are using the rental on the dwellings then you need to ensure that they are in a rentable state as the valuation will also value the rent. 

Regards

Shahin

Step 1: Ask for an extension to the cooling off period. Assuming the rest of the application is ok, i,e, servicing etc, your biggest issue will the valuation.

Also you will not be able to do the valuation upfront so you need to buy time ASAP as the valuation will be done after assessment. So we will not know where you are at until vals done. Your…[Read more]

To be surprised if CBA credit will only go to 90% if again things are tight with the valuation. So be prepared for this as plan B.

Are the dwellings fully self contained? Are they rentable? Do you need rental as part of the servicing?

Regards

Shahin

What is the Purchase price amount? What is the LVR you are wanting? What is the postcode? What are the dwellings, i.e. houses, units, boarding homes, etc?

Regards

Shahin

What are the current outgoings i.e. strata, water bills, loan interest and what is the proposed rental return? If your strata is only $160 then the yield should be good. If the yield is decent then this is a good thing. This helps with CG but there are other factors such as supply and demand for the area that comes into play with CG. 

I was…[Read more]

Which area of Sydney are you looking at?

Regards

Shahin

$160 per quarter for strata is dirt cheap. What is the net yield on the property?

Regards

Shahin

Hi Mate,

I understood what you meant – I just couldn't believe the agent told you that.

As a side note do you know that you need to do a building and pest inspection and also have your solicitor/conveyancer review the contract?

You can certainly do this in the cooling off period but you will lose your deposit if the B & P Inspection comes back…[Read more]

What the? Which state are you in?

Regards

Shahin

For me cashflow positive is deducting all the outgoings (this both upfront and ongoing), council, maintenance, building insurance, landlord insurance, etc from the rental income and potentially the negative gearing benefits. 

Instead of a property coach align yourself with a good Solicitor/Conveyancer, Broker or Banker and Accountant. 

Why a…[Read more]

What's the plan if you sell the property? i.e. is there a better deal out there?

What are your capital growth projections for the next 5 years? do they outweigh the loss you are currently incurring?

Regards

Shahin

You want to get the most you can out of the block – build as much dwellings as you can. Don't limit yourself to 2 if you can do 3. Do you DD – speak to a couple of agents, show them concept plans and finishes and get an idea of resale and what things work and what doesn't. For example, single storey villa's or double storey townhouses, units,…[Read more]

Yes that is correct but you will not have any issues with either resale or renting it out due to the demographic in Hornsby and Kuring Gai (im from Gordon). The benefit of the Sepp is that you are following State Development Guidelines rather than the outdated and backward council DCP. 

Do you due diligence on both and see which one looks better.…[Read more]

Cashflow positive properties are not easy to find. How are you calculating cashflow positive?

Regards

Shahin

My first purchase was at the age of 18 and it was a unit due to the lower entry point. I have made excellent money from it but in hindsight I kick myself for not buying land and developing the hell out of it. Of course I couldn't buy a house due to many restrictions but if I could I would buy a house.

The potential on land (not just any land)…[Read more]

Helps if I paste the website 

http://www.austlii.edu.au/au/legis/nsw/consol_reg/seppfsopwad2004826/

Check this website out. If you can do Sepp 5 (old name but everyone calls it this) then the numbers are in your favour more than what you originally proposed. 

Regards

Shahin

I would personally go down the subdivision route. 

Regards

Shahin