Apparently I throw a good party… I know I enjoy them! I think part of that is that I enjoy being generous to others but mostly, it’s about enjoying life’s journey and understanding the ‘journey’ is what gives me energy. That energy also allows me to enjoy life to the full and gives me the ability to be able share that feeling with others. So, what has this to do with property you ask? …everything!
We are all unique of course and our personalities are different but one thing I have been observing in people with a confidence about the future is that all those who have a peace in their lives have a plan. This confidence in their journey allows them to enjoy the most of life today as they don’t live in fear about tomorrow. I’d like to think this is what people see in me; a certainty and a peace about my family’s future that everyone would like to have but few are doing anything deliberate about.
It is unfortunate that very few Australians will be able to maintain their standard of living in retirement. It’s even more sad when you realize that more than half of those who can maintain their standard of living can only do so because they’re currently earning very little. In a country that is so wealthy (and becoming wealthier by the day) it’s a shame that only a few percent will retire well.
We all know the world economy has changed and Australia along with it. Unfortunately it also means that the gap between the truly wealthy, ‘middle class’ and those that will struggle will widen. There is a window of opportunity now and, thankfully, it is still attainable for most. The catch is that we need to act NOW.
Why NOW is Good
Most people have more equity than they realize in their current homes and investment properties (ie. the value of all homes in Australia against all the mortgages means that property on average has around 80% equity!) or have the capacity to leverage their superannuation through a self managed fund and invest in property using their super. While we can’t deny for those who are not yet in the property market it’s a lot tougher than it used to be, there is a window of opportunity now, particularly in Queensland, where its currently a ‘buyer’s market’ yet moving steadily into an upswing phase of the property cycle (ie. entry is only going to get harder). Given a ‘buyer’s market’ by definition is when we should buy and the strength of Australia’s economic outlook, now is a great time to transform your future by putting a plan in place and taking action. Some benefits are immediate, like the peace of mind you can achieve if you know you are on the right track.
Of course, many, many investors will get it wrong and undermine their future instead of building it – so make sure you get the right, expert advice (as you should with any investing) before you begin and along the journey.
If you are feeling unsure about your future maybe the prescription is to take two properties and call me in the morning … or maybe it’s the other way around. Either way, make the effort to be deliberate about your future because it will give you freedom to enjoy life. You’ve only got one shot so enjoy the journey.