- SydManParticipant@aquilinaJoin Date: 2020Post Count: 0
What would other investors suggest l do with my situation (below); I’m planning on seeing a fin adviser; (suggestions for a fin adviser?).
Quick snapshot :
Male, no dependants, single aged 55 (next bday), healthy, active lifestyle, working PT Sal $35K p/a zero income tax (neg gearing). Prefer early retirement
4 investment properties (1x MEL 2X SYD 1x GC) MV $3M
Loans Total $1.238M
PPOR – Syd MV $800,000
Credit cards – $5k zero interest rate
No other loans
Super approx $270K
No car.Living in Sydney
BennyModerator@bennyJoin Date: 2002Post Count: 1,416
- This topic was modified 2 weeks, 4 days ago by SydMan.
I imagine whatever your next moves should be must depend on where you WANT to be. Let me explain:-
You look to be in good shape financially, with several options. Your path could take several different paths – e.g.
1. sell your house and move North and pay cash for your next PPOR, without paying a cent on CGT, and say goodbye to $356K of debt.
2. depending on the numbers, perhaps sell one IP to liberate cash to pay off another, (CGT applies) or
3. borrow to purchase another IP or two, with better Income prospects (i.e. NOT negative geared), or
4. Sell existing neg geared to buy pos geared (CGT would apply though, so do the sums first)
In short, I would be looking to clearing the neg gearing either by selling, or trading, or renovating, or doing a few chunk deals to produce cash to pay down debt. Thinking that way, I imagine Steve would be saying “buy residential to grow your Equity, then later, move to Commercial for a better Income”. So Sydman, is it time for you to make THAT move? Is that something that appeals?
You have lots of options – but what sounds like it might work for you? i.e. what skills do you bring that would have you favour one path or another? I know, questions, questions – but they are yours to answer….. Let’s see who else has some thoughts that may be of benefit. Come back with more info if you wish,
BennyTerrywParticipant@terrywJoin Date: 2001Post Count: 16,213JaxonParticipant@jaxonaJoin Date: 2014Post Count: 284
Good Day SydMan,
well given your situation I wonder what your end goal is? $1000 PW in income? as this would be above what you currently earn and imagine it might sustain you?
if you provide what your goals are then maybe some clarity can be provided on basic info for you.
Wish you all the best!
(This is all General Info)SydManParticipant@aquilinaJoin Date: 2020Post Count: 0
1K p/w would be satisfactory.
I’m not a huge spender, although l enjoy travel, 2-3 times a yearTerrywParticipant@terrywJoin Date: 2001Post Count: 16,213
whats your cash flow now? Other than from work – its it actually negative?
Is that home loan all non-deductible?
could you move into an IP?
could you sell one IP, minimise CGT, keep the loan open and recycle the loan into a new investment while using the proceeds of the sale to pay off the non-deductible home loan – without closing it?
- This reply was modified 1 week, 3 days ago by Terryw.