Hi HWD
Good explanation. I too follow your strategy as cash flow is okay at present, as we both are employed.
I can see a time drawing close when, if we keep buying -cash flow properties, our cash flow is under pressure. Can remedy this by taking tax deductions as we go, but prefer not to and get a refund cheque at end of year. Sort of forced saving idea.
Also some concern if either of us lost our job, but probably only short term situation.
Lenders may also have some concerns.
I areas where there has been capital growth, it is difficult to get above 5% return just now, but eventually this will sort itself out (we hope).
I believe there are still areas with some capital growth left, so worthwhile still looking for deals at the right price, even if -CF.
Geekay
Good explanation. I too follow your strategy as cash flow is okay at present, as we both are employed.
I can see a time drawing close when, if we keep buying -cash flow properties, our cash flow is under pressure. Can remedy this by taking tax deductions as we go, but prefer not to and get a refund cheque at end of year. Sort of forced saving idea.
Also some concern if either of us lost our job, but probably only short term situation.
Lenders may also have some concerns.
I areas where there has been capital growth, it is difficult to get above 5% return just now, but eventually this will sort itself out (we hope).
I believe there are still areas with some capital growth left, so worthwhile still looking for deals at the right price, even if -CF.
Geekay