Forget the Real Estate BUZZ, step back and observe and, Don't Impulse Buy
When the buzz around town is that everyone is buying an investment property because it's the "in thing" to be doing right now, take a step back and analyze what is going on. Don't be caught up in the excitement of the buzz and buy something just to "keep up with the Jones's".
While everyone is racing around trying to snap up the 'bargains' keep your powder dry, do your research and keep your mouth shut and your ears and eyes open.
Like all good "bargains" they tend to make people get carried away on the tide. Just like a clearing sale, everyone tries to outbid everyone else because they want that particular item, not because they really need it but because everyone else wants it!
Many a clearing sale has seen people go home with the largest amount of junk you could ever imagine.
Buying real estate can be the same. Choose your property carefully and select those properties that best suit your needs and will achieve the results that you want.
Don't just buy what everyone else is buying - it may not suit the result that you hope to achieve. Plan your strategy and stick to it, no matter how much others tell you that its wrong.
SOME RULES FOR INVESTING
The rules for investing are not exotic formulas for rocket science.
1. Pay Attention to What You Know
You know what you like and find useful, and you know what your friends are using. Watch the stocks of companies that you like and know something about. Or keep track of the real estate cycles in the particular area that you want to invest in. When you are ready to invest, you will find that you are investing in something less alien that it had earlier seemed.
2. Invest for Long-Term Growth and ignore "hot tips"
This is not the racetrack! Don't get dazzled by the latest fad just because its in the news and popular. Try to identify areas that are good value with long-term visions and steady (sometimes less flashy) growth.
3. Learn about the property market
Buying real estate is like buying anything else. If you don't do your Homework you deserve to get bitten. Doing research on your investments can actually be fun and has a better payoff than following the usual gossip about what Dick down the road bought. Like anything else, the more information you gather, the better off you are. It is probably not enough just to surf the web for information. It is essential to talk to people who know something about property investment. Study trends and growth patterns and maybe trust a little to your intuition.
4. Watch what happens for while
Like that incredibly attractive character who lives nearby, not everything is as good as it looks. It doesn't't hurt to take your time watching what happens in the property market. Once you have some practice reading about real estate trends and watching for the 'ripple effect' you will have confidence in your own judgment.
5. Buy
There are a lot of ways to invest. You can buy through a marketer and pay way over the tote odds for it, through a real estate agent, privately or you can join an investment group and buy as part of a group. Whichever way you go you have to feel confident and comfortable with your decision.
6. Build a Portfolio
This is a collection of properties that are working hard for your financial future! There is no magic age to start investing. But earlier is better, and today is not too soon. Wealth dozen't buy happiness but it does offer options, and exercising your intellect and creativity to invest in your future is a secret not to be missed. Whatever you invest in is personal. What works for you may not work for someone else. To invest is to choose the right combination to put your money into so that it will grow in a way that suits you.
Investments are as individual as the independent people who make them. The key is that they watch their money and feel responsible for turning it into more money that they can use to make their dreams and the dreams of others come true.
Some food for thought
Whether you are poor or privileged, with a job or without, unless you are in charge of your economic destiny, you are not and cannot be, an independent person.
The only promise that you will fulfill is to be dependent on someone else for your economic security.
"Money for its own sake, or as something you just accumulate and count, is pretty boring. But money as a fertilizer of ideas, possibility and growth is as exciting as water in the desert. I pay attention to it because it's a great vehicle for giving me choices and the chance to do things that make a difference."
FIVE STEPS TO MONEY POWER
1. Build a Stash
2. Create a Vision
3. Establish what you are worth
4. Learn the Language of Money
5. Create Income
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