Hi All,
Long time reader, first time poster...
Looking for a little reassurance that I have my information straight and a little advice from experienced investors.
My wife and I are looking to start an investment portfolio, mainly property (since the negative gearing aspect appeals to me), that will eventually allow us to:
1. Provide a kick start to life for each of our 2 kids (currently 10 & 8) when they come of age
2. Build a portfolio that will eventually allow me to retire early (currently 32, ideally retire before 55)
3. Provide some financial independence whilst still working for a living
Our background
We had kids very young and as such spent most of our 20s setting up a family home and providing an engaging lifestyle for our kids. We did this on a single income, so we were a little late with getting into our own home, but we did have a good life.
Current Situation
Income: $140k (myself - double over next 2-3 years) + $40k (wife - starting shortly)
Assets: $420k (PPOR)
Loans: $260k ($30k of that sitting in redraw)
First investment thoughts
Buy in my name only (tax), look at using equity in our PPOR as deposit (thus limiting purchase price to about $350k at 80%LVR) and aim for entry level house with large land in Melbourne outer South East (Berwick or surroundings).
Questions / Uncertainties
1. Thoughts / advice on the target area (Melb outer SE)
2. Ideas on how to purchase property that can appreciate quickly (reno, extension, sub division, etc...) - my understanding is that I will be limited by deposit rather than ability to service future loans, so want to look at ways at building this deposit / equity as quickly as I can to secure future investments
3. Tips on who and how to build a network with key advisors/agents/etc... (ideally I would like to be in a position where I am approached with deals that make sense - understand this will take time to build and want to start right)
4. Loan structures (thinking of going a simple secured loan for first IP using our PPOR, but taking a separate loan for the deposit which will be secured by our PPOR rather than the IP being secured directly).
5. Any other advice that may prove helpful
Thanks in advance.
Long time reader, first time poster...
Looking for a little reassurance that I have my information straight and a little advice from experienced investors.
My wife and I are looking to start an investment portfolio, mainly property (since the negative gearing aspect appeals to me), that will eventually allow us to:
1. Provide a kick start to life for each of our 2 kids (currently 10 & 8) when they come of age
2. Build a portfolio that will eventually allow me to retire early (currently 32, ideally retire before 55)
3. Provide some financial independence whilst still working for a living
Our background
We had kids very young and as such spent most of our 20s setting up a family home and providing an engaging lifestyle for our kids. We did this on a single income, so we were a little late with getting into our own home, but we did have a good life.
Current Situation
Income: $140k (myself - double over next 2-3 years) + $40k (wife - starting shortly)
Assets: $420k (PPOR)
Loans: $260k ($30k of that sitting in redraw)
First investment thoughts
Buy in my name only (tax), look at using equity in our PPOR as deposit (thus limiting purchase price to about $350k at 80%LVR) and aim for entry level house with large land in Melbourne outer South East (Berwick or surroundings).
Questions / Uncertainties
1. Thoughts / advice on the target area (Melb outer SE)
2. Ideas on how to purchase property that can appreciate quickly (reno, extension, sub division, etc...) - my understanding is that I will be limited by deposit rather than ability to service future loans, so want to look at ways at building this deposit / equity as quickly as I can to secure future investments
3. Tips on who and how to build a network with key advisors/agents/etc... (ideally I would like to be in a position where I am approached with deals that make sense - understand this will take time to build and want to start right)
4. Loan structures (thinking of going a simple secured loan for first IP using our PPOR, but taking a separate loan for the deposit which will be secured by our PPOR rather than the IP being secured directly).
5. Any other advice that may prove helpful
Thanks in advance.