Getting Started

[WebBoard]

From: Mike .


A resort or a rort?? -Paid$190k worth$135k-dream turns to mirage
From: Geoff 1 (not geoff w)
Date: 7/1/00
Time: 7:04:27 AM

Hey while we are on the subject of good (and not so good and just plain awful) advisors. How about this one. A lady (lets call her Mary) was talking to me about property the other day.

She asked where can I get a good accountant?

I said why?

She said she went to this accountant and said she wanted to buy an investment property.

He arranged for her to invest in a resort on the Qld Sunshine coast-Mooloolaba(i think).

She paid $190,000 and to her horror she has found out it is now worth $135,000 (previous sales).

She is 57 years old and was looking to invest for her retirement.

The question is... will she have to keep working the pay for this one investment nightmare?

To her credit she is seeing it as a lesson learnt and is seeking to do her own research to recover her position.

The bigger question is how many other "baby boomer" (and naive ) investors are about to discover the same landmine is about to blast their retirement plans to tiny little pieces.

When you think of the number of underperforming "investments" out there...hotel rooms, rorts (sorry resorts), far outer suburban houses, 2 tier marketed units and so on then the depth of the problem that Mary faces is enormous

What is the answer???

Geoff1

 

[WebBoard]

Bob

Reply: 1
From: Mike .


Re: A resort or a rort?? -Paid$190k worth$135k-dream turns to...
From: Bob
Date: 7/1/00
Time: 8:30:33 PM

If I were them, I'd have an independent valuation done and argue the toss with the bank, unless the unit is less than 50 square metres - banks seem to have a problem with that.

There's always other banks as well.

 

[WebBoard]

The Wife

Reply: 1.1
From: Mike .


Re: A resort or a rort?? -Paid$190k worth$135k-dream turns to mirage
From: The Wife
Date: 7/1/00
Time: 7:46:06 AM

Hiya, The only thing I can think of, is to educate yourself before purchasing anything and not to leave it in the hands of accountants and or investment advisers.

I have a relative who did the same thing, bought a unit in Cairns for $119,000.00, 5 years later, they are trying to refinance and the bank wont value the property any more than 40,000.00.

Needless to say they were horrified. They bought on the advice of an investment adviser.

 

[WebBoard]

Jeff

Reply: 1.1.1
From: Mike .


Re: A resort or a rort?? -Paid$190k worth$135k-dream turns to...
From: Jeff
Date: 7/3/00
Time: 12:21:28 PM

Cairns property is real cheap at the moment... but no one knows when the market will pick up... just be careful up here whatever they are asking knock 40% off it and go from there.

Cheers