Hi,
I am doing my family tax returns, and feel like sharing the numbers of our property investment so far.
IP1:
Melbourne South East (3B+study,2B,2C)
Price: $270K on 2008. Current value: $380K
Total holding costs after tax: $20K. $3K - $3.5K per year. Last year was $1K and positive this year due to lower IR.
Annual Growth: 5.86%
IP2:
Western Sydney (4B,2B,1C)
Price: $377K on 2010. Current value: $500K
Total holding costs after tax: $10K. $2K per year. Last year was neutral and positive this year due to lower IR.
Annual Growth: 7.31%
We also have a PPOR but I don't include it in any calculation (although it has served well for the IP deposits).
As you can see the returns are very average, but there is no way we would be able to save $230K in 6 years while raising our family (my wife took 2 years off work to stay with the children during their first year).
I work full time (100K - 120K) and my wife works part time (25K - 30K) with 2 young childrens (6 and 4). So, your tipical family with an ok, but not great income for Sydney.
For those starting, don't expect to get rich overnight and be aware that those stories in the magazines are exagerated. However, property investment is a great way to secure a financial future.
Now looking for IP3 in Brisbane.
I am doing my family tax returns, and feel like sharing the numbers of our property investment so far.
IP1:
Melbourne South East (3B+study,2B,2C)
Price: $270K on 2008. Current value: $380K
Total holding costs after tax: $20K. $3K - $3.5K per year. Last year was $1K and positive this year due to lower IR.
Annual Growth: 5.86%
IP2:
Western Sydney (4B,2B,1C)
Price: $377K on 2010. Current value: $500K
Total holding costs after tax: $10K. $2K per year. Last year was neutral and positive this year due to lower IR.
Annual Growth: 7.31%
We also have a PPOR but I don't include it in any calculation (although it has served well for the IP deposits).
As you can see the returns are very average, but there is no way we would be able to save $230K in 6 years while raising our family (my wife took 2 years off work to stay with the children during their first year).
I work full time (100K - 120K) and my wife works part time (25K - 30K) with 2 young childrens (6 and 4). So, your tipical family with an ok, but not great income for Sydney.
For those starting, don't expect to get rich overnight and be aware that those stories in the magazines are exagerated. However, property investment is a great way to secure a financial future.
Now looking for IP3 in Brisbane.