One major worry for all Australians these days is retirement and to most that means the pension. After we pay our taxes and top up our super there really is bugger all left and it is really a matter of fending for yourself these days with regards to funding your retirement.

Investing in property is actually the perfect vehicle to protect your retirement but it can’t be left too late in life to start. The banks look at age before lending and the optimum time to start to set up your retirement is NOW.

A good strategy is to use a current property as equity, borrow against that property to purchase and investment property while you are working then use the rebated tax deductions to pay down the debt so by the time retirement comes around there is huge equity in the property from capital growth and due to the debt reduction the incoming rental return is not only high but increasing each year and becomes cash flow positive accessible income for lifestyle and living.

The perfect model is to purchase multiple investment properties over a 20 year window allowing for equity creation, debt reduction and rental yield increases so that 1 property can be sold every 5 years of your retirement to make sure your cash flow always outweigh your spending and this model makes retirement fun and exciting prospect. The best part is the tenant, and the government, have actually paid all the costs and created your wealth, you haven’t had to work extra hours in your already busy life to fund your retirement.