Hi all,
Long time lurker, first time poster looking for some opinions.
We're in Perth, own our own home outright, worth about $650K. We also have about $50K on term depost. Only other debt is a novated lease for our car – no cc, loans etc. About $130K dual incomes, one preschool child.
We recently spoke to an FA who advised us to take out a LOC for an investment property. We're not too keen on putting all our eggs into one basket like this and would rather diversify across different types of assets (cos that's what they teach you in investing school
What do you guys think? Of course, I know you're all into property so it's a bit of a loaded question but are we being over cautious? Should we only consider and investment property once it can form part of a balanced portfolio or do most of you just invest in property?
Or should we just buy a bl**dy great lump of gold and stick it under the bed ?
Thanks
At this stage I have, property, shares, art, wine (1 Bottle of Grange lol!), clothes from the 50's which I am speculating will be worth money in 30 years (you may laugh if you want but my kids will be laughing on AR). The majority is in property, that is only though I have a low tolerance for gambling and get sick of losing easily
so for me shares are just icing. I did get told to buy gold about 5 years ago and did not listen so silly me.You can always diversify in property between residential, commercial etc. You can buy into property funds as well. Remember you do not have to buy 1 investment property for 400k for instance, you could buy 2 for 200k, and in different states.
Good luck with it, you are not necessarily having all your eggs in a basket, you are just specializing.
D
DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email MeHi Elmondo,
This is a property website, but I'd be surprised if everyone only buys property. Either that, or I'm the odd one out…….
Diversification is definitely the way to go. Spend time with a good financial advisor on how to spread the asset allocation and don't make any hasty decisions, remember the old adage about the deal of a lifetime coming along once a week. Also, depending on your age and responsibilities (given a pre-schooler is mentioned), decide what you're willing to risk. This would also affect your asset allocation. One of the lessons of the last couple of years should be that assets do go down as well as up !
Thanks for the input guys.Wine's something I've thought about. I already have a diversified range of investments in the fridge in the garage, but I never seem to get a good return on them
Next job then is to find a decent FA. Any recommendations? We're in Perth.
Thanks
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