Hey all, I've heard about gearing a home loan for a IP and be able to claim the interest on tax.
So my 1st question is..
Is it financially smart to go out and get a loan to purchase a couple of smallish IP's, say totalling $1 million +? Assuming you get accepted for a $1,000,000 loan in the 1st place?
I'd assume you'd have to have a well paying job in the case of bad tennants, and if you have no tenants for a period to be able to meet the loan repayments.
And the 2nd,
I always here people talking about "the market" when IP's come into question.
So what exactly is the market? What influences it?, how do I find out how the market is doing? And how do you work with the market?
From what I understand, the market influences price of the IP and you buy when the market is low and sell when high?
Thanks,
Nathan
So my 1st question is..
Is it financially smart to go out and get a loan to purchase a couple of smallish IP's, say totalling $1 million +? Assuming you get accepted for a $1,000,000 loan in the 1st place?
I'd assume you'd have to have a well paying job in the case of bad tennants, and if you have no tenants for a period to be able to meet the loan repayments.
And the 2nd,
I always here people talking about "the market" when IP's come into question.
So what exactly is the market? What influences it?, how do I find out how the market is doing? And how do you work with the market?
From what I understand, the market influences price of the IP and you buy when the market is low and sell when high?
Thanks,
Nathan
