Love the research and figures great work!
So with consumer/personal debt at all-time highs in australia…
does that mean you’ll be investing in one of our favourite four banks?
Hi DvaneI do some contract work for some one who I believe is very up there, although he does not want to go down the seminar/guru path as others do – if you want access to the best collection of full colour cheap webucation and ebooks in the world as well as a real developer go check out http://www.apin.com.au There are 28 accounting Ebooks FREE as well as lots of other really cool and very valuable information for under $10.00 which is a fraction of the cost.The owner of this site is about launch a 25 module full colour on line webucation course covering how to get started up to how become a DIY developer – and you won’t believe the price, so no seminars or week end boot camps. Oh also free mentoring with every coach a fully licienced broker, agent, developer, fin planner etc etc check it out – site is about to go through a massive upgrade so be patient, i shouldn’t even be telling you.D
Hi Burham and thanks forn your very negative reply … we will see about Cambeltown and how it performs.
We bought all the houses in one line and we intend to develop the 3 into townhouses. yes you are right that that area is struggling and thats the time to get in “at the bottom”.
I won’t give you the financial details because I don’t think you deserve to know, however I can only save that we are very pleased and we will be out of this deal within 18 months as we intend to onsell the concept and have two buyers already.
As to the link, I only come here to help people that want to increase their knowledge, it’s your choice if you take it and it’s the decissions you make that will determine where you will end up in life …
D
I was involved with a business that was focussed on helping people with bad debts get out of that situation thru sensible means and turn their life around by investing. The biggest problem was finding suitable candidates! we were shocked to find that people in financial trouble were not nearly as abundant as you would expect. in fact most people we found had surplus wealth that they simply didn’t know how to harnass. the number of people with a mill + that didn’t know what to do with it was staggering.
a couple of days ago i read an article that confirmed my suspicions… a serious amount of debt in this country is held by wealthy individuals who borrow at low rates to seek higher returns to provide income to keep up with the super rich… the article basically said the very rich were struggling to keep up with the super rich and my observatiosn support this.
Hi, Ausprop
Don’t suppose you could find the link to that article. It would be an interesting read.
Regards
Daniel Lee [specs]Wealth creation is a state of mind.
Even when people are shown how to do it , only a small
percentage will have the will power to save rather than spend.
I am amazed when people owe $20,000 to $70,000 on credit cardsA real character builder is to go without a wage for 6 years like I have as it gives you the disipline to go without and to get used to not having a steady income every week.
A good question to why wealth building is so important is –
how long can you survive without a steady wage?Duckster Financial Services
http://www.ducksterfinancial.com
Helping to make the great Australian Dream come true !Comments are of a general nature and may not be relevant to your individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
G’day W4L,
Ouch, you know how to hurt a guy. That was nasty W4L.
I married nasties like you (women). Three of them – not all a once ! And they all “got” me for just over one million each when I axe them.
Have I leant my lesson- no way, I’m on number four !!
For a valentines day present(to-day) I bought her a new HONDA lawn edger.
How lucky is she !!! (True story).Getting back to your first post on the subject, that newspaper story on Sundays papers, The next day the other newspaper was telling “us” that Sydney aren’t building enough houses.
So who do you believe ?Wealth4Life, I don’t doubt for one minute your ability to live up to your W4L tag. You sound like a very capable, strong minded “little love” – woman. ( if there’s a number 5 , I’ll check you out).
bruham.
Originally posted by daniellee:Hi, Ausprop
Don’t suppose you could find the link to that article. It would be an interesting read.
Regards
Daniel Lee [specs]Here ya go
Not that surprising though is it?
“Money is a currency, like electricity and it requires momentum to make it Effective”
Online Positive Cashflow and Renovating CalculatorsDear Burham darling,
I”ve met men like you b4 and with your track record I can only feel sorry for your attitude towards women ie; “little love”
When we begin relationships we look for the good things and “attract” that which we admire then as time goes on we look for all the “faults” and attract that.
Life keeps repeating itself until we learn the lesson and I guess you still haven’t learnt yours as you are already thinking about No. 5 – what a shame I am sure you are a nice person deeeeep down I will have to ask some of your past victims their experiences.
We don’t own a lawn mower, my husband bought me a gardener which is tax deductable against our other investments, married 18 years still in love and saved all the money you have blown on pay outs to those nasties …
Good luck … D
Thank you, L.A. Aussie,
For staying on topic.
There is no doubt that kids coming out of school have no idea of the differences between an asset and a liability. Have no idea of the value of money. Have no idea how to avoid the debt trap (Having said that my daughter seems to have a great nack for not spending her own money and concentrating on mine!).
Wealth 4 Life et al, please guys, if you don’t like each other just don’t respond to one another’s posts.
Thanks dvane i;ve said my piece and moved on … Ok so what is the solution to helping the younger generation ???
Seminars and gurus are not the catchy trend now as they were b4 as there is always a hidden catch to their free what evers
I have two girls and agree that we have taught them so well to save that they have become very convincing to our bank account and not using theirs … not that we are worried about that …
How many 40+ people here are ina position to give their children a fully paid property as a 21st birthday present to help them start their future ?? thats our plan is it yours … our parents couldn’t but we work hard to do this for ours ,,, what are your thoughts on this
D
Originally posted by picklesam:hi …. not academically or business smart, i struggled through highschool but still made it to uni………don’t know how i can get a better income job, I’m on a $95k package… ……
I left school at 15.
Never earned more than 45k p/a
Worked for the government – souless and draining
Had businesses – average
Now own 3 houses – well the bank does
Wish I was on 95K …so its all relative – just make the most of what you haveTrading your plan is the goal – profits are the reward.
Guys, not to scare anyone, but you do know that ATO have and eye on financial forums?
May worth keeping it in mind when quoting figures. Not that we talk actual figures here, we just speculatingActual $ that you earn are subjective. I know people on $150K and still have PPOR not payed out. Nothing flash, just an ordinary $400K property.
So it is how you spend and where you spend money rather how much you earn….
Anyone care to comment?wealth4life, about kids, we still do not have any (my fiancé only 25) but our plan is same as yours, to be in the position to offer help when they ready. Say, we will match what they put down as deposit, whether it is the first car or house. BUT no freebies, easy money are bad. Easy come – easy go. 99% of people will loose what they get easy while they are young. It is different when you live them some assets after you go and they already turned 40-50yo.
[biggrin]Thanks simple …
I would love to see how many people on this site are under 20 so we could do some stats …
This site has been going for quite a while now is there 42,000 members still or are those people who origionally joined gone and non active …
I read one of Michael Yardneys news letters and he stated that 1000 people per month were joining him … I think he does a reasonable job but now going down the path of Henry kaye to attract business, thats just my humble opinion … actually some or many of his predictions last year haven’t come true ?? …
Good luck … D
Originally posted by wealth4life.com:Thanks simple …
I would love to see how many people on this site are under 20 so we could do some stats …
This site has been going for quite a while now is there 42,000 members still or are those people who origionally joined gone and non active …
I read one of Michael Yardneys news letters and he stated that 1000 people per month were joining him … I think he does a reasonable job but now going down the path of Henry kaye to attract business, thats just my humble opinion … actually some or many of his predictions last year haven’t come true ?? …
Good luck … D
The sad reality is that there are probably no forumites under 20.
This is the problem; these kids are not getting the seeds of learning about becoming wealthy through the strategies we all talk about – they’re all trying to be the next Michael Jordan, or Wayne Carey or Hip Hop star, or they’re saving for a new Ipod or Razer cell phone. Their future is as far away as this afternoon.
Even in my age group ( the wrong side of 40) I know very, very few people who are investors, or are interested in talking about investing and becoming wealthy. They think investing is putting more cash in their super fund.
Cheers,
Marc.
[email protected]“we get sent lemons; it’s up to us to make lemonade”
Great topic!
I was chatting with my husband last night about our imaginary children. I told him that I am really looking forward to educating them about money when they are young so that they understand how to build wealth. He screwed up his nose and said “Nah, just make em get a job and they’ll soon learn the value of money”…not good enough as far as I’m concerned. We are 28 and have pretty much pissed away our early adulthood because it wasn’t until I started reading investment books that I began to understand the difference between good and bad debt.
Kids don’t learn this stuff at school! It is up to us to prepare them for life. I would rather give them the tools before adulthood and let them make up their own minds with a sound knowledge base.
I think it is great to want to give your kids a new house for their 21st, but I would only do it if they understood the value of money and showed me signs of being proactive with their financial future. I live in the posh western suburbs of Perth (courtesy of the defence force) and often hear of mummy & daddy buying ‘little presh’ a brand new place to live in once they graduate from high school. I can appreciate how parents want to give thier kids the things they never had, but I for one will need to see some evidence of financial smarts before I go down that road.
I think the biggest lesson I’ve learnt so far is that you don’t solve money problems with money. I want to teach my kids to have the correct mindset and attitude towards cultivating money. Otherwise it seems to make perfect sense that if all wealth was distributed evenly amongst the population, it would soon end up back in the hands of the savvy few who have the knowledge to invest wisely.
We have a great advantage on this forum to learn from each other and pass on our knowledge, surely we can do it in an age appropriate way with our kids too [exhappy]I once read an article which was an interview with John D. Rockefeller jnr about his life.
He said that he and his brothers were all given an allowance at around aged 6 by their father J.D.Rockefeller snr (had a few bob under the mattress).
J.D jnr said that the boys had to give their dad a financial report every month on what they did with their money, and they were never allowed to spend 10% of it – had to be saved for future investments.
I think that if this practice is good enough for one of the richest families in history then it’s good enough for everyone else.
My 5 year old son (nearly 6) has recently started learning the basics of counting money in kindergarten over here, and now that he can grasp it he is being given $5.00 per week pocket money (apparently you give $1 for every year of life as a guide).
He is on his second week and now has ten $1.00 bills in his wallet. He already knows that for every $5.00 I give him, he must keep $1.00.
Yesterday I asked him how much he has to spend after giving him the second lot of $5 and he said “I’ve got $8 daddy; next week I’ll have enough for a new Ben 10 figure”. (Ben 10 is a cartoon on t.v over here; he changes into 10 different creatures – my son is collecting them).
I then said “what are you going to do with the other $2.00?”
He answered without any hesitation “buy a house”.
My job is done.
Cheers,
Marc.
[email protected]“we get sent lemons; it’s up to us to make lemonade”
i think kids/teenagers and even my generation (i’m 27) are quite spoiled…they’re just used to getting what ever they want….like cars for exmaple…i had to save up and buy a crappy one during year 12…these days parents just buy cars for their kids…and most of my friends don’t own any property..they just spend all their $$$ on holidays, consumer goods etc…i think generation Y is the most materialistic…we spend so much on designer/trendy clothes and drive around in flashy cars…but it’s all on debt! I must admitt I was guilty early in my career, I spend most of my $$$ going out, buying $400 pair of shoes…and when i turned 24 i realised all I had was my wardrobe! From then on i’ve pretty much changed and saved and invested my $$$… I managed to save $25k for a deposit and mum was nice enough to be gurantor so I can get a loan to buy my first IP….
But I do believe there’s a lot of resentment towards the baby boomers for pushing the house prices up…most of my friends have given up the idea of owning a house…and the ones who recently bought are couples who are both working…it’s pretty hard starting on your own these days…i remember when i was buying my first ip the bank would only lend me $150k without a gurantor…you can’t even buy a studio apartment for that much…
Hey Picklesam.
I think you are making lots of sweeping generalisations. I have three children, oldest 18. He will not be having a car bought for him. I know of only one similar age child who is having a car bought for him, on the condition he doesn’t touch drugs or alcohol, and the car will be a cheap one. Of all my son’s friends, no-one is getting a free ride. They all have part time jobs.
And the baby boomers didn’t push the property prices up. That is the market cycle, and it has been going on for longer than the boomers have been around.
My hubby’s maximum loan for his first house was $35K (back in 1983) and he had saved a deposit of $20K, otherwise he wouldn’t have been able to buy his $54K small, crappy house, which nonetheless went up with the market and which we sold many years later, after turning it into an IP.
Each generation says the same old, same old. How can we afford a house? My parents had to take in a boarder in order to pay the mortgage. My mum had three children under three and a boarder to cook and clean for.
The answer is that this upcoming house buying generation will have to save like mad, don’t spend on “stuff” and buy a small, crappy house which they may renovate and make do with until they can move to the next rung of the ladder.
It was the same for my grandparents, my parents and me and now my children will face the same challenges. Even though we are in a position to help them financially, we certainly will not be “giving” them anything on a platter. They need to learn the value of money and work.
Wylie
Originally posted by Wylie:The answer is that this upcoming house buying generation will have to save like mad, don’t spend on “stuff” and buy a small, crappy house which they may renovate and make do with until they can move to the next rung of the ladder.
Why go to all that struggle? Sure, a modest deposit will help, but by simply waiting, the Price/Income and Price/Rent equations will return to sane levels. No sweat.
It was the same for my grandparents, my parents and me and now my children will face the same challenges.Yes and no. Buying a house has never been easy. But house prices relative to incomes were fairly stable, for examle, fluctuating around 4.3x income +- 40% in Sydney for over 70 years. Now after 30 years of pure fiat money they’re at ~10x. It has never been a worse time to buy a house as an owner occupier.
Then there’s the stress.
– Prices are high (more chance of capital loss, less chance of capital gain).
– Interest rates are low (more chance of rising rates, less chance of falling rates)
– Harder to get ahead / build a cusion (saving an extra 10% of income per week towards the PPOR loan has far less impact on a 10x income loan than on a 4x income loan, regardless of interest rates).Just a few points to think about.
F. [cowboy2]
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