Well said, Jakk
But doing the ironing is most of the challenge (read: fun!).
If it was easy, 'everyone' would be doing it
The third of anything is what really tests the mettle
And regarding the reference to 3 = 1 income, that is of course, 3 + PPOR = 1 income.
However, to take into account the necessary outgoings of maintenance, insurance etc, I would construct the equation as:
PPOR + 1 sacrificial rent + 3 income rents = Reasonable Standard of Living (minimum: 5 properties owned clear of debt)
In fact, with care and management, that RSL, plus the equity in the other 5 properties means the ability to get #6, #7 - as many as you like!
On a philosophical note:
It's easy to be brave and adventurous when there's nothing to lose. A free ranging cowboy! (Yes, I know, that sounds a bit like a chicken)
But have you noticed how less brave and adventurous we become once we build a few fences and have a few cattle to protect from the dingoes and a bit of tax to pay and Home on the Range means yearly drenchings and harvests (gasp! it might rain on the wheat!!) and suddenly there is something to lose and, well, probably two is enough, why be greedy, don't tempt fate, and besides a new car would be nice and there's always the superannuation to fall back on and that nice college for the children really isn't expensive and so much nicer than that nasty free government school just down the road etc
So after the exhileration of the first two investment properties, most people - and I generalise purposefully - would consider that they had done their duty and would have no interest in breaking the sound barrier and experiencing the sonic boom of three.
But if we do, if we dare, like Alice through the little brown door, after three, it's a wonderland, a dimension of space, time and reality which is there for all to share.
And it's a darn sight more interesting than being stuck down the bottom of a rabbit hole for the rest of your life!
Well, there goes that white rabbit again. It must be later than I think!
Kristine
