In one way or another we all seemed to have goals whether it is amount of properties, amount of positive cash flow income or something else.
I set myself a few modest goal a few years back of either attaining a certain amount of properties or positive cash flow income. Some other goals I set was that the quest to these would not stop me from still doing the things I like, for example, travelling, cars and not having to work for someone else unless it was something I could enjoy and relax doing. I understood that it would mean attaining either of these goals would be slower than if I just concentrated on property investing and gave up the travelling and cars.
Recently while evaluating my goals I was happy to see I was in front on the passive income side but behind on the property side. Now I'm considering whether to try for the property side of things as well or just say enough is enough.
The passive income I now have has exceeded my goals and should continue to grow at a nice rate and was achieved with less properties than I thought was needed initially. My LVR is low. When going over my figures I realized if I sell one high end property I can remove my debt completely. Selling a high end property will also reduce my passive income but still be more than my original goal. Another option is to sell 2 lower end properties and still be in the same situation of debt free and still above my passive income goals.
If I remove all IP debt and that is the only type of debt I have as all other things are paid for by cash including my cars it may take approximately 2-3 years for rents to rise and have me back to my current IP income.
I'm not sure why but recently the feeling of being totally debt free is growing stronger although it requires selling something.
Finally the difference between removing the debt completely and having less income coming in is still more than the current PI received. I could continue to ride the property cycle longer decreasing my LVR, receiving more income to put towards either debt reduction or enjoying life but as mentioned before being debt free even though good debt looks very inviting.
Either way my current lifestyle can continue.
Any thoughts?
I set myself a few modest goal a few years back of either attaining a certain amount of properties or positive cash flow income. Some other goals I set was that the quest to these would not stop me from still doing the things I like, for example, travelling, cars and not having to work for someone else unless it was something I could enjoy and relax doing. I understood that it would mean attaining either of these goals would be slower than if I just concentrated on property investing and gave up the travelling and cars.
Recently while evaluating my goals I was happy to see I was in front on the passive income side but behind on the property side. Now I'm considering whether to try for the property side of things as well or just say enough is enough.
The passive income I now have has exceeded my goals and should continue to grow at a nice rate and was achieved with less properties than I thought was needed initially. My LVR is low. When going over my figures I realized if I sell one high end property I can remove my debt completely. Selling a high end property will also reduce my passive income but still be more than my original goal. Another option is to sell 2 lower end properties and still be in the same situation of debt free and still above my passive income goals.
If I remove all IP debt and that is the only type of debt I have as all other things are paid for by cash including my cars it may take approximately 2-3 years for rents to rise and have me back to my current IP income.
I'm not sure why but recently the feeling of being totally debt free is growing stronger although it requires selling something.
Finally the difference between removing the debt completely and having less income coming in is still more than the current PI received. I could continue to ride the property cycle longer decreasing my LVR, receiving more income to put towards either debt reduction or enjoying life but as mentioned before being debt free even though good debt looks very inviting.
Either way my current lifestyle can continue.
Any thoughts?