If You take a look at these new suburbs that have turned up in the last 10 years in victoria, Craigieburn, Tarniet, Mernda, Melton South, Wollert, to name a few - people who have used there super funds to buy a couple of investment properties in these parts are going to be in serious trouble when interest rates rise – tenants pay between $300 – $350 per week to live in a poorly built 4 bedroom house the owner has paid $400,000 for - $350 per week = $1521 per calendar month – repayments on a $300,000 loan on a 4% interest rate is $1583 a month – I would say the majority of these investment do not have current positive cash flows plus the maintenance that they have to pay – plus the poor choice of tenants landlords have to choose from in these areas I think is a disaster waiting to happen
Do some research on the percentage of properties owned by investors in Mernda
The whole thing is really dumb in my opinion and not my idea of financial freedom
