I have been reading Steven’s book “$1000000 in Property in One Year”. On page 118, Table 11.2 Refinancing Rather than Selling, is the example using there the same as Table 11.1? I am having trouble to make sense of the numbers in the table, for example the rent.
Anyone can explain it to me.
Thanks~In Table 11.1 you are comparing selling one property to buy two properties and there fore the rent figures are firstly for one property and then for two.
In Table 11.2 you are comparing refinancing your current property also listed in Table 11.1 to purchase one more property. So the rent numbers differ yes. If that is not clear please ask a more direct question.
I think what the table is showing is if you sold one to buy two properties your end cash position would be what is showing in Table 11.1 however if you kept your first property refinanced it to buy property number 2 as shown in Table 11.2 then you would have more cash in hand to go and buy a third property anyway.
HOpe that makes some sense.
Byronent
Adelaide SAThank you for your explanation.
I think it was the loan principal of property one that made me to have trouble to understand the whole example. So, the remaining cash of $22000 is actually from the equity of the property one, right?
You must be logged in to reply to this topic. If you don't have an account, you can register here.
