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Quasar, have you heard of term 'Living on Equity'? If not, do a search. The topic's been discussed extensively. Its just one of many investment strategies available to investors to access funds from their large multi $million portfolio's to support their costs of living / lifestyle. I hope...

Yes you are correct. It wouldnt make any sense if one is wanting to pay it off and later sell. So why would you ever want to try? To pay it off is only going to cost you more from after tax dollars plus if/when you sell there's all the selling costs and CGT that you rightfully point out. Why pay...

Yes Pete, building a substantial size portfolio is an option now Quaser has decided NOT to sell the $300k property. Hope this helps.

10 years of rental increases across portfolio will do well to offset it too. :)

Yes there are as many ways as one can put together. I also use Cashbonds.

Terry, like I said - subjecting to lending criteria. Just like any form of lending one needs to have already structures themselves to meet the criteria otherwise they will encounter issues. Its not a problem unless ones put themselves in a position for it to be or become one. Hope this helps.

You set up a loan (LOC and/or loan with offset savings account attached etc) secured against the property. You then draw down on this loan when ever you want ie weekly, fortnightly, monthly etc. For example if you have a property valued at $800k with an existing loan of $400k the banks will...

Just redraw the equity out to use as you want income tax free - financially you will be miles ahead. No CGT, No Selling costs, and No Loss of future income source by selling on capital growth to who ever buys it.

I know what it is to me but I dont know what it is to quasar. Im trying to get quasar to explain his/her perspective of lost opportunity cost and how he/she derives it from his/her situation. In other words, how is having a property that puts money into your pocket and has grown in value by...

Can you explain to me what opportunity cost actually is? I would have thought having a property putting money into your pocket from a cash flow perspective and grown in value by 250k would be classed an advantage to making life easier.

I think you're looking at it from the wrong perspective..You say you've had it since 1998, only have a small debt against it now, and its not costing you any money then why are you calculating 1% yield on current approx values? Current value is not what it cost you is it? I think you are losing...

My understanding is the CGT calculation will be worked out on what ever the property's value was when it became an IP and whatever it sells for now. Because it has been a IP for greater than 12 months you will be entitled to 50% discount on the profit. That discounted profit figure then gets...