It would seem like a couple of weeks, but it has been much longer than that since I last wrote to you and it has been a hectic time with some surprises and I will share some very important and interesting news with you about all this shortly.
In the meantime I have been pondering why so many people do not make adequate plans for retirement. I wrote about this sometime ago and it still bothers me, because as I move around this country I am confronted by ‘apathy.’ Yes! Apathy; regarding wealth creation.
I have come to the conclusion that it is ‘FEAR’ that stops people from making a move. Not just in wealth creation, but in trying something new or going beyond their comfort zone. As someone said “Life begins at the edge of your comfort zone.” How true is that?
Just think about riding a bike for the first time or driving a car for the first time. You were probably frightened and yet encouraged because your Mum and Dad and or friends were around you when you took off for the first time. So why don’t people venture into wealth creation?
My guess is that they do not have people around them encouraging them and in fact it would be just the opposite; because their friend would be in fear as well. How many times has someone said to me that their family or friends discouraged them from taking a step into investing and I have asked how successful and wealthy those people were? Only to be told that they were not.
Why do people take advice from people who know very little about investing in property? Why is it that Financial Advisors don’t advise on property?
Property has been the single biggest wealth creator in this country. Just take a look at the BRW Top 100 and see what I mean.
But I caution you about property spruikers, as well.
Many people give little thought to exactly how much money they will need in reserve come retirement time. For example, if you would like to have a yearly income of $60,000, and assuming you hope to live at least 20 years past retirement, you will require $1.5M. This of course does not include your home (which hopefully is paid off by retirement time). This is available funds that are TAX FREE. That means net value – after you’ve cashed in your Super, sold off investment properties (and paid your capital gains tax), flipped your shares, etc.
If you want to speak with someone who has been and done it and who is passionate about property and loves to share his knowledge; drop me a line or give me a call.
Warm regards
Bertram