Hi guys,
Probably a bit of a self-indulgent thread, but the more I read on here lately the more I realise a lot of people are sitting back and waiting for that perfect time to enter the market. I agree there's merit in that if your cash flow is weak, but for most here I'd think that isn't a limiting factor.
Hence, I thought I'd post a "why wait" thread!!
I'm off to Brissie to buy that first IP since buying my PPOR. Its revalued now and I've freed the equity as money down. I've run the numbers and I can purchase and hold a $350K property only 15km from the town centre for the measly total of around $4K pa after my NG tax breaks. $4K!! For that little I might even buy two or three of them. Even factoring some interest rate hikes its still well within my servicability threshold.
Now, there's no gaurantees she'll jump in value this year or even next year for that matter. But a modern 4 bedroom house with all the mod con's on a decent size block and only 15km from the town centre. She's a set and forget. In ten years time there's a pretty good chance she'll have doubled in value and I'll have returned a $350K profit for the token outlay of $40K in holding costs.
I have to agree with this forum's founder and reiterate that the correct time to buy is definately "as soon as you can afford to".
<rant off>
Cheers,
Michael.
Probably a bit of a self-indulgent thread, but the more I read on here lately the more I realise a lot of people are sitting back and waiting for that perfect time to enter the market. I agree there's merit in that if your cash flow is weak, but for most here I'd think that isn't a limiting factor.
Hence, I thought I'd post a "why wait" thread!!
I'm off to Brissie to buy that first IP since buying my PPOR. Its revalued now and I've freed the equity as money down. I've run the numbers and I can purchase and hold a $350K property only 15km from the town centre for the measly total of around $4K pa after my NG tax breaks. $4K!! For that little I might even buy two or three of them. Even factoring some interest rate hikes its still well within my servicability threshold.
Now, there's no gaurantees she'll jump in value this year or even next year for that matter. But a modern 4 bedroom house with all the mod con's on a decent size block and only 15km from the town centre. She's a set and forget. In ten years time there's a pretty good chance she'll have doubled in value and I'll have returned a $350K profit for the token outlay of $40K in holding costs.
I have to agree with this forum's founder and reiterate that the correct time to buy is definately "as soon as you can afford to".
<rant off>
Cheers,
Michael.