Recent content by Michael A

If you are going to purchase from someone who describes themselves as a " property investment adviser" who works for a "property institute" or similar you can be sure they will be receiving a commission of between 4 to 5% of the purchase price!!! This is more than double what a typical agent...

Great post. I would love to see to a feasibility. Raw cost for each site plus stamp duty, how large each lot is, total site size, infrastructure costs including interest and the selling costs plus the % net margin. Do you have any pre sales? Are you looking to sell just land or house and land...

Thanks for the reply Aaron. I was not suggesting what you are proposing cannot provide the same benefits as options can, although the benefits on the surface appear minimal. I would love to be proved wrong, as I will have another creative way of brokering deals to put in the arsenal. No...

The data in Victoria is limited because the valuer general only sells two licenses to re sell their data. The REIV and RP Data have the current licenses. Www.myhomeguru.com.au and www.ozhomevalue.com.au are lead generation sites owned by www.Realestate.com.Au (REA) and they provide subscribing...

I believe the faster wealth creation strategy is to look for capital growth more than cash flow positive properties. You need a lot of cash flow positive properties to make $100 k per annum. One good capital growth property can give this every year. There is less risk in this strategy as the...

You could offer the vendor 10% more then he is expecting for an 12 mth option to purchase. Apply for the two lot subdivision. Get it in 3 mths. Advertise the land and a house and land package separately on www.forsaleforlease.com.au Secure a buyer, have a contract prepared for the sale based...

Jimmy Think bigger. Not smaller. What I would do is : 1 Contact your local council ask what the minimum size lot is in your area, and the minimum setback from the fence line. 2 Mathematically work out how much of each neighbours property you would need to be to compliant with the guidelines...

The developer would not be able to accept a 20 % deposit unless it is a terms contract. 10% is the maximum deposit allowed. The only benefit to the developer is if the money is held in a solicitors trust account he would be entitled to the interest earned on the deposit, if this was in an...

For a contract to be binding there needs to be an offer, acceptance and consideration. The actual exchange of the physical document is enough to be considered consideration. There is legal precedence to support the exchange of contracts as the consideration. Having said this it is easier to...

Leghorn I'm a real estate agent and developer, not a Rhodes scholar. I'm sure you know what this was meant to say.

Rolf My legal advice says otherwise. If the discount being applied is appropriate for the consideration then this approach is legitimate and acceptable. Seek your own legal opinion. If you know the market well and can find deals 20% below the market price then you should be able to borrow...

If these blocks of units are built in brick and no wooden floors to the second story then the cost to subdivide, strata title is well and truly justified. If they are timber the fire ratings will kill the opportunity. Why not look at this as another value added opportunity. Sell three keep one...

Your other option is to load the purchase price by 20% have your solicitor prepare a collateral agreement which is "separate to the contract of sale" that reads something like this. " The vendor agrees to refund to the purchaser 20% of the sale price if the settlement is provided within 30 days...

Negotiate the price subject to finance for 14 days. Get what you can from the bank, lets say 60%. then go to the vendor and tell him/her that you require vendor finance for 20% at 7% interest for 24 months otherwise you will not be able to proceed. They get a second mortgage and a caveat to...

Aaron The main benefit of options over your proposal is the purchase is "optional" with an option agreement. My reading of your unit trust proposal you appear to have committed to the purchase, is this correct? Can you pull out? If you don't obtain the necessary DA approval to bring up the...