A New Way to Invest Successfully: Yes, it is true! Property is an excellent investment and if you do the few basics correctly and you keep it for long enough you will make a good investment return.
The investment strategy of many property investors is to buy a property with the intention to keep it for an extended period, grow their property portfolio over time and earn a passive income thereon in the future. That is a good idea, but as we have come to know “good is the enemy of great”.
This does not mean that the concept of owning property for the reasons stated above it is not a great goal, but rather that the concept of owning a property for a long time to build the portfolio, may not be the greatest plan. Apart from the potential risks relating to new areas developed, road changes, and various other changes in an area, that may affect your property values, there are better options out there for the astute property investor.
“Price Is What You Pay, Value Is What You Get” – Warren Buffett
There is a greater truth in a property investment approach that may be implemented to reach your goals substantially faster, with less risk, lower purchase prices to property values (75% of market value), yielding higher monthly net income and predetermined returns, that mitigate the risk for the property investor.
The key with property investment is to learn to “own your returns” with the property as security and not necessarily to own the property and earn potential investment returns thereon. Unfortunately, there are numerous organizations that only promote the latest strategy, seeing that the current good product is an acceptable standard. The questions, therefore, are: Do you as the property investor want to learn more on how to reach your property investment goals earlier?
Do you want to have greater security during your investment period? Do you want to earn predetermined returns irrespective of market influence?
The graph below indicates the difference between the average buy to let property and the recovery products through which you can assist a property owner, as an impact investor whilst owning predetermined returns, whilst having the underlying property as security. During the following editions, we will explore more of this and how the property investor can get access to this knowledge and be educated further.
