Property Investment in Australia

[axe168]

Hi all,

I was in Singapore few weeks ago.. I had lunch with my investment banker to discuss my financing matter and she requested me to be her property agent for property invesment in Australia (in particular Melbourne) bcoz of my proven records. I agree if only my finance is approved

As agreed, a nominal fee for any transaction with after sales service, such mailing address and collecting mails and adminstering on her behalf.. If fellow sinkies like to explore this, pm me.. I do for part time and for a fee, not FOC ! If I have a massive order, I may enter into the developer's office with a big bang.. demanding discounted rate.. you are likely to have fellow sinkies as neighbours - Yahhoo !

A few tips for property investment in Australia :

1) Do not trust agency who advertised in Singapore
- If properties are selling like hot cakes in Australia, who will travel 7hrs to SG to setup conference or talks to promote properties in Australia ? Those are shit areas.

2) Prudent Analysis
If you spent avg 2hrs shopping for a $60 skirt/shirt, how much time is required for an investment of AUD$600k ? Prudent analysis is crucial for your ever biggest investment..

3) Trust and ownership
Trust no one.. all investment shall be registered solely in your name.. watch out for tax.. explore Family Trust if your goals are highly unusual..

4) Stamp duty
- Ppl laughed when I paid for $60k for stamp duty.. now I am sitting at a gain of 600k in Melbourne and counting.. For break even & profitability, you are strongly advised wait for the next boom to exit..

5) Exit strategy
Depending on economy, exit if your goals are met.. and re-enter if fear strikes..

6) Selling price
There are selling price, medium price and transacted price.. which do you use as a guide ?

The above is brought to you by axe168.. property guru wanabe who's full time job is into acquisition, planning submission and construction..

Sorry no free lunch.. consultation at a nominal fee..

 

[Ash007]

4) Stamp duty
- Ppl laughed when I paid for $60k for stamp duty.. now I am sitting at a gain of 600k in Melbourne and counting.. For break even & profitability, you are strongly advised wait for the next boom to exit..


The above is brought to you by axe168.. property guru wanabe who's full time job is into acquisition, planning submission and construction..

Sorry no free lunch.. consultation at a nominal fee..

Eh don't understand the break even/profitability part, you mean better to wait now?

Anyway, I'm getting a bit disenchanted, can't borrow $1million means can't buy house nowadays. sigh. What/how would you advise a first home buyer like me ah ? Go in now fast? Buy unit? Buy house?

Wei, how much you charge ah ? Full service or not?

 

[axe168]

Eh don't understand the break even/profitability part, you mean better to wait now?

Anyway, I'm getting a bit disenchanted, can't borrow $1million means can't buy house nowadays. sigh. What/how would you advise a first home buyer like me ah ? Go in now fast? Buy unit? Buy house?

Wei, how much you charge ah ? Full service or not?

Haha.. it's better late than never.. I will enter into apartment or commercial, if refinancing is ok.. I hope to get a unit for myself and for my banker.. & go for the rental yield and depreciation rebate.. It is hard to borrow in SG too, their min criteria is equivalent to AUD $200k income plus asset of 1million.. borrowing in Australia is worst, you may have to implement some magic ;-)

Prepare your cash for the next 6mths.. once Greece and Spain collasped.. rush in quick !

 

[UpYoz_olo]

Haha.. it's better late than never.. I will enter into apartment or commercial, if refinancing is ok.. I hope to get a unit for myself and for my banker.. & go for the rental yield and depreciation rebate.. It is hard to borrow in SG too, their min criteria is equivalent to AUD $200k income plus asset of 1million.. borrowing in Australia is worst, you may have to implement some magic ;-)

Prepare your cash for the next 6mths.. once Greece and Spain collasped.. rush in quick !

Really a load of birdshit. If one is acute to have enter Sg prop market in the bottom few years back, investment already double. $1mil become $2mil, $5mil become $10mil. Why need to putch $$$ in the lanjiao Oz market???

We are talking a few years of invest horizon.

Also, if bought shares in March 2009, now at least triple principle. What lanjiao investment guru you toking about?

:oIo::oIo::oIo::oIo::oIo::oIo::oIo:

Stay in Oz lah

 

[axe168]

Really a load of birdshit. If one is acute to have enter Sg prop market in the bottom few years back, investment already double. $1mil become $2mil, $5mil become $10mil. Why need to putch $$$ in the lanjiao Oz market???

We are talking a few years of invest horizon.

Also, if bought shares in March 2009, now at least triple principle. What lanjiao investment guru you toking about?

:oIo::oIo::oIo::oIo::oIo::oIo::oIo:

Stay in Oz lah

Like I said b4, I am doing it for part time.. It doesn't allow me to have a passive income of 100k pa yet, so gotto take up a full time job I have a paper gain 600k for a mere 12mths 2009 - 2010. Since 2005 to 2010, I have overall gain of est AUD1mil.. no big deal. If currency exchange is favourable, I'll return to SG to shake leg & retire.

Juz watch out SG, when the world sneeze.. SG will fall sick very quickly.. JB will suffer too.. I prefer Australia coz of their strong export activities..

Money can be made at every corner.. Do what you please.. I'm juz learning the process along the way & sharing with a nominal fee This can be beneficial to you as value-added info. I can produce substantial reports prior any purchase.. also the due diligence checklist.. I have a standby solicitor ( my ex-board of director) to complete your transaction and provide contractual advice.

Trust a half-baked half-educated angmo agent? you will have a better bet to trust a professional with 15yrs of experience

My offer will close in 1-2mths time.. After striking a good deal, I guess I'll sit back and relax.. and enjoy the growth..

 

[sydney123]

Contact these guys for any advice you might need, they helped me a great deal
http://www.opendevelopments.com.au

 

[neddy]

Hi all,

As agreed, a nominal fee for any transaction with after sales service, such mailing address and collecting mails and adminstering on her behalf.. If fellow sinkies like to explore this, pm me.. I do for part time and for a fee, not FOC ! If I have a massive order, I may enter into the developer's office with a big bang.. demanding discounted rate.. you are likely to have fellow sinkies as neighbours - Yahhoo !

4) Stamp duty
- Ppl laughed when I paid for $60k for stamp duty.. now I am sitting at a gain of 600k in Melbourne and counting.. For break even & profitability, you are strongly advised wait for the next boom to exit..

5) Exit strategy
Depending on economy, exit if your goals are met.. and re-enter if fear strikes..

Aussies are property crazy. Seems like Perth people are thinking alike now. SELL. A number of investors are exiting the Perth market now. It takes up to 18 months to sell the property and it is a buyer's market.

It is not just the stamp duty that is frightening. If you happen to be with the wrong city council, good luck. Add to that are utilities and the new carbon tax. (Which fucking idiots voted for ALP & Greens? Time to pay the prices in the May budget! For those people who received $900 Rudd money, it will cost you now because fucking ALP borrowed that money to give you - it is not taken from the Howard's surplus)

I am lucky to have a good property management agent. He is Eurasian. They are few and far in between. I have seen horror stories of agents who do not inspect properties, do not repair storm damaged properties and put in lousy tenants.

I am lucky to have good tenants - previous ones are gays (don't shun them - they keep the place very neat & clean) current ones are Japanese obasan females (quiet & clean) who find it tough in Tokyo and work for better money here as baker, tourism staff and hairdresser.

 

[neddy]

Eh don't understand the break even/profitability part, you mean better to wait now?

Anyway, I'm getting a bit disenchanted, can't borrow $1million means can't buy house nowadays. sigh. What/how would you advise a first home buyer like me ah ? Go in now fast? Buy unit? Buy house?

Wei, how much you charge ah ? Full service or not?

Personally, I feel that the Aussie property market has "left the station" for first homebuyers. All levels of govts here are not doing enough to help this market. Their policies have not caught up with reality. There are more mortgage stresses (>90 days late repayments) these days because most sectors are down.

Do you really think it is wise to sink $1million in debt to get a property?
If you have rich parents, fine. If you have a $250k job at Westpac, fine.
The reason why my friend's son is able to afford Strathfield prices is because he started with a flat near Mascot in 2004 and property hop from there.

First homebuyers are now renting and patiently waiting for their turn.
Currently, too much money printing by US and Europe are ending up in Australia, distorting the commodity, property and other asset prices. It is a global problem. HK and Singapore have property bubbles as well.

Even Japan is now printing money to help with its disaster and this will add to the inflation in Australia. People earning fixed incomes are going to suffer.
Worse, Germany and Japan are giving up nuclear and returning to fossil fuels - turning to Australia minerals again. $$$$

All we need is the US, Japan and Europe to rise interest rates and we will see the "light at the end of this long dark tunnel" for first home buyer.

 

[Ash007]

All we need is the US, Japan and Europe to rise interest rates and we will see the "light at the end of this long dark tunnel" for first home buyer.

That seems quite a distant future for now. Anyway, I think its prudent to have some cash in hand. Either way the property market goes saving up would be best option for me now. Goes up, more % on the deposits, goes down, lesser % I need to borrow to get a new place. The interesting thing would be looking at the chinese property market. Prices there are even higher compared to the salaries there. Ghost towns and cities are also there where 90% of buildings are vacant even though they are "sold out".

 

[neddy]

That seems quite a distant future for now. Anyway, I think its prudent to have some cash in hand. Either way the property market goes saving up would be best option for me now. Goes up, more % on the deposits, goes down, lesser % I need to borrow to get a new place. The interesting thing would be looking at the chinese property market. Prices there are even higher compared to the salaries there. Ghost towns and cities are also there where 90% of buildings are vacant even though they are "sold out".

Just look at the electricity meters of the Chinese ghost "towns". All these "non-performing" housing are there to serve a purpose. The only way out is open up more ways for the provincial govts to obtain revenue, and the imposition of a property tax.

This action has caught my attention.
http://www.prosper.org.au/2011/03/28/home-buyers-strike-pledge/

It is economically irresponsible to expect young adults to commit to thirty years of heavy debt merely to get on to the first rung of home ownership.

The current price of Australian real estate grossly overvalues land relative to take-home wages and salaries. Compounding this, Australia is in the grip of a housing Ponzi scheme, similar to that which has brought northern hemisphere economies to their knees. I undertake not to bid at auction or negotiate by private treaty to buy real estate until prices moderate, just as they have in all the countries we compare ourselves to.

 

[Ash007]

Just look at the electricity meters of the Chinese ghost "towns". All these "non-performing" housing are there to serve a purpose. The only way out is open up more ways for the provincial govts to obtain revenue, and the imposition of a property tax.

This action has caught my attention.
http://www.prosper.org.au/2011/03/28/home-buyers-strike-pledge/

It is economically irresponsible to expect young adults to commit to thirty years of heavy debt merely to get on to the first rung of home ownership.

The current price of Australian real estate grossly overvalues land relative to take-home wages and salaries. Compounding this, Australia is in the grip of a housing Ponzi scheme, similar to that which has brought northern hemisphere economies to their knees. I undertake not to bid at auction or negotiate by private treaty to buy real estate until prices moderate, just as they have in all the countries we compare ourselves to.

Indeed, growth through any means neccessary, including buildings that serve nothing after its done.

Even without the pledge, there are reports that some properties are taking a hit as it is now.

 

[jiakhongleow]

Why purchase property when you can build and sell. Buy properties for investment take 10 years of risk before you see your investment double. Build and sell make property developer like Ng Teng Fong a rich man.

Build and sell properties will see your ROI between 9 months to 2 years at 40% ROI as investor in co-build. If it takes 6-7 months to build one double storey house in Oz, how long will it takes to build 6 similar houses? Same time as one house, can you work out why?

Banks are willing to lend you $$ to build than to buy and besides it is 60/40 LVR on construction loan for 12 months only.

Hi all,

I was in Singapore few weeks ago.. I had lunch with my investment banker to discuss my financing matter and she requested me to be her property agent for property invesment in Australia (in particular Melbourne) bcoz of my proven records. I agree if only my finance is approved

As agreed, a nominal fee for any transaction with after sales service, such mailing address and collecting mails and adminstering on her behalf.. If fellow sinkies like to explore this, pm me.. I do for part time and for a fee, not FOC ! If I have a massive order, I may enter into the developer's office with a big bang.. demanding discounted rate.. you are likely to have fellow sinkies as neighbours - Yahhoo !

A few tips for property investment in Australia :

1) Do not trust agency who advertised in Singapore
- If properties are selling like hot cakes in Australia, who will travel 7hrs to SG to setup conference or talks to promote properties in Australia ? Those are shit areas.

2) Prudent Analysis
If you spent avg 2hrs shopping for a $60 skirt/shirt, how much time is required for an investment of AUD$600k ? Prudent analysis is crucial for your ever biggest investment..

3) Trust and ownership
Trust no one.. all investment shall be registered solely in your name.. watch out for tax.. explore Family Trust if your goals are highly unusual..

4) Stamp duty
- Ppl laughed when I paid for $60k for stamp duty.. now I am sitting at a gain of 600k in Melbourne and counting.. For break even & profitability, you are strongly advised wait for the next boom to exit..

5) Exit strategy
Depending on economy, exit if your goals are met.. and re-enter if fear strikes..

6) Selling price
There are selling price, medium price and transacted price.. which do you use as a guide ?

The above is brought to you by axe168.. property guru wanabe who's full time job is into acquisition, planning submission and construction..

Sorry no free lunch.. consultation at a nominal fee..

 

[neddy]

Why purchase property when you can build and sell. Buy properties for investment take 10 years of risk before you see your investment double. Build and sell make property developer like Ng Teng Fong a rich man.

Build and sell properties will see your ROI between 9 months to 2 years at 40% ROI as investor in co-build. If it takes 6-7 months to build one double storey house in Oz, how long will it takes to build 6 similar houses? Same time as one house, can you work out why?

Banks are willing to lend you $$ to build than to buy and besides it is 60/40 LVR on construction loan for 12 months only.

Where did you get that from?
A double storey in 6-7 months? Sure or not? I don't think you are referring to Perth. The long summer means the roofers are only working half days. By noon time, all construction stops. bloody overpaid workers melt under the sun!

 

[axe168]

Why purchase property when you can build and sell.
Banks are willing to lend you $$ to build than to buy and besides it is 60/40 LVR on construction loan for 12 months only.

Which bank are you talking to ? 60/40 ? I need to know, coz the bloody banks refused my proposal despite favourable and feasible reports. I bought my chickens @ $400/m2 (with only 20% deposit).. now it is about $1000/m2 & counting.

My problem is unable to obtain big lending. There is no problem with my ROI. My chicken development delayed for 4yrs. But my ROI is 100% per year.. now it is about 400%.. Luck is not with me in the past, with my never-say-die attitude, I believe I will survive !

 

[jiakhongleow]

what are you building, commerical or resi?
which location? tried offshore borrowing?

the only time your local bank will lend you is they know you found a off-shore funder and they will cut in last minute.

Which bank are you talking to ? 60/40 ? I need to know, coz the bloody banks refused my proposal despite favourable and feasible reports. I bought my chickens @ $400/m2 (with only 20% deposit).. now it is about $1000/m2 & counting.

My problem is unable to obtain big lending. There is no problem with my ROI. My chicken development delayed for 4yrs. But my ROI is 100% per year.. now it is about 400%.. Luck is not with me in the past, with my never-say-die attitude, I believe I will survive !

 

[Ash007]

Which bank are you talking to ? 60/40 ? I need to know, coz the bloody banks refused my proposal despite favourable and feasible reports. I bought my chickens @ $400/m2 (with only 20% deposit).. now it is about $1000/m2 & counting.

My problem is unable to obtain big lending. There is no problem with my ROI. My chicken development delayed for 4yrs. But my ROI is 100% per year.. now it is about 400%.. Luck is not with me in the past, with my never-say-die attitude, I believe I will survive !

The price war between woolies and coles may have something to do with it.

 

[axe168]

what are you building, commerical or resi?
which location? tried offshore borrowing?

the only time your local bank will lend you is they know you found a off-shore funder and they will cut in last minute.

Bro, I tried liao lah. I fit into the old category but not the new requirement - to qualify, you need at least 2mil net asset (excl primary house) and S$300k annual income. I am almost there but not quite there.. hehe. In any case, if you meet the above, they still need to assess your serviceability (same conditions like any Ozzie Banks). They do not just consider your equity alone, dude.

No wonder the construction and development industries in Australia failed miserably. But hey, it means there will be room for growth

 

[SIFU]

Hi all,

I was in Singapore few weeks ago.. I had lunch with my investment banker to discuss my financing matter and she requested me to be her property agent for property invesment in Australia (in particular Melbourne) bcoz of my proven records. I agree if only my finance is approved

As agreed, a nominal fee for any transaction with after sales service, such mailing address and collecting mails and adminstering on her behalf.. If fellow sinkies like to explore this, pm me.. I do for part time and for a fee, not FOC ! If I have a massive order, I may enter into the developer's office with a big bang.. demanding discounted rate.. you are likely to have fellow sinkies as neighbours - Yahhoo !

A few tips for property investment in Australia :

1) Do not trust agency who advertised in Singapore
- If properties are selling like hot cakes in Australia, who will travel 7hrs to SG to setup conference or talks to promote properties in Australia ? Those are shit areas.

3)- Ppl laughed when I paid for $60k for stamp duty.. now I am sitting at a gain of 600k in Melbourne and counting.. For break even & profitability, you are strongly advised wait for the next boom to exit..

5)
The above is brought to you by axe168.. property guru wanabe who's full time job is into acquisition, planning submission and construction..

Sorry no free lunch.. consultation at a nominal fee..

i believe u 100%. axe168 is world famous property investment guru. can u hold your offer for a while. i need to wait for my 100million to come in from my nigerian bank. fyi i just inherited some 100+ million from a nigerian king or something.

u wait for my pm ok.

 

[jiakhongleow]

Unless you heavily geared your properties and that reduces your service capability. Banks want to see your cashflow hard cash not equities as it take times to dispose if your are in the red with them. Try get investors to pump cash money. How much cash do you need?

Bro, I tried liao lah. I fit into the old category but not the new requirement - to qualify, you need at least 2mil net asset (excl primary house) and S$300k annual income. I am almost there but not quite there.. hehe. In any case, if you meet the above, they still need to assess your serviceability (same conditions like any Ozzie Banks). They do not just consider your equity alone, dude.

No wonder the construction and development industries in Australia failed miserably. But hey, it means there will be room for growth

 

[neddy]

The price war between woolies and coles may have something to do with it.

It is more to do with the banks closing their loanbooks to domestic property loans.
Aussie banks are re-diversifying their loans to SME again.
It does not help that the banks has to borrow from overseas to lend out.

Moreover, I am sure the US Fed Reserve need to raise interest rates later this year to drown out US inflation. The first indication is the lower unemployment bullshit they are telling the world.

That will slow the flow of liquidity to the inflated asset classes the world over.
Asset classes includes property.