Considerations when selling

[ren-A]

G'day all,

Found an interesting article on things to consider when selling an investment at

http://www.clime.com.au/Issues%20when%20selling.pdf

Although it gives a worked example using NAB instead of property, the impact of CGT on final yield and the appreciation you'll need in your NEXT investment, are worth thinking about in an IP context as well.

Strongly suggests buy-and-hold is a winning strategy for shares as well as property.

For your consideration...

[diversify]

Interesting piece ren A

There is a difference between investing and trading.

The idea I takeaway is not the maths of what growth you need in your next investment to make up for the tax, but essentially that growth compounds, but tax is a fixed % of the outcome. So your tax will be bigger after a successful buy and hold, but so will your after tax return.

Thanks