Home ownership

[jase]

You're not including the tax rebates that you get from a negatively geared property, or the capital gains.

Keep the property for long enough, it will be cashflow positive. Pay off enough of the loan, it will be cashflow positive. Renovate the house enough, it will be cashflow positive. Etc, etc, etc.

No all that means is that you have more equity in the place, and can borrow more for the next property.

Cash-flow-positive means that the rent you receive, covers ALL costs of owning the property (inc the loan), and your taxable income goes up, not down. Capital gains, when sold, are a bonus, and have nothing to do with cashflow.

I know what cash flow positive means. If you keep your property for long enough, the rent that you charge will go up, if you pay off enough principal, your repayments will be less, and if you renovate the house, the rent that you charge will go up again.

You've got to spend money to make money...

 

[WRCVR4]

Ahh another $420 towards my deposit, just counted my coin collection.
do you realiase how much that weighs :shock: SHIT

 

[JSTYLE]

Ahh another $420 towards my deposit, just counted my coin collection.
do you realiase how much that weighs :shock: SHIT

hahah dont steal my money tin cos i put notes in it!!!

Jon

 

[trevmcrev]

Yeah thats where i'm at with my investment apartment. Lived in it 1st, paid it down as mush as poss, made some improvements, meanwhile the area had good growth, its opposite the beach so that was a given.

Now its worth $500k+, and is rented out for more than my repayments and agents fees. Cashflow +. This then allowed me to buy the next house.
I have a big mortgage, dont worry bout that, but have worked my clacker off to build a business that can pay for it. Assets are growing but i dont have loads of spare cash to play around with.

Business & property are the priority, the cars are the distraction, but give the enjoyment along the way that makes it worth the hard yards.