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Most conversations about property investing inevitably turn into a conversation about negative gearing and the wonders of said vehicle. The reality is, it’s but one strategy.

Sure, a negatively geared property does often result in a hefty tax return – and who doesn’t love a bag of money – but the reality is a property that is negatively geared requires surplus cash-flow to maintain. And not everyone is in that situation.

When we’re talking about investment strategies there are always alternatives. For example, a positively or neutrally geared property (or portfolio) is one where the holding costs (rates, insurance, maintenance and interest) bring you to break even. Or better.

If your disposable income is limited, negative gearing may be too much of a drain on your cash flow. A positively geared property, on the other hand, can be a thing of beauty: bringing you to a cash-flow positive situation.

Here’s the thing. If actually getting in the market is your goal, or balancing your portfolio with cash-flow positive properties paying for cash-flow negative properties is your goal, or you’re comfortable with your investment set-up and don’t wish to borrow against what you already have, then a positively geared property strategy may be right for you.

Achieving a positive or neutral position is about getting the right property for the right price. It’s also about getting good rental yields (with potential for growth), therefore leaving you with a modest mortgage and the capacity to fund the property holding costs from the rental income.

A positively or neutrally geared property is not the ‘right’ investment strategy for everyone, but it is one investment strategy. And depending on your circumstances, it’s one that may well be worth considering.

As always, do your research. And talk to experts. Investment strategies are simply plans and each person has their own particular needs and circumstances, which will influence what’s right for you.

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Hicks Real Estate is a Brisbane based, full-service real estate agency supporting buyers and sell as well as renters and property investors. With almost 20 years experience in the local market, we are the real estate experts you can rely upon.