- TommiMember@tommiJoin Date: 2004Post Count: 13
Just got back home from a terrible day at work, phone rings and its the real etate agent telling me I’m going to have to move out or buy as the owner of the house is selling it.
At this stage I had to hand the phone to my g/f to finish the call…
Turning the situation on its head, instead of thinking my day has gone to worse, I’ve looked on the bright side of things so basically I’ve been forced into property investing.
Repayments judging from CBA will be 450pw, and no way in hell can I rent the place out for that! So its not cash flow postive? (I’ve bought Steve’s book 1m prop in 1yr) but I’m just starting so I’m not a property guru yet [biggrin]
Landlord wants 260k, places in the suburb are rented out upto 260pw (I’m currently paying 220pw)
If YOU where in my situation what would you do?
[blink]zucanMember@zucanJoin Date: 2005Post Count: 13
I’d move out! Too heavily -ve for my liking.hmackayParticipant@hmackayJoin Date: 2004Post Count: 197
Depends on what u want to do. If u are happy paying rent then keep renting. They must give some notice to vacate, I think it’s a month in Qld, or if u have a lease they can’t kick u out.
I would not contemplate buying just because the owner wants to sell…I would buy if it’s a bargain.
The market in Qld has slowed alot, therefore it would be highly unlikely that it would sell quickly.
Also the $450 repayment per week appears very a bit steep.
Perhaps u could provide more info so that others can offer better responses.
hrmJKMMember@jkmJoin Date: 2005Post Count: 82
Tommi, do not be driven by fear. If this is the house of your dreams then maybe think about it. But I personally see my house as somewhere to store my junk & sleep at night. Most of my excess cash goes to investing so weigh up whether you want those repayments against what you could otherwise have in terms of investments &/or your own place… Hope that made some sense[blush2]RichLeeMember@richleeJoin Date: 2005Post Count: 25
I am new to IP’s too… but wouldnt consider this as an IP, especially if it CF+ you are wanting. I guess it depends how much you like the place, if u really want to stay there, or if it will be easy to find another place. Maybe look for something else to buy that isnt quite as expensive. And they cant just kick you out on the street, so you should have time to consider your options. Good luck with the house hunting…[wink4]NEWGENParticipant@newgenJoin Date: 2004Post Count: 151
Whatever makes you happy…TommiMember@tommiJoin Date: 2004Post Count: 13
Thanks for the reply’s, looking at the property market and its hard to find a bargin that suits living in it for my repayments, actually any one know a good lending insititution that could lend upto 300k and have repayments as little as 300ish hehe [cap]
It appears the market is so mixed up at the moment, this 3bed room newish house on a tiny block is 260k or I can buy a town house next door for 245k [blink]
I think I might move to the moon and eat cheese hehe [blush2]
but on a serious note, I have 1months notice, my g/f works in Brisbane and I work on the Gold Coast, I drive she catchs public transport, I was going to move to Brisbane too however having some problems in that department at the moment.
Combined income is 70k pa and we are looking for a house in Southern Suburbs below 250k that can be lived in for a yr on a interest only loan, that I can renovate on weekends and increase the equity, then end of year, sell use profits to purchase another property hopefully better.
Any ideas or sugguestionshmackayParticipant@hmackayJoin Date: 2004Post Count: 197
Make use of the First Home Owners Grant if u qualify.
Girlfriend…Perhaps u both could buy a duplex side by side, each gettimg the FHOG, share with room renters.????????
hrmHC_2Member@hc_2Join Date: 2005Post Count: 1
Big Grin [biggrin]
HelenBrady5Participant@brady5Join Date: 2005Post Count: 21
You havent mentioned how many bedrooms the property has!!
I assume you and the g/f are sharing a room ( otherwise you would be man and wife !! ), so what of the other bedroom!! This would have to rent for how much per week/month/furnished/unfurnished/with meals provided or without/ with laundry done or not/ with English lessons after 6 pm for 2 hours.
God forbid if there were 2 spare bedrooms plus study!!
Get creative and make this situation WORK for you and your future
Please dont tell me that same story about ” not fitting into our quality of life”, you are capable of purchasing this property for your financial future if you consider all options.
If this is all too hard, then the best of luck, and I mean NO DISRESPECT but with your combined salaries, you need to think OUTSIDE the box.
Sincere best wishes.Don NicolussiParticipant@donJoin Date: 2005Post Count: 1,086
yeah, I would move out and secure a lease at another property and then invest in a higher yielding investment. Seems like a lazy way to find an IP.