Search results

Power corrupts. And absolute power corrupts absolutely.

With $1m cash I would probably use it to start/buy a business to generate cashflow. Of course that might be difficult given the crappy retail conditions right now but it's probably the best option in order to create future growth opportunities.

People don't buy even if they are looking a gifthorse in the mouth because it's 'too risky' or 'property is going to crash' etc. Plenty of reasons.

Buying and renovating is an alright strategy. Only problem with it is you will get into trouble with the banks because you keep churning your loans very rapidly. One day they will refuse to lend to you and it's game over.

I don't think I could've made myself any clearer.

What I mean is that people in Credit find it difficult to understand any loan that is 'outside the box'. This means that if something on your payslip, bank statement or other documentation is 'missing' or 'unclear' - they are going to cause you a lot of problems. I've seen it all before

I'm buying development sites right now. So many people are in deep ***** and it's time to turn the screws

The thing I don't like about this is the loan application process. As many mortgage brokers can attest to - it is very difficult to submit an application to Credit's satisfaction because they're a bunch of morons. Online is just going to exacerbate this problem.

Oh carrots tend to dry up real fast if they're cut thinly.

It just shows you that banks know that rates won't go up in the near future. I don't know why everyone thinks otherwise.

They won't let you go! They've won.

Obviously your valuers have been reading too many D&G articles in The Age...can't really blame the bank in this case...

Buying a business might be ok but nowadays they seem to go for ridiculous valuations because there's lot of foreigners buying local businesses for their permanent residency. Definitely not a good move in Victoria. I had a friend who recently sold a small business for about $500k, it loses money...

I like Richmond actually. Very strong market still. But entry price is a bit high for the posters here.

Nah Labour spends money really really well. They burn down roofs and build sheds in schools for $800,000! Come on Labour COMRADES!

Who cares who the lender is? Just make sure that 6.69% isn't a 'honeymoon' rate that will revert back to some ridiculously high rate after a few years. Do your due diligence

Well Americans take their politics seriously...here in Australia we're just apathetic (can't blame them because of the quality of the unionis..i mean 'politicians' here)

That's true Tobe. If it is was so easy then why would people tell you how to do it? They would just keep it for themselves.

The problem with your question is you are trying to maintain a rate of return each year - and that yield is based on the price you pay in the first place. The simple answer to your question is to divide the cashflow ($500 pw) by the required rate of return. In your case - this is 4.75% + 3% + 3%...

ironic that the terrace houses built 150 years ago will last longer than structures built 10 years ago lol