[
] I was recently made redundant from my job in Qld and have sold our house and are now renting debt free with $180k to invest. The prospect of a job is not looking good and we are looking to maximise a cash pos benefit to assist for now and into the future. My wife earns $40k p/a income. Confussed as to how to buy multiple properties with little income. Is the correct idea to look at purchasing a number of properties (over a period) using a 20% deposit and then, when the money runs out, borrowing against these to borrow more using their equity to gain further cash positive properties[?]Any assistance will be appreciated thank you.
You’ve got the theory side right, 20% down borrow 80% etc. But I think a lot of people on the forum underestimate the processes in setting up appropriate loan structures.
Most banks are more than willing to lend for 1 or 2 properties initially, based on the 80% lend, but to borrow larger amounts for more ip’s, you generally have to show them that you can manage both their money and the property effectively.
In time, when you’ve proven yourself, they are much more willing to lend you more. But short term, in your position I’d suggest getting any form of employment you can handle, show an increased joint income, then establish a working relationship with a lender to help you reach your goal of passive income from investment property.Hi Nvios
yes if you put 20% deposits down you should be able to buy many properties. I bought my first 10 in 12 months a number of years ago when my taxable income was only about 30k, and my wife wasn’t working. sure along the way banks knocked me back but i’d just look for a new one. Hopefully your properties will appreciate in value over time then you can refinance and use the equity to for a deposit for your next property. As i said i purchased 10 in one year and i started with a net worth of only 25k.
I think the thing thats holding me back from making more money is that i’ve got a job. Perhaps not having one could be your one big advantage over everyone else. Another idea is buy properties that as minimogul would say are “cosmetically challenged” actually she said “serverley cosmetically challenged”. it’s so easy to add big $ to properties buy giving them a paint and a clean up. read some of Dolf deRoos’ material.
i actually made more money in the last 12 months by adding value to homes (and i had to pay people to fix them up), than i made working.
Go for it and have a good time in the process
regards westanTo just starting out.
I feel like you, with a balance of 25k to start an investment profile, I hardly think that’s enough. Next big problem of course is ‘where to look’. I live on the Gold Coast, but there would be nothing here I think that would give a positive cash flow. Could someone please prove me wrong on this? So where would be the next nearest spot to start searching?[]Johnmacas
as i said i did it with 25k, you don’t always have to have money to make money, but you do need to think outside the box.
i’m pretty sure you wouldn’t be able to find cash positive properties on the Gold Coast. but how about look elsewhere.
if you want to get somewhere you need to be more positive. sorry to say this but you are defeated already. you have said you can’t do it with 25k and you can’t find cash positive in the Gold Coast. Next week i’m on holidays and i expect to buy 6 to 8 cash positive properties. and i will do it.
try looking further north others on the forum say there are still many around regional QLD.
All the best westan
] I was recently made redundant from my job in Qld and have sold our house and are now renting debt free with $180k to invest. The prospect of a job is not looking good and we are looking to maximise a cash pos benefit to assist for now and into the future. My wife earns $40k p/a income. Confussed as to how to buy multiple properties with little income. Is the correct idea to look at purchasing a number of properties (over a period) using a 20% deposit and then, when the money runs out, borrowing against these to borrow more using their equity to gain further cash positive properties[?]
]The topic ‘Just starting out[?]’ is closed to new replies.
