@terryw with the 20k instant ride off, for a business is a start move to funnel through rent to owns on lease, so then you get the depreciation, reduce income for business and get the returns from those leases?
Have you thought about this? View
So I have many answers depending on a few more questions, if you want to chat, more than happy to share any knowledge if you want to write some questions and call me on 0431376130 – Jaxon Avery
So to answer is difficult as your income/expenses and dedication to learning effects the answer.
but yes you could do your goal IMO (based on nothing dramatic happening in the world/finance etc)
the best way forward is finding properties with good rental returns that are positively geared and fit your stratergy (you will need to develop a mindstate and stratergy that will be your guide to what choices to choose)
Mate I have redefined my whole process recently based on the Binvested/Nathan Birch approach.
Not that I was doing anything wrong, but after doing this Im finding deals where the rent is double (yes I am serious) the value
so Im looking at 10% returns, which isnt easy but its real and there.
plus I have been hitting areas I see that are due for growth.
So yes 100% there are lots and lots of positive options.
for e.g. a commercial property on the Gold Coast where I am for $200,000 35 per week BC
rents for $480.
11% return, 250 after P and I loan at 20% (40% due to commercial loan) but you get the point
mate seems no one has replied I will shoot in a semi lit room haha.
So my mindset and many very successful investors is not what is a good area/not a good area
its knowing what a good deal is.
If I can buy a house that rents for 300 per week and earns me $100 after expenses a week then for me it makes sense (among many other things)
to expand Case, study this site and returns and developement projects on the forums and you will work out yourself if its suitable to build a house/duplex/subdivide or if only a build is possible under the planning scheme for your area.
This reply was modified 7 years, 6 months ago by Jaxon.
News to me! I dont think thats accuratem becoming the 5th biggest economy by 2030, so in 13 years its going to be stronger than germany, russia, china, japan, england?
so you have a stack of different options, this is the perfect place to post and the community on here has a wealth of knowledge.
Firstly I would be happy to chat and give a deeper sense of my advice (no sales pitches or anything in particular, just think I could explain a lot you may not have heard that is as clear and unbias as I am and if I had something you wanted then thats fine to). Jaxon-0431376130
So to clarify
PPOR (principle place of Residence is worth 1,000,000)
no debt (yes credit card)
and your goal is 60k a year income? so I really believe this is possible to you in lets say 5 years depending on a various amount of things.
now firstly with selling there are costs I personally wouldnt suggest selling your property instead I think using the equity to get a nice property spread with a safe and calucated spread is ideal.
for e.g. (over the phone we could go over a stack of other options)
1 mil ownership
purchasing 2 houses around Australia (wherever you find best returns that are 250-400k)
so your changing to lets say 550k-750k debt over 1 mil ownership
now lets aim for two positive geared properties that are returnign 30-150 each after expenses per week.
Thats very possible.
so lets say after all expenses (including the debt we created on your property
PPOR- ownership; 880,000 Debt; 120,000 Total;1,000,000
IP 1- ownership; 60,000 Debt; 240,000 Total;300,000
IP 2- ownership; 60,000 Debt; 240,000 Total;300,000
lets say over the two IP (investment properties) your getting 200 (could vary a lot) a week thats $10,400 in income the first year, now over the next 4 years we are slowly structuring everything to get you to your goal which is very very possible, in fact I would not be suprised if in 5 years I couldnt get you to closer to 80k a year after expenses.
so the reason you will/can make money is very simple, your income of your properties is larger than the expenses and thats the profit.
But I hope that shows you a small glimpse of what is possible, happy to go further and answer anything on here or via phone or private message (I live gold coast)
All the best in your endevours mate.
Kind regards
Jaxon Avery
This reply was modified 7 years, 6 months ago by Jaxon.
so to simplify, calculate if the risk of not understanding the structural integrity and state of the residence is worth the saving for the mortgagee possession verses other investment options.
Many things but IP is for profit, so first and foremost do your research on the expected return, any ways to boost rental return and cover your ass.
-home/content insurance
-rental agreement with suitable clauses.
-good tenants
I had a apartment at palm beach here on the gold coast, Mortgageee, bank, sounds simular.
I had 7 day finance, 14 day pest and building.
when you sign the contract, make sure that is one of the clauses. and settlement is rarely less than 30 days, so seems like something fishy is going on, you have every right to get your bulding and pest done, but make that a clause of the accepted offer, do not do prior and I wouldnt personally purchase if its questionable.
Its the same as what is the price of a bannana over a apple in 10 years?
It depends on a bunch on things…This question will only get you good guesses.
Ethan Timor hits the nail on the head (mostly)
A house has more options for Financial growth and therefore usually (USUALLY) has more growth potential.
Also I think your stratergy could possibly be improved by this website, do more research on here, read, read and read more, it has so much really great information.
thinking more in terms of (under the assumption the loan can be approved)
That the property we target is grossing a larger income structure.
E.g. AIRBNB, Uni rental, room lets.
otherwise its near impossible to have a positively geared IP. (Nearly)
So If Sam can get approved this is the only way I see him getting Pos Geared.
and it would require an exact property, that was identified for its exploitable income structure.