Hi All,
I recently lost all my investments due to a huge mistake I made. Briefly, I went into developing with a friend ( this was my first endevour into developing) before the downturn came and I ended up losing all of my investment Properties to pay off the debt. I was luck enough to keep my home. But the new mortgage is at 90% of the value.
Recently I have come across 2 CF properties neither paying huge amounts per month in cashflow but they are definately positive
I need advise on whether to find a JV partner or to reduce my debt first.
I believe that there will be definately be more opportunities ahead and my feeling is that I should reduce the debt on my home and use the equity to help me aquire more positive property.
I have seen the positive side of property investing and I want to get back in ASAP. Because I can see that this is the time to buy.KFRE1810, that’s bad news losing all your IPs because of a development going wrong.
Before you go any further I’d suggest you make sure you really understand what happened and how you can protect yourself against it happening again. If you undertake a very risky development, make sure your existing assets / investments are protected e.g. using a trust structure.
But also, look carfully at the risks you took in that project, sounds like you were overleveraged? Were the risks unnecessary and could they have been better controlled?
Would suggest you create some equity first before buying anymore, especially with current lender practices.
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