The end goal for any business venture is to make
1. Buy real estate in upcoming neighbourhoods.
When investing in real estate, this should be one of the most important things at the back of your mind. Most people move into upcoming neighbourhoods and as the portfolio of the resident increases, the area becomes more expensive. As the neighbourhoods become more sought after, the property will be appreciating and this is a win for you.
Once you own a property and rents go up, it’s stupid to sell. Never sell your property except you really need to, because it can only keep appreciating.
2. Know your ‘why’ before investing.
Real wealth isn’t about money or portfolios. Real wealth comes when you discover the gifts God has given you and use them to help others. To achieve lifelong wealth, find your “why” and use it to share your gifts. Your “why” should be something that deeply motivates you and is connected to your overall life purpose.
If your “why” leads you to invest in or launch a business, planning is key, and working in your area of passion is critical. When researching, look at all the information that’s available to support your venture. Also, have a clear sense of your end goal and an exit strategy.
It is your Why that will fuel your passion to keep going.
3. Rent out residential real estate.
Invest in residential real estate that you can rent out. Surviving the tough times is just as important as riding out the good times. But everyone must live somewhere — regardless of the economy. Flats, Single Rooms and Apartments are especially easy to rent, sell and finance. They also maintain their value in the event of a downturn.
When investing in residential properties, ensure that any purchase you make produces both acceptable cash flow and can appreciate over time. The smart investor never just relies on one or the other.
4. Time the market.
It is best to know when to buy real estate. Buying at a time when a property isn’t too popular or when it is being sold by the indigenous owners who don’t know the value is the best. To optimize your capital gains, timing is everything.
5. Do your homework, and then follow your gut.
Whether you’re investing in stocks, companies or real estate, doing your homework will save you from a lot of stress and heartache in the future. Rely on the data you gather and your instincts, not just your financial advisors. The best deals I’ve made were informed by my intuition. The worst were when I ignored it. If you can learn to trust your instincts, you will do yourself a lot of good.