Thanks for your wishes.

I thought life was good before but with each child it just gets better.

Absolutely priceless watching my 2 girls give him kisses.

Dave

Hi Sara

I also enjoyed the chat.

I will be testing you today on where you are at.

My mind was also racing as I drove back home about my business and making sure I was also onthe right track.

See you in a few hours.

Night

Dave

Hi Lance

How are you going?

The reason for paying money off your underlying mortgage is mainly due to the Sale of Land Act (In Victoria). I would imagine other states would have something similar.

Basically, the clauses in question were brought in to ensure that if a property is sold under terms when they make their last payment to you you have paid off your mortgage and can give them title.

In practice I would do the following. Assume I owe the bank $60,000 and I am owed $80,000. I receive a lump sum payment of $20,000. How much should I pay off my mortgage?

$15,000 calculated as $20,000 X 60/80.

Although, Steve and I would probably pay it all of our debt as we have spoken about before.

Wes, in Qld the $7,000 grant is not paid until the person has been in the house for 1 year if they buy under a wrap.

Hope this helps []

Dave

[]

Hi Aaron

Is driving for a deal a hassle or a godsend?

When I first started, 1-2 hours in the car was not a problem.

I listened to educational tapes, made phone calls, thought about my long term strategy and even role-played interviews with prospective purchasers and real esate agents.

After a while and I had listened to all my tapes 3 or 4 times I started taking friends on the road with me to keep me company.

They would ask me what I was doing and by telling them I was also positively reinforcing myself as to what I was doing.

Now when I have to go on the road (not that often for existing deals) I look to it as a way of getting a couple of hours to myself. No kids screaming, no telephone calls if I don’t want and I get to have a nice leisurely drive to gather my thoughts.

I know people who think it must be a hassle but I remind myself that driving 2 hours is a small price to pay for financial freedom.

Hope this helps

Dave

Hi Carolynne

We invest 100% of the payments to us off our loan. On my calculations, ALL our loans will be repaid within 5-6 years due to the power of compound interest as Tim correctly points out.

We could take our cash flow today and use it for other investments, but we are happy to pay down our debt whilst we don’t need the cashflow.

It’s horse for courses though.

Dave

Scott

The issue you bring up is not only an issue for wraps, it is with every business and every individual whether they have investments or not.

When someone dies, their affairs need to be “cleaned up”.

Personally, I keep my wife (and other close people) in the picture so she knows enough to be able to keep things moving after I’m gone. I also have a large life insurance payout to pay off debts on properties and be able to employ someone if necessary.

It is imperative that you spend time updating your records.

I know of one person who actually keeps a “death folder” which has details on bank accounts, life insurance policies, super funds etc.

Finally, this highlights to me the need to have a team as opposed to going it alone.

Dave