Forum Replies Created
Greg
Seems a fair enough list of what you’re looking for- it’s kind of like a job description. Think of yourself as an employer. The other parts of a job description involve essential aspects you’re looking for (skills/qualifications), hours, wages, and sometimes performance indicators.So, perhaps you could think about the following in the person you’re looking for.
Essentials:
What does the mentor need? To be retired? Independently wealthy from property and other investments? (I mean, it isn’t hard to be a millionaire if you’ve inherited it, or got it from a settlement). Self-made person? Made their money over how long a period? The other thing is, if a person is *really* retired, it’s possible they don’t need to work for you.Do you want them to have financial advisory qualifications? Or is this not essential/important? Do you want them to have made money in a particular way that you might be able to emulate? ie positively geared property?
Hours:
How much time commitment would you want from them? 1 hour a week? 5 hours a week? 24-hour access/mentoring advice online? (probably only a salesperson for a large company would ever think of providing this)Wages:
What would you be willing to pay? A percentage of what you made in that first year? An hourly rate? Would that depend on how much you can afford? Would it depend on the commercial rate applying to other mentoring services advertised?Performance indicators:
Would you like to increase your net wealth on a percentage basis? What by? 10%? 20%? More? Can you develop a plan for the mentor of what oyu might want after intervals (ie quarterly objectives)? What will happen if you don’t meet the goals after following the advice the person gives you? Or, conversely, will the mentor receive a bonus if you perform beyond your expectations?
_____________I don’t know if you find any of the above useful. It might not be to you. But it might be food for thought about hte kind of person you’re looking for. If you have developed comprehensive aims for yourself, then you can develop a way of thinking what you need in THEM.
kay henry
NATS,
I take a different approach. I work out what I need for the IP. So say I need 20% as a deposit, or 30% for the next IP, I work out what that amount will be (by knowing what value property I want), and then look at my LVR and equity I have. So say I need 5k for the next property to keep my LVR at 80%… then I know I have to find 5k. If I get a decent tax return, I don’t need to save a buck throughout the year, so I spend everything- hehe
I never budget- but I do know exactly what amounts of money I need for the next property. It’s just a reverse way of working things out.
kay henry
Celivia, of course you do!!!
Marty Maximus :o) hehe- I don’t need to
kay henry
2005 is thought to have some inflationary issues in Australia (where the RB’s inflation target of 2-3% will be overshot). It’s likely IR’s will rise to keep this in check. I know people have traditionally thought inflation means rising RE prices… but inflation has been significantly low in the past few years, and the RE market has risen beyond all expectations, so it’s been an inverse relationship.
I read an article (but now I can’t find it) which says that it’s thought that the sydney market will rise 3-5% over this and next year, so it will be in line with inflationary expectations- good enough for me
At least it won’t be capital loss.kay henry
I’ll be looking forward to reading posts by RE investors throughout the coming years about how they are continuing to make money. I really think anyone who had bought RE in the last few years made money- and no particular skill was required. The market did the trick. I am not talking multimillionaires here- I am talking about your average joe- like me- who just bought a couple of places- and voila- CG just occurred- I had nothing to do with it.
Making money in a flatter market- on RE alone (I have no interest in shares or other markets), now they’re the stories I wanna see
)“Real Estate: Making Money in 2004-2007” … residentialwealth- if you start writing now, you can publish in 2008- and it will probably be the only RE book on the market in that time, so you’ll have the entire market share
kay henry
I actually meant that as a mortgage on a PPOR is often said to be a liability rather than an asset because it’s not income-producing / tax-deductible. It’s a great asset to have when ya have paid the bugger off, I imagine
kay henry
Well, Mini- it’s not hard to give when one gets something for free – hehe. And I know that you and other members enjoy seminars and have got a lot out of them
kay henry
Yep, gilad- that’s the theory
And if you have a rentable place, unless it’s completely wrecked, then you don’t need to reno. Renovating is a fairly specific skill, and some people are happy to buy unrenovated houses- to add their own special touches.A lot of places are already renovated now, so you can buy an IP post-reno’ed (new kitchen, new bathroom, polished floorboards etc…) for probably a similar price to a pre-reno.
I think reno’s (particularly to flip for quick CG) are very 2002.
kay henry
Seems a fair enough list of what you’re looking for- it’s kind of like a job description. Think of yourself as an employer. The other parts of a job description involve essential aspects you’re looking for (skills/qualifications), hours, wages, and sometimes performance indicators.
