We have a negatively geared investment property where the yield is only 4.9% but we are trying desperately to keep it because the capital gain has been worth it. I say "desperately" as we are paying off our mortgage and the second mortgage to the negative geared property on one income currently.
We do have 55% equity however as a combination of the 2 properties.
We have now seen the light in regard to better geared properties and wish to buy one asap.
Our cashflow is extremely tight due to the investment ppty however - we are looking at ways of significantly (apart from raising the rent and revising depreciation) making the investment ppty less negatively geared.
One avenue is the possibility of using super funds and placing the investment ppty into a super fund. However we still wish to use the capital gain/equity that this property gets in order to buy more properties.
Does anyone have any ideas for reducing the mortgage burden of the quite negatively geared investment ppty in order for us to continue to purchase more properties.
Remember - we wish to keep it as it is experiencing significant capital gain.
A virtual beer/wine/spirit/slab for you if you can help !
We do have 55% equity however as a combination of the 2 properties.
We have now seen the light in regard to better geared properties and wish to buy one asap.
Our cashflow is extremely tight due to the investment ppty however - we are looking at ways of significantly (apart from raising the rent and revising depreciation) making the investment ppty less negatively geared.
One avenue is the possibility of using super funds and placing the investment ppty into a super fund. However we still wish to use the capital gain/equity that this property gets in order to buy more properties.
Does anyone have any ideas for reducing the mortgage burden of the quite negatively geared investment ppty in order for us to continue to purchase more properties.
Remember - we wish to keep it as it is experiencing significant capital gain.
A virtual beer/wine/spirit/slab for you if you can help !