Contents
- Contents; Introduction
- Affordability; Servicability
- Options to improve your cashflow
- Getting your cash working 6 times
- Stress testing
- Summary
Introduction
In part 2 we looked at how to build your portfolio by buying a quality property and then enhancing our saving with value-adding
through shares to accelerate the acquisition of a second property and beyond. Unfortunately, continuing to buy quality negatively geared property will eventually come to an end. In this part we look at how to re-engineer your assets to enable you to keep on buying property even when the bank would have otherwise said "no more". We are now considering Stage 2 – optimising your investments to fund the cash flow shortfall.
Even for those on high incomes, the buying phase will eventually be brought to an end by a lack of affordability and/or serviceability. Generally investors on an average income will hit one or both barriers at around the 4 – 6 investment property level. So what’s the problem?
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