100k

quick little hypothetical for everyone out there...


what would you do if you had 100k-

a) pay down one or more of your IP loans

b) use the 100k as a deposit for another IP

c) both / split

d) neither / something else

cheers
 
Tab, I think you should also ask the question why we choose that option. You could get a myriad of different responses, but it is the context of the investor's position and strategy that will give you some insight into the choice.

For me $100k and one of the sub-markets that I follow, may just get me a 1 bedder with some extra spare to cash to update/reno. But with the market the way it is, I would leave it in an offset account and wait until the recent madness in price escalation has calmed down somewhat. I also believe that part of the market is very keenly contested and would struggle to find value.

The second option for me, would be to use some of that cash to update/renovate existing property in your portfolio.
 
pay down our PPOR. use the freed up equity as deposit towards another IP (other then the one we are currently looking at purchasing).
 
If I tripped over 100K I would probably put it in the bank with my other cash earning 3.7% in preparation for my gap year/s coming up...

I have enough equity/capital in the market and just building cash reserves for now...feels really good too..
 
If I tripped over 100K I would probably put it in the bank with my other cash earning 3.7% in preparation for my gap year/s coming up...

I have enough equity/capital in the market and just building cash reserves for now...feels really good too..

While probably no use to you given you are OS, UBank (part of NAB) has increased their cash accounts to 5.49%

Cheers
Buddybee
 
Since I've just bought a new PPOR and have debt on that, I'd recycle it through there & buy another investment.
 
A bit conservative at the moment, so I would do "a"

It's funny how a few interest rate rises has spooked me, and my mindset has completely changed....:eek:
 
I'd place the $100k into one of my LOC's then draw down for another IP deposit (including purchasing costs).
 
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I'd go shopping with part of it, but unfotunatley i won't be getting a BMW, because i'd use some to add to my PPOR until i get the FHOG, then use that to get another..hm..
 
renovate my PPOR! we are doing it already but with that I could pay a painter instead of painting it myself (no , I am still a bit of a tight a**, would probably still paint myself....sigh)
 
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