Why Investors Accept Losing Money on Property
Losing $200 a week on an investment property sounds crazy… until you look at the bigger picture. In this example, negative gearing and tax deductions reduce the actual out-of-pocket holding cost to around $120 a week — while potential capital growth builds equity over time. But here’s the catch: this strategy only works when the underlying property is a good investment in a high-growth market. If the property doesn’t grow enough to outweigh your holding costs, you’re not building wealth — you’re simply funding a loss. So, the real question is: Would you be willing to sacrifice cash flow today for potentially greater equity tomorrow? YES or NO? 👇 #PropertyInvesting #AustralianProperty #NegativeGearing #PropertyInvestment #WealthBuilding #RealEstateInvesting #CapitalGrowth #InvestingTips
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