Time to cash out of Sydney and into Brisbane? A case study

I'm not sure, but next time I drive by ill record some st names

 

You're right, I would pay CGT but only because I rented it out first. Apparently this negates the 6 year rule. Had I lived in it first, then rented it out for 6 years it would be deemed PPOR for the whole time since purchase and therefore no CGT payable.

I was thinking more in terms of long term CG risk for a buy and hold strategy.

Thanks Special order, that would be great! I hope some examples also come up on the net for rent or purchase so we can have a good look at what people have done and whats achievable.

 

All depends on risk profile. I know a lot of people here advocating holding as much as you can. There's no harm, though, in taking some money off the table. Got to know when to cash in some chips sometimes.

 

Well, there can be harm if you decide to not put that money back into the market and then the market moves up. I have friends who sold in the Inner west of Sydney in 2012 with the thought of upgrading. They waited a couple of months and got completely outpriced. Soon, the money they got would not been enough to buy again in Parramatta let alone consider upgrading in the Inner west. So if you do take money off the table temporarily, make sure you do something with that money.

But if someone is uncomfortable or wants to cash in, well that's ok. A profit is a profit.

 

I have the light and believe this is smart way to invest, hold some, sell some and reduce debt and keep the banks happy and enjoy today at the same time

MTR

 

Some great wisdom, thanks guys. I think I might see how the Eastern Suburbs pan out in the next few months, the west is coming down a bit but I reckon the east will still do a little better than median Brisbane prices in the next 6 months. We shall wait and see.

 

That's right. The 'harm' is in the opportunity cost predominantly. Smaller harms include buying and selling transaction fees.