property warrents

[Nigel Kibel]

One of the most exciting developments in property investment are property warrants. This will enable invesors to borrow money through a self managed superfund to buy an investment property.

Typically you need a 30% deposit and you are are looking at higher establishment fees than a normal loan. For example if the property was $400,000 then the set up fee would be 1.5% or around $6,000. This product has been around for much of this year however the establishment fees were around $20,000. The interest rate is around 8.6% and there are ongoing fees of around $4000 per year. There are also a number of smaller charges.

The upside is that you can salary sacrifice all the payments making these 100% tax deducatable. The next great thing is that if you buy a property through a superfund and keep it until you are 60 and then sell the property capital gains tax does not apply. When you weigh up all the benefits this is a great way to buy property.

If you need or want to sell the property earlier as long as you have kept the property for more than 12 months then you will only pay 15% tax and a maximium of 10% capital gain. I have great financial planner who understands the product much better than me.

 

[duncan_m]

Its Warrants.. not Warrents.

 

[Nigel Kibel]

sorry

I just post this for information

 

[geoffw]

I just post this for information

Then you're not even posting your own spam, but somebody else's?

The concept has already been discussed.

 

[Nigel Kibel]

This is a great concept

I fully expect a response like this through somersoft. This will help a lot of people to build wealth for their retirement. It is the concept that people should look at. Seek your own advise.

 

[Nigel Kibel]

did not know it had been written about

You can also buy established property through these warrants, once they are approved by the fund.

 

[Ajax]

Would you need to apply for an individual tax office ruling in relation to these warrants? They seem quite different from your standard warrant over shares which seems to satisfy the ATO (as the underlying item...shares...are all the same...the underlying property is unique)


Ajax

 

[geoffw]

I fully expect a response like this through somersoft. This will help a lot of people to build wealth for their retirement. It is the concept that people should look at. Seek your own advise.

Nigel

For a start, this was not picked up by ourselves. Your post was reported by others as being spam.

Secondly, this was not posted by yourself as something you promote. You did say that "I have great financial planner who understands the product much better than me." Which certainly implies that you were posting information on behalf of somebody else.

I have no problem with the concept. I started a thread in relation to this, and there have been a few others- one of which you have contributed to.

The product is new. It holds a lot of promise. I don't have any problem with that.

But when you refer it to somebody else, it implies that you don't have the knowledge yourself. And if you don't have that knowledge, get the person who DOES have the knowledge to post.

Bear in mind that people who pass on knowledge in this forum will be judged on the quality of the knowledge that they post. And that the people who pass on a lot of knowledge, without an expectation of immediate business, are far more likely to succeed in getting business from the forum than those who throw a few crumbs to seagulls.

 

[Nigel Kibel]

I am not a financil planner

What I was referring to is that I am not a financial planner. There fore I can not legally promote the product. My view is that very few planners have there heads around property warrents. The reason is that most planners are not property focused.

 

[duncan_m]

I'm kinda surprised that you're wasting your time here Nigel.

 

[Nigel Kibel]

your right Duc

All I have done is posted something that I am excited about. You prove being the petty person that you are that you have nothing better to do with your time but find things to attack people with. Many people seem to live on this site. Get a life.

I do not respect your opinion

 

[duncan_m]

I do not respect your opinion

I'm heartbroken.

 

[skater]

Well.........I'm that clued up to be able to post links like Duncan has, so I will just copy & paste from the same thread.

First this

In my view Somersoft is one of the worst property forum site I have ever been involved in. The fact they talk badly about property talk is laughable. I have been posting on their site for a number of years. I am sure that people will not that the only Australian site I post on now is propertyinvesting.com.

When I was in the United States for three months I was posting about my experiences and the opportnities there. I was continuelly accused of having a hidden agenda. The tone of many of the remarks were quite insulting. Finally I put a post on cavet emptor which I thought was for commercial products. Mind you all I did was ask for for people to register interest if they were interested in attenting a educational tour of San Antonio. My motivation is that I have seen many investors getting ripped off by lack of knowldge and I thought that I could at least teach people who were interested to learn how to do the reseach first hand. For that I was banned for three months. I am now of the ban however I will not post there again.Some of my previous comments about people with large numbers of posts was aimed far more at Somersoft that at PT.

If you send anytime on somersoft you will see that their is a large group with an agenda. Go on and read some of the posts. Even with some of my recent posts here I would much rather post here and debate some of the issues with you guys than Somersoft.

Then this


Even when I disagree with you guys I still have far more respect for people here than I ever did on somersoft. In Australia propertyinvesting.com is a far better site. Somersoft is a waste of time.
__________________
Nigel Kibel

If we are so bad, then can you tell me Nigel, why you only ever come here when you seem to have a vested interest?

 

[Nigel Kibel]

many people read this site

What is wrong with passing on current information. How many people are 50 have never invested but may have $200,000 in a super fund. All I am sayiing is if this is of interest to you get some independant advice.

How is that spam.

God forbid I mentioned that a couple of financial planners I had spoken to who explained this to me might be able to explain it in more detail than me.

I think this is a great concept and it shows that the government is serious about long term savings.

Part of the reason I do not post much here is that every time I do people seem to think I am spamming. Michael Yarney posts here all the time. He runs a property business.

 

[alexlee]

We're just a group of investors who have day jobs with an agenda.......

 

[Kenster]

We're just a group of investors who have day jobs with an agenda.......

... and an unselfish desire to share the lessons of their learning to others

 

[JIT]

Hey Nigel,

Why don't you post further thoughts on this product on my thread here?:

http://www.somersoft.com/forums/showthread.php?t=23915

- which I've been milking for all it's worth (over the last 2 years) due to the general lack of posting interest here!

And why don't you find out from your clever financial advisors about how this sort of product really works, then report back to us on this thread?

As far as I can see so far, this sort of product doesn't make a lot of financial sense and has some fundamental flaws, particularly when applied to negatively geared residential property.

It does however seem another great way for financial advisors, developers and other spruikers to earn some extra fees!!!

Having said that, I am open to being corrected on this if you can provide any intelligent points to the contrary.

Look forward to hearing your thoughts on this thread.

 

[geoffw]

All I have done is posted something that I am excited about. You prove being the petty person that you are that you have nothing better to do with your time but find things to attack people with. Many people seem to live on this site. Get a life.

I do not respect your opinion

Personal attacks on other members do nothing to earn respect.

It's possible that I was wrong in my initial assessment of your post as spam. I based that assessment based on my evaluation of your post, and on your desire expressed elsewhere not to post on Somersoft again. In that circumstance, a post suggesting a product might not have been interpreted well. The wording of your post does suggest that you were suggesting "one" other financial planner. But I may well have been wrong.

Duncan pointed to an article by Neil Jenman. While Neil has shown up some people as being unscrupulous, he has also put the same label on other people I do respect. Some people take the Jenman panning as a badge of pride.

Getting back to the original post.

I am open to being corrected on this if you can provide any intelligent points to the contrary.

A fair point. And a chance to show you have something to offer.

 

[BayView]

I'm kinda surprised that you're wasting your time here Nigel.

I just looked at that post of Nigel's on the NZ site.

He was pretty upset with Somersoft and praised Steve's site, where I also waste (sorry; spend) time.

The impression I get about him on Steve's site is that he is promoting property finding in the US a lot these days.

I don't think the site members are a wake up to him there like you guys are here.

 

[Nigel Kibel]

I was in the states

Many people have brought badly in the United States. Many people who have posted on the property investing site have given and purchased bad properties on behalf of people. To either knowingly or because of ignorance a person is placed into a bad investment when they are being charged a fee is a disgrace. What I was doing was offering to educate and assist if Australians were interested in the United States. I also pointed out that the main market was in the United States. However you need to on the ground. I am currently in Australia. I would never buy a property either for myself or someone else that I had not inspected.

I am sorry that people here feel that in some way I am only interested in money. I have always done my best. My personal view has always been that I would only buy for someone else that I was prepared to buy for myself. However I am more than happy to offer advice and share my views on forums. If someone picks up an idea that stops them from losing money or making a serious mistake I am happy.