Do you know that a car lease can cost morethan 2 or 3 investment properties? And it doesn't it doesn't need to.
Car leases are what we call short term debtwhere you are being forced to pay them off over about a 3-5 year period.
If you have a $30,000 or $40,000 or $50,000car lease that will usually cost $1,000 to nearly $2,000 a month in repayments.
If you understand the cash flow of an investmentproperty, most investment properties will cost less than $50 a week.
In fact, we can source properties that arecash flow neutral or cash flow positive that are still forecast to get great growth.
When you have equity in a property we canborrow against that equity to pay out your car lease and substantially improve your cashflow.
So then you have the cash flow and the borrowingcapacity to invest in property.
If we can refinance that car lease into yourhome loan it can reduce your payments from $1,000 a month down to about $100 a month,at worst case $200, which can improve your cash flow by $800-$900 a month which meansyou've got the ability to own investment properties safely.
We do this on a regular basis.
It is far better to have an investment propertygrowing, that might be growing by about $1,000 a week, or $50,000 a year, than being forcedto pay down a car loan over 3-5 years.
When you understand how to use finance effectivelyand safely, you can improve your wealth while reducing debt at the same time.