You are deferring the cost... Its a great way to get cash flow, but you are 6k + $6/month in the hole for the sake of $40 extra a week. It will more than 3 years to regain your capital whenever you decide to pay down the principal
I wouldn't call it 600% roi at all.. Unless the paint job somehow increases your net return to $36,000
If you sell for capital gains in the future it's 6k - $34/month off your take home amount .. Again 3 years
The paint will pay for itself if held for a few years with that rental rate secured and no further changes , but 600% roi?
Now if it increased your sale value by $36k..... But you'd have to realise that amount before next round of maintenance comes along .
At least fwanks holiday in Nam is still covered, you have to pay those timeshare costs regardless don't you fwank. A coupkle of turds on the gold cost tried to sell me timshare in the 80,s I ate their free dinner and walked with the other 99% of the prospects. Was that you I saw back then fwank, the last one stuck in the sales room, signing up to a lifetime scam?
"Panics do not destroy capital; they merely reveal the extent to which it has been previously destroyed by its betrayal into hopelessly unproductive works." John Stuart Mill
"Panics do not destroy capital; they merely reveal the extent to which it has been previously destroyed by its betrayal into hopelessly unproductive works." John Stuart Mill
Unless the paint job somehow increases your net return to $36,000
Pretty sure average Joe or a valuer would say that the house that looked rough around the edges and had damaged skirtingboards, shot carpets, walls that were marked with worn paint, broken venetians and worn curtains would be priced less than one that presented as near new.
Pwetentious twats that want it all now cant be seen buying something that's less than shiney
I regularly see houses with this sort of cosmetic work selling for $50k or more under ones that have been freshened up.
Ignore posts by The Whole Truth · View Post · End Ignoring The forum fuckwit goes RRRAAARRRGGHHhhh - But not a fuck was given..................by anyone.
Just goes to show that the valuers are still willing to make reckless loans. But the thing I don't get is why do you need to loan in the first place, with all that YIELD pouring in over the last few years? I mean $6000 is nothing, I'd probably have that much laying aroind in my safe.
Could it be that the yield is not what it's trumped up to be...
"Panics do not destroy capital; they merely reveal the extent to which it has been previously destroyed by its betrayal into hopelessly unproductive works." John Stuart Mill
At least we now know you have hinged your investment strategy on the interest only repayments scenario.
You dont know shit
Only some are on IO Others are unencumbered and are the ones we live off of. That property is on P&I and all spare funds are diverted into it to smash the debt down until it joins the unencumbered pile Rinse and repeat.
I could have paid cash, we have near $100k in fun tickets sitting there doing nought but I keep our fun tickets 100% separate from the investment/business and use the available credit on the investment/business loans to pay for investment/business expenses
I have mentioned this more than once - do try to keep up.
Ex BP Golly
18 Sep 2015, 07:45 AM
Freshened up by a good stiff breeze blowing away all the asbestos liability. That saves a bit....lol.
Ignore posts by The Whole Truth · View Post · End Ignoring The forum fuckwit goes RRRAAARRRGGHHhhh - But not a fuck was given..................by anyone.
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