|
This would have to be
one of the most asked questions I get on a daily basis.
But do you know what it comes down to at the end of the day?
Can you comfortably do it or not?
Can you afford to invest in a property and does your Cashflow
allow it?
What are your long term goals and does this play a part in it?
If it does, then
just do it.
Forget about trying to determine the property cycle and where the
growth is, because by the time you have read or heard about it,
your too
late... the
growth has already been there.
Do you want to be a follower or a L-E-A-D-E-R.
This is one of the
points I cover with my clients on their six monthly reviews,
because a majority of the time when my clients call me and start
telling me how they can do another investment straight away
because the property they have isn't really costing them as much
as they thought.
I've seen people wait for the right time ti invest, but let me ask
you, when is it the right time?
|
 How many
times have you sat around a table with friends and said, "You
know, if I had purchased that property back then I would have
made a fortune today." |
I know you are
agreeing with me and laughing because its happened to you to
hasn't it.
I hear this from almost every client of mine in their six monthly
reviews.
They say to me, "Why didn't you force us to invest into two or
three properties instead of just one back then? We would have made
a fortune today!".
Can I ask you, "do you know what holds people back from Investing
into Property?"
 It's not the
money -
Let me explain why....If you put aside $80 (eg) a week for your
future, in 2-3 months I could almost guarantee you wouldn't even
notice it missing.
What people have a hard time getting over is the psychological
aspect of
debt, which
I attribute to a lack of education.
What is Good
And Bad Debt
Bad Debt-
Something that is loosing value every year. Eg- Car, Motor Bike,
Plazma TV, Sound System, Caravan etc.
Good Debt-
Something that is going up in value over time. Property, Shares,
Stocks, Super, etc.
If you knew the answer to every concern that comes up when
investing, wouldn't you agree that you would have nothing to worry
about?
Just like your first job, you wondered how this and that was done
and once you were shown, what did you say to yourself, "Oh is that
it?"
This is one of the reasons I help my clients all the way from the
start to finish when investing. They then get confident and start
doing it all themselves.
When people first start out they just think of the debt, but you
must understand, that we are so used to taking full responsibility
of our own home debt, we can't understand that people (The Tenant)
and the Government (Tax Dept) are actually going to help us
invest.
With an investment, you have the tenant paying for almost half of
the expenses and the tax man paying another portion of it and you
just contribute the smallest portion.
How do you think
people can purchase multiple properties?
If you go to the bank and ask for a loan to purchase a home they
will only give you so much money, but if you ask for an Investment
Loan they will give you a lot more money… why?
Because they know you're getting rental income and tax break from
the investment.
Please understand what I'm saying here, Property Investment is
good debt.
Buying a car, boat, motor bike etc is not building you wealth.
|
