Podcasts about loanthe

Ash sits down with Danielle from Huntington Bank to answer pressing questions about dental practice loans. Danielle shares insights into the two main types of loans available for dentists: startup loans and acquisition loans. For dental students and new graduates, she emphasizes the importance of living within their means and maintaining a healthy financial profile to secure startup loans without needing high down payments. She also talks about the importance of producing enough to sustain overhead costs and the nuances of working capital.Danielle also touches on practice acquisitions and how they are significantly different from startups. She explains the various factors lenders consider, such as production capacity, cash flow, and personal lifestyle, to ensure the practice can support itself. Additionally, Danielle outlines the benefits and considerations for refinancing existing loans, discussing how it can aid in practice expansion despite higher interest rates.Key Topics Discussed:Preparation for applying for a loanThe importance of living within one's meansTypes of dental practice loans: startups vs acquisitionsRole of student debt in loan approvalCriteria for securing a startup loanSignificance of working capitalCurrent lending climate and interest ratesPractice acquisitions and sustainabilityImportance of lender specialization in the dental industryBenefits and process of refinancing

Husband and wife RE investing team. They started actively investing in late 2020 when our primary source of income, the Cactus Bar, was shut down by covid. Since then, have acquired an additional 14 new doors, making our entire portfolio a total of 17 doors, consisting of small multifamily properties and 1 commercial property. In this episode, they discuss how they decided to get into the real estate market and the biggest challenges that they have faced. [00:01 - 11:46] Opening SegmentLet's get to know Daniel and Amanda Rockrohr!Daniel & Amanda Rockrohr share their story of how they got into real estateTheir partnership has helped them achieve success[11:47 - 21:01] Creating A Local Community Hub Through Real EstateHouse hackingThey started seeing Airbnb's and realized that they could make money from real estateTaking out a hard money loanThe goal of the business is to create a local community[21:01 - 35:27] THE FINAL FOURWhat's the worst job that you ever had?Amanda: Worked at her family's restaurantDaniel: Moving motorcycles back and forthWhat's a book you've read that's given you a paradigm shift?Amanda: “The ONE Thing” by Gary KellerDaniel: “Who Not How” by Dan SullivanWhat is a skill or talent that you would like to learn?Amanda: Latin dancingDaniel: Latin dancingWhat does success mean to you?Amanda: She says, “Living my life on my own terms but also being able to help others be able to do the same thing.”Daniel: He says, “Being able to achieve financial freedom to do his adventures.”Connect with Daniel & Amanda RockrohrFacebook: Daniel RockrohrFacebook: Amanda RockrohrInstagram: @cactusbarboiseLEAVE A 5-STAR REVIEW by clicking this link.WHERE CAN I LEARN MORE?Be sure to follow me on the below platforms:Subscribe to the podcast on Apple, Spotify, Google, or Stitcher.LinkedInYoutubeExclusive Facebook Groupwww.yonahweiss.comNone of this could be possible without the awesome team at Buzzsprout. They make it easy to get your show listed on every major podcast platform.Tweetable Quotes:“Focusing on one thing to project you or propel you into the bigger picture is probably it.” – Daniel Rockrohr“If I stayed in my job longer, then we would not be able to grow our business as quickly.” –Amanda RockrohrSupport the show

Nii brings on Travis Hornsby, founder of Student Loan Planner, a team of consultants that help people navigate paying off their debt fast while maximizing loan forgiveness opportunities. Student Loan Planner has counseled over 8,000 clients and created plans that cover approximately $1.8 billion in student loan debt.Things to expect in this episode:A discussion on FFELP, Direct Loans and Public Loan ForgivenessThe difference between Public Service Loan Forgiveness (PSLF) & Income Based Repayment (IBR)Why the terms of a loan are more important than the interest payments of a loanThe perfect loan pay-off scenario for medical students, residents, and physicians PSLF Waiver60 Minutes feature of Public Service Loan Forgiveness (PSLF)WE WANT TO HEAR FROM YOU!!!! FILL OUT THE DOCS OUTSIDE THE BOX PODCAST SURVEY (in partnership w INCROWD)INCROWDMAKE EXTRA MONEY AS A RESIDENT OR ATTENDING - COMPLETE MEDICAL SURVEYS WITH INCROWDWATCH THIS EPISODE ON YOUTUBE!Join our communityText word PODCAST to 833-230-2860Twitter: @drniidarkoInstagram: @drniidarkoEmail: team@drniidarko.comPodcasting Course: www.docswhopodcast.comMerch: https://docs-outside-the-box.creator-spring.comThis episode is edited by: Your Podcast PalThis episode is sponsored by Set For Life Insurance. What the Darkos use for great disability insurance at a low cost!! Check them out at www.setforlifeinsurance.comLocumstory. Learn how locum tenens helps doctors make more and have the lifestyle they deserve!. Check them out HERE!Locumstory. Learn how locum tenens helps doctors make more and have the lifestyle they deserve!. Check them out at HERE!

What we covered:The power of intentional sellingWhat is soul-centered sellingLearn the process and criteria for getting a venture debtThe difference between debt facility and term loanThe ideal client profile for equity financingWhat to expect during the equity financing processThe difference between a community bank and a national bankHow Pacific Western Bank works, and how they work with some of their clients.The importance a good introduction can give when you want to work with certain clients.How a “competitive” business model can do more harm to both your employees and sales.The value of breaking generational trauma to make a better future for our children.How letting go of your anger can be the best thing that you can be and the best thing you can do for yourself.Tweetable Quotes:“People like to do business with people that they know, like, and trust.”“It's hard to get from know to trust on a zoom call, you need people to be there, to experience people's energies and connections, and be able to look them in the eye and see a smile on their faces.”“You got to be who you are. You be you!”“Great salespeople have always been leaders, and great leaders have been great salespeople.” “Sales is a service, it's helping people and serving others.”  “What's amazing about listening is that so many of us are listening to respond as opposed to listening to understand. And when you're listening to respond, you're thinking of what it is you want to say and respond to whatever you're hearing as opposed to listening to understand where you are focused on what the person is saying and asking good follow-up questions.” “When you talk about transformations, sometimes there are bigger ones, sometimes there are smaller ones. Sometimes, it takes two seconds, sometimes, it takes 20 years.” Links Mentioned:Kurt's TwitterKurt's InstagramKurt's LinkedIn

At the core of every business is its people. Patty sat down with Erik and Peter Stenehjem of First International Bank and Trust to discuss how their family business has created a concrete culture that supports the individual employee and the organization's growth. In this two-for-one, episode you will also learn how to interact and establish a relationship with your bank to help fund your startup and business. Key Takeaways: How to treat your people not like a numberHow to build a learning cultureWhy hire for attitude and train for skillHow to communicate with your bankerWhat you should think about before asking for a loanThe difference between working with a community bank and a corporate giantWhether you need to rethink your hiring process or seek funds to help support your hiring and growth, this episode has it all. Hit play now! PERSEVERE PODCAST SHOW NOTES: https://www.perseverepodcast.com CHECKABLE MEDICAL INSTAGRAM: https://www.instagram.com/checkablemedical/ CHECKABLE MEDICAL WEBSITE: https://www.checkablemedical.com/

Notional is a protocol on Ethereum that facilitates fixed-rate, fixed-term crypto asset lending and borrowing. The core concept of Notional is fCash, a zero-compound bond defined by a currency type and maturity date. Notional's liquidity pools are built by liquidity providers who contribute cTokens and fCash and act as counterparty to the lenders and borrowers that are active on the protocol.We were joined by co-founders Teddy Woodward and Jeff Wu to chat about the benefits and tradeoffs of fixed rate interest borrowing, how Notional operates, and comparisons to other lending protocols in the space.Topics covered in this episode:Teddy and Jeff's backgrounds and how they got into cryptoThe benefits of a fixed rate over a variable interest rate loanThe product from a user perspectiveThe role of liquidity providers in the protocolTradeoffs of using Notional as opposed to other lending platformsLender and borrower obligationsHow Notional maintain securityThe ERC1155 token standard which is implemented on fCashThe maturity parameter and how it's determinedThe Notional governance modelEpisode links:Notional FinanceNotional DiscordNotional on TwitterTeddy on TwitterJeff on TwitterSponsors:ParaSwap: ParaSwap aggregates all major DEXs and makes sure you beat the market price at every single swap and with the lowest slippage - paraswap.io/epicenterChorus One: Chorus One runs validators on cutting edge Proof of Stake networks such as Cosmos, Solana, Celo, Polkadot and Oasis. - https://epicenter.rocks/chorusoneThis episode is hosted by Sebastien Couture & Friederike Ernst. Show notes and listening options: epicenter.tv/413

https://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode #70 of the Property Planner, Buyer and Professor Podcast, the team discuss “Tax optimisation – using mortgage strategy to create wealth ", as Dave, Cate and Pete take you through:Weekly market insights1. RBA revises low interest rate forecastGovernor of the RBA Phillip Lowe has said that he expects interest rates to remain low for the next 4 years, extending from his previous forecast of 3 years. In addition, there are no concerns on the horizon about an asset bubble forming for the property and share markets. It's game on!2. Demand spikes for hot propertyAt the coal face, we're seeing floods of prospective buyers at open for inspections, with not everyone in the queue able to inspect the property. Supply is not dramatically shorter, but the numbers of buyers have gone through the roof. The last time there was this much activity was after the GFC where the government was throwing money at first time buyers and interest rates dropped to 5%. Now, rates are even lower, stimulus is greater, and consumer sentiment has spiked; creating the perfect storm to propel the property market.3. Comparative salesIn light of demand and market movements, if you're interested in purchasing a property, you should be looking at comparative sales from the last 2 to 4 weeks. Anything over that is too old in many markets, and likely to give you dated sales results to depend on.4. Property predictionsThe trio share their predictions for when regulators will step in with macro prudential measures to dampen property market activity and run-away prices. They also share their individual insights into how they feel the measures will be rolled out.Tax optimisation1. How can you optimise your tax deductions?Tax optimisation is multi-dimensional and you only have one opportunity to borrow funds to purchase an investment asset. There are many mortgage strategies you can put in place to ensure you're getting the most bang for your buck.2. Using equity to maximise borrowingsAlthough counter-intuitive, maximising your investment loan can put you in a better financial position. The trio explain why you should consider borrowing the full purchase price plus costs of the investment if you have equity available in an existing property.3. Paying principle and interest on your home and interest only on your investment loanThe aim of the game is to pay down your non-deductible debt as fast as possible, while preserving your deductible debt to make holding your investment property more affordable.4. Preserving the balance of your home loan if you plan to upgradeThis is a critical point to consider for anyone who has purchased a stepping stone home and has plans to keep their home as an investment when upgrading to the long-term home. The Property Planner outlines the mortgage strategies that can be employed to make the most of your future tax deductions.5. Why do so many people get this wrong?Many of us are taught by our parents and grandparents to pay down debt as fast as possible, without realising that you may be shooting yourself in the foot and killing wealth. We advocate that everyone should pay down their debt by using the right strategy, which will hold you in great stead when you transition to the flexibility stage of life.6. Redraw v offset accountsThe Property Planner explains the difference between redraw and offset accounts, and why the smart use of offset accounts means you could end up with an extra asset or two in your retirement.7. Understanding the ATO test for deductibilityUltimately, the ATO decides what expenses are deductible and what is not and understanding the ATO ‘purpose test' is key. The trio explain the ‘purpose test' and how it works in simple terms.8. And of course, our “gold nuggets”!Visit the show notes: https://propertyplanning.com.au/optimising-tax-deductions-2020-and-2021-top-mortgage-and-loan-strategy-tips/

Grizwald is now on the Sorting Myself Out Channel https://www.youtube.com/channel/UC2i_hx_UfauBFh5DA3YWfDg Convo notesDungeons and DragonsDouble bastard latchkeyShe got in the militaryBetween 3 and 9 raised by grandmotherHawaii for three yearsGod's waiting room Started getting raised by TV, no male role modelsUnsolved Mysteries, Computer simulation stopped at 2012Suicidality in HSJR. High I discovered I wasn't pretty, Landed in OK, airforce town, bars and churchesGod was offered in a lot of different flavorsSteven KingCommunity college, didn't want the commitment of a student loanThe only reason any of these people want me here is because they want my moneyToday it's a substtute for trust and that's what's wrong with itPlayed a lot of video gamesKind of checked out, I’m a flyover person from a Walmart state NPC as much as he has to, be in the digital world where he has a shot of being important Baptized in a Pentecostal church Feels like being rejected by God Quit going to church when he saw fight clubTerribly evident corruption Truthers The fourth wall is falling… Jordan Peterson,  ayahuasca letter   Click here to meetup with other channel viewers for conversation https://discord.gg/jdVk8XU  Paul Vander Klay clips channel https://www.youtube.com/channel/UCX0jIcadtoxELSwehCh5QTg If you want to schedule a one-on-one conversation check here. https://paulvanderklay.me/2019/08/06/converzations-with-pvk/ There is a video version of this podcast on YouTube at http://www.youtube.com/paulvanderklay To listen to this on ITunes https://itunes.apple.com/us/podcast/paul-vanderklays-podcast/id1394314333  If you need the RSS feed for your podcast player https://paulvanderklay.podbean.com/feed/  All Amazon links here are part of the Amazon Affiliate Program. Amazon pays me a small commission at no additional cost to you if you buy through one of the product links here. This is is one (free to you) way to support my videos.  To support this channel/podcast on Paypal: https://paypal.me/paulvanderklay To support this channel/podcast with Bitcoin (BTC): 37TSN79RXewX8Js7CDMDRzvgMrFftutbPo To support this channel/podcast with Bitcoin Cash (BCH) qr3amdmj3n2u83eqefsdft9vatnj9na0dqlzhnx80h To support this channel/podcast with Ethereum (ETH): 0xd3F649C3403a4789466c246F32430036DADf6c62 Blockchain backup on Lbry https://lbry.tv/@paulvanderklay https://www.patreon.com/paulvanderklay Paul's Church Content at Living Stones Channel https://www.youtube.com/channel/UCh7bdktIALZ9Nq41oVCvW-A To support Paul's work by supporting his church give here. https://tithe.ly/give?c=2160640

Interest expenses are often an investors largest tax deduction. You must realise that the onus of proof is on the taxpayer (you), not the ATO. That is, you must be able to prove to the ATO that your deductions are legitimate. If you are not able to do that unequivocally, you risk the tax deduction being denied in full (and you will have to pay interest and penalties).Therefore, it is wise to understand some basic tax rules so that you do not inadvertently put any of your tax deductions as risk. There is a lot more detail (whole chapter) in my latest book, Rules of the Lending Game, but below is a summary of the top 10 rules that relate to investment loans.(1) You only get one chance to set the maximum tax-deductible loanThe initial amount you borrow when you first acquire an investment will be the maximum tax-deductible loan amount.For example, if you purchase a property for $800,000 the total cost of the acquisition will be $845,000 including stamp duty. If you have $300,000 of cash, you need to borrow $545,000. In this situation, $545,000 will be the maximum tax-deductible loan. You cannot go back to the bank and increase the loan at a later stage because the “purpose” determines it tax-deductibility (which I discuss below). A possible solution to this would have been to borrow the full cost and deposit monies in a linked offset – more about this below.(2) Loan applicants may not have tax consequencesWho’s name the loan is in (i.e. the loan applicants) typically has no impact on the deductibility of the debt. From the perspective of the ATO, especially with spouses, the main determining factor regarding deductibility is (1) who owns the asset in question – i.e. whose name is on the title; and (2) who has been making the repayments.For example, if the investment property is in the husband’s name but the loan is in joint names, and repayments are being made from a bank account that is solely in the husband’s name, the husband should be entitled to 100 per cent of the tax deduction (Taxation Ruling TR 93/32).It’s preferable (and cleaner) if you can arrange for the name(s) on the loan to match the name(s) on the title, as this eliminates any doubt. However, some lenders’ policies or procedures might make this difficult, costly (in terms of time or legal costs) or impossible. It’s wise to document why the loan has been established in this way – that is, because the bank declined to set up the loan solely in the owner’s name.(3) The owner must make loan repaymentsA common mistake is that repayments in respect to a loan used to fund an investment in one spouse’s name come from a joint account i.e. in both spouse’s names.In this situation, the ATO could argue that since both of you have been repaying the loan, the deduction should be split. However, since only one spouse owns the property, only that spouse is entitled to a deduction – and consequently now half of the interest is not tax deductible!To avoid this risk repayments should be debited to an account that is solely in the owner/s name.(4) A loan’s security does not matterThe property/s used to secure a loan has no bearing on its tax treatment whatsoever. For example, you could have an investment loan secured by your home and it would still be tax-deductible. The purpose for which the funds are used and who’s been making the repayments will determine the tax-deductibility.(5) Purpose is kingUltimately, the biggest determining factor as to whether interest is tax-deductible is the purpose for which the loan funds are used. This is what the ATO looks at in the first instance. If the item being financed is used for a purpose which has a direct relationship with earning assessable income (such as rental income and capital gains), then any interest charged in respect to the loan which finances that asset should be tax-deductible. Once this is established, the ATO then consider (1) who owns the investment; and (2) who’s been making the repayments. These factors determine who is eligible to claim a tax deduction.Therefore, if you established a loan to purchase an investment property which earns assessable income, and one spouse owns 100 per cent of that investment property and makes the repayments, then that spouse is 100 per cent entitled to the deduction.Sometimes people ask; “Should I borrow against my investment property to repay my home loan?” The answer is always ‘no’, because it comes back to the purpose test. The purpose of the new loan would be to repay the home loan, which is a non-deductible purpose.(6) Don’t mix loan purposes!There are lots of reasons not to use one loan for multiple purposes e.g. to use part of the loan to invest in property and part to invest in shares. Or worse, mix home debt and investment debt in the same loan. The predominant reason is that it makes record keeping difficult and therefore puts tax deductions at risk (because it weakens your justification for claiming a tax deduction).Another reason is that it can become a nightmare should you want to repay only part of the loan. The tax rule is that any repayment to a loan must be apportioned across the whole loan. You cannot allocate your repayment to just one loan purpose. Therefore, you must separate loans by purpose.(7) Redraw: be careful using itRedraw is the ability to withdraw any extra repayments. The ATO treats any redraw as a separate loan, and once again, its tax-deductibility comes back to the purpose test. For example, say that a client has a $300,000 investment loan and receives a $20,000 bonus from work. They intend to use the bonus to take a holiday at the end of the year, and so they park the $20,000 in their investment loan in the interim to save interest. This will be considered an extra repayment. If they then redraw the $20,000 at the end of the year to fund their holiday as planned, the ATO will deem that they now have two loans – one for $280,000, which is still tax-deductible (being the balance prior to the redraw), and one for $20,000. This latter amount is no longer tax-deductible, as the loan’s purpose was to finance a holiday.Essentially, when you repay a loan, you can deny yourself a future tax deduction, as you can’t simply redraw the loan back up to the original amount. You must be careful about when you use a redraw facility.(8) It is much better to offset debt, not repay itThe problem with repaying an investment loan (whether through regular or ad hoc repayments) is that you change the original tax nature of the debt. That is, as discussed earlier, if you redraw the money at a later stage, it will be treated as a new loan for tax purposes. Therefore, it’s important to preserve the original tax-deductible loan balance, which also preserves your potential future tax benefits.An offset gives you the best of both worlds – it allows you to park extra cash in it to offset the loan and reduce the amount of interest you pay, but also preserves the tax-deductible balance of that loan.The bonus is that if you ever need to pull that extra cash out of the offset to use for a non-deductible purpose in the future, you can do so in a more tax-effective manner. This is a perfect structure particularly for first home buyers as it allows them to minimise interest whilst preserving the loan amount in case their property becomes an investment in the future.(9) Borrowing expenses are tax deductibleAll borrowing expenses are tax-deductible if they relate to investment loans. Any costs under $100 are deductible in the year that they’re incurred. Any costs over $100 are deductible equally over the term of the loan or five years, whichever is less. As mortgage terms are almost always longer than five years, borrowing costs are deductible over the first five years of the loan. If you refinance or repay your loan earlier than the five-year period, you can claim the balance of the expense which you haven’t claimed a deduction for yet.Deductible costs can include expenses at time of purchase, such as application fees, title search fees, lender’s legal fees, valuations, mortgage insurance, mortgage stamp duty, loan repayment insurance, settlement fees, security or guarantee fees. Basically, any third-party fees that are payable up-front, whether they’re government or bank charges, can be deductible.(10) Keep a good paper trailIt is vital to maintain a proper paper trail. You must make clear, concise notes and keep track of all loan balances and transactions related to your investments throughout the year. If you do get audited, it’s handy to be able to go back to your notes and calculations to prove and demonstrate exactly how you arrived at a particular tax deduction and/or what that amount was used for. This is particularly relevant when you’re paying deposits, refinancing, transferring funds, paying related expenses for properties and so on. What is clear to you today won’t be as clear in five to ten years’ time, so good record keeping will help a lot.Get tax adviceThere are two reasons to visit your accountant. The most obvious – and something that people generally only consider once a year – is for the preparation of your tax return.The other thing an accountant will do is to provide taxation advice about how you should set up and fund your property investments. This is of the utmost importance and I highly recommend you be prepared to pay for it. Don’t be tempted to ‘shop around’ for an accountant based on fees alone. This is one area where you want to make sure they know their stuff.________Warning: Whilst the author, ProSolution Tax Advisory and all its directors are registered tax agents, you must not rely solely on the above information. This blog provides a summary only. Exceptions apply to all tax rules and as such, you must consider your individual circumstances. Therefore, you must obtain personalised tax advice prior to acting on any information contained in this blog.

It was reported over the weekend that private school fees have increased by 3.6% over the past year. However, the longer-term trend is closer to 5% p.a. Private school fees are tipped to soon exceed $40,000! That is a big hit to after-tax cash flow. This blog compares three financial strategies you can use to fund future school fees.What is the future cost?There are two things to keep in mind with respect to future education costs. Firstly, the average rate of fee increases is close to 5% p.a. Secondly, these expenses must be paid from after-tax income – so you have to earn a lot more pre-tax in order to meet these costs.A child born this year will most likely start secondary school in year 2031. Assuming fees increase 5% p.a. and inflation remains at 2% p.a., the total cost of secondary private school education will be $280,000 in today’s dollars. A parent will need to earn at least $460,000 before tax (in today’s dollars) over a 6-year period to meet these costs – an average of $75,000 p.a. per child.I am sure you agree that this is a substantial cost and one that you must plan for as early as possible.Steer clear of education fundsThe most prominent education fund producer is ASG. It creates structured savings plan so that parents will be better positioned to meet future education costs. However, their fees are high and investment returns are terrible. Parents would be far better off following one of the lower-cost, more transparent options below.Strategy One: Park savings in your home loanThe best place to save money is to park it in your home loan and redraw it whenever you need it. The reason being is that the home loan interest rate is much higher than the deposit rate. At best, you might receive 2.5% p.a. in interest for money in a savings bank account. The home loan mortgage interest rate is currently around 4% p.a.I completed my financial projections using a home loan interest rate of 5% over the next 18 years (the average rate over this time will likely be higher – but I’m being conservative). I worked out that parents would need to direct additional cash of $1,200 per month into their home loan over the next 18 years in order to fund their children’s school fees. That is, in year 2031 they would redraw these extra repayments from their home loan to pay for their children’s school fees as they are incurred.This approach (i.e. $1,200 per month for 18 years) costs $258,000 in after tax dollars – slightly less than the $280,000 above – because of the interest saving generated by the extra repayments.This approach is very low risk because your return (being the home loan interest you will save) is certain. That is, home loan interest rates will almost always be between 3.5% and 8% p.a.You can also park money in an offset linked to an investment loan – although it is less effective than a (non-tax-deductible) home loan.Strategy Two: Invest in the share marketThis option includes investing a regular amount in the share market. You don’t need to ‘pick’ shares in order to implement this strategy. Instead, you can use a low-cost, diversified index fund from Vanguard to do this. This means you only need to buy shares in one stock (codes are VDHG or VDGR for example) each month in order to make these investments. This one stock has exposure to Australian and international shares, emerging markets and some bonds too. It is very simple. You can use a low-cost online trading platform such as Commsec or CMC Markets to do this.Long term equity market returns (dividend income plus growth) have been circa 10% p.a. over the past 30 years. However, to be conservative, I will assume returns will be 8% p.a. over the next 18 years (being 4% income plus 4% growth).I calculated that parents would need to contribute $14,500 per year ($1,210 per month) into a share portfolio over the next 18 years. They would gradually liquidate the share portfolio to fund the school fees as they are incurred.Strategy Three: Invest in a property and sell it when they finish schoolThis strategy would involve borrowing to purchase an investment property, then accessing the equity (via borrowings) in that property before you child starts secondary school to fund school fees. You could then sell the property when your child finishes school to repay all loans.I assumed an investment purchase acquisition of $750,000, a conservative capital growth rate of 6% p.a., a gross rental yield of 3%, allowed for expenses and assumed an average mortgage interest rate of 6%.The cash flow cost of this strategy over the 18 years of ownership amounts to approximately $210,000 which is a lot lower than the other two options.The net equity in the property in 18 years’ time (after allowing for repaying the original loan and CGT) is circa $900,000. Don’t forget that you will have an additional loan which you used to pay for the school fees and that would be circa $450,000. Therefore, this strategy leaves you with a surplus (cash proceeds) of $450,000 after tax.The breakeven capital growth rate (needed to generate enough wealth to cover all schooling costs) is only 4% p.a. A well-selected, investment-grade property should definitely generate substantially more growth than this over the next 2 decades.Why does property win?Here’s a summary of the results:The property strategy produces the best outcome for three reasons:The returns I have assumed are higher for property. In the home loan strategy, I assumed an interest rate of 5% p.a. In the share market strategy, I assumed a gross return of 8%. And in the property strategy I assumed a gross return of 9% (growth plus income). I assumed a high gross return for property simply because it has half the volatility rate than shares.Property provides less of its total return in income and more in capital growth. See this blog for why that is important.Only the property strategy includes borrowing to invest. Borrowing to invest is a higher risk strategy and does not suit all people. Also, borrowing to invest magnifies investment returns – both positive and negative.Which strategy is best for you?Of course, that depends on many things such as the age of your children, your expected income, your asset base, your risk profile and so forth. The point of this blog is to point out that there are a few strategies that can be considered and that it’s very important that you implement said strategy as-soon-as-possible. The longer you leave it, the more painful it will be to fund private school education.If you want to send your child to a private primary and secondary school, then it’s even more important to have a plan – as I have only considered secondary school costs in this blog.The best time to start planning for education costs was yesterday. If you didn’t do that, the second-best time is to start today. We can help.

In this episode of The BiggerPockets Podcast, we’re excited to talk about two incredibly powerful strategies any real estate investor (new or experienced!) can use to grow their business: partnerships and BRRRR investing. Today’s guest, Ian Reeves, used a combination of both these strategies to build an incredible portfolio in just the past few years, having started after listening to this very podcast. This episode is sure to blow your mind with both education and entertainment, so sit back and prepare to have your world rocked forever!In This Episode We Cover:How Ian got startedThe details of his first propertyWhy house hacking is a good ideaHow he has 65 units alreadyWhy he chose partnershipTips for finding the right partners through BiggerPocketsThe pros of being a part of an REI meetupWhat you should know about the BRRRR strategyA look into whether you should buy expensive propertiesWhere he got his initial loanThe dangers of commercial loansThe importance of having the right mindsetThe secret to scaling quicklyThe worst deal he has ever doneAnd SO much more!Links from the ShowBiggerPockets ForumsCreation Festival Northwest10th Avenue NorthFinconHouse Hacking 101Brandon’s InstagramMindy’s InstagramBiggerPockets Events500 Deals, the $100,000 Wholesale Paycheck, & the Systems That Make it Work with Tarl YarberA Simple Morning Ritual to Help You Dominate Every Area of Your Life with Hal ElrodTim Ferriss Show: Derek SiversHow to Find and Fund Real Estate Deals with Anson YoungBooks Mentioned in this ShowRich Dad Poor Dad by Robert KiyosakiThe Millionaire Real Estate Investor by Gary KellerThe Miracle Morning by Hal ElrodSet for Life by Scott TrenchThe One Thing by Gary Keller and Jay PapasanThe Book on Rental Property Investing by Brandon TurnerThe 4-Hour Work Week by Tim FerrissMastery by Robert Greene80/20 Sales and Marketing by Perry MarshallFire Round QuestionsMailing campaign – letter, post cards (Still a good idea?)I just turned 22, what is the best path for a strong portfolio?How the Heck Are You Doing 5-10 BRRRRs Per Year?!Looking for networking advicePartnership Learning ProcessTweetable Topics:“It’s a dangerous situation when you are not reinvesting your profits.” (Tweet This!)“Fifty percent of a deal is better than 100 percent of no deal.” (Tweet This!)“Just tell the people what you’re doing and they can sense the passion.” (Tweet This!)“All the information that you could ever want is already out there. It’s up to you if you implement or not.” (Tweet This!)Connect with IanIan’s BiggerPockets ProfileIan’s Facebook ProfileIan’s Youtube Channel

On this episode of the BiggerPockets Podcast, we sit down with Mark Spidell, an investor from the great state of Colorado, to discuss how he uses real estate to engineer his ideal lifestyle! We talk about partnering with family, investing out-of-state, buying small commercial buildings, owning vacation rentals, and much, much more! Not only will this episode entertain and inform you, it will also help you clarify your own investing plan so you can begin engineering your own perfect lifestyle!In This Episode We Cover:How Mark got started through ADUWhy he went the vacation rental routeWhere he currently investsThe benefits of lifestyle-focused investingTips for people with familiesThe qualitative and quantitative parts of his investingWhat he’s learned from his first investmentsHow he weathered the market crashHow he was able to buy more after the crashTips for investing in commercial dealsHow he financed his commercial propertyA commercial banker’s perspective on applying for loanThe difference between commercial and residential financingHow to minimize risk on commercial propertyThe benefits of investing in commercial real estateWhy you should ask for help from attorneys when drawing up leases for commercial propertyThe ins and outs of being a landlord for commercial real estateHow to successfully mix commercial property and vacation rentals in your portfolioHow to find out what you’re good at and figure out which investing path to takeThe art of lifestyle engineeringAnd SO much more!Links from the ShowBiggerPockets’ Rental Property Portfolio TrackerBP Podcast 076: Growing Your Real Estate Company Into a $30 Million Dollar Business with Brian BurkeBiggerPockets WebinarBiggerPockets CalculatorBP Podcast 152: Building Wealth and Passive Income with Rental Properties with Ben Leybovich, Brian Burke, and Serge ShukhatBe a guest on the podcastBooks Mentioned in this ShowRich Dad Poor Dad by Robert T. KiyosakiRich Dad’s CASHFLOW Quadrant by Robert T. KiyosakiSchweser Notes for the 2011 CFA Exam Level 1 Book 3: Financial Reporting and AnalysisTweetable Topics:“Commercial real estate is valued based on the income of the property.” (Tweet This!)“If you want the freedom, real estate could help you, but make sure you are doing it for the right reasons.” (Tweet This!)Connect with MarkMark’s BiggerPockets Profile

Prepare to be inspired and motivated after listening to today’s episode of the BiggerPockets Podcast! In this program we sit down with Ophelia Nicholson, a house flipper from the Maryland area who got started with real estate while working a minimum wage job. You’ll learn how she broke out of that life and was able to quit her job to become a full time, successful house flipper, working on multiple properties at once!Listen for insightful tips on applying for a loan, learning to be a landlord, partnering with family members and quitting your job for real estate. If you’re wondering whether it’s possible to make your investing dreams come true, don’t miss out on this episode — it’ll give you great insight into how you CAN make it happen!In This Show We Cover:How Ophelia got started investingThe story of her “first small house“How to buy a house on a minimum wage salaryTips on applying for a loanThe experience of becoming an accidental landlordWhat to do if you’re sued by your renterLessons about starting out as a landlordOphelia’s on and off relationship with real estateThe pros and cons of partnering with familyHow to put 15 properties under contract in 30 daysQuitting your job for real estateThoughts on women getting into real estate investingPlus MUCH more!Links From the Show:BiggerPockets’ Trivia (email)BP Podcast Show 104BiggerPocket’s Real Estate Analysis SoftwareBiggerPockets’ List of Hard Money LendersBiggerPocket’s Flipping BookBooks Mentioned in the ShowThe Book on Flipping Houses: How to Buy, Rehab, and Resell Residential Properties by J. ScottBrandon Turner’s The Book on Investing in Real Estate with No (and Low) Money DownThe 10X Rule: The Only Difference Between Success and Failure by Grant CardoneThe Trick to Money Is Having Some by Stuart WildeConnect with OpheliaOphelia’s BiggerPockets Profile