Hey Everyone,
Would greatly appreciate any help/advice you can give me.
I have recently signed up for the property apprenticeship to learn more about property investing an hopefully lessen the chances of making the same mistakes i have made so far.
I had a A-ha/hmmm moment the other day during Module 1 and the principle of "a dollar saved is worth more than a dollar earned".
I brought a bare land section 5 years ago in that time it has gone down in value, I now owe more on the mortgage than the property is worth. My A-ha/hmmm moment I have been wondering about an would like some help/advice with is:
I have just about saved enough to pay off the mortgage but was wondering if it would be more beneficial for my portfolio progression to
- setup a offset mortgage account an have that money there 100% offsetting the interest in that mortgage, so the money can be ready to be used as a deposit for a future investment or
- same as above but pay off the mortgage up to the registered value of the property an leave the rest in the offset account setup or
- pay off the mortgage.
Thanks again for any help/advice you can give me.
hi callum
i know your pain mate its not a good place to be i think you have done the right thing bye educating your self , and to allready have AHA moments leading to these questions very early on means you are heading in the right place.
not that i can give finiancial advise . my own thoughts are if you can keep up with the payments of the land and you can see it going to rise in value over time or you can manufactor a profit down the track it could be best to keep saving for you next property because its a bummer to miss a great oppturinty because you have paid all debt of and dont have cash to jump on a deal . and you allways know you have a savings buffer there if for any unforsaken reason you need to extract money you can
but i wouldnt be supprised if during the course exspesherly module 3 you find deals come to you with the assigments there very hands on and you go house hunting really so it would be good to be in a finiancial position to purchurse if a ripper come about
best of luck thow
Daniel