ABC The Business on Negative gearing
- Thread starter Weasil007
- Start date
Negative Gearing has worked well when we had Capital Growth in the old days I used to deduct the negative gear loss from the Capital Gain and was always miles in front . So bought more negative Gear property
Now since there is no capital growth buying Ips is becoming difficult unless you go out in the bush and buy positive geared property
The negative geared property bought years ago near major cities had crap yield and still do. So investing in the future unless growth reappears should be buying positve geared with good yield so you are able to keep purchasing such properties
Now since there is no capital growth buying Ips is becoming difficult unless you go out in the bush and buy positive geared property
The negative geared property bought years ago near major cities had crap yield and still do. So investing in the future unless growth reappears should be buying positve geared with good yield so you are able to keep purchasing such properties
That is where a contact comes in
Without going off on a tangent, the comparison is between an operating profit making venture versus an operating loss making venture that relies on external factors for it to make a profit.
Contracts mean nothing when one party is broke.
All investment is a risk. What you need to do is understand and manage risk, and use the returns available to make the overall investment work.
To make a blanket rule of NG is good/bad is oversimplifying the situation, and is not representative of the real world.
