All Topics / Help Needed! / What would you do?

Viewing 4 posts - 1 through 4 (of 4 total)
  • Profile photo of mr_dude_guymr_dude_guy
    Join Date: 2014
    Post Count: 8

    Bought a PPOR a couple of years ago in Melbourne. There’s probably around 260k equity in it.

    I’ve managed to get my hands on $50k cash.

    I’m considering getting an investment property (no apartments) – but i’m not sure which way to go.

    -Get a negatively geared place, 400k plus with a low yield and will have a better chance of CG.


    -Get a cheap QLD property for low 200k, that’s close to cashflow neutral/positive etc, but in a very outer suburban area.

    Do I go big or go home (one of my regrets from my first purchase, should have taken a bigger risk!) or do I go for a cheapie that can almost pay itself off?

    …Or do i just sit on my hands and use the money to renovate my home?

    Profile photo of JaxonJaxon
    Join Date: 2014
    Post Count: 284

    Hey mate,

    Look I could give you lots of useless/usefull advice, firslty what is the end goal? is it financial freedom as soon as possible?

    If so, then you should be structuring your property movements to match that.

    this would mean either renovate then revaluate your PPOR or look at 1 postively geared place or 2.
    for e.g. I just bought a property for $121,000 in your state that is renting at 240 per week, around 60-80 profit per week after expenses, not even including tax incentives etc.

    Jaxon | Jaxon Avery – Financial Adviser
    Email Me | Phone Me

    JPA Financial Services Pty Ltd

    Profile photo of BennyBenny
    Join Date: 2002
    Post Count: 1,416

    Hi MDG,
    Jaxon made a very good point. If you aren’t sure which way you want to go, any road will get you there. Since there are so many ways to invest, your first goal should be to bone up on where it is you want to be, and what way is the best way to get you there. What skills do you have that could make one way better than another? etc.

    I see that you joined us 3 years ago – have you been active in that time? I don’t mean buying properties as such, but reading up on how things work, reading of others and their successes and failures, etc. Have you found the Articles in the Training Centre (see the Home Page). There is a Wealth of knowledge right there. Have you sought the advice of a Finance person to determine the limits of your borrowing capability, or to seek ways to maximise that capability?

    Each of those things will help to steer you in the direction you need to go.

    Did you ever get to read this thread – it has grown a lot since 2014 :-

    Do look for a particular post dated April 2014 in that thread – all about “Westnblue” and what he achieved – it opens many eyes !!


    Profile photo of OriginalsinnerOriginalsinner
    Join Date: 2005
    Post Count: 79

    Well, if you use it to reduce the interest on your existing mortgage while you work out what to do, you could probably do a lot worse.

    Just my thoughts. Obviously, do your own research on it.

Viewing 4 posts - 1 through 4 (of 4 total)

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