Discussion in 'Coffee Lounge' started by beachy, 2nd Jun, 2015.
25 is hardly young, girly and immature? the PM sounds ok too. Plenty of options!
Yeah...and it's not like the op has to marry them...
If that's net assets at your age I'd describe you as well off, doing well for yourself or similar, but not rich or loaded.
To be honest, if my PM said something like that to me I would leave, that is so unprofessional !
She will have that attitude in mind when she talks to tenants and tradies
"Oh, you need a week to pay your rent, that is OK, ( the owner is rich)"
"The handyman says $200 for an hours work, she says OK, (the owner is rich)"
No way would I stay with her as PM
This sort of sums it up for me. Your wealth, real perceived or otherwise is irrelevant to the equation. The Germans have a saying that translates roughly to : Whoever has the gold doesn't talk about it- but I think it is also applicable to your contractors too.
I don't see why people should have to justify their successes- earned over the years whilst everyone else was too busy facebooking and watching TV.
I think you have identified a clear difference in the mindset of a serious investor and the average joe.
They only see one side of the balance sheet and make a quick assumption about your wealth. Quite a few people here including myself use a strategy of using the equity we have and spreading it as thinly as possible across as many quality properties as we can. This means lots of assets on the balance sheet but it is all relevant to the possibly 95% of liabilities on the other side of the balance sheet. It is a long term play, with the aim of possibly being 'loaded' in the future.
Dont bother trying to explain it to them, they wont understand it.
It's only the start of change,one day you go from the liked too the un-liked very quickly,or as a old Greek builder used to tell me about money and he owned over 20 houses multi level walk-ups in west end Brisbane,those the need to know -know,the rest don't need to know anything,at 38 you have done very well..
yeh i get the same thing from my mates etc...i say im not rich, just willing to go into debt and that they could do exactly the same if they wanted
As others have said - true friends don't care and don't comment.
Personally I just sat at the computer and paid $2,000+ in rates bills and $1,500 in body corporate fees ... gone in less than 10 minutes. I am sure you "commenting" friends and PM don't acknowledge that side of the equation.
Hubby and I are also considered well off (or rich by some) - but then I am searching my mind to think about the last holiday we actually went away together (asides from visiting relatives) ... I think it was Gold Coast 4 years ago ... the last overseas holiday we had (which wasn't visiting rele's in NZ) was 14 years ago to Europe and that was because hubby was going for work, so I rode on his coat tails. We prefer to stay home and increase our wealth thru value adding.
Most people don't see the 7 days work we put in - this week hubby is finishing his 8-10 hour day job and then stopping to plaster and sand a rental reno on the way home ... I'm spending every spare minute (when not on here) hand weeding the half acre organic garlic ... last guesstimate by the time I finish will be 35 hours in total.
Those who are true friends never discuss money - and I know a few of mine are way better off than I am, but I also know the sacrifices they have made to get there. It's just not an issue for any of us.
I guess I'm saying - you need to start expanding your friends because, before long, the green eyed monster will get in the way.
As for the PM - my usual reply to someone making a comment like that is "yeah - you should see my mortgage payments each month!"
This + 100
The less people know your business, the better.
I keep a low profile in regards to any property investing because sorry to say people get jealous and have funny perceptions about investors. I recall an incident with my old boss and former workplace, where I was reading an API magazine in the lunchroom one day during my break and she said to me "Am I paying you that much to invest in properties?".
As far as my work colleagues and friends are concerned, I am a struggling, pie eating and penny pinching fellow that is trying to keep my head above water, which I guess I am because I hate wasting money on unnecessary items.
If I was in your shoes I would just keep property discussions to absolute zero where required.
I'm guessing there is a consideration of looking for a partner, or the approach of "if it happens it happens".
Problem with everyone knowing/perceiving your level of wealth is that you don't know if those who are getting chummy with you are doing so because they like you or they like your money - and that is always going to be something at the back of your mind whether you like it or not.
If you got it, you show it off YO!
I dress like this to visit my peasent tenants for inspections. I only take the Range Rover though. The Lambo stays in the garage with my Ferrari. All purchased from positive cashflow.
Yeah sure and what happened to Slick rick?
Ensure that her view on your finances does not translate into high maintenance costs. Some PMs view ALL landlords as 'rich' and don't end up scrutinising quotes and invoices and this WILL cost you. Been there, done that myself.
Ideally you'd have a PM that has an IP herself then they 'get it'.
It's all about perception.
I remember when I started on my journey I was excited and shared a little bit of information with those who I thought would 'get it'. It wasn't until I went places with said people then was expected to foot the bill did I realise that they didn't get it. I would bet that these people had a lot more disposable income than what I did too.
This is my view:
In a perfect world:
- People who earned it should have the right to talk about it, nay, gloat about it
- People who were given it (inheritance, rich parents) should show humility
In the real world:
- Everyone needs to act poor. Sigh.
I don't think I will ever see myself as "rich" either. I have spent time with "rich" people and they certainly have a different attitude to life. It's not one I aspire to have. Having money and being "rich" are two very different things.
I agree. There's a difference between adopting a "materially wealthy" lifestyle and being wealthy in terms of net assets/worth.
There's one thing the book,"The Millionaire Next Door" taught me is that wealthy (high net worth) folks very rarely exhibit the spending habits that we see on TV. In fact, it tends to be the reverse. Frugality, living below your means and investing wisely is the key to generating wealth. Unfortunately, in our modern society that has become accustomed to high consumerism and instant gratification, the idea of accumulating wealth slowly has very little appeal to the young and the mass media.
That's why I never talk to anyone, especially not friends, about my financial situation. I could go broke tomorrow and win the lotto the next week, and they wouldn't know any different. As far as they're concerned, I'm as rich (or as poor) as the person I'm talking to.
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