Posted by Mark in Oz on April 15, 2000 at 02:25:35:
Dianne,
Robert Kiyosaki has 3 more books. Start with those. In the mean time go and look at houses. get a feel for the market. Do the figures to find where you can get positively geared properties. Then make offers. Lots of offers. there are many hints on these pages to help you buy at the right terms or for the right price. Remeber you make money when you buy, not when you sell.
Enjoy …
Does it work in Australia,previous message dissappeared - Posted by Anne Bolton
Posted by Anne Bolton on April 10, 2000 at 17:54:35:
Hi,
Thanks to everyone who imputs information
Just like to know if it does work in Australia the last message dissappeared.
Does it work in Australia? I don’t see why it wouldn’t. - Posted by Ben (IN)
Posted by Ben (IN) on April 19, 2000 at 02:15:29:
I’m an Aussie living in Indiana. I’ve lived in Sydney, Brisbane, L.A., and Bloomington, Indiana. What I can tell you is that the same conditions exist in Australia as the U.S. that make this kind of Creative R/E investing possible. We both have legal systems derived from British Common Law. We both have private ownership, mortgages, people who work in jobs to pay those mortgages, and negative and adverse situations that happen to them that create motivated sellers. People in Australia get divorced, they lose their jobs, they get transferred, they die, they abandon houses, they try to sell them and can’t, just like they do here in the U.S… Once you know this stuff, all it really is is solving motivated sellers’ problems with your knowledge of financing. Full stop! And I hazard a guess there are plenty of good income earners in Australia unable to qualify for a bank loan who would jump at buying a nice house on a lease-option.
So for an Aussie wanting to get into R/E investing in oz, bone up on your creative R/E knowledge by buying some of the great courses here (I learned most of what I know from what I’ve bought here), and then run an ad or some other marketing to get sellers to call you and start talking to them, deciphering their problems, and making offers. That’s it! Just get started. I’m sure the biggest obstacles are in your mind. Once you get through a few deals it gets a lot easier.
Best,
Ben Innes-Ker
Re: Does it work in Australia,previous message dissappeared - Posted by Andrew
Posted by Andrew on April 11, 2000 at 07:49:25:
Does what work?
Re: Does it work in Australia,previous message dissappeared - Posted by DIANNE IN OZ.WA.
Posted by DIANNE IN OZ.WA. on April 15, 2000 at 01:22:34:
BEGINNER TO PROPERTY INV. WOULD LIKE SOME RECOMMENDED READING ON HOW TO GET STARTED AND SOME RULES ETC.
Re: Does C.S. Techniques or buying property with little or no money down in Australia - Posted by Anne
Posted by Anne on April 11, 2000 at 17:31:08:
Thanks Andrew for replying
I would like to know if Carleton Sheets techniques work in Australia
I’ve tried working on a few deals and cannot seem to come up with a positive cash flow unless I own at least 30 to 50% of the property as the price of property compared to the rent you receive seems like a much lower ratio than all the U.S.A examples given
Look around more. - Posted by Andrew
Posted by Andrew on April 11, 2000 at 23:33:38:
I haven’t read any of CS stuff but I am guessing that you will need to look in another area. I find that in “working class” areas the rental Yield will be much higher. If you are just looking in agents windows then that is half of your problem. The good deals never make it there.
Mike has a good point, perhaps a L/O is the way to go.
Andrew.
Re: Does C.S. Techniques or buying property with little or no money down in Australia - Posted by mike-tx
Posted by mike-tx on April 11, 2000 at 18:04:51:
Anne, if the value of property is really so high and the going rents so low that you can’t achieve a positive cashflow, perhaps you should consider leasing
property with the right to sublease it. You would control it and the income without having such a large investment. If you want to own the property then add an option to buy and try to have part of the lease payments you pay credited to the eventual purchase price. In any market there should be some property that can be found under market, foreclosures, rundown, etc.
The C.S. course is a basic guideline that must be somewhat modified to fit your local market conditions.
good luck, mike
Re: Does C.S. Techniques or buying property with little or no money down in Australia - Posted by Mark in Oz
Posted by Mark in Oz on April 12, 2000 at 04:54:30:
Anne,
Yes it does work in Australia. I have doen it in NSW and have a good friend doing it in Qld. There are lots of differences and some similarities every where. The oprtunity for capital growth in Australia is much better than most cities of the US.
Be careful with a lease option. Whilst they can be lawful doing it as Mike has just suggested could get you into big trouble.
Re: Does C.S. Techniques or buying property with little or no money down in Australia - Posted by mike-tx
Posted by mike-tx on April 12, 2000 at 06:25:10:
Mark, are there legal considerations on doing lease options in australia that are different from the u.s.?
I’m trying to figure out what I posted that could get someone in big trouble if they tried it.
Re: Does C.S. Techniques or buying property with little or no money down in Australia - Posted by Mark in Oz
Posted by Mark in Oz on April 14, 2000 at 08:05:05:
For those who didn’t gt to read my email to mike. In my state to offer to rebate the rent or any part is not permitted (morons for leaders). Likewise a lease of more than 3 years requires consent of the lender (which on residential land is usually not given). the lease is then listed on the title. Lastly (madness of madness) our equity law is such that if you default and the property is sold thay must make all efforts to get maximum prices and all profits over what is owing is to be paid to the person who was in default. this however keeps prices stable and allows great money to be made here in real estate.
Mark
Re: Does C.S. Techniques or buying property with little or no money down in Australia - Posted by Andrew Gray
Posted by Andrew Gray on April 14, 2000 at 10:31:32:
Sounds like most of your problems are with your lenders not state law, is this the case? Is there a problem with the lease being listed on the title?
Andrew
Re: Does C.S. Techniques or buying property with little or no money down in Australia - Posted by Mark in Oz
Posted by Mark in Oz on April 14, 2000 at 14:58:17:
Andrew,
In regards to lease options, the problem is a mix of legalities and lender. There is no question that a lease option can be lawfully done in Australia but one needs to get good legal advice because of the differences in the law here.
I would have to question the advantages of such a technique in light of a market that has a growth rate of 10% per annum historically over the last 100 years. Seems to me that at some stage in the future the leasee can buy the place at a real bargain unless you can convince someone to buy at 100% or more over market value and get away with it under the Trade Practices Act.
Mark
Re: Does C.S. Techniques or buying property with little or no money down in Australia - Posted by Dianne in OZ WA
Posted by Dianne in OZ WA on April 15, 2000 at 01:38:54:
Beginner on Lplates needs some recommended reading on how to get started in investing in property. No knowledge as yet. Have read Rich Dad Poor Dad. I am busting to get started.