NSW Just sold my IP

And then stamp duty and purchase/holding costs.

 

I assume purchase includes stamps?

Holding, not included

 

Guess the OP is not an investor anymore.

 

That's a good question, if an investor doesn't have any investments, are they still an investor?

 

Actually I think DB is pretty smart.

He walked out of that investment after realising it was crap, but still managed to get his money back and then some small amount that he could probably buy a car with.

He is angry that people said he would loose money which he did not. Which means he had some good insight back when he bought it.

I think it's great when somebody buys something realises it was a mistake and is able to get out with some extra change in his pocket but still keeping his pants on.

He is smart because he got out. Do you see? That experience will make him do better next time and gain experience of the process.

 

I guess the only thing missing is what sort of car - a 1972 Datsun or a Mazda 6.

 

do you know how many IPs he already has? he probably doesn't care about exp anymore

 

So basically when you sell an IP, the least amount you need to sell the IP to break even is (I guess) roughly above $80k more than the purchase price if the IP is around $1m and the next IP you gonna buy is also around $1m. So let's say 8%. The reason why I say this is, we bought an IP $905k last year. Stamp due etc. cost us $35k. Selling this IP would attract CGT of ~$8k.

If I buy another IP that's $1m, I'd assume, I'd have to pay $35k again. All costs would total up to ~$78k.

 

why? why you you buy an resi IP worth 905k sell it in a year?
Was the yield at least any good for that expensive IP?

 

I would not sell it yet but just in case what happened to DB happened to me.

In a declining market, sometimes it is smarters to sell, and buy another IP when it is at the bottom of the market, and sell again when it is at peak - you end up with more.

 

Now that @Darlinghurst Boy is back, we don't have to wait much longer for the mystery to unravel.

 

but ain't it fun

 

DB was looking at buying apartments recently and it appears he still has properties in central coast. Central Coast prices are still rising. Unbelievable.

 

He has properties in Central Coast Larry? Thought he had a grand total of 0 after all that puffery.

 

He said he bought 2 (Charmhaven and Lake Haven) but thought to have sold them for a profit after 6 months? In the most recent posts, he mentioned his properties again...so I have no idea. A pity he sold early if he did because prices are still rising.

 

So true.

 

Plus all the costs associated with a repurchase entering the market again.

 

No CGT discount.