Your path, illustrative

This page is a stand-in for a GamePlans Planning PDF. It is general information for education only. It is not financial product advice, credit assistance, tax advice or legal advice. It is not a personal GamePlan. Figures are illustrative and based on a similar profile, not on a full review of your circumstances. The starting position uses the home value and loan, and the investment value and debt, you typed. Investment debt is spread evenly across the properties you said you own. Cash is what you would put in. Equity is derived from value minus debt. Deposit is cash plus usable equity to 80% LVR. Every purchase is modelled as a YAM (a house with a second dwelling on one title, built as a YAM project or bought as an existing YAM) held in its own entity, with its rent servicing its own loan, so the sketch treats the deposit as the limit on each move and does not test your personal borrowing capacity against it. Where the deposit pool cannot fund a YAM, the first move is a foundational asset instead: an established house at 80% LVR sized to the pool, or, for a renter, a first home at 95% LVR with first home buyer costs, kept as the home. The YAMs follow once it has built equity, and on those paths a later move may be a house where a YAM would not pass the lending ceilings on that income. First home buyer scheme caps and duty thresholds vary by state and change; those figures are illustrative. Lenders differ on this; confirm it with your broker. The home loan is treated as sitting against salary. None of this is a borrowing capacity assessment. The path works backwards from the goal. A purchase is added as early as the deposit allows. On an ambitious plan (a horizon of ten years or less, or a goal needing four or more purchases) up to two can sit in one year when the pool covers both; otherwise one a year, the first two a year apart. After that there is a gap before the next purchase year that grows with your horizon (about two years on ten, three on fifteen, four on twenty). A purchase is added only while holding what you have from that point would still fall short of the goal by your horizon. Where holding alone would get there, a purchase is added only when it brings the arrival year forward by two years or more. Up to six purchases, none in the last six years. If the goal is not reached by the horizon you asked for, the sketch pushes the horizon out in five-year steps, to thirty years at most, and says so. Purchases that buying power cannot fund today are still drawn, and marked as beyond today's capacity; they depend on structure, equity or income moving first. The first move is always drawn in the first year, with any deposit gap stated. No purchases in the last six years. A YAM is modelled as one purchase of about $1.35m to $1.5m today, as a project built to completion or as an existing YAM. The price is the finished asset; no revaluation uplift is assumed. New purchases are modelled at 80% LVR, interest-only, with 7% growth on property, 3% growth in income and 8% to 20% of income saved depending on the income band. No purchase is added if it would take total debt above 70% of total property value, so the sketch will tell you a goal takes longer rather than show you a book no lender would write. Rental income shown is net of an allowance of 22% of gross rent for management, insurance, rates, land tax, maintenance and vacancy; your actual costs will differ. Each property is assumed to be held in its own entity and assessed on its own rent, which is a lending structure question to confirm with your broker, and the margin between rent and interest on a new purchase is thin, so a rate rise can turn it negative. From the year after the goal is first in reach, and at the latest two years before your horizon, the sketch sells investments, about one a year, to clear every loan, home included. Every sale deducts selling costs of 2.5% and capital gains tax at 30% of the gain: for properties you already own, the gain from today's value; for new purchases, the gain over price plus costs. The goal, the arrival year and the black line all measure what the sell-down would leave outside your home: every investment sold, those deductions and every loan including the home loan cleared. Income tax and land tax are not modelled. The 5.5% net figure used to convert income to a net asset base is an illustration, not a forecast of yield. The home is kept; the dashed line adds its value on top. Once the home loan is clear, the sketch buys one yielding asset at 5.5% net, sized to the whole sell-down and carrying a loan for the part not yet sold, then pays that loan down with each later sale. What that asset is, and whether it suits you, is not decided here. The income panel shows rent less interest on every loan each year, floored at zero, and does not include tax or costs. A home does not pay an income. Past results are not a guide to future results. Henderson Advocacy is a property buyers agency. Confirm any structure, tax or lending decision with your own accountant, solicitor and broker before you act.