Paying off your mortgage sooner than you think
So the conventional theory has been, finish University, get a good job, buy the house and pay every cent you earn into it to reduce the debt! With interest rates in most developed economies and particularly in Australia, at all-time lows, you’d think that most people are following this strategy. But is that the case? And will this strategy help you pay off your mortgage any sooner than you think?
With average house prices in most capital cities in Australia still rising higher than incomes, how much more money can you pay into your home every year to help you pay it off sooner? Let’s not forget the everyday lifestyle, which is equally important. Is there another way to achieve this?
We think there is! At Wealth Peak Financial Advice, we educate our clients to have multiple sources of income for any given asset. And by that, we don’t mean, renting a room out or having your room as a hotel to generate that income. We mean leveraging your asset base to create multiple sources of income – simply put, making your money work harder for you. Many of our current clients are benefiting greatly from this strategy.
We must point out that any form of investing carries some level of risk. Borrowing money to invest, increases the levels of risk and introduces new risks to your strategy. Hence it is important that you speak to a qualified Financial Adviser, like Wealth Peak Financial Advice, before making any investment decision.
General Advice Disclaimer
Note: - this article is of a general nature only and does not take into account your objectives, financial situation or needs. Please consult a qualified Financial Adviser, like Wealth Peak Financial Advice, before making any decision on the basis of this article. Wealth Peak Financial Advice Ltd ABN: 24 615 007 326, is a Corporate Authorised Representative of Total Financial Solutions Ltd. AFSL 224954 and ABN 94 003 771 579