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15 Ways to Retire Early Through Property Divestment

February 16, 2017

There are a variety of ways to build your retirement funds to enjoy excess financing or to receive extra care.  If you have property, then you can look at different options for early retirement, specifically by using assets for your financial needs.  Following are 15 ways to retire early through property divestment.  

 

1. Property for Passive Income.  You can own a home and rent it to other tenants for the home.  In the beginning, this may be used to pay off the loan; however, by the time you are ready to retire, it will bring a positive cash flow.  

 

2. Leverage Equity.  If you don’t have a large amount of assets for rent, then you can consider using your current property to take out a loan for new properties.  You can use this with rental income while paying back mortgage expenses and maintaining the property.  

 

3. Capital Gains.  One of the 15 ways to retire early through property divestment is to hold property to gain equity on the property.  After retirement, you can change this to a reverse mortgage, allowing you to lend back the money that is currently an asset.  

 

4. Buy to Sell.  Many will buy a home that requires a lot of work, then turn around to sell their property.  The renovation of the property will increase the value in which you can make a profit once the home is ready to sell to a buyer.  

 

5. Vendor Financing.  You can sell your home for a loan, as opposed to cash for your home.  This allows you to pay out early to gain money back for your retirement.  

 

6. Invest in Commerce.  A top recommendation for the 15 ways to retire early through property divestment is with commerce.  Any commercial property is expected to have higher value and 30% return, allowing you to sell the property for a greater return.  

 

7. Be Super.  Anyone who is getting ready to retire may have access to SMSF, or self managed super funds.  You can invest in these, borrow them back and grow a portfolio of properties that are sold quickly.  

 

8. Hold Your Property.  Many believe that the fastest way to gain money for retirement through a home is to sell.  However, when you hold a property, it will inflate to higher numbers, specifically when the market value is going up.  After a specific amount of time, you can leverage your equity with the property to gain more income.  

 

9. Leverage Your Property.  The more you leverage your property, the more you can buy.  One of the 15 ways to retire early through property divestment is to buy more with a lower investment, then leverage this for a quicker return from the market.  

 

10. Use Property As An Asset.  You can look at alternatives to buy property similar to buying shares.  This allows you to have a flat fee with the property, then to use this as an investemnt that you later on sell.  

 

11. Divide and Sell.  One of the 15 ways to retire early through property divestment is to divide your land or home.  You can divide your property into several blocks and sell segments for cash gain while maintaining the rest of the product.  

 

12. Build Your Way to Retirement.  If you develop a property or piece of land, then you will easily be able to turn the lot to a fast sale.  Finding areas which are expected to increase in value and grow in popularity allows you to build equity with the development.  

 

13. Holding for Market Gain.  The market continuously fluctuates with property.  If you wait until it goes up and grows in the market, then you can strategically plan for a sell.  Buying when property is lower and selling when it is higher allows you to have capital gain for your retirement.  

 

14. Buy in Segments.  If there is someone who owns a whole block, then you can consider buying one unit or strata title of the block.  This allows you to own a small amount while getting a larger return from the block.  

 

15. Share With Others.  The last of the 15 ways to retire early through property divestment is to share with others with the occupancy.  If you have a larger home, then you can rent a segment of it for capital gain.  This allows you to spend the same amount on the property while receiving return from rent.  

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