Hi guys
Interesting forum…
Don, are you interested in holding back some of the purchase price as vendor finance… I am interested in the property but would need some vendor finance in it… Maybe send me an email to [email protected] if you are interested…
To all the other readers, our company also offers a buyers advocacy service where there are some great properties around at the moment offering 10-12% returns across some of the key areas across Australia…
There are some real hot spots at the moment…
Email me at [email protected] if you want to talk further….
Regards
Simon
djs wrote:And the best part is… after 2 weeks of scouring the internet I have found dozens of CF+ oppurtunities.The first was a 4 bdrm in the nth west listed for only $40,000 in a town where the mean price is $120,000 and rental returns are average on those. We found it late Friday night and thought, to be considerate we'd enquire at 9am Monday morning… Everything's closed on the weekend in the country. It was sold to the first caller late Friday night !!! The lucky owner might be reading this post right now ???
djs, where did you find these listings?
Hi Guys,
We have just sent out a Property Alert email to our database, advising of our latest Property deal. Which is cash flow positive pre tax by over $4,000 p.a. and in a excellent growth area. Available via assignment.
What advice do you guys have I have $20k in the bank and have started a business, to get my first investment+ive cash, what dollar figure should I save, what sites are bets for private sale in melbourne?
Warm regards,
Fergs
Hi Fergus,
My first advice would be to not limit your yourself by only looking to buy property in the area you live. Many people think they will not be able to afford to purchase, just beacause the average property price in their home town/city is too high.
I would rather see people get into the market by purchasing a property in another lower priced location, than not purchase anything because they cant afford their local prices.
Best to get into the market, with a lower value property as soon as you can and start getting some gain in value (also best to learn all the ins and outs of buying/financing etc on a smaller deal) then step your game up with each deal as your knowledge and experience level increases.
A block of apartments in Horsham has been for sale for $595,000 for a long time. I think you could probably pick it up for $550,000.00
They are renting out at $51,220 PA
Is that positive cashflow?
Getting close at $492,500
THanks Michael,
will check them out..the more conracts the better.
Cheers
SAMYour plan looks wonderful. I am looking forward to it. I am looking for a good place to invest so that I can easily make good money. I request all members in this forum to suggest some good place names so that I can go to a deal.
marx3bull wrote:Your plan looks wonderful. I am looking forward to it. I am looking for a good place to invest so that I can easily make good money. I request all members in this forum to suggest some good place names so that I can go to a deal.Check out our latest offer here, good discount below the valuation and cash flow positive as it is, with a good rental upside beyond current rents. Here's the online version of the email that went to our database http://eepurl.com/dMoQ more info and the full property report is available on request.
you can find +ve cash flow properties here:
http://www.PositiveGearingProperty.com
I highly recommend putting all the figures including all outgoings into a spreadsheet to really find out how much money you are making every week or month.
Even if you buy cash flow negative, eventually it's going to become positive as rents go up.
FordGT18 wrote:Even if you buy cash flow negative, eventually it's going to become positive as rents go up.Yes, that is absolutly true, but the problem is can you afford to hold it long enough for that to happen, and the other problem is, you are very limited to the number of those properties you can buy, as you run out of debt servicing ability and the ability to keep qualifing for bank finance.
Whereas if you purchase properties that do produce a positive cash flow from day one, you do not run out of borrowing power and can purchase alot more property in a shorter space of time, which will obviously lead to you being worth far more down the track.
Kiwi Property Guy wrote:marx3bull wrote:Your plan looks wonderful. I am looking forward to it. I am looking for a good place to invest so that I can easily make good money. I request all members in this forum to suggest some good place names so that I can go to a deal.Check out our latest offer here, good discount below the valuation and cash flow positive as it is, with a good rental upside beyond current rents. Here's the online version of the email that went to our database http://eepurl.com/dMoQ more info and the full property report is available on request.
in regards to the property u linked to… so you are selling them at 270k even though they are valued at 340k?
what is the reason for the discount?for calculating the cash flow position…
assuming a deposit of 10%..
amount borrowed = 243k x 0.08 (interest rate.. assuming? i got no idea)
= 19,440 ~ interest only repayments to bank…yearly rent – 420 x 52 = 21,840
21,840 – 19,440 = 2,400 positive cash flow
so you'd calculate the cash on cash rate as 2400 / 27k ( + purchase expenses) = less than 8.8%? (you only count pre tax cash flow right cus depreciation tax savings are paid back on sale of the property?)
also is this an example of a flip? (your assignment fee of 8,500)
im reading 0 to 130 properties that the moment and wanna make sure i have everything down..
is this slightly dated… are +cash flow properties harder to find in todays times?
thanks
Hi Suchy,
Send me an email at [email protected] and i will reply with the full info report on that property which includes the cashflow analysis etc, so you can see it all in full.
These particular properties were built and have been owned by a party of 3 people, they have had a falling out and have put the units up for sale, they initially had them marketed as a whole for well over $1.6M for all 5, and they wernt interested in selling seperatly. Several months on they just need to get them sold, hence the discount.
This deal is a current deal, last couple of weeks. We now also have another deal on offer, 5 bed house split in 2 flats, 9.82% Gross yield 35k below CV and close to NZ's Capital City (Wellington)
See the online version of the Property Alert here http://tinyurl.com/yzdaruy
Hi Adam. I was looking for informations about CF+ deals from a few days. As I am new in real estate your post was very helpful for me. Thank you for sharing.
Can someone offer constructive words of advice?
After taking BAD advice – I went bankrupt to clear my debts (I know.. but now I must live with that silly decision).
Now discharged (6 months ago), I am in a high income bracket (> $100,000 gross pa) with no debts at all and wishing to start property investing although I'm now in my 50's.
Any constructive words of advice would be much appreciated…
garymcl wrote:Can someone offer constructive words of advice?
After taking BAD advice – I went bankrupt to clear my debts (I know.. but now I must live with that silly decision).
Now discharged (6 months ago), I am in a high income bracket (> $100,000 gross pa) with no debts at all and wishing to start property investing although I'm now in my 50's.
Any constructive words of advice would be much appreciated…
The best advice I could give is to get educated so that you have the ability to make your own informed decisions, rather than rely on bad advice from others. And remember that "the most expensive advice you can get, is free advice"
You need to be able to perform proper due diligence, and complete some decent financial forecasting before comitting yourself to any property purchases. And never buy a property unless you have at least one sound exit stradergy if your initial plan doesnt play out.
Even if you are unable to secure finance due to your history, you can still 'trade' property and make good money without the need to get mortgage finance.
The small cost to educate yourself is nothing compared to the numbers you are dealing with when purchasing property. It is a small investment in yourself that will pay you back forever, and more importantly help avoid very costly mistakes like you have already experienced.
Hi Everyone,
I am just starting out in the property market now. What are your thoughts on coastal properties where there are rental crisis?,…. It will be easy to get the rent, location is perfect, near centres. The only problem people are warning me about is if I get this property… There will be owners who may not be the best tenants. What are your suggestions?
Hi Investor Girl,
Are these coastal properties in a tourist location? I would not recommend investing in tourist properties or holiday homes as the rental income is usually not that secure. They often boast high rental yields however you have to think about if that income can be maintained.
Hope this helps
thanks
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