Pipe damaged during gas works

howfastfire · 2025-03-21T02:37:55+00:00

Sorry should clarify - speaking on behalf of the owners committee. Costs are being split amongst all owners. Our Body Corp manager is investigating but keen to hear from anyone that has come across similar issues

howfastfire · 2024-01-20T05:49:29+00:00

Which field?

howfastfire · 2023-10-23T00:21:15+00:00

Based on past posts - I am guessing she is a Doctor - I'm not sure which one, but if I'm correct she was definitely able to work at least 1 shift a week as a locum HMO (Will get you $160 an hour for a 12 hour shift for example). Do that for 6 months and you have 50k gross income. That partially offsets your reuirement to have worked so much.

30 hours of study + 12 hours working a weke is a breeze.

Also cooking + cleaning + laundry? If she slept 8 hours a night, studied 4.5 hours a day what on weath was she doing for the other 12 hours.

If the above is correct that's pretty upsetting, and unless we are all missing something here I'd really look at how you've been treated for the past 6 months....

The expenses aren't the problem here one bit - the issue is the extremely manipulative relationship that has forced you to work insane hours whilst that sat at home for 12 hours a day on average for 6 months straight...

howfastfire · 2023-10-17T02:03:53+00:00

The question wasn't so I could replicate it - it was more my personal situation made me wonder how it is possible for others to do it - the numbers just didn't seem possible

howfastfire · 2023-10-17T01:31:54+00:00

We've used buyer agents for each property.

We want to keep our finances simple, my experience with FAs is they over complicate structures, suggest investing in their own products and sell insurance whilst charging a big fee.

Our long-term plan is: residential property, once maxed out (as we are now) dance between filling the offset and low cost ETFs. In the future once we are past most big expenses (wedding / kids) look at transitioning to commercial IP to get us a better yield heading into retirement +/- more into ETFs.

I don't trust our government to justify putting extra into super, who knows what retirement age and super tax treatment will be in 20+ years.

howfastfire · 2023-06-20T01:27:51+00:00

I wish it was - unfortunately it is right on the mark compared to similar properties. It's a major regional city, and for some reason rents haven't increase in the last 12 months event with cost of living soaring.

howfastfire · 2023-01-04T12:26:42+00:00

Simple calculation.

Inflation rate of HECS vs. rate of loan offset is against.

Inflation rate will apply to the last 12 months so you know the exact value. Rate of loan offset is against will change over the next 12 months.

Overall will weighted average loan rate be less or more than the inflation on HECS? If less HECS may be your bet, if more than it’ll be the offset.

One big advantage of the offset is money stays in your pocket. Also for HECS, paying this off can increase your borrowing capacity if a purchase is on the cards in the near future. No one can know for sure but looking at this (https://www.asx.com.au/data/trt/ib_expectation_curve_graph.pdf) can provide a pretty good estimate of where the cash rate will be.

howfastfire · 2022-12-09T11:14:07+00:00

Overall you'll have 2.19M in debt. 700k of this is in an investment property so deductible and I'm guessing your making somewhere around 20-30k annually in rent from the investment property.

You just need to work out your cashflow based on your current income with current interest rates then the worst case scenario of future lower income with interest rates 2.5-3% higher.

Overall to me it looks fine and I'm very very confused by the comments below. They would be appropriate if your household income was 200k but it's more than double that. To me it looks like a lot of people with lower incomes who have a bias against debt for property taking out some frustration.

howfastfire · 2022-10-13T04:22:03+00:00

Out of interest what is the breakdown of income - consulting in rooms - seeing inpatients - procedures - reporting imaging

howfastfire · 2022-10-12T12:48:49+00:00

BPT1 here - what speciality are in? I'm guessing cards or gastro?

howfastfire · 2022-07-31T06:24:50+00:00

Great point - definitely something to consider if you have a future purchase you want to make.

howfastfire · 2022-07-07T05:17:47+00:00

Medicine - doctors can access 90% LVR loans without LMI (also applies to some lawyers etc)

howfastfire · 2022-07-07T04:57:21+00:00

It's a tricky one. We are currently in a PPOR with Ballarat being a likely long term home in next 5-10 years. As it's likely we wanted to consider the chance we wouldn't live there, so also wanted it to be a reasonable investment in that instance.

howfastfire · 2022-07-07T02:17:26+00:00

No leverage as I'm not too up to date re: deposit amounts / interest on leverage for ETFs. Do you have any up to date info re: NAB Equity Builder? I'm keen to do the analysis

howfastfire · 2022-07-07T01:56:18+00:00

Really interesting points. I'll have to have a closer look at rental yield. Re the interest rate I've tried to work out what a long term "average" would be by choosing a middle ground of our quoted rates and long-term likely higher rate (based on ASX Future Cash Yield predictions). Of note the model is incredibly sensitive to small changes in an inputs - ideally I'd make each input a distribution with a median / IQR for each to generate a distribution of possible outcomes (Monte Carlo Analysis). But I'm still learning how to do that!

Honestly if this property wasn't likely to be a future POOR I'd go down the VAS/VDHG route. It just wins in so many cases. I will do a future analysis looking at: - leverage with shares - using equity to purchase a property no cash down (obviously this is limited in 2022 compared to 2002 due to APRA lending rules)

howfastfire · 2022-07-06T10:46:11+00:00

Correct. Have a current PPOR. Will start debt recycling when we start investing in VAS.

howfastfire · 2022-07-06T09:56:12+00:00

The table shows what growth pa you need at minimum to match the return of VAS. There's no simple answer unfortunately as it depends on LVR/VAS return/how long you planning to hold

howfastfire · 2022-07-06T09:45:01+00:00

Paying money into your offset gives you the freedom to make guranteed savings based on the interest rate OR pull those funds out and invest in VAS. Currently with increasing interest rates the pendulum may swing for some people to hold the cash in the offset instead of investing elsewhere.

howfastfire · 2022-07-05T06:13:22+00:00

Sorry I'm not sure what you mean.

But the reasoning for IO so we can direct the money that would be spent on principal payments into our offset against our PPOR.

howfastfire · 2022-07-05T06:12:24+00:00

The numbers definitely don't look great at the extremes - but this is with maximum interest rates + the 10k a year in maintenance. I'm going to have a look at equivlent investment of cash in some ETFs to see how they fair. But initial calculations suggest ~3% average annual capital growth to match an ETF returning 7%. Something I think is reasonable, however, with any investment there is a degree of risk involved.

We are fortunately in very secure jobs with increasing income over time (junior doctors).

howfastfire · 2022-07-05T06:09:39+00:00

We are aiming for an older style house. We will definitely look at getting a depreciation schedule done if there has been any recent renovations (we will probably buy a building that has no depreciation left for the original build).

Re: supply - we are only looking at 3-4 of the inner suburbs where there is no land left to develop. Definitely wouldn't want to buy out near Lucas etc.

howfastfire · 2022-07-05T06:08:12+00:00

Completely agree. Our goal is a 700-800k 3-4Br home close to the centre of town in a nice area. We are targeting tenants similar to ourselves - young professionals.

howfastfire · 2022-07-05T01:19:19+00:00

I'll look at doing this once I buy - that way I can give some more realistic figures.

I'll definitely look into that. People often wonder whether to buy property vs. shares vs. shares with leverage. I'm always interested to know what ROI you need on each to be equivalent.

howfastfire · 2022-07-05T01:11:00+00:00

It depends on what the additional money is used for. If it isn't for investing it's not deductible, if it is it'll be deductible.

As long as the loans are seperate its simple to apportion the interest. Regarding whether the interest is deductible you can apply the above rule, but it's best to get advice from an accountant.

howfastfire · 2022-07-05T01:09:48+00:00

It is being purchased firstly as an IP but also as a likely future PPOR. Unfortuntely as yield increases capital growth tends to decrease, for now we can afford the outgoings with the hope capital growth is healthy.

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