12 Sep Mastery, how to get where you want, faster
Real Estate Investment Strategy
Even when buying your first home, you should look at the process as a real estate investment strategy. Begin this process with your long-term goals in mind – even if they feel an impossibly long way off at the moment. By creating a real estate investment plan with realistic time frames, you may find yourself in a better place financially in the long-term, which –
when you think about it- isn’t that far away.
A good property investment plan includes two, five, and ten year set of goals. Importantly, effective real estate investment involves only a few key moves each year, completed wit intention and precision. That may involve increasing payments to reduce the mortgage and gain equity. Maybe it’s expanding the portfolio with another property, or evaluating the current market with your advisors. All of this may seem ludicrous right now, if the key to financial freedom is simply a bit of intention and planning then it’s well worth it.
Begin by creating your ten-year goals. This will help you to see how little you have to do in order to achieve them. For example, if your 10 year goal is to own three properties, then you only need to purchase a property every three years or so, and at the end that will likely equate to a property portfolio worth over $1 million – all because you created some long-term goals that seemed far off at the time.
Interestingly, if you have a plan for three properties over ten years and stick to your two, five and ten-year actions, then it’s likely that you will overachieve, rather than just hit your goal. Why? Because after six years, you will become more comfortable with the property market, your education will advance beyond basic investment, and you will be able to spot opportunities as they arise. Your networks will grow, and the people you attract will be able to offer you even more information, making you not only more knowledgeable about the investment market, but also confident regarding which actions you need to take in order to achieve your goals – which will likely increase exponentially.
The first step is a plan. Begin with your 10-year aspirational goals, and work your way backwards from there. Then work hard, and see how having a solid plan in place can transform your future for the better.