Personal wealth has been and still is the pet of the popular media, be it TV, radio or news print. In Australia we even have a current or perhaps former financial planner, as a presenter on the most popular breakfast current affairs and news show. His advice is confusing at best, and in my opinion Benny Hill like in the main. He sits firmly on the fence about most investment issues and repeats the meaningless drivel from the major financial institutions when challenged on any property investment, home loan or mortgage issue. It is not his fault, he is just playing the cards the Network deals. The Network must keep it’s advertisers happy and fill in some of the boring moments. Gee I feel better now I have got that off my chest, so what about personal wealth though property investment or other means?
Well we have a camp that promotes the share market as the key medium for obtaining wealth and you have the property for wealth camp. In between you find the build your own business group who extol the virtues of hard work and single minded focus. I think they all have a place, as it is without doubt “horse’s for course’s.” Even though that is a terrible cliché, it describes the reality of human endeavour full stop, not just obtaining wealth.
My take on this subject is simple: deciding to become wealthy is a good thing, we should all be wealthy. Deciding how we become wealthy is the hard thing. It is hard, because most people are generally afraid to make mistakes. So they may decide they want to be wealthy, but they never decide on the how, though fear of failure. I say, it is hard to loose money on a conventional property investment if you plan to keep it for at least ten years, so stop being afraid. By conventional property investment I mean purchasing and renting out, either a residential or commercial property that has its own land land title. (Not a high rise apartment or similar)
So now you have stoped being afraid, I have to mention that I am not providing any formal financial advice here. I will not give you any guarantees other than doing something toward your goal of being wealthy is better than doing nothing. I am really just giving you the benefit of mine and many others experience, who have never lost on a property investment.
Now there are plenty of people and companies out there who will be willing to give you financial advice about property investing at a price! You will see them mentioned on the popular media and the internet. They offer riches in property if you follow their magic formula and pay them $3000 to $15000 for a seminar. Without doubt some of these course’s or programs or seminars have some value, but unless the promoter’s are willing to hold your hand though the process, you would be better off buying a book on the subject of wealth through property.
Keep it simple, treat the process as a business venture as well as an investment venture. Look for a property that you feel good about. Your gut feel is so important, as it will never let you down. If you make a bad or wrong decision at least it will be your decision, it is better than being manipulated for someone else’s gain. Don’t make a hasty decision, or be hurried by an agent. If you miss getting the property because you are undertaking some due diligence, so be it. There will be other opportunities. Visit the property several times, take digital photos of it inside and out and from all angles. Examine the property for faults that could be expensive to fix or areas that make it hard to rent. Knock on the doors of the neighbouring houses or commercial properties, ask about the property, ask about their property, as they might want to sell as well and you could have uncovered some development potential. Visit the council and find out what their plans for the area are? When you have satisfied yourself the property meets your gut feel, ask yourself one more question: Would I live in it or operate a business from it myself? If the answer is yes, make an offer subject to your choice of finance and call your mortgage broker and start on the road to wealth through property investment. You can repeat this process for every property purchase. Your mortgage broker will help you work out the finance going forward. Use them as a finance or mortgage coach. A good mortgage broker will have every resource you need to help you succeed including: what if? mortgage calculators and mortgage statement checkers.
There are a few programs and websites that I thing are worth a look, and you should also check out the Australian Tax Office website for details on the tax treatment of rental properties and other property investments. But, try my simple process, It has worked and continues to work for me and many others.
A common misconception is that you must be wealthy or a real estate expert to invest in real estate. The important thing is that anyone can somehow invest in real estate, even if they have little money in the first place. Emergency payday loan bad credit direct lender is a great way to diversify your investment portfolio.