outside my ( comfort ) zone (or: investing by remote control)

[elwyn.d]

outside my ( comfort ) zone

Hi Folks. I am in Geelong, have several IPs (unitss/flats) purchased over the last 3 years. Very seriously looking to buy in northern Vic. and wondering 1. what did you encounter that you didn't think of. ( This is for people who have property some distance from where they live of course ) 2 are you happy with the way things have gone and 3 would you do it again?
Will appriciate any advice. Elwyn D.
For those in doubt ...I'm a bloke!!!!

 

[paulzag]

I live in Sydney's inner eastern suburbs and have invested in the inner west, Qld and Vic -- Buy & Holds as well as wraps

I encountered all sorts of unexpected things investing away from home. The most recent was a $19K extra payment from a wrap buyer after 16 months in the place

OK normally the experiences are split 50:50 good:bad for me. A half-hour drive might as well be the other end of the country on a bad day.

Would I do it again? yes. would I recommend it to newbies? no way.

Most people don't do the necessary research on an area for a flip or a buy and hold. It takes weekends pounding pavement to learn the ins and outs of an area. Having said that I don't pound pavement, but I've learned to get creative when things go wrong.

However... Long distance landlording teaches you to work with agents. If you expect to retire with an extensive property portfolio you want to learn how to work with agents.

Begin with the end in mind.

Regards

Paul Zag
Dreamspinner

 

[elwyn.d]

Thanks Paul.
If anyone can also explain the term 'wrap' and keep going with the replys. This forum is great.

 

[Ruby]

Elwyn, check out the Innovative Techniques forum for lots of wrap info. That should help answer a lot of your questions.

I have to agree with Paul, agents and a good property manager are vital for remote landlording. We have had no huge problems with our interstate IP's.....but we do rely heavily on our property manager to deal with problems, and we are only a phone call away!

So although researching the area and the properties is important........researching the agents and PM's can often be of more importance.

But good luck in your search.....it can work out well!!

Ruby

 

[Jakk]

G'day all,

I take my hat off, (If I had one), to all of those that invest by remote control.

Having done this in the past, I'd have to say I would avoid it and definately suggest to anyone new to property investing to steer clear of it.

Some might consider me a control freak, some might say that I am not affording myself the opportunity of some great investment offerings outside of my area of investment.

But when things go wrong or major maintenance issues come up, I like to be there. I feel that no one cares for my properties as much as I do and as such, it is me that has to take control of the situation to rectify any problems.

Even though I have a property manager that looks after the day to day management issues, I still want to be "johnny on the spot" , should the need arise.

regards

 

[paulzag]

I agree with Jakk that when long distance landlording goes wrong it is horrible.

Actually worse than that. Think of the worst experience you've ever had at work or leisure. Now imagine facing it while being very very ill. That's close to how bad it feels.

My current philosphy is put all your eggs in once basket, then watch that basket like a hawk.

Paul Zag
Dreamspinner

 

[Jakk]

Originally posted by paulzag

My current philosphy is put all your eggs in once basket, then watch that basket like a hawk.

Paul Zag
Dreamspinner

G'Day Paul...........I love it
..........gonna start using this line myself.