Following on from my post about people finding Excuses to not invest, one of the other big reasons why people struggle to get started in property investment is their lack of knowledge or confidence. As I mentioned in that post, one thing that sets successful investors apart from the rest is the motivation to take action. So how do you take action if you don’t know where to start?
The best thing you can do is to build a team of advisors around you that will help you on your journey.
So, who should you find for your property A-Team?
Following on from my previous post about rentvesting for the first home buyer, I am going to explore the strategy of how home upgraders could Rentvest their way into a better home.
Are you saving for your first home but have become priced out of the housing market?
If you rent in Sydney or Melbourne you might be thinking that you can never afford to purchase your own home. Prices in Australia’s biggest two cities have gone through the roof in the last few years and many first home buyers are struggling to get onto the property ladder. Until the market cools down and your wages or savings grow, Sydney and Melbourne could be out of reach for some time. So what option do you have to realise the great Australian dream of home ownership?
There’s an old expression that says ‘Cash is King’, but when it comes to property investing ‘Cash Flow is King’.
In my last post I mentioned how a positive Cash Flow can provide a passive income from a property portfolio. In this post I will explain why the consideration of Cash Flow is critical to your property investment journey.
In my last post I explained the primary reasons as to why you should consider buying investment properties. You can create long term wealth, set yourself up for financial freedom and take full responsibility for a self-funded retirement by creating a Passive Income.
In this post I am going to outline how a portfolio of properties could achieve this, but first lets reiterate what financial freedom is:
Financial freedom is achieved when your Passive Income is greater than all your expenses after tax.
Everyone has a different personal situation and future goals. You should work out what level of Passive Income you would like to achieve to meet your future goals. You might want a modest Passive Income that just supplements your regular income or you may aspire to replace your entire salary.
In my first few blog posts I wrote about three of the fundamentals of property investment – accessing your equity, leveraging your equity/savings, and compounding growth over the long term. All of this sounds great, but why would you consider using these principals and why should you invest in property?
The answer is simple – Investing in property can create long term wealth and building a portfolio of properties could help you achieve the ultimate goal of Financial Freedom.