So why don’t investors own more properties?
Well, generally it’s because they make one of the following mistakes, which stymie their chances of growing a portfolio.
SUMMARY
1. Property investing as a hobby – not a business
2. No strategy - What type of property do you need to buy to meet your income goals?
3. The wrong strategy
4. Changing strategy
5. Unrealistic expectations
6. Cash flow concerns
7. Overconfidence
8. Getting side tracked by the media
9. Not recognising that there are multiple property markets in Australia
10. Not recognising that location does 80% of the heavy lifting for capital growth
11. Not owning investment-grade properties
12. Doing it alone
You really need to plan!
There seems to be a disconnect between what is myth and reality when it comes to the number of investment properties that people own. We sometimes hear about “greedy” investors who own dozens of properties when this is not really borne out by the facts.
Did you know that around 70 per cent of the 2.2 million property investors in Australia own one solitary property?
And despite the property boom we've experienced in 2020-21, of those 2.2 million property investors in Australia, only a tiny percentage – around 20,000 people as it turns out – own six or more investment properties.
Only owning one investment property isn’t going to help you achieve financial freedom.
EXTRACT THANKS
Michael Yardney 23/01/2023
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