Do you know your investment needs?
Do you have an investment strategy or clear plan for your portfolio? Or do you just buy and hope that things will turn out the way you want?
Last week we introduced strategist Brett Warren and discussed the 3 questions every property investor should ask before investing.
Continuing our discussion, we know that it’s painfully clear that there are two types of investors. Some investors hope and dream, whereas others want to take the guesswork out of investing.
I want you to become the latter.
The difference between having a good strategy and none at all is that you won’t get what you want if you don’t know what you need.
When you go to a regular agent and say that you want to buy a property, you often get whatever deal you can and call it a day. Everyone moves on.
But it takes more than that to buy an investment property suitable for building generational wealth.
You have to be clear on the choices or the lifestyle you want. Some people don’t want to work anymore, others want more free time, others want to place their kids in good schools.
What you want will tell you a lot about what you can and should invest in. The moment you know what you want to achieve, you’ll know what you need and you can work backwards from there. Simply buying and hoping isn’t going to help you too much.
Let me tell you a story about a client who came to Brett with a $10 million portfolio.
The client built their portfolio in the late 00s, when Sydney and Perth house prices were on par. Since then, Perth has had some 50 quarters of negative growth while Sydney has, in some areas, doubled in value.
Brett’s clients purchased most of their properties in a single city. And unfortunately, it wasn’t Sydney. And while a $10 million portfolio sounds fantastic, with some more strategic investment, there could have been a much higher return.
So why didn’t the client diversify their portfolio? For one simple reason: because they didn’t know what they needed.
And that’s the lesson that I want to impart to you today. When seeking advice about real estate investments, you have to know your needs. To find those needs, you first need to find the right team of experts. And that’s what I and the team at IPP Australia are here for.
Book your discovery call today.