I have a situation, would like some ideas;
I fluked some good IP buys between 1999 and 2002. Net result today is that I have 4 IP's worth about $2million with loans at $1M. In 2003 as everyone I knew was buying IP's I got a bit concerned and stayed out of the market. In fact, since April 2002, have not invested in property.
I've basically been putting my excess savings into my IP mortgages (which effectively, post tax, is getting me 3.5% on my money). Pretty useless especially if you consider there is no leverage in doing this.
Last Novemebr I also started investing in managed funds for exposure to international shares, bond markets, and so on - savings here are growing nicely with no borrowings, but again, there is no leverage in what I am doing.
I have the ability to redraw around $200,000 from my IP's (at 7%).
I could use these funds as a deposit on $1M worth of proprty (leverage to 80 L/V ratio) - but I'm wary of leveraging into the current market. Also, this would hit the limit of my serviceability, would be tight, but potentially managable.
I have also been toying with the idea of using the 200K for more investments in equity markets and borrow another $200K against it. Effectively to set up 50% L/V ration fund/s worth $400K.
Then, since I am currently working and living o'seas, I get constant calls from "advisors" to invest in an offshore tax haven entitys such as Guernsey, where they claim the investment would be completely tax free.
I'm in a rut - would like to leverage a bit more, but don't want to lose what I have built up in last 6 years...
Any ideas would be handy.....
I fluked some good IP buys between 1999 and 2002. Net result today is that I have 4 IP's worth about $2million with loans at $1M. In 2003 as everyone I knew was buying IP's I got a bit concerned and stayed out of the market. In fact, since April 2002, have not invested in property.
I've basically been putting my excess savings into my IP mortgages (which effectively, post tax, is getting me 3.5% on my money). Pretty useless especially if you consider there is no leverage in doing this.
Last Novemebr I also started investing in managed funds for exposure to international shares, bond markets, and so on - savings here are growing nicely with no borrowings, but again, there is no leverage in what I am doing.
I have the ability to redraw around $200,000 from my IP's (at 7%).
I could use these funds as a deposit on $1M worth of proprty (leverage to 80 L/V ratio) - but I'm wary of leveraging into the current market. Also, this would hit the limit of my serviceability, would be tight, but potentially managable.
I have also been toying with the idea of using the 200K for more investments in equity markets and borrow another $200K against it. Effectively to set up 50% L/V ration fund/s worth $400K.
Then, since I am currently working and living o'seas, I get constant calls from "advisors" to invest in an offshore tax haven entitys such as Guernsey, where they claim the investment would be completely tax free.
I'm in a rut - would like to leverage a bit more, but don't want to lose what I have built up in last 6 years...
Any ideas would be handy.....