Lynn Levitt

Managing your cash flow

Having the right cash management system in your personal life will encourage and teach the principles of financial discipline and responsibility. By reducing the debt on your own home first, the same strategies can then be used to reduce debt on your investment portfolio. Debt reduction equates to equity increasing. This allows you to purchase more investment properties sooner… always an exciting result. So… what did I learn this week?
In retirement you will have three ways of getting money back out of your investments; You have ongoing income, or the net rent the property is paying you. There is the possibility of borrowing against equity. Or you can sell the property and release the equity..
Whilst selling the properties off and living off the capital can be tempting, it isn˙t a good long term solution as the cost of living increases and the value of money decreases over time.A great property portfolio is what my goal is. To do this I have to keep educating myself along the Think Money principals and keep asking questions most of the time over a nice cup of coffee
Lynn Levitt – Think Money Wealth Coach and Goal Mapping Expert.