Discussion in 'Investor Psychology' started by Sonamic, 29th Apr, 2015.
Why do you Invest in Property? What made you start? Why do you keep going?
For the money.
Wanted the money.
Want more money.
Money got lonely.
Met some money.
Made more money.
To do what I want, when I want, for as long as I want... and now show others how I did it so they can do the same.
Why? Because having to rely on pension scares the absolute **** out of me.
Plus it's extremely fun - finding and negotiating on deals, dealing with people from all walks of life, getting results, discussing ideas with those more experienced, helping those less experienced.
It's one of life's necessities, shelter.
Now I'm starting up a clothing business.
I guess the food industry may be next.
But yeah, pretty much comes down to collecting money.
Pretty much this, retire earlier as well.
I like houses
I don't want to work until 60
I don't want to look back 5 years from now and seeing myself in the same place as today
Everyone else was doing it.
I loved Monopoly as a kid. Even better that I can play it for real as an adult. I haven't built any hotels yet but I enjoy passing go and collecting a few hundred dollars.
It sure beats working for a living.
I'm into delayed gratification.
Forking out $ on the never never plan (interest only) in the hope that I will get more back than I've spent.
For the joys that dealing with tenants brings - it warms my heart to receive a call that the power has gone down (ie a fuse has blown)/there's no hot water (pilot light has gone out)/can't get in (left the keys in a pub across town) etc.
Knowing that I can sleep at night in the security that my tenants have a roof over their heads whilst I am providing microcredit waiting for them to clear the rental arrears/water usage charges (insufficient grounds to terminate).
To deal with property professionals who have received about 3 days training to work in the industry and are placed in charge of 150+ similar properties with an asset value of over $75m and then to expect some modicum of customer service.
Dealing with councils whose first response is 'yeah but no'.
Having tradies who promise the world but don't show up to do a quote after you've flown half way across the country to meet with them.
So I can arrange finance through a bank/(send me) broke(r) by tying up non-related properties and entities to save a pittance on stamp duty.
So I can deal with lawyers who can set up complex structures which cost an arm and a leg to administer, are impossible to get finance at a reasonable rate but offers protection from creditors or ex's.
Financial independence early retirement.
Will stop as soon as I have enough. No point delaying gratification too far into the future.
Should be done and dusted within the next 5 years.
For most of my clients its so they can get reliable moderately volatile leverage.
They mostly think they invest in property but in most cases property is just a tool to get access to finance .
Fantastic line Rolf.. most people think property investing is about property and as we know its about Finance. The property itself is merely the security put up to access finance for controlling further assets and CG exposure.
...and I thought Mickey D's was a development company with a string of tenants tied into their own supply chain.
Like Scott said, plus:
Because I must be an evil tax evading capitalist speculator who has deliberately and artificially pushed up the price of Sydney housing so that the city-based aspirational class cannot afford to purchase their own pieces of real estate.
I am a generous person who is barely covering my costs in order to provide affordable housing to those who would otherwise not fit a PM's criteria of being suitable candidates to offer housing to. For example my two best tenants have been: a family of recent immigrants who have always owned their own home and therefore have no rental history, and a young single mother who has relocated interstate to be close to her sister and live in Qld where accommodation is much cheaper than it was where she previously lived.
The above proves that I am stupid and the thought of not being a drain on the public purse for the next 30 years never entered the equation (note sarcasm)
Well they're certainly not getting their really Big bucks from selling burgers...
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