I had built up to 16 properties. I found that number a lot to handle even with Property Managers. The debt was not that high and easily manageable but I was hands-on all the time, answering PMs questions about replacing this, that and the other.
Some of the properties had doubled in value in a very short time and I could see the writing on the wall for Cairns and knew that if I did not sell them then, I would have to wait some time for the right opportunity to come again.
I sold down to 7 properties in total, over a period of 3 years. Yes I had to pay CGT but I see that as a cost of business. I made sure I did renovations on some of the properties I was keeping, in the years I sold properties, to keep income down.
So I ended up with PPOR and 6 properties owned outright and a nice lump sum as back-up and play money. I made sure I kept the higher value properties, which I renovate, to keep the rents up.
I think the biggest decision I had to make was when to actually retire...I tried it 8 times and each time got offered higher and higher salaries to go back to work. Eventually work was interfering with my travelling, so I knew then it was time to finally retire for good.
While our health is good we need to make the most of our time. We have such little time on this earth when we can afford to do what we want, so I say, make the most of it!!!!
Chris