Kriscot
I think i’ve found your answer
its been there all the time…….
we’ve just been looking in the wrong place…….
NOW, who’s the “Greatest Treasurer this Country has EVER HAD”
right
The Hon Peter Costello …..member for Higgins….you lucky people….
and there it is …..in the ….
wait for it….
THE BUDGET 2005
the bible of the country………
it tells us where we’re going according to god (johnnie) and peter on his right side…..
now according to the scriptures…this is what’s going to happen…….
“In Australia, consumption is expected to moderate over 2005-06 and 2006-07, from the very strong growth of recent years. While the increase in petrol prices during 2005 will have contributed to the slowing in consumption, the moderation predominantly reflects the plateau in house prices. Dwelling investment has also moderated, although the current dwelling cycle is likely to be very muted compared with past cycles. In contrast, business investment remains strong and is expected to continue to grow strongly over the forecast period. Strong demand for commodities and high rates of capacity utilisation should support business investment.”
now if thats a lot of jargon for you…..
in simple termsproperty’s stuffed……i think he said muted….spoken like a true liberal
business up………go go go shares…ya hooooothanks peter
kiss to johnnie….he’s doing a great job….don’t worry about the wheat….yeh…they’ll forget by election time….sorry…..
now the budget might not be everybodies idea of good bedtime reading….but i’ll tell ya what……..
it tells ya where the country’s going……
“keep going WA”any room on that boat…….ah come on…..i voted labor………
Originally posted by hb:hi michael
just reading your post again
“you’ve bought 4 properties in the last 6 months in melbourne“
gutsy stuff
Did you do you figures?where you expecting the market to pick up quickly?
i only ask because that probably wouldn’t have been my strategy…..
why?
well 4 properties at melb median price (360k) = 1.44m
10% down..minus buying costs 107k, minus water and council rate 7k then add 62k rent, makes a 1st year loss of $152k…
no equity gain as property has gone backwards 2.7%…but lets call it zero…
no real gain heredo you know what you missed?
remember the newspapers having been telling us for the last 12 months….”china thirstly for australian minerals”…and “property stagnant”
now i’m no brain surgeon, but if you go with the flow…
you could have made 2.17m on your 1.4m paid the bank back, and pocketed 763K…..all in 12 months…with BHP shares…then you’d be ready when the property market starts that next boom
so instead of only 140k deposit, you’d have (763-CGT) 575K to invest in IPs
Now we talkingMy properties cost considerably more than what you suggested, they were above the median price”. But I did not put my “hand in my pocket” for money for any of them.
I would suggest all have gone up in value.
They were all old houses on land with development potential.
One was with permits, (DA) and construction is half completed already. Will be finsihed in 3 months – I am keeping both townhouses with a notional profit of $150-$180K
Another one now has DA so increased in value about $100K. Will start building in 4 weeks – and sell these.
The other 2 adjoining blocks will give me a 5 townhouse site, but currently having hassles with the neighbours and I can see us ending up in VCAT.
So I have done well by adding value but I accept that property values in general are not rising.
In April I will be holding my Annual Property Briefings in most states, I wil go through exactly what I did and how, to show others what is possible (of course there are also lots of other ways to make money out of property )
Michael Yardney
METROPOLE PROPERTIES
Author of Australia’s leading property e-magazine.
Join over 10,000 readers each month.
FREE subscription http://www.PropertyUpdate.com.auOriginally posted by hb:, had we invested that money instead into Comm.Bank shares, today the return would be 1million ABOVE the return we got on the penthouse.
Yep..dont ya just wish you bought into the Comm Bank, Wesfarmers, Rio etc some years back..
remember we dealing with SMSF…no borrowings
So the same problem arises today as 13 years later…
where to invest Shares or property?
except this time there’s in excess of 1 mil cash to play with….
[blink]My supers only at about $38k hb..I’ll never get rich of my super..hence my interest in property and sharesbut hey what would i know…
[biggrin]A lot..if you read between the lines :o)“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorMichael has always been a confident project builder and marketer and is successful beacuse he seeks it. Those using the share market and those usuing property will counter each other in quoted wins and losses forever.
I love our diversity and I also love all the passion each of us shows in what we do to achieve. Hats off to all of those that made money whichever way and lets all share the knowledge and info that got us here so we have great chats at the BBQ’s with like minded intelligent people.
DD
Buyers Agent (Dip Financial Services(FP)
Don’t sweat the small stuff,and it’s all small stuff!!
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