Five years into my property portfolio expansion, after reading the book that changed the way I viewed property, "3+1", I more or less decided which is better.
I'm 1.75 years into consistently producing profits in stocks, unit trusts, forex, commodities, even crypto currencies like Ethereum. It was down to technical analysis. I had no problems with fundamental analysis. I am a CFA after all. But technicals took a bit of learning for me.
I've achieved 22% IRR for stocks, 13% for unit trusts, 30% for forex and 40% for crypto. My property portfolio is roughly 35%. But cashflow wise my property ROE was poor, around 4%. Even if I manage my Birmingham and Manchester cashflow properties well, it will be around 15 - 17%. They are illiquid after all and don't allow fractional sale.
Refinancing of property is increasingly difficult. Between 2010 - 2015, real estate was definitely better. I could extract 125% of my initial equity, leaving my IRR over 100%! Nothing could beat that. In the last 2 years, refinancing to extract equity is almost impossible. I'm stuck in Australia, more or less have no equity to release in London, and don't exactly have a strong banker in other cities.
Financial investments definitely paid off better in the last 1.75 years. It is liquid. I could withdraw my profits easily. 20 - 25% IRR is definitely best I can do now.
But I've recently discovered a potential game changer for real estate that will allow me to extract my equity fully within 1 year and recycle it infinitely. That will be even more exciting!
I'm 1.75 years into consistently producing profits in stocks, unit trusts, forex, commodities, even crypto currencies like Ethereum. It was down to technical analysis. I had no problems with fundamental analysis. I am a CFA after all. But technicals took a bit of learning for me.
I've achieved 22% IRR for stocks, 13% for unit trusts, 30% for forex and 40% for crypto. My property portfolio is roughly 35%. But cashflow wise my property ROE was poor, around 4%. Even if I manage my Birmingham and Manchester cashflow properties well, it will be around 15 - 17%. They are illiquid after all and don't allow fractional sale.
Refinancing of property is increasingly difficult. Between 2010 - 2015, real estate was definitely better. I could extract 125% of my initial equity, leaving my IRR over 100%! Nothing could beat that. In the last 2 years, refinancing to extract equity is almost impossible. I'm stuck in Australia, more or less have no equity to release in London, and don't exactly have a strong banker in other cities.
Financial investments definitely paid off better in the last 1.75 years. It is liquid. I could withdraw my profits easily. 20 - 25% IRR is definitely best I can do now.
But I've recently discovered a potential game changer for real estate that will allow me to extract my equity fully within 1 year and recycle it infinitely. That will be even more exciting!
