Should you prioritize buying a principal residence or investing in rental property first?

We discuss three scenarios for property investment: buying a home first, rent investing, and a combination of both. The first scenario involves buying a home at the highest purchase price that can be afforded, resulting in a negative cash flow throughout the 25-year period.

The second scenario is rent investing, where the focus is on maximizing cash flow and investing in multiple properties.

The third scenario combines buying a lower-priced owner-occupied property and investing in additional properties. The conversation emphasizes the importance of considering long-term plans, lifestyle flexibility, and the emotional and financial implications of each strategy.

Each have different financial parameters and goals. Sam & Jaryd emphasize the importance of considering personal goals, happiness, and health when making financial decisions. The conversation also touches on societal conditioning and the misconception that more money automatically leads to a better life.

Sam Powell also provides insights into the numbers behind each scenario and the factors to consider when choosing between buying a home or investing in rental properties.

EPISODE HIGHLIGHTS

• Consider your personal goals and values when making financial decisions.
  
  
• Money can make life easier, but it's important to prioritize health and relationships.
  
  
• There is no one-size-fits-all answer to whether to buy a principal residence or invest in rental properties.
  
  
• Evaluate the numbers and factors involved in each scenario to make an educated decision.
  
  
• Challenge societal conditioning and question the traditional path to financial success

ABOUT THE HOSTS

Sam Powell is a certified property investment advisor and registered property valuer with an illustrious career helping people save and make millions of dollars through property investing.

Jaryd Krause considers himself a student of property, owning his own portfolio of property and online businesses he shares his failures and successes through his property journey.

The Property Pals is strictly just a podcast on how to help you earn passive income through property investing to live a better lifestyle. We have no products or services to sell you, if you ever want help we can refer you to the different people we use for our own personal property portfolios.


RESOURCE LINKS:
➥ Property Pals Website - https://www.propertypals.au/
➥ Property Pals Website - https://www.propertypals.au/coaching
➥ How To Maximise Your Borrowing Capacity Mini Course - https://www.propertypals.au/resources 


Disclaimer:
Any information shared by Sam, Jaryd & The Property Pals team is strictly general and should not be taken as constituting professional advice. You should consider seeking independent legal, financial and taxation advice from a qualified professional.