Thanks every one for your responses. I’ll certainly take them into consideration! [grad]

Michael, i agree with your thoughts on arriving at a preferred IRR. It is very subjective and i realise this now..

MarkyMark, that’s a great idea about using a +CF property to generate the cash needed to support a negatively geared property with high capital gain… a “cash neutral” investment strategy – i like it! Given your experiance, how many…[Read more]

Thanks again for your responses they have been very helpful.

However, what i’m really trying to determine is an acceptable IRR for a property over its investment life. This rate of return should take into consideraiton all forms of before tax cashflow such as the annual gross rental income and net proceeds from the eventual sale. I am hoping that…[Read more]

Thanks everyone for your responses!

Jeff, in relation to your statement:

“The combination of +CF and any capital gains or losses until you exit your investment must be positive.”

How positive is positive? I guess what i’m really asking is what kind of hurdle rate (%) +CF investors use to evluate a worthwhile investment (8%? 10%?). I know much…[Read more]