This is what i would do

1. Use the $20k cash as deposit.

2. Borrow the rest for a property worth $250k.

3. Sell the managed funds (pay any capital gains) and put proceeds into offset or line of credit.

4. Then take out the proceeds and buy managed funds again and this way you can deduct the interest on these borrowings for the fund.

So here…[Read more]

Before I parted with my hard earned $60k cash – I would also read the two books by Peter Spann. Or maybe a Jan Somers as well.

Property Investing is a long term proposition and I would read his approach as well.

Then decide which is best for you. Me I prefer the Peter Spann approach.

Geeeeez – Another one.

I wonder who he learnt his stuff from.

We did not do much in Singapore. The purpose of our trip was a wedding in Canada and we decided to see some family in the UK. We had around the world tickets and had to have 3 stopovers. So we decided on Singapore.

We only stayed the one night and spent most of our time with the kids in the Pool. Our kids are 3 and 4 and we thought it was not…[Read more]

I once acccidently knocked my diet coke on the keyboard. I bought a new one – it was cheaper than my wasting time cleaning it.

Your equity is $100k. (180k less 80k loan).

Talk to a broker. The further amount you can borrow will depend on your income.

We just got back from Singapore. My favourite photo is one of the kids at a restaurant and between them is a menu saying “Curry Fish Head”

I love the photo – did not taste the curry.

I have not heard of this system in Victoria. It does not make any sense to me unless they deliberately only want owner cuupiers in their area.

I too wish to formally thank Steve for hosting this site. But hopefully, it gets recouped with all the courses, book sales and other material sold at this site.

So keep buying the other materials, attending the courses and buying the books.

That way I get to keep enjoying this forum.

Kids that did Bible studies at my school had no life and got beat up. I had a low pain threshold in those days. Ah and today too.

Why not do vendor finance with your grandparents at $300k. ie. get a mortgage of whatever the bank will give you (this way your grandparents have money for nursing home) and the rest is vendor finance with grandparents.

I dont like to hear stories of paying $220k when its worth $300k, esp the elderly.

I reckon you are better off, fixing and doing renovations prior to a tenant. Once the tenant is in you can set and forget for a while.

Pay for another valuation from an independent property valuer. Or try and find out which bank and find another valuer from the banks panel.

Also from Peter Spanns Book – Well worth a read. Do your homework, justify why you reckon its worth $XXXXXX and present that to the valuer.

In other words – do his job.

Good luck with it.

I have bought 3 units in surburban Melbourne over the last 5 yrs. I have done well, but in hindsight I would have made more if I bought houses.

But they would have cost me more to own initially.

So it was a bit of a trade off.

From now on, I am only going to purchase houses, even if they are not in as good a location as the units were.

A reasonable budget – how long is a peice of string.

This is a very subjective topic – there is so much to consider – income, kids, home exps, entertainment etc.

As they say – you should pay yourself first and budget around that.

Kay Henry – well summed up. Thats pretty much what I have been saying all along.

Property investing is about investing for the long term not the short term few dollars you have made.

Steve Mcknight made his money from capital gain, not the few extra dollars he received on a monthly basis from some of his ve+ properties.

If he did not have the…[Read more]

How old is he? 15!!!!!!

<<<any thoughts from you all>>>>

My comments

1. Go read the new Peter Spann book “$10 million property portfolio in 10 years”

Re-read Pages 136-139 several times.

2. Interest rates are at almost historical lows. Will they still be ve+ if interest rates rise 2-3%?

Then decide whats best for you in the long term (5-10 yrs).

For me – Mt…[Read more]

Hi Peter

As mentioned I have adopted your strategy of buy (in surburbs not rural), renovate, refinace. I have done this will holding my full time job.

I have now read both books and feel I am on the right track. I would love to do this full time one day, but I have a family with two youung kids, so I have adopted the slower approach.

Now I am…[Read more]

<<<However this has left a bad taste in my mouth I am more than likely going to put the house on the market rather than go through this again.>>>

Dont kill the goose that lays the golden egg. This happens from time to time. Look at the bigger picture. Property grows in value and rents and sure there are property management problems from time…[Read more]