Please help a novice!!

Hi Tracy

Well done on achieving such a strong financial situation through savings.

My personal preference for property is the classic ‘3 bedroom, brick and tile’ property that is generally pitched at the first home buyer market.

Where I am based on the Central Coast, these are generally priced around the low to mid 300’s.

My reason for this type if property is that they generally rent quickly, the returns are quite good and should / when i choose to sell, this type of property will always be in demand. I also find the value is much more stable than in some of the high end properties…

I’m sure you will get a whole bunch of different responses to your question.

My advice at this stage to you, if I may offer it, is to take your time formulating your approach. In the same way that it has taken time to achieve your current financial situation, allow the journey to investment wealth to take some time. Hopefully this approach will allow you to enjoy the journey and avoid a whole bunch of sleepless nights

Matt

Hi Tracy

Maybe I’ll see you at an open at some stage

I’m currently watching Wyoming as my main focus…

If / when you would like some advice on different areas from a rental perspective you should talk to Ellen (www.therentingexperts.com.au).

Her company has taken care of my property for a couple years now and have been great to work with.

Matt

Ps. Jamie is bang on with his advice above. A good broker is invaluable.

Hi Tracy,

  Welcome to another new member.  And "Well done!!" to you and your family for setting yourselves up so well.   Approach IP investing slowly and thoughtfully, and i have no doubt you will do well. 

  I mentioned in another post somewhere that I spent almost a year – reading books, going to (usually free) seminars, meeting with others, learning to spreadsheet, watching the market, etc before finally committing to purchase 3 properties in the first year.   We had paid off our home too, and we re-borrowed against it (tax-deductible this time, as Jamie said…) to provide "deposit and costs" for those 3 IP's.   We also took the simple route – buying up average homes that anybody/everybody could afford to buy and/or rent.

  Frankly, I was amazed at how well those three did in setting us up for more down the track.   My timing was fortunate too, as we bought them (in Brisbane) just prior to Brissy "going off" (this was 1999/2000).    I had a 13 year goal that we achieved in just 7 years, thanks to our IP investing !!!

  Starting out, I read Rich Dad, Poor Dad (which set me off on the path in 1998) and Dolf de Roos's "Real Estate Riches".  He made some salient points that stick with me today.  Then I found other inspiring books – and met some very inspiring people too.   I suggest you read Steve's books, and I also particularly like the Jan Somers books – hers are also very readable, with a wealth of "numbers" that show the way.  That suits me, as I am primarily a numbers person.   

  You sound like you are "good to go" too, as I was back in 1999.   Plan your path, check the numbers, read, learn, meet others, find your "team", research your buying area(s), then go for it.   And do drop in any time to ask any questions.  

  Good luck,

Benny