i got 30k, last year of uni (not much income), can only buy of plan need help...

[units4me]

Saw a huge high rise crane go up on the site of the Elgar/Tram Rd. apartments in doncaster. What are they selling for what are they like?

 

[very_ready]

I've seen lots of these so let me tell you how many of them go:

• you provide your deposit, thereby losing the utility of that cash for two years.
• meanwhile your financial plan is based on flipping the property on or about settlement because you figure you have two years of capital gain.
• a couple of months before settlement you start looking for finance and suddenly discover that either (a) the property doesn't value up and you have to kick more cash into the deal or (b) the lender simply won't give you a loan because they don't like your financial position, the development, are already over-exposed or the insurers think the same thing.
• at this point you get nervous because settlement is approaching and your deposit, now worth 10% less in real terms, is on the line
• you rustle up more cash or loans and make settlement by the skin of your teeth, but at least feel you can get everything back by selling the unit
• when you put in on the market you then find out 50 other people are in the same position and are all merrily entering into a dutch auction to get out with as much as they can.

Moral : never buy OTP on the assumption you can get "make your money" shortly after completion.

I just finished printing your post, i think that your summary points covered every possible outcome. Im extremely glad that i am able to get this kind of info before comitting to this investment.

I got sucked into the 'free investment seminar' which loaded me up with an overload of information of how to get rich by investing in these kinds of apartments.

I got a lot to learn before i can spend my small savings.

Thanks for your post, appreciate it

 

[very_ready]

Exactly how much do you expect to be earning after you gain full time employment?

With my business and full time employment ill be hoping to be around the 130k mark.

It sounds all good in theory, but without knowing how much you can borrow (or potentially borrow) up front, you could lose that $30k and run into legal issues because you couldn't get the finance.

i agree, i really have to do the maths before signing a contract agreeing to pay over half a million!

I was recently looking at buying a block of land nearby and building, whilst all up i would've saved $100k if not more, the risks were too great. Plus i know that even with 3 months full time employment, i wouldn't qualify for a loan to that amount.

Also, brand new, in some cases can save a pretty penny, in others cost you an arm and a leg!.

those sales guys really knew how to get me thinking that i have been missing out my whole life.

Yep, agree totally,. Just sit back and don't rush it. Be very careful what you're throwing your money into, so you don't throw it away!.

Its not easy for me to save up that kind of money, so i will really be cautious on where i put it.

Diamonds and gold, nice. But do you understand the market? I don't, so i can't comment, but i want to know your theory, and why you think it could be a worthwhile investment.

Shares, could be a little risky, if you don't understand the market.

OTP, you could lose it all. Or it could be a great opportunity, problem is you won't know before, only once it's complete.

Curious, what type of car would you pick up for $30k, and how would this be an "investment"?

Just like to know your thinking behind it all, rather than talk you out of it straight off.



Yep...

your right, i really dont understand these markets so i wont be putting my money in gold etc.

after reading these great posts my money will sit in an account make a bit of interest. Mean while i will really educate my self and hopefully make the right decision


Thanks for your post, appreciate your time and effort

 

[very_ready]

Saw a huge high rise crane go up on the site of the Elgar/Tram Rd. apartments in doncaster. What are they selling for what are they like?

they are starting around the high 400's and range into the mid 500's. They seem like a good long term investment.

What put me off is, there are alot of apartments going up in doncaster so there will be alot of supple around completion. also its zone 2 so not number one choice.

But it is a good area, let me know if you need anymore info

 

[Mazda]

Saw a huge high rise crane go up on the site of the Elgar/Tram Rd. apartments in doncaster. What are they selling for what are they like?

Judging from the height of the cranes, I suspect that they are the Pinnacle apartments, opposite Westfield Doncaster shopping centre.

Just guessing though.