property can be rewarding in so many ways

quick story


Saw a house for sale.......18 days ago

Private seller....and not the area I would normally buy

Went and had a look, the guy was 6 months behind in mortgage repayments , split from the MRS,had a bank foreclosure letter and needed to sell fast.

Crying in front of me......I felt bad.....seemed like a very nice bloke

he owed $180,000 including debt/legals/arrears etc.

So I gave him $185,000 with a 12 day settlement.

Saved the bank stepping in and he got to wack $5000 in his back pocket.

he was over the moon I can tell you...we ended up having a carton of beer between us.......great afternoon spent together

Costs.....

$185,000 Price
$ 6,000 Stamp duty
$ 1,100 Legals/rates/etc
$ 2,850 carpets/lino/rubbissh removal/curtains/blinds etc

$194,950
$ 4,500 Agent to resell the property

$199,450 total cost


I had a team (including the guy I bought it from, he was out of work so I gave him 2 days work ) to fix the property in 48 hours

New carpets
New lino in the kitchen
Some new plants in the garden
Rubbish removal
Cleaned everything
Staged the house

Then I put it back on the market late last week


Just signed a contract for $225,000 (30 day settlement)


225,000
199,450

$25,550 profit

less CGT tax prob $6250

$19,000 in 48 days

Amazing what u can do when the property market is supposedly crashing.. with a little effort and foresight.

I paid the guy $400 for his 2 days work.

What he doesn't know is I have also put half the profit I made after CGT into his account this morning.....$9000

This guy is down and out and deserves every cent....its the most satisfying $9000 I think Ive ever spent in my life.

Cheers