For such a diminuitive man he is such a mighty speaker and last night at APIA I was impressed.
But when the market here recovers in 3 or 4 years can his theories be applied.
The gist is to think capital gain and not be too bothered about cash-flow as you finance the gap between cost and expense by refinancing increasing or added value equity, where the increasing equity of capital growth properties far exceeds your holding costs.
If your properties have even a conservative average capital growth you can refinance and "Cash-flow for you" is not a problem as you are setting up lines of credit from your refinancing.
But your "statement of income for the bank" cant include this line of credit ?
1. Has Michael gone mad and forgotton the Credit Crunch !!!!
2. Dont you need "Lo Doc" mortgages to do this.
3. Or is their another way that banks can factor in lines of credit ?
3. Will Lo Doc or No Doc loans return in 3 /4 years time when market is strong and credit crunch has run its course.
But when the market here recovers in 3 or 4 years can his theories be applied.
The gist is to think capital gain and not be too bothered about cash-flow as you finance the gap between cost and expense by refinancing increasing or added value equity, where the increasing equity of capital growth properties far exceeds your holding costs.
If your properties have even a conservative average capital growth you can refinance and "Cash-flow for you" is not a problem as you are setting up lines of credit from your refinancing.
But your "statement of income for the bank" cant include this line of credit ?
1. Has Michael gone mad and forgotton the Credit Crunch !!!!
2. Dont you need "Lo Doc" mortgages to do this.
3. Or is their another way that banks can factor in lines of credit ?
3. Will Lo Doc or No Doc loans return in 3 /4 years time when market is strong and credit crunch has run its course.
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