Viewing 20 posts - 41 through 60 (of 137 total)
  • Profile photo of benalibenali
    Participant
    @benali
    Join Date: 2005
    Post Count: 6

    I have a question about depreciation. I have read that depreciation does not really save tax, it just puts it off, as you will have to pay the tax in the form of capital gains when you sell.
    Am I right in saying that the person will still benifit by depreciating in two ways.
    1)The tax saving on $10000 today is worth more than the tax on $10000 in the future due to inflation.
    2)After owning an investestment for more than one year, you only pay tax on half the capital gains. So even though the buy price of you property is written down by the ammount you depreceiated it by, the tax payed when selling is halved.

    Profile photo of DDDD
    Member
    @dd
    Join Date: 2004
    Post Count: 508

    Benali, all depreciation schedules give you are effective deductions for everything in your IP and im sure i would miss quite a bit. Just had one done on a 2 bed townhouse in Kingston. The $2089 for the first year is about $20.00 different to rates and body corp for the year so with a 7.5% return and the depreciation schedule im neutral.

    So tip1 get a dep pro schedule

    tip 2 read this months API mag about 50 ways to increase rental yield(cool article about me on page 48 too hehe)

    tip 3 never say die, bad val get a different lender or a different valuer on banks panel, not going to settle on time get extension, repair as if you would live there yourself, and take no prisoners!!!

    tip 4 have a team of professionals around you at all times. Tradesmen, solicitors, agents etc.

    tip 5 never get emotional about a property, as Peter Spann put it in Brizzy last month. “if you sell you are just realising profit”, dont be afraid to cut and run.

    tip 6 set goals and review regularly. My wife set goals 10 years ago that nearly gave me a heart attack. Now 10 years later its all happened.

    tip 7 get some sleep!!! its 3 am why am i typing this??

    Goodnight

    DD

    Buyers Agent (Dip Financial Services(FP)
    Don’t sweat the small stuff,and it’s all small stuff!!

    Profile photo of Clay AClay A
    Participant
    @clay-a
    Join Date: 2005
    Post Count: 33

    Tip- Look for properties with multiple income streams, lots look past them as too hard.

    Profile photo of Aeros OzAeros Oz
    Participant
    @aeros-oz
    Join Date: 2004
    Post Count: 5

    Sorry Jaffasoft, and Thecrest.
    I think I found better and cheeper way to deal with accomodation.
    If you wish to invest in area – buy one house first, than you can stay there for free, while you buying the rest of them!
    [biggrin]
    Chees

    Profile photo of Michael4Michael4
    Member
    @michael4
    Join Date: 2003
    Post Count: 70

    Never buy in area that:

    Is flood prone.
    Has 500 people and population is decreasing!
    Don’t buy just becuse you found +Ve property without doing all the research on that area first as it could be disasterous!

    and remember:

    A winner knows when to quit and walk away. A winner must know that losing is part of winning if you do get into the mess!

    [biggrin]

    Profile photo of bderrybderry
    Participant
    @bderry
    Join Date: 2004
    Post Count: 8

    Dont worry about spending energy trying to find what a property bought or sold for in the past – just compare it’s potential to the current market. If a property has great potential in your current investing strategy it is not relevant that the vendor is selling it to you for double what he paid for it – good for him – but what is your opportunity – where are you going from here?

    Profile photo of SymboLSymboL
    Member
    @symbol
    Join Date: 2005
    Post Count: 5

    Tip
    a tenant should smile when they hear your name

    Profile photo of grossrealisationgrossrealisation
    Member
    @grossrealisation
    Join Date: 2005
    Post Count: 1,031

    Hi All
    1. when a aged person dies a library of information burns down.
    2. when a rich man meets a wise man the wiseman gets a little richer and richman gets a little wiser.
    3.when you travel never take anything you don’t want to lose, there are theives in this world of ours and thats not only overseas.
    4.If you’ve gained it, do everything in your power to protect it or you will lose it.
    5.Never lose sight of the ball unless you want to lose the game.
    6. My mums favourit(no longer with us)live life for today as tommorow may never come and the chinese your along time dead so enjoy today.

    here to help

    Profile photo of redwingredwing
    Participant
    @redwing
    Join Date: 2003
    Post Count: 2,733

    Final Inspection Checklist

    Just thinking about a final inspection checklist that we have coming up and I’ve jotted down some notes today, can you think of anything else to add?

    Tips
    -Check

    Water Pressure and seals in taps
    Toilets all working properly
    Reticulation
    Electric/gas ovens and hotplates all work
    TV antenna still on roof
    Remotes for garage door
    Keys for doors, window locks etc
    PowerPoint’s (use a babies night light for this one)

    Any other Tips?

    REDWING

    “Money is a currency, like electricity and it requires momentum to make it Effective”
    Count The Currency With This Online Positive Cashflow Calculator

    Profile photo of brownybrowny
    Participant
    @browny
    Join Date: 2003
    Post Count: 11
    Originally posted by redwing:

    Tips for Investors-[grad]

    Here?s a place for everyone to post tips for novice and experienced investors, either your own, or those you?ve read/heard of that may be of benefit :

    Tip-
    Consider the areas Long Term Growth potential, not just the short term and check to see if there are any planned infrastructure developments for the area.

    Tip-
    Rental income is a *key* factor, your property should be within easy distance of transport, schools and shops, to attract the highest number of tenants.

    Tip-
    Consider the? land content? and the potential to subdivide at a later stage, remember buildings depreciate-land appreciates.

    Tip-
    Look at display homes for current colours and ideas, most also now feature water-wise gardens.

    Tip-
    Buying a house with a ?host? of extras could save you thousands later on, consider items such as air-conditioning, heating, reticulation, patios, window dressings and recently replaced items.

    Tip-
    View the property at different times of the day to get a *feel* for the area, check out the neighbourhood, possible traffic problems and weekend activity.

    How about adding to this list with your own tips you’ve found..

    REDWING

    .

    “Money is a currency, like electricity and it requires momentum to make it Effective”
    Count The Currency With This Online Positive Cashflow Calculator

    Profile photo of ShwingShwing
    Participant
    @shwing
    Join Date: 2005
    Post Count: 219

    Tip

    Assume that tomorrow your computer is not going to start up, and all will be lost. Including those spreadsheets, emails, contact lists, all the treasured family photos that are now digital .. everything.

    Back up your data !!

    Tip

    When rushing around doing property inspections interstate or any other area that you don’t know, take a navigator to read the road map and give directions. Its faster, you get heaps more done, and it’s much safer. Also take plenty of water or something else to drink.

    Mal

    Getting out of your comfort zone, can help you become comfortable

    Profile photo of rickottonrickotton
    Participant
    @rickotton
    Join Date: 2002
    Post Count: 24

    tip:experience is what you get when you don’t get what you want

    Tip:you can never pay too much, just too soon

    http://www.rickotton.com

    Profile photo of Shelley D.Shelley D.
    Member
    @shelley-d.
    Join Date: 2005
    Post Count: 51

    Tip

    Don’t tell anyone what you are doing, one exception, people that have already done it! i.e. investors. People that don’t know what they are talking about usually think they do.

    Profile photo of Shelley D.Shelley D.
    Member
    @shelley-d.
    Join Date: 2005
    Post Count: 51

    Tip

    I send my tenants a $50.00 gift voucher every time I get a good inspection report or after tax time – They love it and I love them for looking after my property.

    Profile photo of TheCountTheCount
    Member
    @thecount
    Join Date: 2004
    Post Count: 3

    [grad]

    “as per the contract”

    The 4 words you need to live by.

    If a contract is good enough to sign, it is good enough to be upheld in the future.

    The Count

    Profile photo of WASPWASP
    Member
    @wasp
    Join Date: 2005
    Post Count: 51

    Real estate is not about financing, deals or property..its about people!

    Dont rent to Family or friends

    There is “no” best way to invest in property, its horses for courses..

    “People” lie

    You can never learn enough about investing

    Purchase in the correct entity and then rent a property..through the correct structure, I think the benefits outweigh the negatives, especially if you dont sell

    Wasp
    **************************************************

    Its not what you earn but what you do with what you earn

    Profile photo of kdhnkdhn
    Member
    @kdhn
    Join Date: 2005
    Post Count: 68
    Originally posted by secretgnome:

    Tip: Wise men never spit into the wind.

    – Wiser men never pee into wind
    cheers. Mkc

    Profile photo of ForkliftForklift
    Member
    @forklift
    Join Date: 2003
    Post Count: 21

    Not really a tip but this seemed appropriate for the topic:

    If a person tells you that they are a pathological liar, do you believe them?[blink]

    Profile photo of The Wild OneThe Wild One
    Member
    @the-wild-one
    Join Date: 2005
    Post Count: 54

    Thank you all for your tips. I have some that haven’t been covered yet and they are :

    1 : All ways settle with the property vacant. All ways !! You need to know everything there is about who it is living in your place. Start fresh.

    2 : I prefer to give my managers gifts rather than the tenants. A good gift is something like a hamper from the cookie man which can be shared with the whole office.Tenants come and go, especially in cheaper ereas.

    3 : Never put the date on the contract, always finance 14 days and settlement 30 days from date of vendor signing contract. The reason being if the vendor doesn’t sign the contract straight away you may find your self running out of time.

    4: And just remember that some things you read on forums is like saying I heard it down at the pub. ha ha.[biggrin]

    Profile photo of ecattecatt
    Member
    @ecatt
    Join Date: 2005
    Post Count: 40

    Research will find you the deals, but dont rely on one source, such as the internet… get out there and network!
    When renovating remember time is money, so be organised before hand, and always have a contingency fund!!

    An inch of time is an inch of gold but you can’t buy that inch of time with an inch of gold

Viewing 20 posts - 41 through 60 (of 137 total)

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