Hi Bbruham,
ill take you up on your offer to have a beer, anytime for a beer is good with me. [
][][]cheers,
s.i.sS.I.S,
Hey – how DID you secure finance in the early stages….I’m sure you’ve discussed this somewhere before today, but I’m new so would love to know? Did you have some capital behind you when you started?? Or utilise the power of “OPM”?
The question is important to me – my work as a teacher is not full time AND significant weekly income is thru maintenance from ex. AND I have four small people who are dependent on me (whom the banks rightly assume are sucking me dry!!!!)
I’ve got some alternatives in mind, but am still asking questions in case there’s something in the finance equation I’m missing.
Cheers…..Karen
PS I wrote to you as my FIRST post….you maybe didn’t notice[
]. You said you’d like to be inspired by someone raising children, working, researching and investing in property AND doing the single parent thing…..I’m the living proof…..watch this space….I’m pumped and ready to enjoy being extremely successful!!!!Hi KazontheBeach,
Sorry, to miss your earlier post, will respond to that one very soon. First to answer your questions.
How DID you secure finance in the early stages?
I had access to large amounts of capital behind me, i cant really say how much, as i had investments and regular earnings being invested regularly every so week, had been working and investing earnings from an early early age (age 13). The other thing too, not all the money could be touched in one hit, as some had to wait for maturity or the right time to sell, to gain some more profit and capital and in right timing of lodging tax returns.
Though, i did get some help in guarantoring in the begining, in the thought that i wouldnt get approval on so many loans, because of outside factors of being so young, using other investments as cash deposits, and still being in school.
Mainly i think its more important, that you spread your eggs.
e.g. If all you have is +ve cash flow properties with little capital gain, but only small cashflow of $25 – $100 a week, dont expect to be able to buy lots of properties very quick.
By Spreading your eggs, i found… if im not booming in property, im booming in some otehr investment vehicle. In property the best way i think in spreading your eggs, is using “Offset Gearing” As it targets all areas and is so diversified.
e.g.
1 asset maybe going backwards
1 asset is breaking even
1 asset is steadily rising
and 1 other asset is sky rocketing.This Creates diversity, but also the fact that if i do lose in an investment, im not worried or really care much, ill pick up and count my losses and move on, but in the mean time that cost will be offsetted by another skyrocketing investment or carried over into the next financial year.
Thanks for your question Karen.
Goodluck to you and thanks for sharing your story, i do hope you well, as a single parent mother and that, you further benefit and gain greater success… Your success and people like you…. Is what further inspires me and helps me push forward.
thanks heaps,
s.i.sHi Kazonthebeach,
Just reread your post, i think you have already greater success than most people, its only that you been unlucky… Not to worry, you can say you been there and done that. Which makes it 10 times or even 100 times easier, as you are able to learn from experience and mistakes that other people, would have to do, in order to achieve further more and gain further more knowledge.
Your question
Re this current topic – seems like everyone is crowing about their good capital gains over time, rather than immediate or sustainable positive cashflow ????
I cant really talk on the basis for everyone, but for everyone is different, IMHO if you are just seeking capital gain, might not be the exact key for fiancial freedom, but will bring in no doubt of plenty cash reserve, such as cash or equity. That can be spent at your leisure for further investments or luxsuries you wish.
but if you are just seeking sustainable positive cashflow, then you are taking a much longer and harder road. Building sustainable +ve cashflow, is like building a business from the ground, were you have to keep a very close eye and work hard for it, until one day, it no longer needs you, but can operate on its own and look after you.
This effort takes much more from a person, were as capital gains can give quick cash and can offload much of the hassel and stress of securing a passive income for life, which is very hard to do so and achieve.
cheers and hope this answers your question,
s.i.sHi Chan$,
You said you live in South West and bought two ip in Queensland, before you decided to buy those two IP, how many times you had inspected those ip?Cheers[
]Julian
Hi Chan$,
You said you live in South West and bought two ip in Queensland, before you decided to buy those two IP, how many times you had inspected those ip?Cheers[
]Julian
Hi s.i.s.
Thanks so much for your detailed reply….much gratitude goes to you!
I hear what you’re saying – diversification is by far the smartest move. I’m happy to do the “hard yards” to get the +ve $$$ properties up and running – I’m looking for long term passive income streams….but to have other strategies in place to cover the hiccups AND provide occasional cash injections via capital gains is of course the way to go.
I’ve got a good mortgage broker up my sleeve, and a property I can sell to enable me to cash up. It’s not kick off time for me yet though – need to soak up some more info first!
Thanks again for your time – still blown away by the generosity of people on this site!!!!
Regards
Karen
I have bought too many to list but all made money, pretty good to excellent money, I am not rich by any means.
Latest three deals land five months ago $150,000 value $ 220,000.
House $85,000 1 month ago in CBD rents for $135.
House close cbd different city $65,000 rents for $130. Not sure of current values but owned these only weeks, bargain buys, there`s more where they come from.
Bought house Riverhills bris 14 months ago for $130,000 sold four months ago for $239,000.
Bought a house in Kingston also 8 months ago for $75,000 sold 5 months later cheap reno for $143,000.
My advise seldom sell, I lost a lot by quiting my job and selling properties I should have kept which have continued to apppreciate.
Still doing quite well.Markpatric..
Congratulations, you’ve done well, obviously researched your purchases before commiting yourself. 70 k on the land…! nearly 2 years wages for me
And the houses close to the CBD are cheap.. more?
Where ??[] I’ll take one !!Great to see people doing well..[^]
REDWING
“The man that thinks at 5o as he did when he was 20 has wasted 30 years of his life”
Yes the house for $85,000 is in the CBD, but on non urban land, in an area which is being developed in the extreme, 75 mt walk to large shopping mall and coles and kmart, I may be able to change the zoning. A block of land three doors away same size but zoned CBD A sold for $200,000, just the land, I`m very excited about this one!.
Julian,
I only inspected those IPs one.
Kind regards
ChanDollars
[Keep going, you’re nearly reach the end of financial freedom]Hi Mini,
I’m amazed at the price you are paying for your investment properties. I live in a rural town and the rent is around $150/week tops and I am just about to sign a contract on a house for $71K which is quite cheap for the town, but doesn’t seem to pan out on the paper as well as I would like it too. I would love some advice.
morris[
]
house 11) When you purchased your investment?
may
2) How much you paid for it?
27,300
3) What structure is the investment
buy and hold
4) What is the weekly gross rent
110
5) What your net Cash Flow is
115 per week minus $11 per week management and
$1300 per annum rates and insurance.house 2
1) When you purchased your investment?
june
2) How much you paid for it?
16,000 plus 10k renovation
3) What structure is the investment
buy and hold
4) What is the weekly gross rent
95
5) What your net Cash Flow is
115 per week minus $9 per week management and
$1300 per annum rates and insurance.house 3
1) When you purchased your investment?
july
2) How much you paid for it?
19,000 plus 10K renovation
3) What structure is the investment
buy and hold
4) What is the weekly gross rent
115
5) What your net Cash Flow is
115 per week minus $11 per week management and
$1300 per annum rates and insurance.totals:
82,300 investment
12740 in my account every year AFTER costs
net cashflow yield – about 15 percent.cheers-
Mini[/quote]
house 11) When you purchased your investment?
may
2) How much you paid for it?
27,300
3) What structure is the investment
buy and hold
4) What is the weekly gross rent
110
5) What your net Cash Flow is
115 per week minus $11 per week management and
$1300 per annum rates and insurance.house 2
1) When you purchased your investment?
june
2) How much you paid for it?
16,000 plus 10k renovation
3) What structure is the investment
buy and hold
4) What is the weekly gross rent
95
5) What your net Cash Flow is
115 per week minus $9 per week management and
$1300 per annum rates and insurance.house 3
1) When you purchased your investment?
july
2) How much you paid for it?
19,000 plus 10K renovation
3) What structure is the investment
buy and hold
4) What is the weekly gross rent
115
5) What your net Cash Flow is
115 per week minus $11 per week management and
$1300 per annum rates and insurance.totals:
82,300 investment
12740 in my account every year AFTER costs
net cashflow yield – about 15 percent.cheers-
MiniMini is this still possible?, in your area and how much probs do you have finding tenants?.
Mini bought in NZ guys. I reckon there are still available properties with good returns.
check out http://www.propertytalk.co.nz
Cheers
Mel
][
]. You said you’d like to be inspired by someone raising children, working, researching and investing in property AND doing the single parent thing…..I’m the living proof…..watch this space….I’m pumped and ready to enjoy being extremely successful!!!!
] I’ll take one !!
]
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