Forum Replies Created
Hi Kayleen,
you mention your selling 3 of you properties, im not sure of you circumstances, but if you are selling your properties, in the hope of purchasing positively geared properties, IMHO, is it really necessary to sell so many properties, to purchase positively geared properties, you might find, that selling 1 of you highly geared properties, that have a nice capital apprecation, may be able to pay down some of your negatively geared properties, and may allow you to invest immediately into positive cashflow properties.
its that your suggested idea, i can see you maybe up for a very high capital gains tax, and in doing so, it could be a decision you may regret later on, the reason why im a little concern is, i know someone who had quite a few negatively properties and sold them to invest in positive cash flow properties, yet has regretted the decision, as after talking to there banker, they were still able to invest futher more, but didnt have to sell the amount of negative geared properties, that they did, and yet they were still able to build there portfolio, yet at the time, they had not thought it out properly and blew many of there profits in capital gain tax, which IMHO was not really necessary..
positive cashflow might be the way, but if your properties are only a few years away from being positive or if only one is needed to be sold instead of quite a few, you might be setting back your property portfolio, with the quality properties you have already gained..
Cheers,
sisJeff Paget
Trainee Stock Broker & Equities Advisor
Mobile: 0402 363 805Hi Rich,
are you looking for a property that is cashflow positive, before deposits and stamp duties, or are you looking for a property that is cashflow positive after the deposits and stamp duties.
though if you are looking for instant cashflow, i would have to side with QLDs007, either Wraps or Lease Options, Rent to Buy Options, can give you instant cashflow.
Cheers,
sisJeff Paget
Trainee Stock Broker & Equities Advisor
Mobile: 0402 363 805Wise words, someone once told me..
If your gonna have debt…
Have small debt, which you can afford and pay yourself, and if your gonna have big debt, make sure you have someone else paying it off for you.
Cheers,
sisLook forward tonight in going to the BIG meeting.
Very much enjoyed, the last meeting previous meeting.
Cheers,
sisOh a very clever technique Property Guru taught me..
** though i have to be ssh ssh on it, and no i havent tried yet.. but tempted.. **
Cheers,
sisHi Foundation,
it varies from property to property..
per example..
if you have a positive cashflow property, with equity, then the extra cashflow, can be used to service more borrowed money, where the borrowed money, can be used as the cash deposit, (but in true reality, your borrowing at a much higher gearing.. more closer to the 100% and over mark.) and with that extra cashflow, it can offset, the extra amount of loans you put against that property.
though in some cases for me, if i purchase a property, that is a steal deal property, it has been better off, using other forms of collateral as security instead of cash.
One other way, i forgot to mention to purchase properties also was, if your a first time, you can purchase a first home on FHOG and then turn it, into an investment…
** this is something, i have also done, very minimal out of pocket expenses, and minimal legal costs..
Cheers,
sisHi Foundation,
What i mean by that term is, drawing a LOC (line of credit) or refinancing that investment property loan, and taking those cash proceeds and using the new cash that is available, as new cash deposits, to purchase the next investment property.
Cheers,
sisHi Styla2001,
It varies where your get your deposits from…
* Cash/Savings
* Equity
* Other forms of security (being a security tied to the new investment property)
* Shares (stocks)
* family – friendsPersonally were i get my funds from, is from option trading, as in the form of option price appreciation + Releasing Property Equity, in purchasing more property, and repeating the cycle..
the 2 fastests ways i gain cash deposit, are definelty, cash being released from the properties equity, + a very heavy load of option trading that i do.
I have only ever sold one property, to help push and further the momentum of cashflow and deposits.
Though as for serviceability, i do a system that is called off-set gearing + cash deposits that are enough to turn a property positive cashflow, but can be offsetted against negative geared properties..
Cheers,
sisps.. i also put some strategies in place, to ensure funds are also available and that can be released almost immediately
In response to an email threatening to sue for defamation, this post has been removed.
Sincerely,
– Admin
In response to an email threatening to sue for defamation, this post has been removed.
Sincerely,
– Admin
Originally posted by Smethem:Your decision to pay off debt might still turn out to be the best option for you, especially if you are bullish on both the property and share market, but it looks to me like you could afford to do some more scenario modelling?
Quite Agree
Cheers,
sisHi Unannounced,
try http://forum.bodybuilding.com/ its more of a body building forum, been a member for about 4-5 years now.. but they talk alot about excercise regims, nutrition, health and body building..
there roughly anywhere between 500 – 1000+ members online at any one time..
but alot of them are teen bodybuilders.. but a many of them, are quite smart and there are a few professional athletes who speak on the forum boards too..
Cheers,
sisHi Guys,
are great way.. of financially getting a head, is asking someone whos been there and done it, ask them, what they would do, if they could start all over again, and how they would do it…
some would say, to do this, others would give mentor advice, others will tell you there life time story on exactly how they did it…
sometimes its easier to copy the wheel than re-invent it…
Cheers,
sisHi Guys,
gettting educated about investing, is very important, i ve seen many people, who know a thing 2 about investing, but because there not educated and mindset they are also limited by what they know and can achieve, personally i would say.. get all your free info you can, but when it comes down to the nitty gritty, pay for advice…
currently in now adays, i network with people, i keep in touch with my lender, and with my accountant try to at least meet once a month, but also i talk to my stock broker every day, in opportunities in making money…
in doing this, too ive helped convined my friends plus brokers and lenders, to invest themselves and enjoy the journey to financial freedom…
Cheers,
sisHi Guys,
yesterday, when going for a drive, but also wanting to get out and have a break from home and the computer screen.
took the car out for a drive and stopped at every single real estate agent along the way (though was not going to buy, but sticky beak, in the interested areas), and would you believe my luck, with the last 2 real estate agents, i was fortunate to find 2 cashflow, property investments (after 10% deposits) in a metropolitan very high growth area…
anyway long story short, manage to sign a contract and the seller agreed to the asking price and terms of my contract. (but also, by the time this property settles, it will be a cash cow, due to its high potential of captial gain… very low vacancy rate + its immediate cashflow, it delivers.
the 2nd property, will not know till monday, but if things go right, will also be signing up on it. but these are high growth properties in metropolitan areas. that deliever a high level of capital gain + cashflow… that can be still found…
wasnt this similar to the time that Robert Kiyosaki, was buying up in Phoneix ( US ), when interest rates were high, property prices were at slump levels… and rent returns, were being pumped up…
*** no not really….
but what is scaring people from the property market, when there are plenty of potential gains to be made and cashed in…?
Cheers,
sisi believe you have to be fast in all markets… if your not fast you will lose out on making money, you can get rich quick or slow, but if you have the time and can watch your investmenst… then go for the quick rich scheme…
and repeat systems that work…
though the fastest money, i seriously make is from the stock market, doesnt matter if the market is going up or down… but compounding and averaging up profits and sticking to the trend…
Cheers,
sisHi JustAllan,
sorry but i totally disagree with your comment, as a private trader and property investor…
personally i see shares as less risk, than property (alot less risk) property and shares both have there cons and pros, though i would totally disagree that share trading is gambling (its technical, fundamental, displine and psychology analysis)
Oh, I don’t know… When you don’t understand something enough, so that it seems more like gambling than investing – I call staying away from it a move of a very wise man.Agree… if you dont understand it, stay away from it until you learn and understand it, (but do try to learn about that new idea or subject.
I thought about getting into stocks/shares. After two weeks of determined research, it became obvious the learning curve was beyond me (and most other people if they’re honest, unless they’re content being gamblers instead of investors).the learning curve is hard, but the rewards, to understanding and putting effort towards the market, does come back, (handsomely) though, if someone who gambles on the market (deserves to lose money, if thats how they think the market is)
The learning curve with property seems much less stressful. Companies can go bankrupt overnight and there’s no guarantee that those that seem successful according to their prospectus are not fiddling the figures (as many have found out in recent years).true… but isnt this the same with property, you dont keep up with your mortgage (tenants fall behind in rent), non taxable expenses are claimed… (sorry but this happens in both markets)
But there’s not many properties that can reduce in value to zero in one day – even if they burned to the ground with no insurance, you’ve still got the land.With property can you hedge your positions like shares, and protect your capital from the downside, but profit there too, but also profit on all 3 angles…
up market, down market, and a sideways market…
with property, you cant do that, but with shares you can protect yourself, by getting insurance… but in property you cant profit from insurance like you do with shares…
Cheers,
sisps… even though i invest in both investment vechiles, it is shares that are providing the capital, to purchase more and more investment properties, than properties on there own…
… on another foot note…
personally, i havent read Steve’s second book, not because i dont want too, but because, i’ve found that most books are pretty repetive…
but also… investing, is pretty straight forward.. and with quick easy words… “its just repeating a system that works….”
Cheers,
sisHi Wilandel,
lol… i was up there about a weekend ago… personally, the area, didnt take my interest…
but i did have a good time, while i was there…
Cheers,
sisHi Guys,
personally i agree with Redwing and Aceyducey, i would be seriously investing into comodoties at the moment…
with inflation on the rise and a pull back in oil prices… i would be honestly buying up gold… as its the best hedge against inflation and a low US dollar, though Australia is one of the biggest resources suppliers in the world… you would have to been crazy to have and miss out on the share market boom… that is currently happening…
while the property market, sits in the corner… its taking a beating in some inner city areas of australia… ouch!
Cheers,
sis
