Hi all, thought I’d start a positive thread among all the global financial crisis threads and unfortunate stories about some people struggling.
For us, the future is looking bright:
- Our property values are holding up nicely and still seeing small increases in value. Some of our lower priced outer suburbs are inching up, and I'm also quite impressed by recent land sales near our blocks closer to the CBD.
- We've unfixed the majority of our loans on the way down at no break costs (missed one loan still fixed at about 7.7% unfortunately) and saving bucket loads of interest. Deciding when to fix them again, will wait and see what the banks next fixed move is.
- Rents increasing quite well including 5% increase at 6 month mid-term, another 5% upon a lease break after only 5 months, another currently almost ready for letting receiving strong demand at price better than I expected to realise.
- The above factors have lead to a couple of our properties now becoming positively geared (yes not just CF+ after tax) waaaaay sooner than ever imagined. Only downside to this is tax will be increasing.
- Business revenues are increasing at the usual pace and are expected to continue along the same trend. New lease extension completed last year so security of tenure ensured for years to come.
- Personal debts are getting paid down consistently and quicker due to saved interest.
- ASX portfolio of relative blue chips now leveraged into and almost into set and forget mode for the long term (by necessity, the more I play with the ASX, the more risk I take, so making myself stop! ).
- Wedding plans mostly taken care of for November (thanks to my beautiful fiancée - I can't claim credit for any of it). Honeymoon flights to Hawaii booked and taken care of, although still need to book accommodation (suggestions of beach front hotels anyone?).
- Long term plan of buying our dream house 2-3 streets back from beach will be well underway along continuing growth path, although not entirely sure which path we'll take yet.
I'm not trying to gloat, just like sharing some positive info. and wondering whether anyone else is having a good time either helped by or in spite of the current environment. Nice to have some positiveness amongst all the D&G.
For us, the future is looking bright:
- Our property values are holding up nicely and still seeing small increases in value. Some of our lower priced outer suburbs are inching up, and I'm also quite impressed by recent land sales near our blocks closer to the CBD.
- We've unfixed the majority of our loans on the way down at no break costs (missed one loan still fixed at about 7.7% unfortunately) and saving bucket loads of interest. Deciding when to fix them again, will wait and see what the banks next fixed move is.
- Rents increasing quite well including 5% increase at 6 month mid-term, another 5% upon a lease break after only 5 months, another currently almost ready for letting receiving strong demand at price better than I expected to realise.
- The above factors have lead to a couple of our properties now becoming positively geared (yes not just CF+ after tax) waaaaay sooner than ever imagined. Only downside to this is tax will be increasing.
- Business revenues are increasing at the usual pace and are expected to continue along the same trend. New lease extension completed last year so security of tenure ensured for years to come.
- Personal debts are getting paid down consistently and quicker due to saved interest.
- ASX portfolio of relative blue chips now leveraged into and almost into set and forget mode for the long term (by necessity, the more I play with the ASX, the more risk I take, so making myself stop! ).
- Wedding plans mostly taken care of for November (thanks to my beautiful fiancée - I can't claim credit for any of it). Honeymoon flights to Hawaii booked and taken care of, although still need to book accommodation (suggestions of beach front hotels anyone?).
- Long term plan of buying our dream house 2-3 streets back from beach will be well underway along continuing growth path, although not entirely sure which path we'll take yet.
I'm not trying to gloat, just like sharing some positive info. and wondering whether anyone else is having a good time either helped by or in spite of the current environment. Nice to have some positiveness amongst all the D&G.
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