The Pearl Of Property Investment

[nu2ips]

Scheme Or Scam???

I Have Got A Brochure From "inesta Property Sale & Management" Advertising government Backed Residential Properties.
They Claim A Min 6% Rental Yeild Gross + Min 5 Year Lease With A 3x5 Option. No Fees Just Body Corporate.

Now I Must Be Missing The Whole Idea Of How To Calculate Yields Because I Cant See 6% With The Figures They Give, They Are

PURCHASE PRICE $210000
RENT
TYPICAL IP $220 GOVERNMENT BACKED $190
EXPENSES
TYPICAL IP $4398 (MADE UP OF MANAGEMENT FEE, LETTING FEE, VACANT PERIOD 3 WEEKS, BODY CORP, RATES & MAINTENANCE)
GOV BACKED $ 500 ( U ONLY PAY FOR THE BODY CORP AND THEY PAY THE REST INCLUDING REPAIRS IF IT GETS TRASHED)

TOTAL NET INCOME
TYPICAL IP = $7042
GOV BACKED IP = $9380


NOW DONT YOU WORK OUT THE YIELD OF THE NET FIGURE ie 210000 X 6% = 12600 ???


HAS ANYONE ELSE HEARD OF OR PURCHASED A GOVERNMENT BACKED PROPERTY???
(I WAS TOLD IT WAS NOT LIKE DEFENCE HOUSING)

 

[Belu]

first of all, watch the capitals, both at the start of each word and for every letter in the sentance... its just plain annoying.

they probably calculate the 6% from $9,380 + ($4,398 - $500) = $13,278

Which doesnt make sense but i bet that is how they are getting to the 6%.

Report them to the feds, im sure they would like to see the government backed part being dragged through a scam - especially coming upto elections.

 

[nu2ips]

Sorry about the capitals i dont know how idid that???
Do you really think this is a scam ? i got this info from their stand at the brisbane property expo.

 

[nu2ips]

here is the brochure

 

[nu2ips]

Does anyone heard of this group???

Does anyone know of this investment scheme???

 

[Belu]

their figures still work out to 4.4%

 

[nu2ips]

So you think this is a "scam" ???

 

[The Y-man]

Similar to a DHA deal?

Cheers,

The Y-man

 

[Les]

G'day nu2ips,

They Claim A Min 6% Rental Yeild Gross

If they are talking 6% Gross, that is not the same as the Nett Yield you are talking about.

So you think this is a "scam" ???

Um, not necessarily - but I did find the figures confusing with the "Govt. contribution" et al... Like, to me, that is not Income - but it helps to keep the Nett higher.



Regards,

 

[alexlee]

So you think this is a "scam" ???

Not necessarily. It might just be a crap investment. Not the same thing.
Alex