who's the best person to get to doproperty investment tax+help 2 make right choices?

[lovelykym]

Hi

As we are pretty new to the investment road , we are keen to hear any thoughts, suggestions or idears on who might be suitable to help us.
We would like to find somebody that basicaly covers the investment tax side of buying houses for negitive gearing , also helps to point us and make sure we are going in the right direction as well as the looking at the way we have structured our investment loans... few ..

Just briefly we have 2 investment homes. One purchased 15 months ago for 230, 000, currently rented for $300 , loan taken for this home was 210,000, set up as a interest only loan.

3 months ago we borrowed another 100,000 and built a 2 bedroom relocatable at the back of the existing home ( as it was a very large block with back enterance ) Currently let at $280 per week.

Total loan is $310,000 set up as interest only . Total rent per week on these 2 property's is $580 per week.

We have so far just done all this on our own with not no advice from anybody, however as its comeing up to tax time we feel it would be god to get some advice and just make sure we are doung the right thing.

The homes are in east maitland , in a good area close to schools , clubs and shopping. We purchased the home from a family member , so feel it was a good price. The original home is very solid 3 bedroom, nothing to do and the other home is brand new 2 bed relocatable .

Any thoughts on the way we are going or just if anybody knows somebody that is able to help with the tax and investment side we would love to know.
We would love to continue to buy another home , just want to make shore we are doing it right .

Thanks for the help in advance lovelykym

 

[investor2009]

Are you doing o.k?

Hell yes! most investors would buy a propertyfor $300k, rent it for $280p/w and wait 5 years for the rent to go to something that you're achieving, which is a slow process.

You have created a good capital gain and excellent pos cash-flow position.
All you need is a good property accountant and get out there and repeat whatever it is you're doing. Well done!

But beware, I would not take accountants advice on what you should be doing. Let them handle your tax matters but don't let them tell you anything that will cause you to doubt yourself. If you kept on doing the same as you're douing now by buying well located property and adding an extra rental on-to the investment in-turn boosting your rents into pos cash-flow territory, then there is no limit to how many of these you can have wortking for you.
Keep doing that and you'll be very, very rich.
You don't need no accountant to tell you that!
Chances are you'll be wealthier than your working class accountant in no time anyway and who knows, maybe he/she will look to you for some advice.

 

[tobe]

I think you are best to learn as much as you can about these things before you seek out a 'proffesional'. Its important to have competant advice, however if you dont know the right questions to ask, you wont get the best out of them.

There are plenty of companies out there who do marketing seminars, who can sort out all your home loans, do your tax, and sell you the investment properties, they make it sooo easy. However they take a cut from each transaction usually, and charge a fee on top.

 

[The Y-man]

we are keen to hear any thoughts, suggestions or idears

First up, get a depreciation sched done if you haven't....

The Y-man

 

[lovelykym]

Hi Thanks for the reply , is that the most important thing at the moment. Somebody also mentioned a quantities servayor report .

 

[lovelykym]

Hi thanks so much for taking the time to reply. Its always good to talk to others . Yes we feel we were extremly lucky in our initial purchase and hope to continue. Would next step be to get the houses valued and see what equity we have and start looking. ? If you have the time your thoughts would be appreciated. Regards Kym

 

[investor2009]

No problemo, you've earned my respect and I respect what you're doing for yourselves.

In short, yes.
Now is the time to repeat.

Step 1/ have property(ies) revalued and see what you have to spend. This may include lenders mortgage insurance if you decide to pull a larger amount of equity. Or, you could choose not to pay it and release up to 80% of the total value of your property in cash.

Step 2/ Go shopping!
Only you can choose what is right for you to buy.

Also, you really should get the depreciation schedule done by a quantity surveyor such as Herron Todd Whyte. For around $500 you should receive thousands worth of tax deductions each year. Pass that to your accountant each financial year and you're sailing!

If you keep this up you could have a multi-million dollar portfolio growing at an average of 7%p/a! You do the math Remember: If it costs you nothing to hold, there is virtually no worry, and everything to gain. I personally am negatively geared to the tune of $20k before tax and $10k after p/a and have a multi-million dollar portfolio.
O sometimes wish I'd chosen positively geared real estate though but rents are catching up so no biggie and the portfolio has done well so far.

 

[lovelykym]

Hi Again
Thanks again, its so good to hear feedback, just reasures you. Will look into the quantities surveyor that you have mentioned and get that going. Still need to fine someone who can help with the tax side of it.
We are living on the goldcoast so somebody in this area would be good.
Again appreciate your words of wisdom. Kind Regards Kym