Welcome Guest [Log In] [Register]


Reply
Bulls, would you buy now?
Topic Started: 21 Oct 2014, 04:09 PM (4,371 Views)
Bardon
Default APF Avatar


stinkbug
22 Oct 2014, 08:59 AM
I've capitalised stamp duty on every property I have ever bought except for the first one.
Yes me too but my question is about the first one.
Profile "REPLY WITH QUOTE" Go to top
 
peter fraser
Member Avatar


Bardon
22 Oct 2014, 08:50 AM
Actually thinking about now I may have capitalised the stamp duty as well back then in 93, do you know if that was possible?

It was with the Heritage Building Society.
It's not possible to add the stamp duty to the loan at 97%, but some states had zero or almost zero stamp duty for first time buyers. For modestly priced homes the stamp duty can be quite affordable in some states, but not all states.
Any expressed market opinion is my own and is not to be taken as financial advice
Profile "REPLY WITH QUOTE" Go to top
 
stinkbug
Member Avatar


Bardon
22 Oct 2014, 09:01 AM
Yes me too but my question is about the first one.
I paid the first stamp duty out of savings because we bought land and built. Given the structure of the deal it was the only way to do it.
---------------------------------------------------------------

While it's true that those who win never quit, and those who quit never win, those who never win and never quit are idiots.

Profile "REPLY WITH QUOTE" Go to top
 
peter fraser
Member Avatar


stinkbug
22 Oct 2014, 09:02 AM
I paid the first stamp duty out of savings because we bought land and built. Given the structure of the deal it was the only way to do it.
When you buy an existing house for $500K you pay stamp duty on $500K

But if you buy land for $300K and build for $200K then you only pay duty on $300K and in some states there is an exemption if you build.

People who are considering buying or building should research the stamp duty costs because they do matter in many cases.
Any expressed market opinion is my own and is not to be taken as financial advice
Profile "REPLY WITH QUOTE" Go to top
 
Guest
Unregistered

Good posts miw, b_b, bardon and yes, even Blondie

Stinkbug, the op is a thought provoking, hypothetical question which is pretty damn confronting. I believe giving it some thought might offer people a different angle of perspective on how they view their local market at the moment.
"REPLY WITH QUOTE" Go to top
 
stinkbug
Member Avatar


Guest
22 Oct 2014, 09:33 AM
Good posts miw, b_b, bardon and yes, even Blondie

Stinkbug, the op is a thought provoking, hypothetical question which is pretty damn confronting. I believe giving it some thought might offer people a different angle of perspective on how they view their local market at the moment.
But not good posts Stinkbug...? :D

It's definitely thought provoking, but buying property requires careful thinking and potential long term committment. Encouraging FHBs to think through these things instead of just following the crowd is a good thing, I'd say. Their local markets are a key factor, but the other bigh thing that gets overlooked is their own personal circumstances.
---------------------------------------------------------------

While it's true that those who win never quit, and those who quit never win, those who never win and never quit are idiots.

Profile "REPLY WITH QUOTE" Go to top
 
Guest
Unregistered

Good post stinkbug :)

See me after class. I have something for you
"REPLY WITH QUOTE" Go to top
 
Shadow
Member Avatar
Evil Mouzealot Specufestor

2011-2012 was a great time to buy in Sydney, but it's getting a bit late in the current boom to jump in now. There were a quite a few panicked sellers around in 2011/2012 (people who had been sucked in by all the bubble/crash gloom peddling from the likes of Macrobusiness and Steve Keen). There were plenty of bargains to be picked up at that time, and prices have subsequently experienced over 30% growth since then.

We could see another $100K added to the price of a Sydney median house over the next year or so, but after that I think there will be a lengthy period of prices doing nothing, or even declining by 5-10%. So while Sydney prices do have a bit further to run, the best of the gains are over.

Although if the RBA cuts interest rates again then prices could keep growing past 2015.

Personally I wouldn't buy an IP in Sydney right now, but I would consider buying a PPOR if planning to hold it for the long term (if I didn't already have one).
Edited by Shadow, 22 Oct 2014, 10:27 AM.
1. Epic Fail! Steve Keen's Bad Calls and Predictions.
2. Residential property loans regulated by NCCP Act. Banks can't margin call unless borrower defaults.
3. Housing is second highest taxed sector of Australian Economy. Renters subsidised by highly taxed homeowners.
4. Ongoing improvement in housing affordability. Australian household formation faster than population growth since 1960s.
Profile "REPLY WITH QUOTE" Go to top
 
Guest
Unregistered

It's one thing for someone to look at the market with personal equity on tap, and another thing entirely when buying at the wrong time in the cycle could damage the purchaser. Maybe the op could have been put forward a different way. Another way could have been a hypothetical 'would you advise your employed and single child to buy in your market right now if they only had a minimum deposit, which took them 4 years to save.

Oh, and good post Shadow :)
"REPLY WITH QUOTE" Go to top
 
Blondie girl
Member Avatar


I wasn't being flippant in my original comment.

If I knew what I know about property, but if I was still single, not in a serious relationship.. (Didn't have property mad parents! That my Father had always told me was be careful with any $ I earned , that prop in the long term was solid.
That's something I've always took to heart.)


Why not?

It's a strategy that's provens its worth.
Would I try & be selective? Yes, but it's sometimes a situation that the wife knows & it's tolerated.
So
Noones being hurt but it involves TLC mixed with lust.

Always going to be men with more $ than sense.

Ha ha
That Alex likes to check up on me ...

I'm still a good girl...
Still immensely grateful for everything in my life, because the truth is that it could of gone all pear shaped.

Edited by Blondie girl, 22 Oct 2014, 01:49 PM.
Newjerk? can you try harder than dig up another person's blog. My first promo was with Billabong and my name in English is modified with a T, am Perth born but also lived in Sydney to make my $$
It's Absolutely Fabulous if it includes brilliant locations, & high calibre tenants..what more does one want? Understand the power of the two "P"" or be financially challenged
Even better when there is family who are property mad and one is born in some entitlements.....Understand that beautiful women are the exhibitionists we crave attention, whilst hot blooded men are the voyeurs ... A stunning woman can command and takes pleasure in being noticed. Seems not too many understand what it means to hold and own props and get threatened by those who do.
Banks are considered to be law abiding and & rather boring places yeah not true . A bank balance sheet will show capital is dwarfed by their liabilities this means when a portions of loans is falling its problems for the bank.
Profile "REPLY WITH QUOTE" Go to top
 
1 user reading this topic (1 Guest and 0 Anonymous)
ZetaBoards - Free Forum Hosting
Enjoy forums? Start your own community for free.
Go to Next Page
« Previous Topic · Australian Property Forum · Next Topic »
Reply



Australian Property Forum is an economics and finance forum dedicated to discussion of Australian and global real estate markets and macroeconomics, including house prices, housing affordability, and the likelihood of a property crash. Is there an Australian housing bubble? Will house prices crash, boom or stagnate? Is the Australian property market a pyramid scheme or Ponzi scheme? Can house prices really rise forever? These are the questions we address on Australian Property Forum, the premier real estate site for property bears, bulls, investors, and speculators. Members may also discuss matters related to finance, modern monetary theory (MMT), debt deflation, cryptocurrencies like Bitcoin Ethereum and Ripple, property investing, landlords, tenants, debt consolidation, reverse home equity loans, the housing shortage, negative gearing, capital gains tax, land tax and macro prudential regulation.

Forum Rules: The main forum may be used to discuss property, politics, economics and finance, precious metals, crypto currency, debt management, generational divides, climate change, sustainability, alternative energy, environmental topics, human rights or social justice issues, and other topics on a case by case basis. Topics unsuitable for the main forum may be discussed in the lounge. You agree you won't use this forum to post material that is illegal, private, defamatory, pornographic, excessively abusive or profane, threatening, or invasive of another forum member's privacy. Don't post NSFW content. Racist or ethnic slurs and homophobic comments aren't tolerated. Accusing forum members of serious crimes is not permitted. Accusations, attacks, abuse or threats, litigious or otherwise, directed against the forum or forum administrators aren't tolerated and will result in immediate suspension of your account for a number of days depending on the severity of the attack. No spamming or advertising in the main forum. Spamming includes repeating the same message over and over again within a short period of time. Don't post ALL CAPS thread titles. The Advertising and Promotion Subforum may be used to promote your Australian property related business or service. Active members of the forum who contribute regularly to main forum discussions may also include a link to their product or service in their signature block. Members are limited to one actively posting account each. A secondary account may be used solely for the purpose of maintaining a blog as long as that account no longer posts in threads. Any member who believes another member has violated these rules may report the offending post using the report button.

Australian Property Forum complies with ASIC Regulatory Guide 162 regarding Internet Discussion Sites. Australian Property Forum is not a provider of financial advice. Australian Property Forum does not in any way endorse the views and opinions of its members, nor does it vouch for for the accuracy or authenticity of their posts. It is not permitted for any Australian Property Forum member to post in the role of a licensed financial advisor or to post as the representative of a financial advisor. It is not permitted for Australian Property Forum members to ask for or offer specific buy, sell or hold recommendations on particular stocks, as a response to a request of this nature may be considered the provision of financial advice.

Views expressed on this forum are not representative of the forum owners. The forum owners are not liable or responsible for comments posted. Information posted does not constitute financial or legal advice. The forum owners accept no liability for information posted, nor for consequences of actions taken on the basis of that information. By visiting or using this forum, members and guests agree to be bound by the Zetaboards Terms of Use.

This site may contain copyright material (i.e. attributed snippets from online news reports), the use of which has not always been specifically authorized by the copyright owner. Such content is posted to advance understanding of environmental, political, human rights, economic, democratic, scientific, and social justice issues. This constitutes 'fair use' of such copyright material as provided for in section 107 of US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed for research and educational purposes only. If you wish to use this material for purposes that go beyond 'fair use', you must obtain permission from the copyright owner. Such material is credited to the true owner or licensee. We will remove from the forum any such material upon the request of the owners of the copyright of said material, as we claim no credit for such material.

For more information go to Limitations on Exclusive Rights: Fair Use

Privacy Policy: Australian Property Forum uses third party advertising companies to serve ads when you visit our site. These third party advertising companies may collect and use information about your visits to Australian Property Forum as well as other web sites in order to provide advertisements about goods and services of interest to you. If you would like more information about this practice and to know your choices about not having this information used by these companies, click here: Google Advertising Privacy FAQ

Australian Property Forum is hosted by Zetaboards. Please refer also to the Zetaboards Privacy Policy