We've done it!
- Thread starter Rixter
- Start date
Hi Rixter,
Ok, so that means you met your prior income goal and your plan has worked out then. You simply want more income now than you previously anticipated.
Leandro
Yes and I also forgot to mention, greater equity buffer for SANF due to any future GFC down turns again. This was a good positive to come out of the recent GFC for me.
Thanks Rix for the update, it must be hard to stop investing even once having reached a point of confort 
I was wondering if you could answer a question I had relating to your strategy. I know you've mentioned that you use your LOC to service shortfallings in your property holdings, my question is, has this been something you have done from the get go i.e first IP or something you implemented once your asset base got bigger?
Also have you ever used your payg income to service any of the loans or purely LOC?
If this question is me having a blond moment I'm sorry.
I very new to all this, and I am trying to get the principles correct.
cheers
JAG
I was wondering if you could answer a question I had relating to your strategy. I know you've mentioned that you use your LOC to service shortfallings in your property holdings, my question is, has this been something you have done from the get go i.e first IP or something you implemented once your asset base got bigger?
Also have you ever used your payg income to service any of the loans or purely LOC?
If this question is me having a blond moment I'm sorry.
I very new to all this, and I am trying to get the principles correct.
cheers
JAG
Setting up investment LOC's was something I structured after I had few IP's. Starting out the first few years I used PAYG income to cover any minor losses, but the losses were minimal due to good yields so didnt really affect my lifestyle costs of living.
Do you feel happy? Or is there an emptiness in it all? I know three serial, hard-core property investors - Two of the couples are miserable, money obsessed sad cases; one of the couples are sort of happy, but still sort of outcasts in the scheme of everyday life, who live life in a miserly manner even though they're loaded. Basically all three couples have achieved massive wealth through property, but live poorly.
I'm Miserable, but my on-line character in Second Life, World of Warcraft and Sim City is having a blast
You need to broaden your investor friend networks
Does that mean you looked at properties that where leaning towards more of +cf? If so did they tend to have lower CG gains? Or have you always looked for primarily high CG gains?
I'm primarily investing for CG however its juggling act in maximising your CF but still attaining CG props. All my earlier IP purchases have tripled in value plus the yields have more than doubled. Those initial first few IP's where basically cash flow neutral at purchase.
These days, with substantial CG since, I am now fortunate enough to be in a position to be not so much CF yield focused but more CG focused than when I first started out. I guess Im saying the juggling act is not so intensive as in those early years.
I hope this helps.
I use my LOC to cover CF shortfall on some of my later purchases. Rents go into LOC and expenses including loan interest come out. Any shortfall difference between simply increases the balance of my LOC (Commonly known as capitalising interest). The bank does not require any LOC interest repayments to made until such time at the LOC reaches its agreed credit limit.
I hope this helps.
I hope this helps.
Let us know how the shopping trip goes
Are you planning to reduce your current work requirements over the next two years to semi-retirement..or just work as per normal until you stop work completely on DDay Mk 2
Have now returned to the wild wild west from my maiden NSW IP shopping trip.
A fulfilling time was had with another filly contracted to the stable.
Once my team of trainers get her across the line I will post further details
I would like to thank a couple of SS forumites for their time and generosity whilst in Sydney.
MJA & Bojangles you guys are the best!
Its been a few weeks but nearly there. Vendor's been holidaying in the Bahama's.
Progress report.
I get a email from my solicitor congratulating me on contracts exchanging and its now an unconditional sale. Yippee I think to myself.
Thirty minutes tick bye and I receive a call from the Sydney REA. There is a problem they tell me. I said what may that be? They said they have lost the 5% deposit cheque I sent them via registered post. WTF??
They asked me to stop the cheque. I said No can do - its not a personal cheque, its a bank cheque. You need to contact my bank and see how you go about getting another one - in the mean time I tell them to have another a good look around the office.
A few days tick by and I get a call from my local bank branch here in Perth telling me the REA wants another cheque. The bank tells me its no problem but they advised it will take 24 hours to cancel old cheque and for the funds to be deposited back into my account. I said Yes. The says the REA does not want to wait 24 hours what do I want to do. I told them its the REA stuff up, they will just have to wait. No probs said the bank, they will notify the REA of such.
A week ticks by. I get a call from the REA saying the bank has just informed them that they cant get another cheque because its up to me as the person who purchased the cheque organise new cheque. The are very apologetic for the inconvenience it is causing me due to their stuff up.
So I go into my local bank branch here in Perth and organise another cheque and got it delivered to the REA local bank branch in Sydney for them to pick it up.
Anyway the REA tell me the cheque is now collected and banked into their trust account. Hip Hip hooray.
I get a $100 cheque from REA arrive in my mail box as compensation for trouble and inconvenience they have caused.
I guess this must be the Silver lining.
I get a email from my solicitor congratulating me on contracts exchanging and its now an unconditional sale. Yippee I think to myself.
Thirty minutes tick bye and I receive a call from the Sydney REA. There is a problem they tell me. I said what may that be? They said they have lost the 5% deposit cheque I sent them via registered post. WTF??
They asked me to stop the cheque. I said No can do - its not a personal cheque, its a bank cheque. You need to contact my bank and see how you go about getting another one - in the mean time I tell them to have another a good look around the office.
A few days tick by and I get a call from my local bank branch here in Perth telling me the REA wants another cheque. The bank tells me its no problem but they advised it will take 24 hours to cancel old cheque and for the funds to be deposited back into my account. I said Yes. The says the REA does not want to wait 24 hours what do I want to do. I told them its the REA stuff up, they will just have to wait. No probs said the bank, they will notify the REA of such.
A week ticks by. I get a call from the REA saying the bank has just informed them that they cant get another cheque because its up to me as the person who purchased the cheque organise new cheque. The are very apologetic for the inconvenience it is causing me due to their stuff up.
So I go into my local bank branch here in Perth and organise another cheque and got it delivered to the REA local bank branch in Sydney for them to pick it up.
Anyway the REA tell me the cheque is now collected and banked into their trust account. Hip Hip hooray.
I get a $100 cheque from REA arrive in my mail box as compensation for trouble and inconvenience they have caused.
I guess this must be the Silver lining.
