Hi burbonbill,

You could also do this, release some equity to purchase a +ve cashflow property or properties on the full purchase prices and use the “Offset Gearing Principle” to have your Negative geared property, offsetted against another property’s passive income.

This way, you have 2 properties, but can further benefit more in taxation wise, and have less money or no money coming from your pocket to fund either properties.

cheers,
s.i.s

“People 4 get that by saving just $3 aday & investing it sensibly over a working life, you’ll end up wit around $1 million.”

Hi adrianqld,

Celivia’s idea is very approcable and is addressed in the best manner, for accessing more cash, but also increase your equity and property value further more.

Heres another good example.

Property Purchased Price: $175,000
Rental: $400 pw

One year later……

Property Re-valued – New Value: $200,000

In this senario, i would redraw the new equity of $25,000…. As this money is tax free…. and then further reinvest, spend it, or improve your property, with depreciable items, (were again you can claim more tax deductions, but also increase your property value even futher and the odd possilbity of extra rent).

Best part too is…. presuming your property, stills stays +ve cashflow on the new mortgage. You’ve just acquired some “Tax Free Dollars for you own Pleasure or Leisure”

cheers,
s.i.s

“People 4 get that by saving just $3 aday & investing it sensibly over a working life, you’ll end up wit around $1 million.”

Thanks Steve,

As soon as i saw, the profit can be shown as ordinary income, it was like a new light shone upon me. [][][]

Will futher research and investigate this, but thanks heaps for your reply and web link.

Wish you a Happy New Year

cheers,
s.i.s

“People 4 get that by saving just $3 aday & investing it sensibly over a working life, you’ll end up wit around $1 million.”

Hi Steve,

So lets say i become a trader, how would i prove this to the ATO, or do i need to get some kind of forms from the ATO, to show proof, that i buy and sell property as a trader?

Or do i need to not have a job, to be a property trader?

cheers,
s.i.s

“People 4 get that by saving just $3 aday & investing it sensibly over a working life, you’ll end up wit around $1 million.”

Hey Melbear,

you still up for another round of monoply?
well if you are, well you want to make a time to play?

cheers,
s.i.s

“People 4 get that by saving just $3 aday & investing it sensibly over a working life, you’ll end up wit around $1 million.”

Hi Team,

ok theres always good old classic monoply, anyway, was just looking for a download link for it then,

but do you know you can now play “Monoply Online”

Anyway here is the link: http://www.games.com

Click on traditional games,
And on the next Screen, you will find a link to play monoply online, and against other people around the world.

cheers, and have fun
s.i.s

“People 4 get that by saving just $3 aday & investing it sensibly over a working life, you’ll end up wit around $1 million.”

Well done Ian,

Though its a bit shocking, how much markup price and profit, these large companies… like harvey norman, bing lee and good guys charge.

oh well… life goes on

cheers
s.i.s

“People 4 get that by saving just $3 aday & investing it sensibly over a working life, you’ll end up wit around $1 million.”

Hi Ray White,

My brothers gf lives that way, being so, had the opportunity of having a look at many properties in that area, was cheap long ago, but the prices of The Gap in some areas are still in the mid $300k’s though in some other parts of The Gap, you will find property well over the $1 million dollar mark.

Seems to be an alright place to invest, though if you are after +ve cash flow properties, a much harder chance to come by them. Great for Capital Gain Returns.

Cheers
s.i.s

“People 4 get that by saving just $3 aday & investing it sensibly over a working life, you’ll end up wit around $1 million.”

Hi booboo,

Commerical loans are a little harder to service, as most lenders, will only lend 70% of the intial purchase amount. Other thing to is, the loans are roughly about 2% higher too, and you have to pay alot of service fees and other related bank charges, that normally a residential property can be exempted, due to what type of loan package taken.

Best not to collateral any properties to a large investment, unless you like risk or are prepared to take on. Other than that, the bank like to review the loans every 6 months as well… so that is another thing to, to consider.

Not sure on this, but im sure that commercial/business have a maxed period of 15 years. Though, im not sure on this again.

Though im sure, one of the Mortgage Brokers on the forum, would have better knowledge and would be able to give better advice and help in this area.

cheers,
s.i.s

“People 4 get that by saving just $3 aday & investing it sensibly over a working life, you’ll end up wit around $1 million.”

Hi Leigh,

I havent really shopped around, but as for insurance, im with CommInsure.

Very Simple to setup and new insurance policies can be quickly created, normally takes no longer than 5 mins.

Price – well its different for every property.

If you are after Mortgage Protection Insurance, Commonwealth Bank offer that again, but only up to $400k

though

if you exceed this amount, they do offer CMP though you be better off to get their “Total Care Plan” which covers the following:

Trauma Cover
Total & Permanent Disability Cover
Life Care

Though this aint cheap, but their are some incentives and this is also tax deductible, though there is some other insurance policy you have to take out, and i just cant remember its name and find were i put those documents.

Hope this helps,
cheers
s.i.s

“People 4 get that by saving just $3 aday & investing it sensibly over a working life, you’ll end up wit around $1 million.”