Gday all. from another newbe to the forum

[wagnman]

Gday all.

my wife and I are just getting going with property investment and we have been getting frustrated with the massive range of options available and the conflicting advice and opinions about different areas etc.etc.

Im sure everyone was the same when they started out.

We are trying to buy our first investment property to get the ball rolling at the moment so Im sure this forum is going to be an invaluable source of information.

See you all around.

Happy Investing

 

[The Y-man]

Im sure everyone was the same when they started out.

Yes.... and guss what? It doesn't change! As you go along you uncover even more and more opionions and bigger and bigger range of options you never knew even existed.... Welcome to the Journey.

Cheers,

The Y-man

 

[wagnman]

Yes.... and guss what? It doesn't change! As you go along you uncover even more and more opionions and bigger and bigger range of options you never knew even existed.... Welcome to the Journey.

Cheers,

The Y-man

Geez now I feel like Im looking up a VERY long, steep hill!

LOL!

Seriously though we are bursting to get out there and buy something but very nervous about getting it right so any help thats available would be great.

 

[The Y-man]

Geez now I feel like Im looking up a VERY long, steep hill!

.

Yes, and when you get to the top of that hill.... you will find a higher steeper one beyond it But don't despair! Every journey starts with a single stride. Plod on. Sometimes you'll fall down a cliff - as long as it doesn't kill you, you'll find a way back up....

You are bursting with energy..... but try to conserve it at the start, or you may need some serious recovery time at Base Camp....

Cheers,

The Y-man

 

[alexlee]

Geez now I feel like Im looking up a VERY long, steep hill!

LOL!

Seriously though we are bursting to get out there and buy something but very nervous about getting it right so any help thats available would be great.

See, I think that's what paralyses a lot of new investors. You want to get it 'right'. I aim for 'sort of right, not blatantly stupid'. Don't get too picky. Find something cheap, and put some 'normal' conditions (transport, ok yield, etc.) Don't try to find the perfect property, don't try to buy in an area that has guaranteed high growth, etc.

In the long run, it's about how much you buy and manage to hold. I've never bought a 'right' property. There were always concerns about the properties. In 20 years, though, I'm not going to regret buying any of them.

Don't start with setting the bar at 'right'. Just set the bar at 'actually going through with it and buying'.
Alex

 

[skater]

Like Alex said, don't over analyse. Just do a little research (there is plenty of info here) & get out there & do it.

Best of luck.

 

[wagnman]

Good stuff guys.

we want to try to do the simplest thing we can to just get started and we are thinking along the lines of buying a block in Ipswitch for as cheep as possible and building a 4 by 2 to hold and rent out hopefully being able to take advantage of depreciation to bring the whole deal as close to neutral geared as possible.

the thinking behind this is that we should get some CG by building which we will be able to use to build another to either sell or hold.

We also think this is an easier thing for us to understand the mechanics of the deal.

Our goal is to do two investment property's this year and we want to work towards paying off the mortgage on our PPOR asap.

Is this a good first investment plan or would we be better off trying to buy two units for $350000 ish combined cost to rent out separately? this would offer less risk due to us being sure that both properties would be un-likley to be un-tennented at the same time.

We understand that the units would be older properties and probably experience less CG than the one newly built property.

 

[The Y-man]

....we want to try to do the simplest thing we can to just get started and we are thinking along the lines of buying a block in Ipswitch for as cheep as possible and building a 4 by 2....

Holy cow.... and that's a simple start? Way out of my league and comfort zone...

Cheers,

The Y-man

 

[willair]

We understand that the units would be older properties and probably experience less CG than the one newly built property.

I would do a bit more study on that one,some R-E predictions over time are true,while others are completely wide of the $$mark ..willair..

 

[wagnman]

Where does everyone get their historic data for growth rate change over long periods of time?

im looking for yearly % growth rates shown over say a 10 year period.

How do I get this?

Cheers

 

[The Y-man]

Where does everyone get their historic data for growth rate change over long periods of time?

im looking for yearly % growth rates shown over say a 10 year period.

How do I get this?

Cheers

Which state? It varies.....

Cheers,

The Y-man

 

[wagnman]

Which state? It varies.....

Cheers,

The Y-man

Sorry.....

QLD

Cheers

 

[Aimjoy]

Where does everyone get their historic data for growth rate change over long periods of time?

im looking for yearly % growth rates shown over say a 10 year period.

How do I get this?

Cheers

www.rpdata.com.au
www.homepriceguide.com.au
www.residex.com.au
www.matusik.com.au

Most have freebies and all have data for sale.

Cheers,
Aimjoy

 

[Dazz]

Yes, and when you get to the top of that hill.... you will find a higher steeper one beyond it But don't despair! Every journey starts with a single stride. Plod on. Sometimes you'll fall down a cliff - as long as it doesn't kill you, you'll find a way back up....

You are bursting with energy..... but try to conserve it at the start, or you may need some serious recovery time at Base Camp....

Cheers,

The Y-man

I realise this analogy has been brought up before on the forum....but I really really like this as a metaphor for the investing journey.

If my memory serves me correctly, you brought this up initially Y-man and many people related to it.....more a series of mountain ranges with plateaus and peaks, rather than one big mountain and a gaggle of lost souls gathered at the peak wondering what the hell is next ??

Base camps, long sustained marathon journeys.....just getting over what you think is a peak until you "see" the next horizon, and different terrains as you progress, sheer drops and hidden crevices to be wary of.....and very travellers coming along for the hike.

Most people staying at the bottom wondering what the hell you are doing and how you possibly got a good view from way up there.....and also wondering where the automatic skilift (Lotto) was, so they could zoom up to where you are in 5 minutes....after you struggled for 10 years. All the while, happy to search for the magic skilift rather than just start climbing and forget the skilift.

Nice one.

 

[our obsession]

Wagnman:

Where does everyone get their historic data for growth rate change over long periods of time?

im looking for yearly % growth rates shown over say a 10 year period

.

As well as the other sites mentioned above, I use the State Valuer-General Data. (I am in Vic.). Kinda doubling up a little here with info, but that wont hurt..

and Actually I just stumbled across this:

http://www.propertyvalue.com.au/faq.php

In particular; following excerpt:

**About PropertyValue Property Reports

From where do you source your property information?
Our property information is sourced from the Valuer General's Office in each state.
The Valuer General's Office is an independent State Government organisation that keeps records of all property sales data within each state. The PropertyValue Postcode Profile reports contain the most up to date demographic data compiled from a variety of sources including; Veda Advantage, the Australian Bureau of Statistics, NSW Bureau of Crime Statistics and Research, Victoria Police Statistical Service Bureau, the Queensland Office of Economic and Statistical Research, Australian Federal Police, and the ABS Vehicle census.

How current is the information?
The PropertyValue database dates back as early as 1990 and is updated monthly using fresh data from the Valuer General's Office in each state. The demographic data used in the PropertyValue reports is from the latest census. Where possible (e.g. Age) the data has been projected forward to report current demographic trends.

How accurate is the information?
The PropertyValue data is derived directly from the Valuer General's Office. The data from the Valuer General's Office is refreshed monthly, ensuring PropertyValue has the most up to date and accurate sales history available. The data models used by PropertyValue to generate our reports have rules which allow us to detect abnormal values in the data and remove them from calculations. Abnormal values include extremely high or low property prices in certain areas and invalid addresses. By removing such abnormalities, we are able to maximise the accuracy of our information. We also use median values rather than averages which further enhances the integrity of the data.

What geographical areas do you provide reports for?
The PropertyValue property reports currently cover NSW, ACT, VIC, SA, WA and QLD. Plans are underway to expand our service to include the provision of such reports for all Australian states.**

Which until now I had only a saved paper report about Victorian Valuer General Statistics, which can also be bought from; (Vic stats only):

http://www.nre.vic.gov.au/Land/lcnl...01DAC6F-4FF5582EDD1DD6B9CA256E5F0014C0EE?open

Specifically: (quoting article)

"I require median prices over the last 10 years. Is this information available?

Yes, this information is available by the purchase of the publication Property Sales Statistics - A Guide to Property Values in Victoria. For a copy of the latest edition on-line or email [email protected] or phone (03) 8636 2456."

I believe it is (was?) about $30 or $40 dollars, they have in book form or can email it...

But I'm a little excited about the PropertyValue site, that has a more comprehensive Australian coverage, all assembled together and working on assembling the lot.