Howdy folks
I've been tossing and turning for the past few days over an issue running through my head and thought I'd lay it down in the open and see what you experienced folks would or have already done...
Here's the situation:
Have always wanted to help Mum setup (retirement age in 10 years, 65?)
Like all mum's, she's paid off the house and is a real trooper and gives so much of herself to the community. She's so selfless working and giving, any talk of property and numbers and stats just go way over her head and is just not her thing.
The last dealing they had with IP was back in late 80s where interest rates were nearly 20% - suffice to say, that was her first and last involvement with IP until recently...
She went to a property seminar and booked a time to speak to the consultant (I was there) - they sold off-the-plans, mainly apartment developments and said that to guarantee development going ahead - they bought 60% of the deposits so could guarantee developer can get loan to start building (I'm not familiar with developers and how this works or if it's true).
This particular one was 3 kms from Brissie CBD BowenHill, Newstead area, ~$400K, 1 bd, 1 bath, maybe carport - 10% deposit, build finish in 2 years
For mum it'll be around $200 cashflow negative.
Comes in Son: Newbie IP investor and newly married (ie mwah)
Just bought a -'ve cashflow villa
After sitting down with consultant and Mum, mum puts a "reservation" down
with 7 day cooling period. Mum trusts the consultant, who's new and just also bought an apartment in same tower and trusts the director, who's also bought one himself - apparently.
I said to Mum, my gut feel was to calm down and not "rush things" because units were "selling out"!
I still would like Mum to get at least one IP but how...
If you had mum who had ~10 years left to retire, what would you suggest/ or have done?
Graciously appreciate your experience and feedback.
A
I've been tossing and turning for the past few days over an issue running through my head and thought I'd lay it down in the open and see what you experienced folks would or have already done...
Here's the situation:
Have always wanted to help Mum setup (retirement age in 10 years, 65?)
Like all mum's, she's paid off the house and is a real trooper and gives so much of herself to the community. She's so selfless working and giving, any talk of property and numbers and stats just go way over her head and is just not her thing.
The last dealing they had with IP was back in late 80s where interest rates were nearly 20% - suffice to say, that was her first and last involvement with IP until recently...
She went to a property seminar and booked a time to speak to the consultant (I was there) - they sold off-the-plans, mainly apartment developments and said that to guarantee development going ahead - they bought 60% of the deposits so could guarantee developer can get loan to start building (I'm not familiar with developers and how this works or if it's true).
This particular one was 3 kms from Brissie CBD BowenHill, Newstead area, ~$400K, 1 bd, 1 bath, maybe carport - 10% deposit, build finish in 2 years
For mum it'll be around $200 cashflow negative.
Comes in Son: Newbie IP investor and newly married (ie mwah)
Just bought a -'ve cashflow villa
After sitting down with consultant and Mum, mum puts a "reservation" down
with 7 day cooling period. Mum trusts the consultant, who's new and just also bought an apartment in same tower and trusts the director, who's also bought one himself - apparently.
I said to Mum, my gut feel was to calm down and not "rush things" because units were "selling out"!
I still would like Mum to get at least one IP but how...
If you had mum who had ~10 years left to retire, what would you suggest/ or have done?
Graciously appreciate your experience and feedback.
A