Inspirational or depressing??

Hi All,

Just been reading the thread about the story on Today Tonight featuring Geoff and Michael (http://66.111.38.199/forums/showthread.php?s=&threadid=9791) and some of the comments. I find it interesting how some people use these stories as an inspiration, while others are annoyed/depressed because they feel they can never achieve what others have done (I'm not referring to anyone specific in that thread, but just in general).

I find I can go wither ways. For example, today I am really annoyed and frustrated by such stories. I've had a busy week at work, and for the last few months I've been looking for an investment property (which would be my first) - I thought I found one the other day but it sold after being on the market for about 2 hours, and I was stuck in a meeting and couldn't call the agent. Anyway, after that sort of experience I feel like saying "stuff you all, I've wasted enough time trying to invest in property". But I know that on the week-end, after I wind down from work, I'll change my view again, remembering my long term goals, and I'll look to others for ideas and inspiration.

Anyway, got that off my chest. Anyone else feel like that sometimes?

John.
 
Geoff,

Now you are a mega star and media personality I hope you will still have time for us little people.

Simon
 
Hi JohnnyB,

I can completely understand and relate to where you're coming from, and I go through those stages all the time!

Everytime I see a temporary fence go around a fantastic site, or I see an article about someone buying something for a great price, or I hear that someone's about to embark on a project that I had the same idea for - It drives me insane!

I start whinging and complaining and getting so frustrated - and I think to myself "how the hell am I supposed to get anywhere or do anything, when every other tom, dick and harry is getting there first, they're taking all the opportunities!"

But then I get over it.

I love that feeling of being frustrated, it only make me become more determined, more creative, more focused, more driven, and more ambitious.

Embrace your frustration!
 
JoannaK,

Glad I'm not the only one. I wonder if we ever get to the point where we feel we've made it (whatever that point may be), if those feelings of frustration would go away? Maybe it's just a symptom of my impatience to get started, and to catch up on all those years that I've wasted not knowing (or not wanting to know) about investing.

John.
 
Hi JohnnyB,

you hit the nail on the head, it is impatience.

Have you heard the saying "when you know better, you do better"? Don't try and play catch up because you didn't know any better before - you'll only rush in and probably make mistakes.

When you start developing your strategies and getting into your own rythm of doing things your feeling of impatience will go away.
 
Just my thinking is it all depends on what you think is possible.

Lets say you have a interest in IP like me:

Info You read that someone make there first IP purchase.
Me I think thats good for them, I am glad I made my first steps years ago. I am both confirmed in my choice of investment and happy to see that another person is taking action that in time should be a great investement.

Info I read that someone like Brenda Irwin has purchased 20 IP's.
Me I think wow thats good, what actions did she take to find them, how did she finance it, is she happy with the tenants and property management ?. I believe what Brenda has done is true and I believe that what she has done is possible for me...this is inspirational.

Info I read that someone like Micheal Croft has 500 properties.
Me Its just like reading that the CEO of GE gets $100M/year salary, it is just totally outside of my consideration. I dont think it is possible for me. 500 properties, I have taken 18 Months just to take action to get 2 more! Because I believe what Michael Croft has done is true and I believe that what Michael Croft has done is not possible for me, then I feel jealous or depressed not inspired!

We must work towards treating events as events, info is info and understand that our emotional response to events and information is up to us, we choose our response. This is the most difficult concept to deal with as an adult.

So my advise is to believe that another deal is out there even better for you, if we believe in the sowing and reaping idealogy, we must pay the price up front before we can enjoy the benefits. An apply farmer must first clear the land, plant the little apple trees, take care of them for many years before he can enjoy the apples (and the money he gets from selling the apples). If we believe we must first "sow" then you could say to yourself "this is the price I must pay to enjoy the benefits in the future, if I dont pay the price now by way of hard work and frustration etc then my future will be that of poverty and even greater frustration". Frustration now or even more frustration latter, hard work now or even harder work latter eg. do you want to be force to work for peanuts when you are 70!

As an aside maybe a REA can explain the fully to us, but a house is on the market for 2 hours!!! only 2 hours before it is sold! If I was the owner I would be saying if someone purchased it so quickly then it was too cheap, the asking price was too low! Shouldn't a REA be working a little harder for their clients?
 
Originally posted by geoffw
Depressing for you?

You should see the flak I';m copping at work today!

So when's the book coming out?

Should we call you the next Paul Clitheroe?

Cheers,

Aceyducey

PS: Next time we catch up I want your autograph!

:D
 
Originally posted by always_learning
Info I read that someone like Micheal Croft has 500 properties.
Me Its just like reading that the CEO of GE gets $100M/year salary, it is just totally outside of my consideration. I dont think it is possible for me. 500 properties, I have taken 18 Months just to take action to get 2 more! Because I believe what Michael Croft has done is true and I believe that what Michael Croft has done is not possible for me, then I feel jealous or depressed not inspired!

Just read Alway's post and wanted to comment :)

Personally I feel motivated by the fact that MC has done so well.

I love hearing about others' success.

I do not compare their situation with my situation, I compare their goals with my goals.

If MC can achieve this, so can I!

Remember, where you are is less important than where you intend to go - this is shown by every rags-to-riches story....and every riches-to-rags story.

Most people set goals much lower than they could achieve. Seeing a higher goal achieved by another person is a great motivation to raise my own eyes higher!

Cheer,

Aceyducey
 
Acey,
The book is already out. I don’t have it with me to provide ISBN, but if somebody needs it I post it today in the evening. Great reading by the way! I’ll definitely re-read it tonight to see if Michael is in the stories. Boy oh boy ! Isn’t it great ! I am in slight state of disbelieve right now…

I think, I know exactly what Always_L feels. I agree Acey this is inspirational, but I guess what Always_L trying to say is when something extraordinary inspirational like 500 IP surfaces – it is just beyond the most wildest dreams and I am sitting and just scratching my head…. All I need is the answer – HOW ?!!!

Cheers,

Mikhail (still scratching...)
 
My point is that lets say I read something about Bill Gates, I find it hard to be inspired by his story, build a company from nothing into billions billions, become the richest man in the world bla bla bla.

I dont hate Gates or anything, it just is beyond my possible expectations of myself. My mother is 73, I think she has given up being the next world heavy weight champion of the world!

This is why I say Brenda's story is excellent motivation even Jakk's story is motivational.


If you are a billionaire then you may want to listen to Bill gates or those guys worth 10's of billions would be inspirational.

If you are a multimillionaire then you want to listen to a talk of a regular billionaire would be inspirational.

If you are a worth a couple of hundred thousand then listening to a person worth a couple of milllion is inspirational.

If you are in consumer debt to your eye teeth then maybe a talk from someone who got out and is now free of all debt would be inspirational.


If/when Micheal Croft gives another seminar and I can make it then naturally I will still go and listen and learn.
 
Originally posted by johnnyb
I find it interesting how some people use these stories as an inspiration, while others are annoyed/depressed because they feel they can never achieve what others have done (I'm not referring to anyone specific in that thread, but just in general).
John,

My apology for the short response intially. I'm in a better position to respond properly now.

For them to call me a "property millionaire" is quite an exaggeration. If I sold up everything, I'd have about $500K now.

But I am happy with what I've been able to do in a few years.

1. I bought my first IP in 1997 (DHA), never expecting to buy another. A plodder.
2. Went to Peter Spann seminar. Got turned onto property.
3. Second IP, a unit in Brisbane. A plodder, but (just) paying for itself.
4. As a result of an investment (from 1997) in tea trees, I found myself owing ATO $53K- with the prospect of two more years' investments in other projects costing me similar amount. Borrowed against PPOR to help- also pulled kids out of private schools, stopped all sorts of expenditure anything much above survival level.
5. 2002. Surprised to find that the DHA property & ppor had given me a little equity. Bought a property in inner north CBR- 3 cottages. Fair cashflow(9%) and good growth prospects.
6. ATO settlement. Still had to pay another $6K- but no more prospect of another $100K to pay.
7. More growth on the plodder & PPOR. Enough to buy flock of bats in Queanbeyan. Cashflow prospects only (9%, but after there had been some rises in the market).
8. Today, no more growth on the plodder or Brisbane. A little on PPOR. But the inner north prop is worth $375K (bought $275K). The flock has increased 25% after 8 months- conservatively. By building carports ($10K) and strata titles ($10K) the value would increase $100K.

Bottom line.

I've survived some bad stuff.

I've got a few properties.

I'm just an ordinary person.

And it's taken a while. It takes patience. It's a "get rich slow" scheme.



So PLEASE, don't take anything other people say to make you depressed.

But property is a game of patience- a very long term game.

Hang in, and stick with it.
 
Hi,

John, I apologise for the feelings that I seem to generate in you and others, I am what I am. One very important thing I realised somewhere along the way is that my feelings are just that, mine. Since they are mine, I and I alone have control over them. One of the big things in personal development is to take control of one's self and be response-able for one's life. No one can make you feel anything without your consent - not even pain (read 'man's search for meaning' if interested).

Do I still feel all of the emotions that are common to us all? Yes absolutely, and I find I am getting better at catching myself and correcting that which needs correction. It is the difference between reacting and responding. I used to just to react (little self control), I still have an internal reaction to external stimuli but now catch myself and respond more appropriately. As time goes on and with practise my ability to respond (appropriately) is getting faster, even when the hot buttons are pushed :D not always though ;)

Anyway for those that are interested I am going away skiing with the family soon and will be working on a resonably priced seminar on how it is achievable and duplicatable. To be fair it's not rocket science, do some numbers and you will find that properly applied wealth compounds and property aquisition can accelerate if done right. Like Geoff I am an ordinary guy who has learnt a few things along the way. I have my biological limits as we all do, and our one common denominator is that we all have exactly the same amount of time in the day. What we do with our time makes all the difference.

Can't be done?

Imagine for a minute that a person has $5m worth of property in their control and that this appreciates at 5% per annum on average, this is doable right (if you don't think so do the numbers on $2m)? Do you stop there? Some will and others will realise that this $250,000 worth of equity they are gaining on average can be put to better use than lifestyle choices.

So after 2 years with $500,000 worth of extra equity what would you do? Remembering that this hypothetical person has the learning and experience under their belt. They don't look at property in the same way as a newbie, they can't help but see the 'good' buys and automatically (intuitively) reject those that don't stack up. This person also has his/her finance supply lines well and truely sorted. Do you think this person can then turn the $500,000 of equity into another $5m of income producing property that appreciates at 5% per annum on average?

So where is this hypothetical person after the purchases? S/he controls $10m of income producing property that is appreciating at 5% and that is $0.5m of equity per annum to play with! Can't be done you say? Well I regret to inform you it is being done by many people I am proud to call friends. GeoffW is one who is well on the way and is happy to bare all (so to speak).

Anyway Jan's books lay it all out very clearly and the key to it all is compounding and leverage. Take Geoff's example, if he does absolutely nothing for ten years and at 5% growth he will have about 1.2m of equity to play with and this is a cashflow positive portfolio. Of course he is not going to sit still so it will be interesting to watch as his portfolio grows with more astute purchases which in turn will appreciate etc. etc.

As Geoff correctly points out property is normally a slow moving target where there is plenty of time to do due diligence. Yes it's hot at the moment and to quote the classics 'this too shall pass'.

regards, MC
 
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Can't help commenting
There are sooo many helpful threads, comments, and posters on this forum, the more experienced of you may forget from time to time, how much you know. I can not speak for anyone else, but
IMHO, this forum and its contributors, are fantastic!
The sad part is I cannot list my version of the best contributors, the list would be too long.
I can say that it is great to even be on the same scene as the current media personalities, :eek:
As for this post, JohnyB, I sort of know what you are saying, but Always L seems to be spot on, and totally agree with other posters
Michael Croft, geoffw, am I allowed to say bloody well done! on this forum.:D
 
Hi GW

Will your Tea Trees ever show a profit or will they just provide perching for the flock of bats?

A read of a few similar schemes left me with a feeling that the tax deductions available were considered more important than making a profit at the end :confused:

Personaly I would feel more confident of a return on investment by throwing darts at the stock exchange daily trades and property section in the newspaper and buying that way, rather than trying to pick the price of Sandlewood in 15 years time.

bundy
 
Originally posted by bundy1964
Will your Tea Trees ever show a profit or will they just provide perching for the flock of bats?

A read of a few similar schemes left me with a feeling that the tax deductions available were considered more important than making a profit at the end :confused:

Personaly I would feel more confident of a return on investment by throwing darts at the stock exchange daily trades and property section in the newspaper and buying that way, rather than trying to pick the price of Sandlewood in 15 years time.

bundy
Bundy,

I knew nothing about investment at that time. I went to a financial advisor, and was told of this wonderful way of investing with little money down. I was sceptical, and asked my accountant (at the time)- he also told me it was all kosher and good.

That was some years ago. I have learnt from that- but I still suffer some of the consequences.

like people telling me things like
Personaly I would feel more confident of a return on investment by throwing darts at the stock exchange daily trades and property section in the newspaper and buying that way, rather than trying to pick the price of Sandlewood in 15 years time
:D :D :D :D :D

I was hurt bigtime. But I did learn a better way. And I've done much better as a result of learning- from the forum, from books, and from seminars.
 
Originally posted by Michael Croft
So where is this hypothetical person after the purchases? S/he controls $10m of income producing property that is appreciating at 5% and that is $1m of equity per annum to play with! Can't be done you say? Well I regret to inform you it is being done by many people I am proud to call friends. GeoffW is one who is well on the way and is happy to bare all (so to speak).

Anyway Jan's books lay it all out very clearly and the key to it all is compounding and leverage. Take Geoff's example, if he does absolutely nothing for ten years and at 5% growth he will have about 1.2m of equity to play with and this is a cashflow positive portfolio. Of course he is not going to sit still so it will be interesting to watch as his portfolio grows with more astute purchases which in turn will appreciate etc. etc.

As Geoff correctly points out property is normally a slow moving target where there is plenty of time to do due diligence. Yes it's hot at the moment and to quote the classics 'this too shall pass'.

regards, MC
At the risk of sounding like "I'll scratch your back"- I'm sure that many people who know Michael- or, at minimum, have been to one of his seminars, or who have talked to him about real estate in any other capacity, will realise how much that he is willing to share about so many things- and about how much value his information is. He has always been extremely generous in offering information and advice. Colleagues who have been to his "intro" evenings regard his advice as the only real value seminar information available.

I too am happy to count Michael as a friend- and flattered by his comments about me.

But, I am just someone who has been woken up, and who has found some ways of possibly getting out of the rat race.

And someone who has already made a huge number of mistakes along the way.

Thanbk you Michael for advice, support, and encouragement.
 
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