have just been looking at the unit market, 2bdr brick units (older style) selling for $110-120 renting for $150 per week.
Vacancy rate is very low (under 2%) across Cairns, sales and growth appear to be levelling.

Speak to Chris Gay from Oconnor and Gay real estate.

Tim

Tim

have now negotiated 8.5% (3 properties), which is ok. A little peeved at also paying 10% for maintenance items too though! Does anyone else pay this??

Cheers,

Tim

thanks – and good suggestion re the contract.

It is a bit complicated, but I don’t have a contract, as I was piggy backing off a business that was buying, and received their discount.

Tim

How much are you worth today $1.2M___________

How much do you want $6M___________

What is the difference $3.8M___________

How are you going to get there …….

1) Currently need to refinance to free up equity
2) Look for trades and private investor deals
3) Expand existing property portfolio
4) Continue…[Read more]

Personal guarantees? Contracts?

How do you go about securing your investment??

that’d be great.

Tim

very interesting post – some great reading here. Resiwealth I would be very interested in reading your works on goal setting, if you felt like sending me a copy I would really appreciate it, I am sure it is a worthwhile excercise to go through it.

Anyway, in response to the orginal question:

Target Critical Mass: $6M by August…[Read more]

I would like to hear you support your dramatic claim with some sound reasoning otherwise – too boring.

Tim

been there done it.

Two rules:

1) find someone you implicity trust who knows the market backwards and give them your money to invest or;

2) go there after doing due diligence and buy yourself.

There is not an easy answer to this – either way you have to put in the time or money.

Timbo

Tim

Timbo

no familiar with income protection sorry (except for one policy with AMP) as my super is very good for that sort of cover.

Again differentiate between term and life insurance (I wouldn’t personally go for term insurance).

Agree with previous comment about the need for public liability though.

Tim

your body corporate are repsonsible for taking out building insurance, but you could consider contents insurance as well.

It is worth getting a hold of a few policies and reading exactly what you are and are not covered for with both building, contents and landlord.

I have recently done this with insurance on units under body corporate,…[Read more]

Timbo

the book:

“Investing in Residential Property -Understanding the Australian Property Market” by Peter Waxman, 5th Edition is an encylopedia of facts, graphs and tables on interest rates, inflation, price movements, building approvals, migration, supply and demand factors, government determinants, business, cycle, taxation and the economy…[Read more]

fantastic that you are aaking that question now. I would suggest that the best reason for wanting to know this however is so that you can be realistic and plan and implement that plan rather than wanting to ‘get rich quick’ (which rarely seems to work).

Anyway, moving away from the lecture – I would suggest that:

– roughly the annual…[Read more]

it might help to separate the purchase from whether you are wanting a cash flow from rent or a longer term capital gain (or a mixture of both).

If you just want a rental and there is a small vacancy list for rentals (which you should be able to determine from real estate agents) then that is different to buying a house hoping for capital…[Read more]

Timbo

http://www.abc.net.au/news/newsitems/s1085499.htm

I also learnt from a dream last night that I don’t want to work full time anymore – funny that – still working full time (but not till after the next 2 weeks holidays……..)
Timbo

The biggest development (which is just north of all those areas is Salt, here are some great aerials from the main web site which is…[Read more]

saying that a town has a lot of listings per population has to be relevant to something else (i.e. compared to other populations). So really you probably need some other basic indicators such as:

– what are the fundamentals of the particular property (ie price and rent)

– what is trends of the town (i.e. population trends (declining or…[Read more]

saying that a town has a lot of listings per population has to be relevant to something else (i.e. compared to other populations). So really you probably need some other basic indicators such as:

– what are the fundamentals of the particular property (ie price and rent)

– what is trends of the town (i.e. population trends (declining or…[Read more]

– 20 years ago 18 taxpayers per 1 welfare recipient
– today 6 taxpayers per 1 welfare recipient
– in 2020 1 taxpayer per 1 welfare recipient

Even if these predictions are wrong it sure points towards Australia having an ongoing tax base where we are taxed more and more.

So while we might not…[Read more]

Sth Brisbane (Logan Area) – I believe prices have reduced slightly or stabilised in the last 3 months

Nt NSW Coastal areas – as above, except for extremely well position properties not in the major coast towns (such as Byron or Lennox or maybe even Ballina)

Tim

you raise some valid points. Do you think rents will increase as a result?

Timbo

In the short term there will be panic, people will sell (why on earth would you sell?).

Rents increasing very soon I predict.

Tim

thanks for your replies. I tend to agree with you Steve (although I wouldn’t be suprised if other states follow suit).

My guess is the market is going nowhere, but rents will be pushed up due to land tax. Is it possible though that sub $500k IP will be now held onto more due to levy tax, thus supply reduces yet first home…[Read more]

have just been reading your book which is excellent.

Do you think this move by Carr is going to kill the NSW property market or just push prices up?

Any thoughts would be appreciated.

Tim