LVR = 0% is this smart???
Steve,
I have been trying to respond to each individual part of your post here, and each time I try to "submit" I keep getting told there are too many "smilies" in my response (mind you, I didn't even include ANY!!)
So I guess I will have to keep it brief (first time for everything hey??) in answering at least one of your key questions. NO an LVR of 0% is not smart far from it. I pay way way too much unnecessary tax, but then again, if you're not paying the taxman, you're paying your tax agent / accountant (to keep you from paying TOO MUCH TO the taxman) or alternatively you're paying the bank, either way you're paying someone!!! It just depends on who you can pay the least too right??? I don't believe in not leveraging against equity to expand one's portfolio, it's just that up till now I've been fortunate enough not to need to. Remember though, it was a lot simpler years ago, house prices were not as they are today and although wages were equally not as they are now, it still was a very different ball game!!! And finally, I didn't get to this point with "just property" although they contributed immensely, without the aid of shares to boost things along a bit, I would not have made it thus far.
Cheers,
Jo
Steve,
I have been trying to respond to each individual part of your post here, and each time I try to "submit" I keep getting told there are too many "smilies" in my response (mind you, I didn't even include ANY!!)
So I guess I will have to keep it brief (first time for everything hey??) in answering at least one of your key questions. NO an LVR of 0% is not smart far from it. I pay way way too much unnecessary tax, but then again, if you're not paying the taxman, you're paying your tax agent / accountant (to keep you from paying TOO MUCH TO the taxman) or alternatively you're paying the bank, either way you're paying someone!!! It just depends on who you can pay the least too right??? I don't believe in not leveraging against equity to expand one's portfolio, it's just that up till now I've been fortunate enough not to need to. Remember though, it was a lot simpler years ago, house prices were not as they are today and although wages were equally not as they are now, it still was a very different ball game!!! And finally, I didn't get to this point with "just property" although they contributed immensely, without the aid of shares to boost things along a bit, I would not have made it thus far.
Cheers,
Jo