Are You at Risk of Losing Millions?

by | Jun 4, 2021

Shocking Factors That Could Affect Your Investment Wealth

Predicting what could affect our investment wealth, and where the smart buying opportunities exist, is getting more complicated.

A 2020 news article suggested that Australian home owners could face millions of dollars in losses if their homes are affected by sea damage or coastal erosion due to the fact that most major insurance companies will not insure properties against environmental damage.

Considering that all major Australian cities are coastal, and most of the richest neighbourhoods are beachside, the growing threat of severe weather incidents due to global warming throws a serious spanner in the works when considering where to buy and invest.

If you’re a climate change sceptic, we’re not here to judge. But that position isn’t going to help you if the institutions you rely on to protect your assets won’t have a bar of your $3 million beachfront house.

While you can’t single-handedly stop climate change, you can gain a greater understanding of the other factors at play in what can affect your property investment wealth in both positive and negative ways.

INDUSTRY

Areas that are rich in industry is one good indicator that capital growth will happen. This is especially important to investigate if you’re looking at regional towns. While you may get more for your money than in a major city, will the area continue to thrive and survive? Does it have more than one industry that will attract jobs and people? While some regional towns are more like ghost towns now, others, such as Mudgee in NSW, are thriving. The tourism, mining, agriculture and wine industries that exist there are sustaining the region and allowing it to grow. Do your due diligence and make sure you know the region you’re buying into has a future.

INFRASTRUCTURE 

Infrastructure investment and development is another key influence in property investment wealth. If billions of dollars are being poured into local schools, transport and hospitals, the region will be supported by employment opportunities. The more people who come to work, the more homes will be in demand, and so the rent rates rise. 

LIVE, WORK, PLAY

One of the effects of COVID-19 has been an acceleration in the pre-existing shift of more people wanting to live, work and play within a 20-minute radius. Suburbs adjacent to CBD’s, with easy access to exciting social activities and green space, offer the renter or buyer much more than just a dwelling.  

The Third Space – the area close to your home that gives you a lifestyle you crave – is a significant factor on what will continue to grow investment wealth. Check out the walk score of a neighbourhood, investigate the health and well-being benefits of the community and find out if people are starting to see the area as a “place economy”. If people want to be seen and live there, property prices and rent rates will rise.

INSTITUTIONAL DUE DILLIGENCE 

Lastly and most importantly, make sure you fully understand your level of coverage and vulnerability risk.  

The institutions that support us as property investors by underwriting and protecting our assets are a vital part of our ongoing success and wealth creation. We need them on our side. 

Minimise your risks by doing your due diligence and making sure you can get the right protection for a property before you purchase it. 

 

SAFETY FIRST

Setting your property portfolio up for success from the get-go is a crucial factor of safe investing. With so much money on the line you need to ensure you have the knowledge and a strong strategy in place that supports your long term financial goals. 

To learn more about how you can do this, join our free property investing seminar and make sure you have the key fundamentals in place to achieve prosperity and wealth. Afterall, no one becomes an investor to stay stagnant or lose money. 

Limited spots are available. Book here now

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Leadership & Property Investing

Leadership & Property Investing

It’s time we had a conversation about leadership – real estate investor style. Some people are unwilling to run their own financial affairs. If you are listening to this show, that means you are a property investor or preparing to be. This means you have to be the leader of your financial life. This episode is dedicated to unpacking your primary question, what’s stopping you from being more self-led, and an unwelcome visit to the podcast from my hearth and home neighbour.

Oh yes – and it’s dedicated to three awesome listeners of the podcast! Alison, Sue and Peter – this one’s for you! No Lake Weirdo for you!

Banks vs. Non-Banks, Are They Safe?

Banks vs. Non-Banks, Are They Safe?

Here we go again, APRA is back with banks and non-banks and are they really safe? who and what are they? Come along and find out why Jason thinks it will be a better choice going forward for investors. Let’s Wealth Coffee Chat!

House Prices To Drop 12%!

House Prices To Drop 12%!

Why do we think that CBA is predicting this will happen? Come along and join Jason to take a deeper look into this. Let’s Wealth Coffee Chat!

From Mortgage Disaster to Financial Freedom with Helen & Ian Morse

From Mortgage Disaster to Financial Freedom with Helen & Ian Morse

This is a story of courage and bravery. Of how naivety can lead to expensive mistakes (see margin loans being called on) to having the grit and determination to see it through to the end. Helen and Ian Morse have ridden this very rollercoaster, and whilst there’s a lot of heartache in the story, it has a very happy ending, with the couple’s financial independence allowing them to travel the world for over 12 months – with more bucket list dreams to come.

Once you’ve listened to this episode, I’d love it if you hit the subscribe button so you get notified every time a new episode drops.

Your Burning Questions Answered (Part 2)

Your Burning Questions Answered (Part 2)

I failed you on the previous episode! I had so many questions from you that I didn’t answer on the previous ep! The last show was a failure because I didn’t get to nearly as many questions as I wanted. So we are doing a second Q+A show. Listen to hear the answers to the most pressing questions in the real estate space and my expert opinion.

How Property Investors Can Reduce Tax Down To Zero!

How Property Investors Can Reduce Tax Down To Zero!

Every smart property investor knows that to create and maintain a portfolio, we need to have good cash flow. One of the ways we can support this is by using depreciation and tax. But, just like equity, depreciation only works for us if we know how to access and then leverage it.

NEWS FLASH: Clearance Rates Dropping!

NEWS FLASH: Clearance Rates Dropping!

These news headlines are just getting better and better. Today we talk about the most recent headline which is are Clearance rates dropping and how will this affect us as property investors? Let’s Wealth Coffee Chat!

Retired by 50 with Sharen Carruthers

Retired by 50 with Sharen Carruthers

Sharen Carruthers had a goal to invest in real estate and be retired by 50. She achieved her life’s dream with two weeks to spare and then did as many retired people do. She travelled the world to all the places she wanted to. She gave her time to family and some business interests. And then … she got bored.

This exciting, inspiring and enlightening conversation with Sharen demonstrates that sometimes our goals and dreams are there to open up a new possibility of what’s next. It’s not always the achievement of a goal that is the magic. It’s the opportunity that the achievement. And Sharen shares all of that on this episode of Property Investor Tales. Enjoy!