Hey guys, I’m Daniel from Wollongong, NSW.
My partner and I (well mostly me) would like to get into property investing. However at the moment my partner is the only one with a full time job earning $42k (first year since graduating from uni). I on the other hand am still a Uni student hoping to find work come early 2007. And I’m only on government study allowance so thats a skinny $400 fortnight.
In August I wrote up a savings plan for a deposit on our own home, however this may turn and be used for PI. So by the time we enter April 07 we will have a total of $24k (hopefuly). Was hoping for a March hit but Xmas got the better of us and bought a Nintendo Wii for us and our son
I have purchased books by
* McKnight – 0 to 130 and $1,000,000 in Property in 1 year
* Somers – More Wealth from Residential Property
* Seeto – Property Millionaire
* Yardney – How to Grow a Multi-Million $ Property Portfolio
* Spann – How to Grow a $10 Million Property Portfolio 10 years (not really sure about this book though)
* Kiyosaki – Rich Kid Smart Kid and Rich Dad Poor DadI have read both Kiyosaki books – so what book should I go onto next?
Ive also just started my subscription recieving Property Investor and Your Mortgage..
I no longer have a student loan however my partner she has a car loan and puts in $400 a month.
So what steps should I take in order to get started?
What price should I aim for? If I we could loan, say $250k should we look for a house at that price? Or aim low like 200k – 180k?Dont see many 180k houses around these days though.
Also what are Townhouses like as a PI? Apartment over a house to start off with?
Any recommended websites
Are there any sites that I can look at regarding potential property on sale.Anyway thanks for reading my posts and I will keep no reading other posts on this forum.
Also how valuable is that MasterClass Pack and what else would you recommend that is available on the Online Shop on this site?
Well done for the savings plan.
Other books to read;
The rest of the Jan Somers range, Margaret Lomas, Monique Wakelin, Noel Whittaker, the rest of the Robert Kiyosaki range, Terry Rider, Neil Jenman, Peter Spann, “The Richest Man in Babylon”, “Think and Grow Rich” (Napoleon Hill), “The Millionaire Next Door” (Stanley & Danko), John Burley.
There are many others, but I can’t remember them off the top of my head.Before you think about a price range to buy in, get your financial statement together and go see the bank to establish a ball-park figure for how much you can borrow. The bank will assess this based on your incomes and your overall financial position.
Once you know these factors, you can start to look at properties within your price range, and do some research on where, what type, what’s good value etc.
Cheers,
Marc.
[email protected]Hi Daniel
I would concur with Marc that the next step is to vist your bank or your broker and get an idea of what you would qualify for. This will not tie you into this bank or broker and you can talk to others later. However, all you need to know at this stage is the amount you could borrow so you can then work out what you can afford to buy. The answer will be different whether you will use property as IP or PPOR.
Rough costs to purchase and finance usually work out a little more than 5% of the purchase price plus mortgage insurance less first home owner concessions and grant (if you are going to use it as your PPOR).
Calculation then becomes $24K = (purchase price)*1.055 – loan.
Or purchase price = ($24K + loan)/1.055. Add the FHO grant and concessions to the $24K if this is applicable.
Then as long as the loan/purchase price (LVR) is no more than 95% or whatever limit the bank puts on it, you have some idea of what to look for.As for books, Steve has a new one out. And you could try your local library and work your way down their shelves for a free read.
Mum
Not sure why the theme is go to a bank, I guess I am a little biast but my suggestion is go to a broker. Make sure you pick a good one though, ensure he/she is MIAA accredited and a member, ensure they have completed Cert IV in mortgage broking.
When the introduce you to the loans ensure they offer you a selection and ask if they are paid any extra from a particular lender. Some such as myself get paid the same no matter which lender.If you go to a bank they usually do not spend much time helping you identify what your needs are. A good broker will assist you in identifying the features of a loan that will accomodate your needs. Interest rate is only a small part of a loan. A good broker will not only assist you with lodging your application but follow it through the process providing a clear explaination of what is happening. Tell me the last time a bank manage gave you five minutes after signing you up.
Wayne Skewes
Mortgage Broker
Email [email protected]
http://www.eaussie.com.au/Mortgages/Aussie_Mortgage_Adviser.asp?ContentID=852280
Refinace, Loan Consolidation, Owner Occupied or Investment Finance. Free Service I come to you!Hi Daniel,
A website that will help you to get started in property is:
http://www.propertydivas.com.auIts a “one-stop” education resource website thats packed with heaps of articles, templates and spreadsheets that you can download for free.
You’ll also find a list of Finance Brokers that will be able to help sort out your borrowing capacity.
Best wishes,
Amanda
“It is better to be inconspicuously wealthy, than to be ostentatiously poor…”
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