Hello!
I have been reading the latest issue of "Your Investment Property" magazine. They have featured a lady who "amassed a $3.5m portfolio in 4 years and retired at 39". She has 12 investment properties, all of them positively geared (which is how she's been able to retire). She has mortgages on all of them.
I am really scratching my head over this. I don't get how you can have a loan on a property AND have it be positively geared?
I have three IPs. We got them all for a good deal, and get good rent. They turn a decent profit - UNTIL you take the bank payments into account. Even paying interest only, these repayments remove any hope of them being positively geared for a looooong time.
Perhaps I just chose the wrong properties? How did this lady do it?
Harriet
I have been reading the latest issue of "Your Investment Property" magazine. They have featured a lady who "amassed a $3.5m portfolio in 4 years and retired at 39". She has 12 investment properties, all of them positively geared (which is how she's been able to retire). She has mortgages on all of them.
I am really scratching my head over this. I don't get how you can have a loan on a property AND have it be positively geared?
I have three IPs. We got them all for a good deal, and get good rent. They turn a decent profit - UNTIL you take the bank payments into account. Even paying interest only, these repayments remove any hope of them being positively geared for a looooong time.
Perhaps I just chose the wrong properties? How did this lady do it?
Harriet