Canna Campbell

There's going to be tweaks and changes to the overall strategy to get them to where they want to be.

And it's going to force people to really look at their goals here.

And a lot of people are going to have to adjust their goals to perhaps being now more passive income driven.

It's a very fluid situation, and the banks seem to be bouncing around with their rates, with their rules and regulations that they have to adhere to.

I mean, it's quite complicated.

It's quite political and economic, so I won't go into too much detail.

But it's definitely going to be harder to get these types of loans.

But it's really going to boil down to the rate that you're able to secure.

And what is best for your cash flow situation?

And there are going to be people who are in a situation where actually having interest only does still work for them.

You know, you can still have an interest only loan and still have a cash flow positive property.

Yeah.

So, do you want me to show it?

Well, say, for example, I have this million-dollar investment property and say I have a $400,000 loan on that.

I'm earning $50,000 a year in rent from that million-dollar property, but I've only got a $400,000 loan.

So obviously the interest rate on that $400,000 loan is most likely going to be less than what I'm receiving in rent.

So therefore it's still cash flow positive.

And this is why the banks will look at it as they do.

Case by case.

What is the situation behind this?