All Posts by Ian Ugarte

About the Author

Ian is a full time investor, developer, advisor, author and educator. As a sought after Keynote Speaker and thought leader, his passion to see others succeed in both their personal and business lives while helping others, is his greatest drive. As seen on Sky News, Sydney Moring Herald, Australian Property Investor, Your Investment Property and numerous other media, Ian uses his vast experience to turn traditional approaches towards housing provision on their head. Ian is recognised as Australia’s leading micro apartment, rooming and boarding house specialist, he is driven by his intense desire for creating multi-generational living and re-creating community. An advocate and action taker towards fixing the huge affordability issue in Australia, Ian is passionate about bringing back the genuine connection of community by providing elegant housing diversification.

Apr 17

Negative Gearing is Doomed, New Trend Changes Everything

By Ian Ugarte | Strategy

Negative Gearing is Doomed,
New Trend Changes Everything

I offloaded 7 negatively geared investment properties in a “fire sale” that cost $300,000.00, before changing my course and leaving paid employment within 13 months. Find out how I cracked the code.

In today’s market, the expected rental yield on a negatively geared investment property is about 4.5 to 5%, however I have tapped into a new trend that has allow me to achieve what many consider impossible.

Welcome to a world where 10 to 12% yields are the norm, and instead of depriving your family of luxuries, you can enjoy positive income from day one.

The house on the left is a case in point. It picks up twice as much in weekly rental as the one at the right ($1,500 vs $600) despite the fact both are comparable size and design, and they’re in the same ordinary, everyday suburb.

The capital gains are exceptional too. In fact, a recent property received an offer for $930,000 whereas a similar house next door sold for just $780,000.

Many think it’s impossible because they’ve bought into the negative gearing myth. Yet with 1.55 million Australians dealing with housing stress, the marketplace rewards you for supplying affordable housing to people who desperately need it.

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