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11,223 Posts.
1
30/05/08
16:27
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willcomp there is one very debatable fact in your analysis there
• Capital growth at only 5% = 22k
• Overall Wealth Increase = 10k
If there is NO capital growth it means there would be a $12k REDUCTION in wealth
Which puts the investor $17k in front if they left their money in the bank
Even a worse situation if there is a negative capital movement in the property.
and when the fact many markets around Australia are falling it makes leaving the money in the bank even more attractive.
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