All Topics / General Property / Can property make you rich in five years?

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  • Profile photo of JamesSampsonJamesSampson
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    @jamessampson
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    This is an interesting read, thought i would share. Seems like a very realistic view on property today! What are your thoughts?

    A question I am sometimes asked is, how long does it take to get rich from property? The question may be a blunt one, but it is important to know the answer, why invest in a particular asset if after 5 years you have no gains to show for it. Well being rich can be defined as many things. Some people may think having 1 million dollars in the bank makes them ‘rich’ while others may think not having to continue a day job would make them ‘rich’.

    Click the link to read the whole thing!

    http://propertytoolbox.com.au/property-update/?p=439 

    Profile photo of Dan42Dan42
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    @dan42
    Join Date: 2008
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    Do people want to be rich or wealthy? Chris Rock talks about being 'wealthy' – as opposed to rich – as being able to pass down wealth to future generations.

    His quote: "Shaq is rich. The white man who signs his cheques is wealthy!".

    Profile photo of michaelandre70michaelandre70
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    @michaelandre70
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    does not the word rich refer to the amount of wealth a person has? that is the more a person is wealthy, the richer he is.

    Profile photo of JamesSampsonJamesSampson
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    rich is just a crude work to mean wealthy :)

    Profile photo of Dan42Dan42
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    Yeah they mean basically the same thing. I just wanted to use that Chris Rock quote. :)

    Profile photo of fWordfWord
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    @fword
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    The author is in a very enviable position: only 28 years old and needing to work only 2 days a week. Most people at his age need to work 40-hour weeks and still have difficulty buying a house.

    The biggest lesson that I seem to glean from his article is this: when investing, start young, start early, and let time work its magic.

    The second biggest lesson is the concept of delayed gratification: not buying the stuff you want right now but pooling that money towards a venture that will secure much greater riches in the future.

    Profile photo of Jamie MooreJamie Moore
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    @jamie-m
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    I think property can make you rich in a short space of time. It does require some creativity thinking, energy and a higher degree of risk. However, in my opinion, property should be looked at as a long term investment and I agree with fWord’s comments above – starting young and letting time work it’s magic should result in a comfortable financial future.

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of irina87irina87
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    You can become rich even earlier. The only thing you need is brains.

    Profile photo of Jamie MooreJamie Moore
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    irina87 wrote:
    You can become rich even earlier. The only thing you need is brains.

    So that’s the secret…..

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of fWordfWord
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    irina87 wrote:
    You can become rich even earlier. The only thing you need is brains.

    Man, I must be missing a brain (or two).

    Profile photo of Scott No MatesScott No Mates
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    my definition of rich is different to the next person’s.

    Profile photo of TerrywTerryw
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    One of my friends bought a cashflow positive property in Sydney two years ago and it has doubled in value since. $1.5mil in CG. So it is still possible.

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
    http://www.Structuring.com.au
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au

    Profile photo of bardonbardon
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    If you are an average borrow and hold investor investing in property it will not make your rich in 5 years.

    Profile photo of Scott No MatesScott No Mates
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    Terryw wrote:
    One of my friends bought a cashflow positive property in Sydney two years ago and it has doubled in value since. $1.5mil in CG. So it is still possible.

    Buying an out of favour asset can yield great dividends esp with a rezoning.

    Profile photo of bardonbardon
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    Scott No Mates wrote:
    my definition of rich is different to the next person’s.

    True wealth is appreciating what you have now

    Profile photo of xdrewxdrew
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    Without thinking too hard, I can tell you there are about fifty deals to make you rich … sitting there on the market right now. There is a property that just needs to be strata divided for resale and you'll reap 500k. There is a block of land close to a country town that is being sold as four dud units, but it sits on 2500sqm of land. There are many CF+ properties even now on the market, there are properties being sold as one thing that can be redeveloped into others. There is a whole wide world of potential out there just waiting for you to reach out and touch it. You have to look for it, you have to think outside the box, and you need to know how to market it. But its there, its possible and its within easy reach.

    On the other hand .. if you are happy being throttled by a landlord, chased up by an agent .. have the banks on your back with your credit card payments, and in debt up to your eyeballs .. these opportunities may not be for you.

    But it doesnt mean that they arent out there.

    Profile photo of fWordfWord
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    bardon wrote:
    True wealth is appreciating what you have now

    Philosophical, but true. I'm happy to admit being financially poor, but rich with all the love from my family.

    Profile photo of JamesSampsonJamesSampson
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    @jamessampson
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    Here is the next article from the same author.

    I’m about to buy my first investment property – where do I start?

    Making the transition from buying your first home to property investing is all about changing the way you think. You will need to start thinking like a true investor focused on the numbers rather than how a property feels to you. It’s now all about what your tennants want, not what you want.

    Read the rest here: http://propertytoolbox.com.au/property-update/?p=446 

    Do you agree with his strategy for buying investment property?

    Profile photo of GrantH_1974GrantH_1974
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    @granth_1974
    Join Date: 2004
    Post Count: 190

    The first article just sounds like marketing hype for his new business.

    Profile photo of Mick CMick C
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    @shape
    Join Date: 2010
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    Yes it can. Both me and my brother started young with the help of partents for deposit and guarantor – and now we actively search for more IP….and just build build build! – allowing us to do what we enjoy- Property invesment/developments

    End of the day-Money makes money.

    Regards
    Michael

    Mick C | Shape Home Loans
    http://www.shapehomeloans.com.au/
    Email Me | Phone Me

    Same Banks. Better Rates. Served With a Passion.

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