Hi Breakeven. The fact that you mention LOC and tax in the one sentence, and that your lender has pointed this out, I assume you are borrowing for investment or business purposes? A LOC is generally used when refinancing to release equity in your home, and is often best when part of a split loan. (ie $400 k house, loan for $200k, refinancethe…[Read more]

Hi Louis, and welcome to the forum. Good on you for doing some research. Unless it is painfully obvious a place is going backwards, asking people like you mentioned a direct question like that would be unlikely to get much else for an answer as you said. Perhaps you could see how the house median prices have been over the last few years. If enough…[Read more]

And…….Yes, I have often found this too. With ADSL, and other sites going well, this one hanging or being slow, especially with posting. I am guessing this is why we often see posts the same two or more times, as others also have problems with this. [suave]

You might be well and truly stretching things here I’m afraid, although without more info on exactly what you had in mind I can only generalise. Some non conforming lenders will count pensions and other centrlink payments, but of course you would still have to be able to service the loan. SOme lenders will allow what is called ‘servicing support’…[Read more]

You will find a very well written article on trusts in this months issue of Aust. Property Investor, which explains the pros and cons in easy to understand terms. Might be worth a read. All the best[strum]

Hi Liz and Don,

I think number one easily, then two, and the others give a miss.[strum] All the best – good to see you guys ‘on the move’ still.
Glyn

Perhaps a few questions to ask your self to help arrive at this decision may be
1) Are you planning on doing anything dishonest, for which you may be likely to be sued?
2) Do you need to have a structure set up in order to distribute your income to more than one or two people?
3) Are you planning on not having landlords insurance on any of your…[Read more]

Hi All. Firstly, Bruham – I like your style.
Now, no doubt there are always ‘coulda/shoulda’ stories, but one I remember clearly before I ever even thought about real estate remotely seriously, must be about 16 years ago now, in a small country town ‘dump’ in Victoria, about half way between Melbourne and Mildura, having a bit of a chuckle because…[Read more]

Hi. Don’t panic there! You are indeed correct. I think you will find your ‘loan term’ has dropped significantly over what the initial loan agreement said. Your interest will indeed be being charged daily, and you get the overall lump calculated each month. To give you an idea, a loan for say $250000, taken over 30 years, paid weekly or fortnightly…[Read more]

Exciting stuff eh? Sounds like an excellent cashflow property – in fact, if you have no other financial committments, with this rental return, you would only need to show an income of between 30 to 35k per annum gross to ‘service’ this loan, on the assumption that you pay $200 per week rent, and are single with no other debts. Obviously that will…[Read more]

Hi Fatz33. Welcome to the forum. I would suggest you sell and give me a 50% share of the profits. Not happy with that? Ok, well…..So much of this depends on what you want to achieve in life, and ‘where you are at’ as they say. To be debt free is great if that is your goal, but you genuinely do sound like you need to talk to a financial planner…[Read more]

Hi Sk2. Congratulations on making the move to buy. There are a few issues with 100% homeloans, which I will touch on for you. Firstly, you will find Wizard and St.George are the two ‘main’ mainstream players in this area. I should also warn you to make sure you check comparison rates. For example, the Wizard Clear value loan, which is an…[Read more]

Hi goryrory, and welcome to the forum. First, got to congratulate you for the drive and goals. I sold a business to a young fella once, and he was not taken overly seriously by a lot of the suppliers – but with a bit of backing, and a year or so of trading he is now taken very seriously, and gone from strenght to strength. Doing a great job.…[Read more]

Hi Michelle. Sounds like it could get tricky. From a totally removed viewpoint, if the plan was to sell, then buying you out at half of a current market valuation would be very reasonable. You could always offer a slight discount as a partner too I guess at your discretion. naturally, they would benefit from the current market being lower with a…[Read more]

Hi Mike. You will find this topic has been raised by someone else quite recently, and has several replies with a wide variety of info/opinions. Check the forum out and you should find it. All the best.[strum]

Hi Anne. Welcome to the forum. Congratulations on your position – I’m not jealous either…..[headphone] A bit of general ‘sounding board’ type reply is-
1) Don’t rush into spending it all – your priorities and goals can and do change with time. Have you set goals? Not as silly as it sounds, you don’t have to show or tell anyone else.
2)…[Read more]

Hi, and welcome to the forum. Check out this months issue of Australian Property Investor magazine and you find what you are after I think. All the best (They include the 10 year figures)[strum]
As a sidepoint, for anyone interested in detailed price history for the NSW south coast/Illawarra area, you can get everything on http://www.allhomes.com.au .…[Read more]

Hi. Have you checked out the huge rental estimates and exhorbatant ‘finders fees’ the website in question also features? Just my humble opinion. You may find it much more economical to use a genuine buyers agent, that finds a property to suit your requirements. Not sure what else you were mentioning or replying to, but thought I must mention this.…[Read more]

Hi again. Couple of additions – Bridgebuff correctly pointed out closing costs need to be considered , but may not have noticed you are eligble for the FHOG, which knocks most of these away. And re the LMI, according to the calc I use, for a basic variable loan, the extra $20k kicked in would give you an LMI premium reduced from $5690 down to…[Read more]

Hi Wylie. Too true I am afraid. They are not suitable unless you want to use them for a shelf or book end, but as for cooling……
I think if you got a basic split system you/he would be pleased. Alternatively, a wall mount cooling only refridgerated one would save you $ and work well too, although big hole in wall…..[strum]