How big is your folio untill acquisition stage ends

Also never stop learning new skills this may help you get there quicker.

 

You are right MTR, I will do a course to improve my skill next year so I can get a better pay job to improve cash flow.

 

I was also referring to property skills/insights as well

all the best

 

I like the number 8. There are 3 cash flow positive properties in my portfolio that are not long term holds for me, so the aim is to replace each of these with a newly constructed house in a better area. Then consolidation will commence.

 

I'm thinking to hold these for 10 to 15 years and see how I go. I might sell 1 or 2 and put some money to offsets or shares. Just bought a house in Brisbane will see if it is going to do a good job to the numbers.

 

HI @Myendgoal,

How much passive income do you want and in how many years from now?

 

I thought it was 50's.
But @C-mac is referring to his/her current profession -whatever that is ....

 

100k will do the job. @Leo2413 I think 15 years and hope less, I will decide what to do when the next Syd cycle is happening again. Time will tell maybe in 15 years time 100k is only enough to buy a burger from hungryjacks.

 

Youll need at least 3mil base and then let it grow for 15 years. IF it doubles then you've reached your goal give or take, but thats in todays dollars so youll actually need more.

Only thing i wouild suggest is to determine how how badly you want to achieve the goal and then do everything possible to get there.

Cheers.

 

@Leo2413 I will need to buy another 400k ip to reach 3M but my LVR is close to 80%. So I will need to wait and see. Can't do much right now

 

I guess your not wanting to incur lmi?

 

When I get sick of replacing ovens. 3 in 5 months. Next year am betting on Hot water systems and air conditioners.

 

Don't think I will do lmi at this stage. 15 years later I will at my 50s. Kinda scare when I think about it, when I have a bit of money for life style and maybe my health will go down hill.

 

3 in 5 months . How many ips have you got? Lol.

 

Not that many.

 

No idea how tenants can break so many of them. Maybe they are using them in a wrong way like use them as heaters in the house and turn on 24/7

 

I was actually going to sit down tonight and try figure out where I need to be to get $100k p.a.passive income. You've done it for me!

When you say 5% growth are you referring to CG, rent increases or both?

 

Just CG mate. The 5% is the ( rough) return on the net assets. So if you had 2mil net assets at 5% return would be $100,000 gross return, not taking into account tax, maintainence, rates etc and also needs to be adjusted for inflation. So probably more realistic at 3mil plus.

Yep it sure is slow and takes a while the Buy and Hold method. Thats why it didnt work for me, but if the strategy suits your timeframe and goals then thats all that matters.

 

What is your strategy? I have been considering buying and flipping properties, I have done kitchens, bathrooms, tiling, flooring etc. so I can keep labour costs to a minimum. What puts me off is the stamp duty and selling fees I have to recover before I even start to cover the reno costs.

Might be a bit too ambitious but I'd like to be at 100k passive income by 45 (12 years). I'm around $20k passive income now ($50k p.a. gross rent) however the property that generates that income will become our PPOR in a year or so. If I keep the downstairs unit rented it will bring in $17k p.a. gross.

 

@Tim & Chrissy my strategy Is adding value primarily through development to create equity much faster. But I chose this strategy after careful consideration to make sure it is in line with my risk profile and will enable me to get to my goals, so it works for me.

Cheers