Would you like to learn how some people are paying off their mortgage in 10 years? Would you like to learn how some people are paying for their kids’ education in full? Would you like to learn how some people are building additional wealth for retirement?

Thursday Oct 12th, 2017

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THE ASWER TO ALL 3 QUESTIONS MAY BE:

BUY AN INVESTMENT PROPERTY

 

Accessible Equity in Existing Property

- Access 80% of property value: $400,000x80% = $320,000

- Less existing mortgage: $320,00 - $200,000

= $120,000 available equity

Take just $70,000 of this for 20% down payment on a $350,000 investment purchase. The balance of $280,000 funded with a new mortgage secured against the new property.

 

THE POWER OF OWNING JUST ONE INVESTMENT PROPERTY

 

YEAR

VALUE AT START OF YEAR

GROWTH IF 5% PA*

INCREASE IN VALUE

NEW VALUE AT YEAR END

  1.  

 $350,000

5%

$17,500

$367,500

  1.  

$367,500

5%

$18,375

$385,875

  1.  

$385,875

5%

$19,294

$405,169

  1.  

$405,169

5%

$20,258

$425,427

  1.  

$425,427

5%

$21,271

$446,699

Difference between Purchase Price & New Price       $96,699

Principal Pay-down based on IR of 3.5%                    $36,196

Potential Increase in net worth after   5 years          $132,895

……………………………………… 10 years                  $299,364

……………………………………… 20 years                  $770,392

……………………………………… 30 years               $1,512,680

 

Could you then sell this investment property and PAY OFF YOUR MORTGAGE?

What about CASHFLOW BENEFITS?

What about TAX COSTS/BENEFITS?

Let's discuss how I can help you!

 

Maura Walsh

Sales Representative
Sutton Group Realty Systems Inc., Brokerage

Cell: (416) 803-4224 Office: (416) 762-4200

Email: mauracwalsh@yahoo.ca


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