Hi
I have a reasonable income but wish to give up full time work to invest in property either as a renovator or as buyer for the purpose of renting.
I have some cash and some asset . Any start up suggestions.
I would appreciate any suggestions of areas for buying in the $130000 price range for renovating and then selling.
Edited by – [email protected] on 05/02/2003 12:39:58 AM
Hi Semesteve,
Speaking from experience, don’t give up your day job, until you have hit the ground running with your new venture. Any new business takes it time getting started and before you know it, cash reserves are low and things get a little harder.
Looking at it from a lenders point of view, when you apply for a loan they look at ‘the ability for the loan to be serviced’ in other words, can this person pay the loan off, keep your job for the short , it will be easier to get finance.
There are heaps of locations with properties for sale around that price, YOU just have to look for them.
go get em tiger
EPSemesteve,
I’ve wanted to do the same thing for quite some time. However, I understand the lender’s perspective (well illustrated by Elvis above) & know that this is just not viable at the moment.
However, it’s good to have goals. My aim is to be in a cashflow +ve position THEN do buy / reno / sell’s.
By my calculation, I can do this – without lenders – after the third property. Gotta love that.
Don’t sack the boss just yet, but put a realistic & viable plan together, including all the financials & evaluate the risks.
Michael [
]Same thing happened to me 15 months ago – I just bailed out and because I dropped a good payslip, I had to put in big time – which has forced me to learn very quickly. It’s your choice, and if you’re strong enough to treat it like a job, then you will succeed. One warning tho’, be aware of what might happen if your reno (and therefore it’s profit) doesn’t sell quickly.
Go for it!!!
quote:
Hi Semesteve,Speaking from experience, don’t give up your day job, until you have hit the ground running with your new venture. Any new business takes it time getting started and before you know it, cash reserves are low and things get a little harder.
Looking at it from a lenders point of view, when you apply for a loan they look at ‘the ability for the loan to be serviced’ in other words, can this person pay the loan off, keep your job for the short , it will be easier to get finance.
There are heaps of locations with properties for sale around that price, YOU just have to look for them.
go get em tiger
EPthanks good advice guess i was looking for a short cut to quit my job and run on my own.
CheersSemesteve
Anything really worth achieving takes effort
I have had similar conversations, with lenders whom we have established good relationships, as to when they think that we can do that. It is very interesting hearing their take on it….
The good news is that it is possible [
]Bruce
Semesteve
to give you an idea of a timeframe, our experience thas been that it takes a few years to build a solid business and relationship with your lenders.
R.Kiyosaki (All Hail…… – sorry! I really do think that he has a fantastic message, but it has been a long day and my sense of humour is just getting away with me right now [
]) mentions that he allows about 5 years to build a business to the stage where it can pay him. The rest of the time he is supported by other interests, and of course, originally that was his J.O.B. that he talks about in his books….the Bruce [
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