Hi
First of all I loved your book From 0 to 130, A really good book which I have read twice now. But I just cant seem to understand, can I use just equity in another property to purchase other properties and still receive positive cashflow from these new properties.
Please I would appreciate some help on this matter
PS if your chosing another 10, I’d love to put my hand up for it
Hey Ben.
Hope you don’t mnid but I will jump in here as Steve is very busy (as you might guess).
Yes you can use your property as a “deposit bank” to purchase other properties. Two way to do it.1. LOC – use available equity and draw down as much as is needed per buy.
2. Cross-collateralise. If you don’t know what that means it is tying properties together to provide the neccessary LVR (Loan to Value Ratio) that the bank needs.
Personally I hate cross collateralisation so I will do what I can to get away from it. Using residence one means access to funds easily but remember to inclde hem in your calculations. You will be in effect borrowing 100%. Hope this helps nd don’t hesitate to ask more questions.
AS to the 10….I am sure there are more than just you who would love to be in there. It will be exciting to see how the crew go. I can’t wait to see it get started.
Enjoy
AD [:0)]
(Andrew)“Character cannot be developed in ease and quiet. Only through experience of trial and suffering can the soul be strengthened, ambition inspired, and success achieved.”
hoooo yeeaahhh
I think we would all love to be one of the ten!
Having just read the book a few days ago and having a brother in law who is so focused on -ve gearing I can see a fantastic new future.
This future is , for me at least, a lot more important and less personal as I now have a little kiddie on the way!! WOOOHOOO!!! BUT I WANT TO BE A REAL FATHER WHO IS THERE!!! and I can see this as being the vehicle to get me there.
Love Life and Joy to all of you and my your properties give you the choices that help lead you to happiness.
Regards,
Dave *spanner* B.Right back at you Dave.
Enjoy
AD [:0)]
(Andrew)“Character cannot be developed in ease and quiet. Only through experience of trial and suffering can the soul be strengthened, ambition inspired, and success achieved.”
Hi there,
Andrew!!! Hey there [
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The 10 people who’ve been chosen have a very special priviledge and I hope they enjoy themselves as they embark on the journey.
Dave, it’s great to hear that you’re going to be a ‘Daddy’. I always get clucky when I hear someone is expecting, I guess that’s my profession though.
Anyway, C-Cing is more confusing and tricky than LOC, which is what we do.
I guess Ben, just make sure your structure is in place before choosing either method. It’s really hard to try to fix once you’ve embarked on the C-C method.
Cheers
Sooshie []“small steps make the journey” (SAS)
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