Thats whats happened to my Australian Portfolio.
Hi all
While some of us have been busy buying properties there are others of us who have been selling. My Australian portfolio has decrease for 26, 2 years ago to 3 today (just sold one).
Why you might ask why ? well i was buying well before the boom so i decided to sell, pay CGT and reinvest the cash in New Zealand which was at the beginning of a huge upswing.
Just recently i’ve started to sell some of my NZ properties to finance the buying of properties further afield. This is not a vote of No Confidence in NZ -it is still miles ahead of Oz, as a place to invest in Real Estate.
Sometime i think its better to make a profit and move on to better preforming assets.
Anyone else on the forum been doing a similiar thing ?
Regards Westan
USA information evenings in Melb, Syd and Brisbane in early April, email me for more info. We find cash positive deals showing 15-25% Returns in the USA email me at [email protected] to join our database
Hi Westan,
I agree, stopped buying in Australia 2 years ago and have reduced property portfolio by 5 houses/units in past 24 months to reduce debt and look at other markets. Thats not to say if a good deal comes up in Australia that I wouldnt have a go at it, its just that its harder now to find good deals.MartinMartin
Hi Westan,
Yes, we are pretty much doing the same as you (I wish we were doing it as good as you though)!
We have sold most of our Australian and NZ portfolio – gone from about 18 to 5, and basically cashing up as much as possible.
We are currently trying to get in to property development (in Queensland where property still seems to be worth doing).
We have just signed up to do Michael Yardney’s Development Workshop in June, which we are very excited about!!
We are also looking into buying a business.Cheers,
DelGood luck Del
Regards
Hi Del,
Good Luck with the new project.Is this your first development?[biggrin]Martin
Hi :
Im not as sophisticated as an investor for what your doin , but I do agree on the take the profit and roll it into something else strategy.
Just doing that at the moment.
Cheers
BradHi guys, I have 3 good positive cash flow rental properties all of which I am keeping and I am intending to build my portofolio simply because I believe an positively geared asset is worth hanging onto.
I don’t think I would sell these ever, and I am currently looking for bargains to swallow up to increase this property portfolio.
I consider that selling does have a downturn in the sense that you pay to sell and you also pay to buy and so doing so repeatly can in fact hurt your overall strength, specially when you can use your assets to borrow more funds.
Good luck to you all….
[biggrin]
Hi daaussie
just to help put in it perspective, the properties in Oz that i sold would have risen by about 0-5% in value since i’ve sold (plus sales have really slowed so i might not even be able to get rid of them now). Where as the NZ properties have probably risen on average about 60% since i purchased them, plus the rental returns on the properties i buy are always making more money that the ones i sell. When i purchased the properties i was like you expecting to hold them long term, its just that things change (such as capital growth) and then sometimes its worthwhile being flexible to consider other options. Now days i don’t mind selling assets as long as i’m reinvesting them into something that will show a better return.
regards westan
USA information evenings in Melb, Syd and Brisbane in early April, email me for more info. We find cash positive deals showing 15-25% Returns in the USA email me at [email protected] to join our database
Hi Daaussie,
he properties I have sold have risen a great deal in capital growth but not so much in rental, most of them were costing me money each week to service them. Now I have cash in the pocket debt has been reduced considerably and I’m in the strongest position I have been in years to purcase property. The property I have kept is either cash flow neutral but in a great position or is putting money into my pocket each week. The strategy of keeping the properties that earn you money each week is a sound one providing you can see that there is going to be capital growth there. ie I dont believe keeping a property that is putting $10 pw into your pocket with little chance of further good rates of capital growth not on the horizon, when you could sell it now and take a good profit from it and reinvest in other areas or markets to get better return and growth.[biggrin]There are 3 types of people:1. People who make things happen.
2. People who watch what happens.
3. People who wandered what happened.Westan you should write a book
“Never argue with an idiot, as they will bring you down to their level and beat you with experience”
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