You are the one taking the gambleThis is what you are hoping for...

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26

26/04/24

12:34

Post #: 73523098
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Originally posted by Cosmoterios: ↑

You guys seem fixated on a narrative.

You should try it - instead of being on the sideline and passing judgement.

Just so that you guys really understand - when they say "you have a negative gearing claim of $10k on your property"....it means you have LOST $10k for that year on that property rental. And you are claiming a tax offset or refund of 45% of that - ie. $4,500 back.

So for that year, you lost $10k on your rental and you get a $4,500 back from the taxes you paid, from other sources of income.

Net wise, you have lost $5,500 for that year, for that rental property. Imagine asking an ordinary person if they have $5.5k to lose.

Well, I got 4 rental.

And those losses does not include additional expenses such as damages done by tenants or floods.

Few of you guys really understand that: You actually are losing $$$$$$ in the rental market; in most cases!!!
It is the Capital Gains over the long term that property investors seek - not the rental yield.

Investments - regardless of shares or property, it is much better to have a long term plan.

And there is no such thing as a Fixed rate of return. Every situation is different.

Only people who have Never done this, would assert such an arbitrary number as if its the natural law of things.

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You are the one taking the gamble

This is what you are hoping for

1/ interest rates go down causing property prices up

2/ high immigration to keep upward pressure on rents

3/ wage and pension growth so as to gouge that benefit to pay off your mortgage

4/ inflation never goes to deflation.

5/ house construction restricted

6/ government to keep generous tax concessions for residential property investors

7/ tenant can make enough money to pay all the land lords expenses(that's the desired out come)

or a combination of the above.
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