What Did you do with your equity/gains/cash

Been no secret Aussie property markets has seen amazing growth over the last decade, in particular Syd, Melb and Perth (albeit mini boom 2013/14)

For those who made a bucket load of money.... what did you do with it?

I ploughed my profits/gains into 3 development projects during this period, then cashed out.
Moved on to US, heavily investing cash in US markets to increase my cash flow and capital

What did you do??? Has it worked for you? Have you been able to increase cash flow?
If you care to share.

MTR

 

Mine remains firmly locked in place due to limited serviceability for new loans.

 

Strange question.....it's almost like you work for the ATO. I suggest it's nobody's business.

 

reinvestment.. all income from property has been dump into stock market in the last 3 years..

 

How has this worked for you?

 

Using rental income from 2 properties (owned debt free) to pay down mortgage on 3rd IP. Approximately 20 months and all 3 unencumbered. Just in time to pull up stumps and fully retire, coupling rental income with LIC dividends and Super pension phase drawdowns.

 

worked really well.... should have been in earlier.

 

Nice

 

Some people like to inform strangers on the internet about their wealth so here's another thread to do it for those who like to disclose (you know who you are)

 

I put my property gains (+36%) into managed funds
Managed fund gains (+27%) into stocks (ETFs, LICs, direct shares)
Reinvest most stock gains (+12%) but put some into crypto (+1500%)

(all figures after tax)

Also treated myself along the way

 

So are you done with property??

 

I have done nothing. I am just waiting for a good time to start doing something again. As a strategy it worked wonders over the last 5 years (that period was focussed on sharemarket investments).

That time is beginning to start now. Just making a few purchases - well tentative at this stage.

 

Property was (and likely will continue to be) the foundation of the portfolio, but I have no plans to grow an asset class at its peak. A couple of my funds are REITs though; they've been a very profitable way to get past serviceability issues and also get exposure to commercial property.

Haven't yet given much thought to direct international property though.

 

Ditto - property

Would you consider trading shares? Just curious

 

Investing yes - I've held several long positions for many years
Trading no - I don't have the time/intelligence/market knowledge to trade

 

I am not wealthy, so I can't inform strangers on the internet about my wealth. That said, I took some profit from one project and completed 2 more projects. I have to post my response to the OP but it won't be about wealth, it will be about how I increased my cashflow by cashing out one project and taking on 2 more projects.

 

different people have different definition have "wealthy"

i thought that's the whole reason why the internet/this forum is created

 

I like Kiyosaki's definition of wealth:

The definition of wealth is the number of days you can survive without physically working (or anyone in your household physically working) and still maintain your standard of living.

For example, if your monthly expenses are $5,000 and you have $20,000 in savings, your wealth is approximately four months or 120 days.

Wealth is measured in time, not dollars.

Our current wealth is 5.5 years - working on extending that to infinity

 

I did the standard approach: with a PPR mostly paid off get a new Line of Credit loan on the PPR - and using its equity for 20% deposits on several smaller IPs which I took separate 80% loans against.

I would recommend it but warn that its moderately high risk as lending is effectively 100% LVR. And performance is only average with high maintenance costs and other running costs. The method is a numbers game as well, one or two of these IPs won't work.

There are opportunities such as full renos in the future I guess. No surprise - the best performer is the PPR

 

Reinvested into rising markets and ppor