To win on property you have to enter the market at its trough...

  1. 230 Posts.
    To win on property you have to enter the market at its trough and sell at its peak. This is what I did.

    Residential property has a very low return on income so it based on capital gain.

    I bought a commercial property 8 years before the GFC at its lowest point. The rental income is enough to cover the mortgage interest even though at that time is 17 percent. I sold at double the price at its peak one year before the GFC. This is called investment.

    The profit and principal from sale has been invested in shares which dividend plus capital gain averaging 15 percent year after year without I don't have to worry about tenant calling of roof leakage and pipe breakdown.

    Should I kept the property until now my return is a lot lower as it follows a period of stagnation after its peak.
 
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