Just imagine having cash land in your bank account every month for the rest of your life, after having done the work to earn it just once. Also, imagine having a healthy pension pot which grows for you month-on-month.
It’s really possible if you switch your mindset. I changed mine, from a poverty mindset of feeling fearfully dependent to a wealth mindset of feeling fiercely independent. Doing this changed my life from a financial point of view.
“It’s a huge mistake to leave your financial future to chance or to rely on someone else to take care of money issues for you. As selfish as it may sound, you need to put yourself first.”
Time is exchanged for money in the normal world of work. In that world, very few people have the time or the means to lead the lifestyle that they truly want and deserve. Many are chained to their desks, confined to a 9-to-5 job and are caught up in the hamster wheel of life going round and round day after day.
It’s a huge mistake to leave your financial future to chance or to rely on someone else to take care of money issues for you. As selfish as it may sound, you need to put yourself first. Life may not be your friend. It may not give you any handouts or make things easy for you. It will, for sure, throw obstacles in your way when you least expect them. The question is, are you prepared for them?
I became financially independent through property investment. In a nutshell what happened to me was that my marriage broke down, leaving me alone with my nine-month-old daughter to look after. The benefits office informed me that I wasn’t entitled to any financial assistance. I realised that I couldn’t depend on anyone else and had to take charge of my own finances. So, reluctantly and in order to survive, I became an accidental landlady by renting out rooms in my house. And over time and step-by-step, I built up my property investing business on a part-time basis.
Every time that I faced a challenge in my life, the income from my rental properties came to my rescue. It allowed me time to reflect and to plan my next steps without stressing about my monthly bills.
Of course, during the process, I made many mistakes. But I learned from them and bounced back. Now I have a portfolio worth several million and I teach others to control their financial destiny in a safe, speedy and certain manner.
“Mindset is so important and is what can hold people back.”
Mindset is so important and is what can hold people back. I carried out a survey of 1,000 women as part of the research for my book Power Property Investing for Women to find out what women thought about investing and their fears and beliefs. The top reasons why women want to invest in property are as follows.
- A desire to become financially independent.
- Wanting a passive income.
- Wanting security.
- Needing a secure pension.
- To provide for their children and to leave a legacy.
- To be in control financially instead of relying on others such as the government, a man or their parents.
The main reason why women don’t invest in property is that they are scared to. Women are often fearful. Yet we know, deep down, that if we take action it will be good and even better for us in the long-run. But it is fear that holds us back. I’m sure you have heard that FEAR can stand for…
- Forget Everything And Run
- False Evidence Appearing Real
- Face Everything And Rise
As a former divorce lawyer, I came across many people who end up staying in unhappy relationships and in unsatisfying jobs because of money issues. Life can get in the way as you climb the career ladder. The busier you get, the less time you have for other endeavors.
Here’s the truth – you cannot rely on anyone other than yourself with 100% certainty. You and you alone are responsible for your actions and your life.
There are so many ways to make money and property is just one investment vehicle. Overall property has always represented a good long-term investment opportunity and never more so than right now. However, a caveat to that is buying the right investment properties for you in your personal and financial circumstances.
Why I believe Property is a great investment vehicle?
Here are some very good reasons why you may consider investing in bricks and mortar.
1.The housing shortage
Published in 2004, the Barker Report concluded that the UK needed to build an additional 120,000 new homes every year to keep up with the demand. That figure has not been achieved once. In fact, the housing shortage crisis has got worse because the figure that is now being reported is over 300,000 new homes a year need to be built. And as we all know, low supply equals high demand.
2. Leverage opportunities
No other asset class offers the opportunity to leverage in the way that property does. Banks lend against the property at the level that they do because it is seen as having a fundamental “bricks and mortar” asset value. In the UK, the property has increased in value by an average of 10.2% per year. History shows that, on average, UK property prices actually double in value every nine years.
3. Loans are available
Banks and mortgage companies are happy to provide funds for property investments. The ability to refinance a property means that you, as an investor, can end up with an income-producing asset that doesn’t tie up your own capital. Being able to get to this point will depend on many factors including whether you buy at a good price and how well you add value. This can enable you to re-finance in the future and release the money originally invested. By re-investing that money in another income-producing property, you are expanding your portfolio and maximising the return on your capital.
4. Opportunities for everyone
The wide range of opportunities to make money from property investing is exciting and is one of the reasons why so many people use it as a wealth-creation vehicle. Property can work for you whether you want:
- an ongoing income;
- a short-term, medium-term or long-term gain;
- a pension plan;
- a home for your children in the years to come; or
- a lump sum return in the future.
Your money-making options within the property investing world include, but are not limited to:
- investing in buy-to-lets for single or multiple occupancy lettings;
- renovating properties to either sell them for a profit or refinance and rent them out;
- investing in new builds;
- buying land to either develop yourself or sell on to a developer;
- converting properties into flats;
- converting commercial premises into residential units;
- running a holiday let business;
- sourcing properties;
- managing and letting properties; and
- running an estate agency.
5. Recession-proofing
Rented-out properties can provide you with cash flow so you can ride out recessions and uncertainty. After all, people will always need a place to live so property will never go out of fashion.
6. Control of your own investment
Unlike other investment options, with the property, you can decide where and how you buy properties and what you do with them. While you cannot control government policies, planning rules, and regulations, mortgage rates or the property market as a whole, you
- do have the power to control:
- the type of properties you invest in;
- the type of mortgage product you have;
- the type of tenants you have living in your properties;
- the amount of rent you charge, depending on market conditions;
- the level of renovation work you carry out and the amount you spend;
- how you add value to your properties;
- how much you spend on maintenance costs each month; and
- whether you manage the property yourself or hand it over to a management agent.
7. Property investing is a business
By putting the right systems and a team in place to source, acquire, refurbish, let and manage a property portfolio, you can reap considerable financial rewards for relatively little time or effort on your part. This can free up your time to either focus on high-value aspects of your business or simply to enjoy some of your favorite pastimes and leisure activities. Property investing is a business and you need to have the ability to establish and manage your office in a way that works for you. As long as you set it up correctly, your business can be systemized to function as a money earner, whether you’re there or not.
8. Property can make you wealthy
Property investing has created more millionaires and billionaires than any other asset investment option. Many business owners, celebrities and sports professionals have land and property as part of their investment strategy. Many people fear the losses they might make in the property market when prices fall. However, bear in mind that they are not real losses unless a property is actually sold. If purchased correctly, a property can continue to generate healthy cash flow during a downturn in the market and the investment can be sustained until prices rise again.
Property investing isn’t a “get rich quick” scheme. So, if you are looking for a speedy way to financial independence, property investing isn’t for you. It’s a long-term game. The amount of income you want to achieve and the timescale to achieve it depends on you.
The time it can take to become wealthy can be as short as 12 months or as long as 15 years, which may seem disheartening. Life has a way of marching on, and then one day, we wake up and realize that 10 to 15 years have slipped by and we wonder where the time went. In 15 years, if you apply just a few good financial habits, you can quietly accumulate many investment properties slowly and steadily.
As mentioned earlier, I get a massive kick out of working with beginners rather than seasoned investors. With seasoned investors, they just need the next strategy for them, accountability and also opportunities to network with the right people. With beginners, I love seeing the journey my mentees make from being fearful to fearlessly independent, watching their success, and seeing the difference it makes to their lives. That truly gives me a sense of purpose.
I have countless examples of success stories that will inspire you. One such story is that of 63-year-old Malcolm, an engineer who had no pension. He was scared about investing in property due to his age, lack of experience and he naturally worried about making mistakes and losing his small saving pot. However, we worked together and, step-by-step, he purchased three investment properties during his mentorship. Then, out of the blue, he posted a message on my Facebook page to say: “Thank you for an inspirational mentorship. Within 12 months I have purchased 12 properties and I have a portfolio worth £1 million and I am now helping others to do the same.”
Another lady, Boyana, aged 29, was introduced to me by a mutual friend. She stated that she was tired of working on someone else’s plan and wanted to have freedom and choices over her finances and life. She wanted to buy two investment properties on her mentorship. This she achieved within five months receiving £800 in cash flow from each property.
Once you have decided to start investing in your financial independence you have four options as to how to move forward.
- Doing it yourself based on what you already know or what you learn. With this approach, you may make novice mistakes.
- You could get financially educated to learn the processes and then do it yourself.
- Seek the guidance and support of a property mentor to assist with the shortcuts. When I first started I had no mentor and I made countless mistakes. I now help other people achieve their financial goals in a safe, speedy and certain manner.
- Use the services of a sourcing agent, if you have the money or access to money to invest or you don’t have the time due to your other work or other personal commitments. They will find the properties for you for a fee. However, always remember to do your own due diligence.
Financial transformations only work with the right mindset. Going from feeling fearfully dependent to feeling fiercely independent changed my life from a financial point of view. You can do the same because. as I always say, “If I can do it, then so can you.”
To finish, I have a few gifts for you to get you started on your path to financial freedom:
- How to unlock your money blockages (MP3 download)
- How to deal with your inner voice and how to get started.
- Go to http://www.smartcorewealth.com/gw to claim your free gifts.
Here’s to your success.
