Tag Archives: investing in property

Is Investing risky?

Robert Kiyosaki has said that
“Investing isn’t risky; not being in control is risky.”

I certainly wouldn’t say otherwise as the man is well known for his business success, however it gets you thinking doesn’t it?

We left a big part of our pension to some professionals who, doing their best no doubt, managed to put it in stocks that have diminished our capital by a third already. We have no option but to sit it out and hope the market comes back. But partly we are to blame.

We were very trusting and naive!

  • We didn’t know what questions to ask – so didn’t.
  • We knew less about the stock market.

The realisation that we have lost a third of our life savings was a jolly good wake up call all be it a bit late. We did realise our pension was rather on the meagre side but were rather in denial hoping it would right itself magically! Of course no control was where the risk crept in.

I have now taken courses and become much more educated in the world of investing.
I have taken a much more ‘hands on’ approach  with our savings and investments.

We are no longer ambling aimlessly towards retirement.
We have a plan with structure and vision. It is workable and able to be adjusted.
We are feeling so much calmer knowing exactly where we are headed and how long it will take to get to the end.
Our education has empowered us with new found confidence instead of bleak despair!

With the help of Pete Carruthers, guiding me through the intricacies of Internet marketing and Robert Kiyosaki training me in the property investing world I embarked on both. I have an online business and I am investing in property internationally, with some network marketing thrown into the mix – All with a new found confidence and realisation that it is no more risky than leaving the decision making to the professionals as before. However it is a lot more rewarding and less stressful to be in charge of our own money / future.

Of course I use a bunch of people  to work with. To help in the decision making you need to reduce the risks as much as is possible by researching and asking questions to make  knowledgeable decisions.

I highly recommend it 😀  Why not join me?

Investing isn’t risky; not being in control is risky!

Go well till the next time




What are Retirement Income and Retirement Capital?

I think all of us Boomers are only too aware of the dramatic changes our pension provision has undergone.

When things started looking iffy for the governments around the world responsibility for ones pension shifted from the employer to the employee, many of whom I’m sure, were totally unskilled at how to best save for a pension, as I was.

Move on a few years and just for good measure the fund providers “shifted the emphasis away from a focus on securing an inflation-hedged income through retirement to maximising your capital on the day your retire,” says Ian Anderson CIO at Grindrod when talking about retirement income vs retirement capital. He suggests that “An investment in a portfolio of growth-oriented, income producing equity and listed property securities not only offers investors the opportunity for long-term capital growth, but also offers investors a means to budget their retirement income both before and after they retire. ”

I have done just that on my investments spreadsheet. I know what I’m putting in each month and what it is invested in. I accrue all income from the investments and plough it back in and doing a little math can workout when the investments will be able to sustain our retirement needs. It is very reassuring to look at and quell any nervousness we might feel as we travel along our investment path.

It’s easy enough to work out your own future needs:

  • Take a close look at what you are spending every month.
  • Decide if there will be any changes to your spending once you retire (make sure it’s realistic)
  • That is the amount your investments must produce for you on a monthly basis.

Now you need to look at all your investments and you will probably have them in various places so remember to collect them all together.

  • Work out what the average annual return is on each investment and add them all together then divide by 12.
  • Does it match your spending needs?
  • If not then you must top up the investments!

If the income from your investments is already matching or more; then you can already retire  because you will receive more income from your retirement savings than your annual salary. Yeah!

Investors need to secure, as best they can, an adequate level of inflation-hedged income both before and through their retirement.

Personally I’m putting my investment eggs into real estate. I have seen it bounce back fairly well from the most recent financial collapse and by working with a crowd-investing company that scours the world for the best investments I feel I should be alright on that score.

Robert Laura also suggests that we should think of  starting a retirement business which takes a page out of the handbook of the rich and powerful. Lets face it  the rich all have properties so property seems fairly safe but I have taken on board the need for more income streams so I’m starting a small online business too. The more strings to my bow the happier I am.

Do you have enough retirement capital to provide you with an adequate retirement income?
I do hope so. If not it’s never too late to remedy that!
Go well till the next time



Investing in Property is so Relatively Simple

Dolph de Roos in his book Real Estate Riches said

Given that investing in property is so relatively simple and so uniform around the world I am utterly surprised that most people still only consider owning investment properties within a few miles of their home

That reinforces for me my earlier conviction that I needed to invest in property but not in the country I was living as the currency was dropping rapidly against the US Dollar.

Then today I get an email from Robert Kiyosaki predicting the biggest collapse in history coming possibly as soon as 2016!

It got me to thinking how I could possibly protect ourselves against another financial collapse. I don’t know about you but I certainly can’t withstand loosing the pension again and having to start all over again, let alone suffering all the worry that goes with too little money.

So how can we protect ourselves?
Could property be the answer?

If you are someone who wants to go it alone you may find that in your own area the property market is not at it’s best right now but if you take Dolph de Roos’s suggestion and look further afield you could find what you need.

There seem to be many countries where it is smart to be buying property right now and the Internet can guide you to make your choices wisely. Sometimes its just another state you need to look at . But what he was getting at is that there is property all over the world and nowadays its really easy to do a lot of due dilligence on the Internet so don’t be put off by your local marketplace. Be brave, your foresight could be what saves you in the future if Kiyosaki is correct.

Personally I’m happier investing with my crowd. It gives me people to discuss decisions with and gives us all the convenience of investing small amounts in any one property and not having to do all the hard part of finding and maintaining any of the properties.
We get to choose from a selection of properties around the world and by having a small share of several properties we feel pretty secure not to ever be in the unenviable position of having all our money falling at the same time. Hedging our bets I call it!

I think I am doing all that I can for my family. How do you feel? Are you financially secure against another collapse?


Go well till the next time

  • Dolph de Roos – Real Estate Riches
  • Robert Kiyosaki – Rich Dad Poor Dad

5 Tips to Prepare for your next Job

Seems the author of the article I read today has lived
a similar life to me

We’ve both seen some major upheaval in jobs which we thought were going along quite nicely until suddenly one day every thing had changed.

For me it was a change of Board members and a job that was totally re-invented for no reason. Then another time, going on holiday and coming home to find you’re retrenched!
Another time, my husband suddenly finding unexpectedly to be retired early exactly at the same time as funding for my non-profit work also dried up!

As Harris says it really “doesn’t matter who you are, where you work, what your title is, how long you’ve been there or what kind of education you have; you need to be preparing for your next job. Don’t take for granted what you have, and don’t be so naive as to think it will last forever.”

She set out some steps she recommends to be fit and ready for the next job whenever that might be:

Looking for a new job on average takes more than 6 months so you need to make sure you have a minimum of 6 months living expenses in your savings. Work it out today and make a plan to get your safety net in place.

As many recruiters will now use social media to check you out  make sure you are there too, looking spotless, and with full profiles on sites like LinkedIn. Try to get as many recommendations and endorsements as you can.

Get that CV up to date fully listing your assets:

  • Responsibilities,
  • Salaries,
  • Contact info,
  • Referees

Look at yourself and your personal skills. Are they up to date or should you take a course or two to get with the new technologies.

5. Finally, think about what you would do if you lost your job today.

  • Where would you like to work?
  • What would you want to do?
  • How would you make it happen?
  • Would you be willing to move?
  • What other companies are you interested in?
  • Do you have skills that are transferable?
  • What can do now to increase your chances of being hired somewhere else?

Personally I am pleased the way my life has turned out. Thanks to all the glitches is the reason I  originally looked for a way to not be solely dependant on a company and at the same time prepare for for my retirement. Maybe something you would like to add to the list above.

Harris’ final words … “It might seem easy to dismiss some of this if you are currently employed, but trust me, if you ever find yourself without a job, you will be glad you spent the time to get a head start on preparing for your next role.”
Go well till the next time

Invest in Something You Understand Not An Idea!

“Invest in something you understand not an idea”

This are the wise words of Scott McGillivray in an interview with Robert Laura, a retirement activist. Robert Laura is well known for his insight into retirement and investing for retirement. He had an interesting interview with Scott McGillivray of HGTV Canada. Mcgillivray’s recommendations are to:

  • Invest in something you understand not an idea – get some education
  • Property is get rich slow not get rich quick
  • Follow through – Do It!

On Creating An Income Property

He is in favour or ‘Buy and Hold’ for rentals and I can see what he means, but there really is a thrill in a flip isn’t there.

However I have followed most of his recommendations.

  1. I have spent several years and many dollars getting educated. It is an ongoing process I have found but the initial grounding has stood me in good stead.
  2. I have made my plan as he recommends.  Phew got that right!
    I have a 4 year plan of investing and saving, at the end of which there should be enough invested to produce a good passive income for my retirement.
  3. And I do realise profit from real estate is a slow process. I have been already working my ‘plan’ for a while now.

real estate
However I decided, unlike McGillivray to not become a full on landlord.
I don’t know about you but I am not of the age that I want to dash around after workmen and rental people.
Instead I use people to do that for me.
I am still a landlord, of sorts, because I have a part investment in some ‘buy and hold’ properties but, and this is the important part for me, without any of the hassles involved in finding and looking after an investment property.

Also, I do like to flip with some of my money!

I find flipping so satisfying.
I suppose it could just mean that I’m impatient or short on staying power but whatever it is I enjoy choosing what to invest in then waiting for the flip within a few months and BINGO my money is returned with a nice profit attached.

I am on track to some good retirement income and loving every minute, are you?

Go well till the next time


Forget about your investments!

No one is telling you not to invest.
Absolutely you must but listen to Warren Buffett

In his 1996 chairman’s letter to shareholders, he stated: “inactivity strikes us as intelligent behavior.” In a similar vein, he observed in his 1990 letter that “Lethargy bordering on sloth remains the cornerstone of our investment style.”

From the little I know about stocks ‘n shares, it appears to me that they are quite volatile especially compared to property. However it seems in the long run that the share investments, if left, reach a reasonable increase in value. So unless you are a budding stockbroker and prepared to take your chances selling and buying it seems pretty logical to let sleeping investments lie and reap the rewards down the road. I found these tips:

The secret to the success of these investments is to have a monthly debit order and then to forget about it.

  1. Let the market or the fund managers do the hard work for you.
  2. Best of all, these investments can grow into a fortune over the years… and often the returns are far greater than a regular retirement fund.
  3. The investor’s best friend, compound interest, is on your side. As the returns of your investments pay out, reinvest them and make your money grow even faster.
  4. Remember… with these sorts of investments have to have an investment horizon of at least five years but, the longer the better.
  5. Increase your monthly debit order as your monthly salary increase or invest in more unit trusts or ETFs to increase your wealth over the years.

Well I’m certainly hoping the above advice works for my pension investments. To date they are in a deep trough so I only have one option and that is to forget about them and wait for the longed for uprising one day!

In the meantime I am not putting any more savings into those investments. Instead, I’m working with a crowd-investing property platform. Lots of flips – lots of control over what I invest in- no hassles and, lots of profits too! What’s more I’ve found a fun way to invest in property.

Loving life I am 🙂

Go well till the next time


How to Find A Great Investment Property

Neil Vorster is a South African property investor and coach. He writes a regular blog and newsletter to which I subscribe. His 7 tips to acquiring a Great Investment Property just have to be shared!

Neil says everybody wants to know how to pick a winner, and fortunately with property investment the luck or gambling element can be almost entirely removed.

You don’t have to settle for average!

By following these 7 tips, you can be well on your way to beating and even doubling the national averages and acquiring really great investment property.

1. Location

This one is somewhat overdone, but I am constantly amazed at how little attention potential investors give to location. Property value is intrinsically tied up in its usefulness to the future tenants. It stands to reason that any property that is well located, close to desirable places of work and transport nodes and routes will be more valuable to tenants.

2. Type of property

When looking for a great investment property, a townhouse with a good security system, controlled visitor access and 24/7 security guards will win over a normal house or flat any day!

3. Agents

There are agents and there are agents!
The secures his or her 3 month sole mandate by hyping up the property value. Then they start the process of bringing the seller down to reality in the hopes of securing a sale. Naturally it will be difficult for an investor to get a great deal from “seller’s agent” as commission comes from the sale. Whereas a “buyer’s agent” will often undervalue a property for a fast efficient sale. This type of agent is solid gold to you, the investor.

4. Local agent networking

Once you have selected your choice investment location, the work begins; Start by looking up the agents who are very active in the area and cultivate relationships with them. A regular monthly email or phone call from you will keep you top of mind for when that “urgent/bargain” deal crosses their desk.

5. The internet

Scouring the internet adverts can reap good dividends, but cannot completely substitute getting out there and looking at properties. There are websites that will scour the internet for you and return any new listings of your selected complex to your email inbox.

6. Clutter

People naturally perceive greater value in a property that is newly painted, spotlessly tidy and ready for show-day. They therefore will pay a higher price.

A property in poor condition, requiring paint and perhaps some running repairs to the cupboards and/or inhabited by a messy tenant who feels threatened by a sale, will be overlooked by many potential purchasers. This provides an excellent negotiating opportunity for an investor to factor into his price a paint job and some minor repairs. I call this seeing through the clutter and discerning the true value of a property.

7. Bargain hunting

Lastly, Property investment is a long term decision that, when done correctly, provides massive returns on your investment. Most investors cannot recall the exact prices paid for properties purchased 10 years ago, and even if they did, the numbers would make you laugh!

I have seen many investors pass over an opportunity of buying a great investment property because they are desperate to knock the seller down to his last penny.

So Neil’s advice in a nutshell:

  • do your homework,
  • know your areas and prices and
  • when a good opportunity presents itself, secure the property.

Hope these tips from Neil were helpful
Go well till the next time