Step-by-step: What happens at the end of the Golden Goose?
When you’re ready to transition to the 2nd phase of the Golden Goose, you don’t sell everything in a fire sale.
At this point, you might own 3-6 properties that have gradually increased in value. But these properties might not pay you much of an income. So you need to rebuild your portfolio for rental yield.
Step 1: Plan a 3–5 year transition window
You generally don’t want to sell all your properties at once in one hit.
It's not like you say: “It’s my 65th birthday, time to sell everything.” For most people, it’s a process that starts years before the retirement date and plays out gradually.
That gives you time to:
- sell in stages (so you’re not forced to sell in a bad market),
- plan the timing around any tax that needs to be paid,
- set up the investment portfolio as you gradually sell the properties.
Typically, we suggest that investors plan to sell down their portfolios over a 5-year period.
In my experience, the way you transition is case-by-case. Because it depends on the market. If you planned to sell, but house prices are down, you might hold off for an extra year or two.
Step 2: Sell your growth properties
Up until now, your portfolio has focused mostly on growth properties.
These are assets that grow in value over time, even if the cash flow isn’t amazing right now.
This is where your equity is sitting.
Now, you change tack and progressively sell the properties whose main “job” was capital growth.
Step 3: Reinvest into yield properties
Now, you buy properties designed to do the opposite job: put more money in your pocket each week, even if they don’t grow as fast in value.
These are high-yield investments. Often multi-income properties like:
- a dual-key apartment, or
- a room-by-room rental.
At this stage, many investors aim for something like:
- 6% gross yield, and
- 4% net yield (after rates, insurance, maintenance allowances, and property management – but before tax).
This is the “Golden Goose moment”: you’re converting a pile of equity into an income stream. The aim is to own these properties with little to no mortgage.
Because big mortgages suck up a large part of the rental income. And at this point, you want the rent going to you (not the bank).
Step 4: Live off the rent
At this stage, most investors hand the running of their properties to a property manager. That way, they can focus on the freedom and choices they want.
(Not everyone wants to stay a landlord in retirement).
And that’s whatever that looks like to you: travel, time with your family, or just sleeping in on a Tuesday.
