How NOT To Be One of the 99% of Investors Who Fail in Property
According to the Australian Bureau of Statistics, 99 per cent of property investors in Australia fail. In this instance, the definition of failure is failing to buy three or more properties.
So, 99 per cent of Aussies fail to build a portfolio from which they can get enough passive income to live the life they’re dreaming of. Just one per cent make it and become successful property investors.
Positive Real Estate wants to change that. We want you to succeed. We want you to become a successful property investor with a booming portfolio.
Failure is easy. It takes very little effort to be bad at something. Success is something you have to work for, something that takes time and effort. But if you’re willing to put in the hard yards, we know you can succeed. We know because we’ve helped thousands of Australians buy property that’s yielded millions of dollars of income.
To understand how to succeed, we need to know why so many fail.
People fail because …
THEY DON’T ASK THE RIGHT QUESTIONS
In the case of property, you need to ask, why am I buying this? What do I want?
And if you think the answer to this question is as simple as wanting more money, that’s not good enough.
Drilling down to specifics is vital in property investment. Knowing exactly how much money you need (and we mean to the dollar!) to live the life you want – whether that be a shorter working week, giving up work entirely, or being able to have one more holiday a year – will enable you to get there that much quicker.
Decide what kind of life you want. Work out how much it costs. Then you will know how many properties you need, at what rent rates and capital growth, to get there.
THEY DON’T GET EDUCATED
One of the most important aspects to making money from, and being successful at property investment is understanding tax and how to minimise it.
If you’re buying (and potentially) selling property you’re liable to pay stamp duty, capital gains tax, land tax…
The list goes on and it can drain cash out of your pockets unless you know how to work the system in your favour and know what you can legally deduct, minimise and avoid altogether.
THEY DON’T HAVE AN INVESTMENT STRATEGY
Anyone with enough cash or credit can go out today and buy a property. But simply owning a property does not make a successful investor.
Before you make any property purchase you need to have a clear investment strategy and that includes:
- Knowing your numbers and making sure you have enough of a budget to afford the initial outlay.
- Having a buffer in place should anything unexpected change or happen to your own situation or your property.
- Researching location to make sure it is growing in popularity and liveability factors.
- Being realistic about the buy-and-hold element of investment – for example, have you accounted for the time it will take to allow your property to reach its full value potential?
All of these factors and more have to be planned for and considered if you want a strategy that’s going to work for you as an investor.
…THEY DON’T ASK THE EXPERTS FOR HELP
In Malcolm Gladwell’s 2008 book Outliers he says that it takes 10,000 hours of practice to become an expert at something.
Whether you agree with that or not, we believe that you don’t have to be an expert in tax law, location scouting, budgets, capital growth prediction or the economy to be a successful property investor.
But you do need to know who the experts are and ask them for help.
This is where our team of expert coaches and mentors can help you on your way to becoming one of the one per cent. The one per cent of Aussies who are successful property investors.
BECOME THE SUCCESS STORY YOU DESERVE TO BE
If you want the tools, education and support you need to become a successful property investor come to one of our free property investing seminars.
You’ll be equipped with the tools, resources and support to thrive, and not fall behind on your path to financial freedom – whatever that may look like for you.
Book your spot now and find out what you need to know about the current market landscape and how you can make it work for the ultimate wealth creation opportunities.
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