$250K what to do?

Do you want to strickily invest in the Australian property market or you have more fixible than that? I have invested in a nice 1 bedroom premium water front condo in Miami for 1/4 of Sydney price about a year ago and it has been doing quite nicely in terms of capital gain. at least 50% above its purchased value.

But getting the tax and everything right is a pain and still trying to work that out, I've call up a few accountants who can do this for me have quoted me $1400 for setting it up and do the 2011 tax return and $1000 every year after. The other one qouted me for $2100 to setup and 1200 for each year! with different tax structure! I will talk more in another thread to seek some experts advise.

Hi Yobbo, i would recommend looking at some of the Northers suburbs of Adealide. I have recently purchased a pair of duplexes with around 7.5% yield. My properties are in Elizabeth and i have noticed there are a few good value properties around that are. It is a lower socioeconomic area and it is important that you could feel comfortable investing in such an area. The properties like this are tenant proof as they are mostly double brick and timber floors. The vacancy rate is also low and the Playford council (shire) are very proactive in attracting investors and I see a lot of the older big blocks being developed as a result. Also i like the looks of the Mildura (vic)  market, and they also have some lower entry priced properties which would be close to positive geared. Hope this might have been some help

HI Yobbo,

Without knowing your full position – why are your looking at using cash for your next purchase?

If you use cash then you have lost any flexibility the cash can provide you with. For what it is worth I would prefer to put  the money into an offset account – (a bit like earning approx 6% tax free) – and, if possible leveraging off you r existing properties and  their equity.

The use of an offset account means you'll be able to use cash towards your PPOR if, and when, the time arrives.

Cash to the value you have can be used to great effect if used wisely – from my perspective I would spend some time strategising the opportunity you have in front of you. 

I would suggest to be creative, maybe look at a development project, or team up with people who have the experience

I would also recommend investing in duplexes or 2-3 bedroom middle size houses somewhere in QLD. Would you like to invest in Australian property only or you consider foreign property investment as well?