4 Rentals & 1 PPOR now im stuck
- Thread starter 7DD4
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My largest single referral base is accounting firms, so I'm more than confident you'll find integrity in the methodology /modeling I have freely published for your review, consideration, critique etc etc...
Have always stood by the numbers, and continue to do so... if they weren't robust it would have been pretty easy for someone to demonstrate it. Ive been posting about NRAS for several years, well before I made a living from this, and while many naysayers have taken pot shots along the way, none of them have been willing or able to point to any deficiencies in the numbers when challenged to.
Countless Somersofters have run the numbers through PIA software and have purchased and seen first hand that the numbers dont lie. Im sure if you were to ask, they would all confirm that for you... So I really do welcome the scrutiny, and if you were to call me tomorrow and ask for my assistance I wouldn't agree to it without insisting you sought independent advice beforehand... for credit, tax and planning purposes.
Be patient with your accountant though, especially if they aren't specialists in property investment. In my experience, most accountants are not only unaware of NRAS , or have a very poor understanding of it, but struggle to even explain what a Refundable Tax Offset is.
After all, when so called gurus like Ms Lomas, Mr Yardley, Mr Hunter and so forth, cant get the fundamental facts about NRAS right... no wonder most mortals cant either.
In the meantime, I will continue to offer free, accurate, factually sound information for people to consider, review and to go off and research for themselves. I just love talking NRAS and showing people a different way to get results. Love it. Loathe it. Procrastinate. Act. Ask for my assistance. Dont. Take what I've shared and go to someone else... just think for yourself, crunch the numbers I've show you how to crunch and and dont believe that capital growth and negative gearing will get you there. There's an entire generation that cant see past the antiquated buy, hold, grow model that required a complimentary credit boom to work succesfully. You have missed that boat, and wont get the free ride the credit boom gave that generation, so you wont be able to replicate those sorts of results following that methodology.
Have always stood by the numbers, and continue to do so... if they weren't robust it would have been pretty easy for someone to demonstrate it. Ive been posting about NRAS for several years, well before I made a living from this, and while many naysayers have taken pot shots along the way, none of them have been willing or able to point to any deficiencies in the numbers when challenged to.
Countless Somersofters have run the numbers through PIA software and have purchased and seen first hand that the numbers dont lie. Im sure if you were to ask, they would all confirm that for you... So I really do welcome the scrutiny, and if you were to call me tomorrow and ask for my assistance I wouldn't agree to it without insisting you sought independent advice beforehand... for credit, tax and planning purposes.
Be patient with your accountant though, especially if they aren't specialists in property investment. In my experience, most accountants are not only unaware of NRAS , or have a very poor understanding of it, but struggle to even explain what a Refundable Tax Offset is.
After all, when so called gurus like Ms Lomas, Mr Yardley, Mr Hunter and so forth, cant get the fundamental facts about NRAS right... no wonder most mortals cant either.
In the meantime, I will continue to offer free, accurate, factually sound information for people to consider, review and to go off and research for themselves. I just love talking NRAS and showing people a different way to get results. Love it. Loathe it. Procrastinate. Act. Ask for my assistance. Dont. Take what I've shared and go to someone else... just think for yourself, crunch the numbers I've show you how to crunch and and dont believe that capital growth and negative gearing will get you there. There's an entire generation that cant see past the antiquated buy, hold, grow model that required a complimentary credit boom to work succesfully. You have missed that boat, and wont get the free ride the credit boom gave that generation, so you wont be able to replicate those sorts of results following that methodology.
@euro73. Is there a time limit on how long NRAS properties will be developed? I think you had mentioned previously there was a number limit per state per year. Is that correct? Does NRAS replace some public housing. Eg Is less spent from government on building new state housing since NRAS has been introduced.
There is meant to be a 5th round of incentives, the final 10,000... and those 10,000 dwellings are to be delivered between July 1 2015 and June 30,2016. i.e the 15/16 financial year. However, it would appear to be on hold and like all Fed spending, is being reviewed under the Commission Of Audit that is currently happening. So the existing NRAS allocations from Round 4 may now in fact be the last that are actually funded. This means that anyone with plans to acquire NRAS properties needs to consider accelerating those plans... because Round 4 allocations must be delivered and activated by June 30,2014.
There are a small number of Round 4 allocations already funded for delivery in 2015 and 16 however, but its only about 1,000. And there are also 2,000 new allocations funded for delivery before December 2014 under the "shovel ready" tranche.... but the long and the short of it is; those investors interested in NRAS who were planning on waiting until later this year or next year to start acquiring, may need to review their plans.
Of course, if Round 5 does go ahead, there will still be 2 years to invest. If not, you have between 4 and 10 months, basically.
NRAS was not designed to replace public or community housing. It was designed to create affordable housing. The income thresholds for eligible tenants are significantly higher than public housing thresholds. Quick example - max income for NSW housing is 57K. max income for NRAS is 135K
It's one of the myths and misconceptions that continues to be peddled about over and over again by the critics- that NRAS = public housing or social housing. The people who publish these types of things are either ignorant or being deliberately misleading , and I can only assume that would be because their businesses revolve around selling regional 2nd hand property or stock that doesnt have NRAS eligibility. Either way, they have zero credibility on the subject because they are simply wrong.
Be patient with your accountant though, especially if they aren't specialists in property investment. In my experience, most accountants are not only unaware of NRAS , or have a very poor understanding of it, but struggle to even explain what a Refundable Tax Offset is.
Sage advice re: your accountant.
I deal with accountants also and my experience is they don't seem to know a lot about financing for IPs even though they may portray otherwise.
Fair enough though as I have some knowledge of taxation but much more on financing property, among other asset classes.
Have to agree with Euro, NRAS is a misunderstood investment strategy that has been tainted by rouge operators.
In fact I helped a friend move today and the property she was renting is an NRAS property and was the only type she could afford as she is studying nursing at a nearby uni.
She told me that there was a a lot of NRAS properties in the surrounding area and it is an upper middle class suburb of Perth so definitely not social housing clientele in that neighborhood.
keep hearing between 6 and 18 months.
If the relaxed granny flat rules entice investors enough to provide cheap accomodation it would save the state govt pumping money into NRAS although I think it will be a while before granny flats take off in WA.
I would be very selective on location. An NRAS property in a location like that sounds great!
I have come across a few people renting who are low income that have never heard of the scheme so a lot of tenants don't seem to understand it also. I have noticed advertised NRAS rentals get snapped up quickly though.
PM me and we can discuss offline.
There are most definitely really good NRAS deals to be had. Some additional examples of areas which could hardly be described as ghetto-ville, where I can confirm that every valuation, across multiple different lenders and multiple different valuation firms = on the money.
Elanora Heights NSW
Gregory Hills NSW
Brunswick VIC
Windsor QLD
Fairy Meadow NSW
Orange NSW
Ringwood VIC
Wynnum QLD
Geez Euro, in the zone on that response!
Well if I left readers to rely solely on the erroneous opinions of NRAS offered by too many of the forums Monday morning quarterbacks who "think" they know how it works and what they're talking about , that wouldn't be very fun, would it?
You get your initial deposit money/equity back out of the property, and re-use this for your next property purchase
