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Cheers. I suppose there are alot of things that you could do with the money eg high dividend shares, a business perhaps or another IP.

You mean, rental income? So to go back to my example, You have a 1 mil property, say it grosses 40K pa rent, less taxes and outgoings etc you'd be lucky to see 20K. Can't live off 20K pa. Nah, doesn't work that way.

I think that when you approach a bank for more money you can't just walk in and say "hey bud, I've been LOE for the last 10 years doing sweet FA, can you swing me some more cash?... my IP is worth x, my rent is y and I already owe you xyz!" Anyway, working 2 years out of 10 aint bad.

OK You've an IP worth , say, 1mil with no mortgage You borrow say 75%, that's 750K. The rent should just about cover the repayments. But lets just say you're short say 15K pa. allup. You can LOE for 8 years. (750/10 =75K pa to live off, less 15K for shortfall in maintaining property...