All Topics / Finance / equity but no cashflow.

Viewing 8 posts - 1 through 8 (of 8 total)
  • Profile photo of BonnieBonnie
    Participant
    @bonnie
    Join Date: 2004
    Post Count: 69
    February 1, 2005 - 12:49 am

    Hi everyone,
    Just wondering what others have done when you have access to equity but very limited cashflow to fund the laon.
    I have found a few good opportunities lately and would have no problems getting a loan using the equity in my existing properties, however I know I would struggle with the repayments at the moment.
    Any suggestion?

    Profile photo of Mortgage HunterMortgage Hunter
    Participant
    @mortgage-hunter
    Join Date: 2003
    Post Count: 3,781
    February 1, 2005 - 12:59 am

    Increase your cashflow or forgo the opportunity?

    Seems a statement of the blindingly obvious huh?

    Increase the cashflow through raising rental income. Reno, change use etc

    Or get a cashflow partner involved?

    Or don’t buy this one – Opportunites of a lifetime come by pretty often.

    Cheers,

    Simon Macks
    Interest Free Home Loan Agent
    [email protected]
    0425 228 985

    Please email me rather than using the PM service here.

    Fully Accredited With Derivex LTD and IFHL PTY LTD

    ***Ask about our Interest Free Home Loan***

    Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.

    Profile photo of Alistair PerryAlistair Perry
    Participant
    @aperry
    Join Date: 2004
    Post Count: 891
    February 1, 2005 - 2:26 am

    Bonnie,

    You could try doing a vendor finance deal. This would give you some cashflow.

    Regards
    Alistair

    Profile photo of Michael WhyteMichael Whyte
    Member
    @michael-whyte
    Join Date: 2004
    Post Count: 269
    February 1, 2005 - 3:13 am

    Bonnie,

    Or as Steve Navra might suggest, use your equity to buy you some cash flow. He uses cash bonds to free the equity into cash flow.

    Check his site out for details if you’re interested.

    http://www.navra.com.au

    Cheers,
    Michael.

    Profile photo of lifeXlifeX
    Member
    @lifex
    Join Date: 2004
    Post Count: 651
    February 1, 2005 - 9:34 am

    Find someone with cashflow and no equity. High wage earning young people for example.

    easy

    Live, Learn and Grow

    Lifexperience

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,213
    February 3, 2005 - 8:46 am

    Or just bypass the cashbond and use the equity to repay the loan. note this oculd be dangerous!

    Terryw
    Discover Home Loans
    Mortgage Broker
    North Sydney
    Click below to email me

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
    http://www.Structuring.com.au
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au

    Profile photo of FWFW
    Member
    @fw
    Join Date: 2002
    Post Count: 478
    February 4, 2005 - 12:06 am

    Do a joint venture with someone who can set up cashflow positive deals (ie wraps) but has run out of borrowing capacity themselves.

    Keep smiling
    Felicity 8-)

    Profile photo of SalubriousSalubrious
    Member
    @salubrious
    Join Date: 2004
    Post Count: 252
    February 7, 2005 - 2:41 pm

    Borrow the equity at 6.42% & invest in a fixed interest fund paying 11% This will pay you income of the difference.

    We are all made from Stars

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