Hi everyone!
I have been lurking on this forum for over a year - it has helped me to consolidate my investment strategy (capital growth to replace income in 15 years) and my initial short term goal is to purchase two quality properties in an above average growth area, in the next three years- but I am not sure how to get started.... I have so many questions!
Background:
I am 29, earning $80k husband is 28 earning $75k, and we have one child.
We save $1300 per fn, (have only been able to do this recently, but can now do this longterm), we currently only have $10,000 in savings. We are not elegible to first home owners thanks to a previous property purchased with an ex partner in Vic, and sold 5 years ago.
House situation:
We rent our house cheaply through my husbands work, we pay less than half price market rent so we are more than happy to keep renting here and begin investing in property, aiming for strong capital growth and having others pay off most of the mortgages for us.
Debts:
We owe $16,000 on a car loan, (repayments slightly above minimum at $350pfn) and we both have hecs/help debts - husband owes $5000 and I owe around $12k.
My questions are:
Should we pay off the car loan first, and/or our hecs debts, or continue saving for a deposit on our first IP, then focus on debt elimination?
We want to get into the property market ASAP - what are the pros and cons of a 5% deposit?
What are the pros and cons of capitalising LMI?
What are the pros and cons of house and land packages vs established properties?
What are the pros and cons of more, less expensive properties or fewer, more expensive properties when growing a portfolio?
How do I work out how many properties / or the total value of properties we could purchase, negatively geared, before we won't be allowed any more loans?
Thanks everyone, any light that you can shed will be most appreciate!
I have been lurking on this forum for over a year - it has helped me to consolidate my investment strategy (capital growth to replace income in 15 years) and my initial short term goal is to purchase two quality properties in an above average growth area, in the next three years- but I am not sure how to get started.... I have so many questions!
Background:
I am 29, earning $80k husband is 28 earning $75k, and we have one child.
We save $1300 per fn, (have only been able to do this recently, but can now do this longterm), we currently only have $10,000 in savings. We are not elegible to first home owners thanks to a previous property purchased with an ex partner in Vic, and sold 5 years ago.
House situation:
We rent our house cheaply through my husbands work, we pay less than half price market rent so we are more than happy to keep renting here and begin investing in property, aiming for strong capital growth and having others pay off most of the mortgages for us.
Debts:
We owe $16,000 on a car loan, (repayments slightly above minimum at $350pfn) and we both have hecs/help debts - husband owes $5000 and I owe around $12k.
My questions are:
Should we pay off the car loan first, and/or our hecs debts, or continue saving for a deposit on our first IP, then focus on debt elimination?
We want to get into the property market ASAP - what are the pros and cons of a 5% deposit?
What are the pros and cons of capitalising LMI?
What are the pros and cons of house and land packages vs established properties?
What are the pros and cons of more, less expensive properties or fewer, more expensive properties when growing a portfolio?
How do I work out how many properties / or the total value of properties we could purchase, negatively geared, before we won't be allowed any more loans?
Thanks everyone, any light that you can shed will be most appreciate!