hi all
i have noticed many of you investing into states outside your own. Some even saying New Zealand.
How does one find out about perhaps the different laws and regulations in those states if one wanted to exercise due dillegence.
Do the people that buy outside their state go and actually visit the area or have a person that looks and recommends to them wherever it may be.
Or just over the net.
cheers
alfHow ya going Alf. Have read where some people buy property without seeing it (as long as the figures add up) but I personally like to SEE what I am buying. I first research wherever I intend on purchasing via internet and phone calls, then I go there to get a “feel for the place”, then I’ll do my sums etc. Hope this helps.
Cheers
Marty
Hi alf
The laws aren’t that different between states. and aren’t that different in NZ either.
If you can buy good locally then why look far afield, unless you wanted to spread yor risk (wise investing).
Sometimes opportunities present themselves that are too good to resist and sometimes they are interstate. i wouldn’t let state or international boundries stop me from a great deal. It is best to investigate the area thoroughly (prices, vacancy rates, economy) and only then if you are happy visit the areas, you should have gauged a feel for price from the Net.
A personal favourate of mine is to discover new economic developments and get in before the price rise. For example i was able to do this in Hamilton Vic. A billion $ mineral sands project is planned by Iluka Resources and Hamilton will benifit massively. Last Feb to Apr i got 3 properties for 32-42K now they are worth 85-105K. Another example is Millicent SA there are numerous development including wind farms, chip factory anyway i bought there for 52 and 53, sold last month for 88 and 93k Considering my cash input to these deals was a total of about 25k i’ve made a profit after costs of 61k (before tax)thats a not a bad return (240%) for 12 months with very little risk. i am saying this to encourage you (and to show off).[
]
Sometimes there is more money to be made outside our own backyard. Look at Steve strategy he had to travel all over the place to get the deals.
regards westanwestan
as usual I take my hat off to you
you couldn’t be more on to it if you tried.
Was your knowledge of the SA and Hamilton industries about to go it there the thing that made you buy there? And how did you find out that info?cheers-
Minialf- re due diligence, firstly use the net, I don’t know if you were talking about NZ or not but using it as an example anyway, I found out lots of info for people here using a google search along the lines of ‘new zealand property investors foreign investors’ – i found out that some restrictions apply but only for amounts over 10million.
Secondly ask you accountant here how foreign income is going to work on your Australian tax return. The advice might be to also get a NZ accountant who would just forward the tax return to your Aussie accountant.
thirdly make contact with a NZ property lawyer and just ask ‘what do I need to know?’ ?
cheers-
MiniHi Mini
firstly, we expect you to join us in Sept in you know where! (not Byron Bay).
in answer to your Question.
Yes i bought into these areas because of the developments. Interestingly i dismissed these areas 4 years earlier because they were economic basket cases. I can’t remember where i heard about Hamilton but it was common knowledge if you read business sections of the papers. Millicent a friend mentioned what was happening, so i drove there and spoke to the economic development officer to get all the goss. It amazes me that even locals weren’t cashing in on the bonanza. Agents say to me now “wow you’ve done really well with your purchases” but none of them were investing. Honestly i never expected such good profits, but i knew i couldn’t loose. Where is the next development? we have discussed it in the past, i hope i’ve just discovered another one. But there are plenty of good stories out there. Who knows maybe i’m selling too soon in these areas.
Just the other day Stawell Gold Mines (biggest Gold Producing Mine in Vict.) announced it will embark on exploration to find Victoria’s biggest Gold deposit in the past 100 yrs. From Stawell to Warracknabeal. It should be worth keeping an eye on developments. Also it was announced in Beaufort that a new indusrty will be established creating 50-80 jobs, great for a town of only 1,500. I’m not buying on either of these things but they are examples of info that comes out all the time. Mildura is another area if the billion dollars fussion chimney goes ahead and the mineral sands projects, surley it will continue to boom. Just some thought for any that are interested, Anyone like to add others.
regards westanhi westan,
while your examples are great I reckon people should be encouraged to get into the habit of reading the fin review, age, local rags etc a bit more closely… you’ve proven it’s not brain surgery, it’s just a matter of opening your eyes and ears and widening your range of perception.
abc.net.au is another good source of finding out daily news for particular areas…
cheers
rIs it wortrh ringing up shire development officer in various shires throughout oz to see what whisperings are going on in that particular locality?
j
Junior,
It’s worth doing anything (legal and ethical of course [
]) that gives you more knowledge and helps you along the way.Only you can make it happen.
Rod.
There are some good suggestions here for finding info……does anyone know where to look for economic data on specific towns/regions?
I have tried the usual suspects like Bureau of stats, RBA etc.Nice one Westan…
I will definately glue myself to the local/ national and rural news alot more now…
Isn’t there only 24 hours in a day??? cor ohwell.. Speed reading course here I come..I will let you know of any successes I have in this area too.. Currently wrapping up (not Wrapping) a couple of commercial property deals up at the moment..
Cheers
Calron the Alcamist
Turning things into gold is fun.
[email protected][]Just a digression, but in relation to buying interstate, do any of you buy interstate to avoid the land tax threshold, ie by effectively combining the thresholds from each state?
Jim.1st off Westan you are a star good on you !!!great info peoples thanks. but has anyone had any bad experiences with doing this kind of thing cause we all know what shires are like with some of their so called plans….plans that never happen or they change there mind???????
Hi Westan,
I am amazed at your achievements !
Please help me with your views on how I can go about investing from Canada (I am an Australian Citizen). I have a good friend who is interested in being my partner in such ventures, but the only problem that seems to hold me back is the tax implications on income earned there, as I have also to do my tax returns in Canada.
Ash.
Hi alfThe laws aren’t that different between states. and aren’t that different in NZ either.
If you can buy good locally then why look far afield, unless you wanted to spread yor risk (wise investing).
Sometimes opportunities present themselves that are too good to resist and sometimes they are interstate. i wouldn’t let state or international boundries stop me from a great deal. It is best to investigate the area thoroughly (prices, vacancy rates, economy) and only then if you are happy visit the areas, you should have gauged a feel for price from the Net.
A personal favourate of mine is to discover new economic developments and get in before the price rise. For example i was able to do this in Hamilton Vic. A billion $ mineral sands project is planned by Iluka Resources and Hamilton will benifit massively. Last Feb to Apr i got 3 properties for 32-42K now they are worth 85-105K. Another example is Millicent SA there are numerous development including wind farms, chip factory anyway i bought there for 52 and 53, sold last month for 88 and 93k Considering my cash input to these deals was a total of about 25k i’ve made a profit after costs of 61k (before tax)thats a not a bad return (240%) for 12 months with very little risk. i am saying this to encourage you (and to show off).[]
Sometimes there is more money to be made outside our own backyard. Look at Steve strategy he had to travel all over the place to get the deals.
regards westanCharlie,
Following rodc’s advice(thanks mate!) i got on the internet and looked up a town in nz. most city councils around the civilised world ( obviously excluding the savage isles such as tasmania etc etc etc [
]) have there own websites that have bountiful amounts of information. gotta love the internet!ps tassie might have the internet too![
]jared
no websites = lots of cheap properties outsiders don’t know about = opportunites
Thus the modus operandi might be to look up the yellow pages for REA in the area and phone them!
The smaller the town the less online-minded they seem to be. Even where properties are listed on the web, they are not necessarily on the big RE sites, but rather on the agent’s own site.
Peter
A very admirable quote my friend!
its funny that sometimes no matter how obvious some ideas seem to some people, other people find out and think ” duh! why didnt i think of that!!)Keep up the handy tips.
j
Do any of you buy in different states to effectively combine the land tax thresholds? I’m just under the Qld threshold, and I’m assuming I get a new threshold for say NSW properties, ie the total values in each state are treated independently. Sorry it’s a bit of a digression.
Jim.Hi doogs,
Your assumption is correct. As land tax is state based (and calculated differently in each state) you have a separate threshold for each state.
Rod.
]
]
]) have there own websites that have bountiful amounts of information. gotta love the internet!
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