"The Week That Was: 5-11/1, 2000"

From: Mike .

Hi Everyone,

The record book was rewritten this week with 10 threads and 48 posts. 19 of those posts were late posts by I include them for simplicity. These late posts indicate future activity levels.

Topics Included: Purchase Costs, Harts, 1st IP, Off the Plan, Fixed v Variable, Investor Groups, Depreciation Schedule, PIA.

Research & URL's:

From Les: "I suggest you avail yourself of a copy of the ATO Rental Properties handbook (1998 - 99) either by picking one up from the ATO, or by hopping onto the "web" at http://www.ato.gov.au and getting it for yourself. It is a handy document, and is reasonably comprehensive, although it has references to other "product rulings" from time to time."

"If you want to grab a copy of the ATO's booklet, follow the bouncing ball through Individual, What You can Claim, Deductions, then Rental Properties. That pulls up a .pdf file (Acrobat Reader required) that you can then File to your Desktop, so it is always on hand. I refer to it regularly (and easily, this way)."

From Gee Cee: "Please find below a couple of books that you may find interesting reading if you can find the time!

1)Success Through a Positive Mental Attitude by Napoleon Hill & W. Clemont Stone.
2) The Magic of Thinking Big By David J. Schwartz.
3) Any of the books by Noel Whittaker.
4) Any of the books by Fred & (Recently) Brendon Whiting.
5) Building Wealth Story By Story Pages 37, 181 & 161.

P.S.Try a Search for "DYMOCKS" (ON LINE). You may not even need to leave home to order any of these.

From Les: "One other thing, the turning point for me was Robert Kiyosaki's book "Rich Dad, Poor Dad" which I read in 1998. Many things he writes don't apply in Oz, but the under-lying tenets do hold true - you just have to do them differently here. But that book has so much hope and good ideas that it burned right into this thick skull and had me search for other good books - and I found Jan's "Building Wealth" book, and (over 1999) several others that have combined to get me moving."

Quotable Quotes:

From Les: "I agree with Cee Gee - you (Eunice) are certainly not too old, and wealth is still within your reach."

Me: Hey, Les, you got Gee Cee's name a**-backwards. I hope you get it right before the BBQ.

From Gee Cee: "Dear Les, I note from all of your comments to the Forum that you are certainly well educated in the property and life areas. As well you radiate a positive forward attitude>."

Me: Is this the start of a mutual admiration society?

From Eunice: Thanx for the great info from Gee Cee and Les. This is a great forum; I certainly have learnt a lot."

From Gee Cee: "After the 3.00am feed is usually the time that I really get into the nitty gritty of Calc's & Forum replies) !!!!!!"

Me: A bit early for breakfast isn't it, Gee Cee?

From Jonathan: "Les, I think Jan should pay you a retainer ;)"

Me again: I'd like a dollar for each time you've mentioned Jan's books thus far, Les.

From Gee Cee: "I thought I was just some Dumbo that could not get myself around the FORUM site."

Me: Other forum Netscape users saved Gee Cee from unknown fate.

From Les: "Call me pig-headed if you like."

Me: Okay, Les. If you insist.

Classic Post:

This week threw up many good posts to choose from including some from Les who always seems to get short-listed. But this week the honours belong to Gee Cee who produced some great posts. Not only was the info helpful but, like most of Les' posts, Gee Cee was able to stamp his personality on them. Which made them very enjoyable to read. I'm attaching two Classic Posts from Gee Cee because one isn't enough. PS: question to Les, what were your first impressions of Gee Cee's posts?

Question from Daniel:

Hi all, I been shown what appears to be a reasonable investment Town House at Victoria Point,on Morton Bay, SE QLD. The company advising me and providing financial advise, as well as doing my 221D, 1/4ly reports etc is HARTS Group Financial Services. Being sceptical by nature, I'd like to know if anybody else has used this company's services, and any experiences good or bad. So far, I trust them, as they are purportedly an accounting firm with property investment expertise, rather than a property marketing firm, and I am retaining their services for at least 12 months (I guess at least I know they not going to sell me something, then cut all ties.) Also, anything they told seems to agree with all I've read about building wealth by investing in residential property. Anyway, good references, will set my mind at rest. I suppose I'm a little nervous about my first IP and I'd hate to end up being another statistic of the QLD real estate scams I've heard of.

BTW -The particular property they are selling is for $170K and is currently tenanted at $170p/w and is under lease until 6-June-2000, and is managed by onsite property managers.

Question from Eunice:

My husband and I are thinking of investing in property to create wealth, albeit very late in our lives. We would appreciate any help from the forum. Please consider the following info.

1. Our ages are 50 and 48 resp. 2. We live in our home valued at $290,000.00 with a balance owing of $70,000.00. 3. My husband is salaried and earns $55K and a car allowance of $9K and I earn approx. $22,000.00( self employed in my case). 4. We would like to continue working for another 12 years. 5. We are considering buying a unit, which was converted from a warehouse, in the Camperdown area, near the University and RPA hospital. The unit has two bedrooms and lounge/dining and undercover secure parking. 6. The cost of the unit is $275,000.00 and the property is presently rented for $295.00

Given the above info. do you think we could create wealth in that time span(12 years) and how should we go about this- buy in both our names or just my husband's. We have no children living with us.

Any help and direction would be highly appreciated.

Thanx in advance. Eunice in Sydney
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Reply: 1
From: Gee Cee Cee

See I told ya's all that before when I was just a young bloke!!!

Gee Cee

(The old conservative, unemployed bum.)
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