What's the funniest/worst excuse you've heard for NOT investing from people?

[Aceyducey]

There's so many reasons people give for not investing.

Have you ever heard any from someone that made you laugh (inside) or struck you as totally ridiculous or very sad. If so, what are was it?

For me the funniest has always been 'I don't know anything about it [the type of asset]'.

Knowledge is one thing all of us have to gain through effort, no-one starts out with it

Cheers,

Aceyducey

 

[Monopoly]

"I don't want to be tied down financially"

Fair call, but from a couple who had 6 children and one on the way!!!!

 

[geoffw]

"I don't have enough money to invest".

From someone who has enough to dine out very regularly, go to the movies with the kids twice per week, and who has just bought an IPod.

 

[always_learning]

But I could lose the pension

 

[Lplate]

Assertion by a spouse: 'Everything must be in joint names'.

 

[quiggles]

My spouse is too high maintenance for me to be able to afford investments too.

And yes, the pension one as well. The embroidered version was "Do you know how much WORK I've put into getting every benefit I can from the pension - and unlike you, I pay no tax!"

 

[Beach Bum]

"After kids clothes, school fees, holidays and eating out we really can't afford our house repayments. I'm not going to change my lifestyle just to make the repayments"
Conversation overheard between 2 women in a shop in the early 90's. No wonder houses were cheap.

In the early 90's I explained neg gearing to a friend of a relative who was single and earning 70k yr (she loved top brag about that, and the clothes, and the jewelery, and the car, and the funky apartment etc), I explaind how she maybe could make 1 million in >10 yrs with about $50 per week (houses were then 200-250k, now 350-400k), she then barked back:

"How the hell can I afford $50 a week? I don't make enough as it is! Infact if my rent goes up I'll have to ask for an increase......"
"The relative than said, she's right, how can you make money if the property is losing money? what's the point of buying a losing IP?"

I just shook my head in disbelief, never to raise that topic again.

 

[willair]

i have a friend,lost his family to the bottle,and the horses
this was about 4 years ago,he was staying in a caravan park
i went over to help him , i said you can still buy 6 klms from the
cbd for under 60k,fair enough the area floods,high crime,
half the area on the dole,i said why dont you buy into this area
i will help you in any way i can.
all he said but if i buy this property i will lose my dole and rental assist
payments,some people are just quite happy to have nothing and no worry.
good luck
willair..

 

[Andrew_A]

Why making money from investments is no good

"But will I have to pay more tax??" from a family member

 

[Mrs Bird]

" I don't need to invest because I have THE INHERITANCE"

My friend, who had just migrated from England.

I kindly had to explain to her that it is not in our custom to openly talk about such things. In her family, their inheritances were openly spoken about even by the people who it was from.

She was terribly embarassed because she couldnt work out why people at work used to give her strange looks when she spoke about her inheritance.

Mrs Bird

 

[buzzlightyear]

Doh!

From an ex-girlfriend when discussing future finances & wants

Because we won't be able to afford the nice house along the beach, the convertible (ie Saab) & holidays, which I really want to take every year.

She was last seen chasing James Packer

 

[Peter 14.7]

"But will I have to pay more tax??" from a family member

Ditto.

BTW on this matter , my father in law taught me this:

"No-one should ever complain about paying tax because it means you made a profit somewhere"

Peter 147

 

[Sunstone]

What's the funniest/worst excuse you've heard for NOT investing from people?

Dear Acey,

Good thread idea.

-“The house would be too hot for anyone to live in.”………….. So they didn’t buy anything.

-“The road may be widened sometime and the government will take some of the land”. (Said to myself after I recommended and showed this property as a good one to invest in. (No kickbacks to myself.) When I was told that, I decided to buy it myself. After I bought it, it then increased in value more than 128% (Far more than doubled.) in 7 months on a conservative bank valuation WITH an impressive rental yield.) (Even if a road was ever widened the government WILL pay to take the small part of land.)

-“It’s too risky at our age.” (Only 50 years old.)

-“Who on earth would want to maintain (keep up repairs to) TWO houses?”

There are benefits in networking with likeminded people.

Cheers,

Sunstone.

 

[Jimmyjamjars]

I know of a guy who, when the conversation got around to property investment, replied, "we were going to invest in properties this year but the gearbox crapped out in the car and took our available cash"
JIM

 

[shaunwalker]

the one i hear, is
debt is bad, i'm not going down that road!and this is from my parents/family.
since then they've seen my bank balance, and still tell me that getting into debt is bad!
sigh,,, you just cant teach someone who doesnt want to learn.
oh well, when i get my z3 bmw at the end of this year it may change their tune.

shaun

 

[Jacque]

My favourite is the old debt theory too which are similar to all the ones already mentioned. In the end, you can lead a horse to water etc.
Perhaps the saddest, however, are the excessive worriers, who will never take action on most things in life that present a challenge simply due to the possibility that "something bad" might happen. I once read that so many of our problems are the result of overactive imaginations, and aint this the truth?!

I have a friend whom I love dearly, but can't get her head around why we invest in property. The worries come out thick and fast:
But what if you get bad tenants?
Of if interest rates rise?
Or if you get termites?
What about if something happens at work and you can't repay?
Or if you have an accident and need the money?
Or the bottom falls out of the market and the bank recalls the loan?
What about neighbours/druggies/hopeless PMs?
Or those PM's who take your rent?
etc etc

Even though I've explained many time over how to mitigate risk and reminded her that she worried excessively, some things just don't change......

I've since learnt not to mention any aspect of property investing with her at all. We still have plenty to talk about however

And all my other friends, family and fellow forumites keep me inspired!

 

[WillG]

The most common excuses I hear is 'What if the tennent wrecks the place ?', 'What if you can't rent the place' and 'I can't afford it' however the real reason is 'lack of knowledge' and fear.

 

[XBenX]

I MUST ride 100days+ each yr (me)

Ahhh thats right, lifes not about investing, its about having fun =P

(Dont worry ppl just polarising for the sake of it)

 

[likewow]

the one i hear, is
debt is bad, i'm not going down that road!and this is from my parents/family.
since then they've seen my bank balance, and still tell me that getting into debt is bad!
sigh,,, you just cant teach someone who doesnt want to learn.
oh well, when i get my z3 bmw at the end of this year it may change their tune.

shaun

woohoo!! way to go Shaun, i love Beemers and have owned previously. Why not go the whole hog and go the Z4?

 

[aussierogue]

great thread

the main one i hear is the 'you only live once' line as a good reason for buying an expensive car........

i tried to explain to a mate who owns a boxter that his repayments would service a 150k loan on an investment property or even a holiday unit (surely more impressive to the ladies, plus it appreciates, plus it pays for itself etc etc).......his reply :: 'yeh but i own a porshe'..

hehe