Teachers setup a Strategic Debt Structure and Property Portfolio Planning
Two teachers, Amanda & Todd with 3 children under the age of 8, embarked on a journey, at the peak of their core working years to start building their property portfolio. Eager to secure their financial future, over and above the work they are doing, they reached out to our highly-awarded property strategy team for expert guidance.
The couple already had an existing mortgage and sought our team’s expertise on beginning their first steps toward building their investment
property portfolio.
The Scenario:
The couple took advantage of remote work which provided bulk income enabling them to save more money to work to improve their net wealth position.
The Ramsey property strategy team modelled out the best deployment of their hard earned capital and built out a property portfolio plan spanning over 10 years achieving 6 investment properties over that period of time.
At year 10 the plan determined they’d be in a position of $4.2 million net wealth via a variety of mixed acquisition strategies and achieve a yearly passive income stream of $3,069 per week.
Emma Klingner, our Lending Relationship Director, took a holistic approach to Lending, beginning with a refinance and equity cash-out loan.
This strategic move allowed them to unlock the equity in their home, providing the capital needed to use for their 2 deposits of their
properties.
The Challenge:
To increase their buying capacity, The Ramsey team suggested the couple move out of their family home. Although this was a challenge, our team was able to move swiftly and insured the settlement of their first property in April 2023, followed by the successful settlement of their second property in June 2023. This quick and decisive approach not only secured the properties at the right price but also enhanced their borrowing capacity.
The Results:
- With our strategic guidance, our teacher couple successfully refinanced their existing mortgage enabling them to release 440k worth of equity to fund deposits of 2 extra purchases.
- We utilised a strong investment purchase strategy involving both an established and new build property.
- The purchase of a land and build project by our Buyers Advocate exceeded expectations with a remarkable rental yield of 13.4%.
Currently, proactively managing their portfolio of their first 2 properties, upon completion of year one they are sitting currently on a net wealth position of $1.2 million, in their first year working with Ramsey.
The team at Ramsey Property Wealth met the challenge and delivered a creative solution for Amanda & Todd. Guiding them on every step of their 2 property investments, leveraging the key in-house services like Buyers' Advocacy to find the right property for their needs, and utilising our Mortgage Advice team to structure their loans to meet their goals.