Nov
30
What does it take to get into real estate investing?
Filed Under investing | Comments Off
kscavarda asked:
I am 19 years old and i am trying to figure out my career. I have a big interest in getting into Real Estate investing. But I don’t know how to get into it. Everybody tells me to find a mentor, but they are either so expensive or theres the decision if its worth the money or people tell me you have to be rich to start. There has to be a way around that. What does it take? Whats the best way? How do you start out? What are the steps?
Mitchell Fishing Rods
I am 19 years old and i am trying to figure out my career. I have a big interest in getting into Real Estate investing. But I don’t know how to get into it. Everybody tells me to find a mentor, but they are either so expensive or theres the decision if its worth the money or people tell me you have to be rich to start. There has to be a way around that. What does it take? Whats the best way? How do you start out? What are the steps?
Mitchell Fishing Rods
Nov
29
What do you know about the notion of investing surplus capital?
Filed Under investing | Comments Off
beauty&style guru asked:
i need to write at least three paragraphs about the investing of surplus capital and how it caused imperialism, and i cant find anything from google! i have no idea what to do, please tell me everything you know.
Give Me The Steps Of CPR
i need to write at least three paragraphs about the investing of surplus capital and how it caused imperialism, and i cant find anything from google! i have no idea what to do, please tell me everything you know.
Give Me The Steps Of CPR
Nov
25
investing tips, swing trading, investing journal
Filed Under investing | Comments Off
bruce jack asked:
Swing trading - a swing trader looks for short-term opportunities in the market to go long at a relative low, or get short at a relative high, with the expectation of closing their position in one to several days. Swing trading involves a longer time horizon than day trading, but avoid holding an open position beyond a week or two.
Swing trading can be effectively utilized on a part-time basis, allowing a trader to also have a day job. With the sophisticated conditional orders available through most online brokerages, it is not necessary to agonize over every market tick. A stop loss order will close your trade to limit losses, while a simultaneously placed order will capture the profits from your winning positions.
Investing tips - the stock market should present you with a wide variety of NEW stocks in 2009. Many of them are going to be new technology stocks that come from the financial, energy, & communications sectors. Investing tips - mostly seem promising, but the truth is that a good number of these trading & investing opportunities could be extremely risky, while others are simply not as good as they look. That’s why it’s very important to know how to choose among the best especially if you want to day trade them.
Why do so many investments fall through cracks? Experts blame everything from lack of information to wrong strategy and over-confidence about the swings in the market. Here, some tips that may get you find the tracks of investments.
1. Be consistent and organized. Make thorough efforts in whatever you do.
2. Be open to all the new thoughts and get out the myths of your bag.
3. Develop your own plans and play your own games.
4. Access quality investment information available at internet.
5. Diversify your knowledge and investments plans to various channels.
Investing Journal - this newspaper company has a price – to – earnings ratio of 11.3, a price – to – sales ratio of 0.93, a 5 year average return on capital of 17.6%, and a five year average pre-tax profit margin of 27.4%. Investing Journal - the Journal Register Company has an enterprise value – to – EBITDA ratio of 9.07 and an enterprise value – to – revenue ratio of 2.24. Obviously, this company is carrying a lot of debt. So, perhaps the multiples on the common stock price are deceptive.
Investing the stock market - Stock is a share in the ownership of a company. When a private company decides to divide its business and allows the public to be a part of the firm, then it sells shares of ownership through stock offerings. For example, if a company sells one million stocks and you buy one share, then you own one-millionth of that company and vice versa.
When a company sells stocks to the public for the first time, then it is called initial public offering or new issue. One of the major reasons of selling stocks is to meet the financial needs of the company for its growth and expansion. If a company plans for expansion and if the bankers of the company feel that borrowing money would be a heavy burden, they look to investors and/or shareholders to finance the growth of the company.
Investing commodities - now, brokerage firms offer a variety of investments, including equities, bonds, CDs, REITs, mutual funds, money market funds, government treasuries, real estate, options, futures, and other derivatives. The Internet, so crucial in relaying information, is an important source of data for today’s investors. The links herein relate specifically to investments and ventures.
Charts Candlestick patterns are used by each and every kind of trader. Day trading and swing trading utilize Charts candlestick as a way to read chart patterns quickly and efficiently, while getting the same data offered charts. Professional traders love charts candlestick because they can be read much quicker than a bar chart, while also allowing a different kind of technical analysis known as charts candlestick reading.
new investors - Investing is one of the most important decisions we must take. If you are new to investing then this is the best place to start. Investment is a learning process that requires one to implement their knowledge in a proper way. It is very simple to lose money and very tough to generate money. If you want to make your first investment you should get your capital in proper order. Once you started handling you expenditures, it will be must easier to start investment.
oil etf - all of the commodity ETFs (exchange traded funds) oil is probably the most exciting, as well as the most frustrating. Until very recently, the market price of oil ETFs has been steadily rising for quite some time. Is this a direct result of the increasing price of crude oil? In many ways it is. If you had invested in oil, in any capacity, a year or more ago, you are probably quite satisfied with your returns to date.
energy etf - This means that they watch the future prices and resources of the energies. For example, oil and gasoline are futures. These energy ETFs depend on the future prices of a barrel of oil as well as how much oil is being made and stored. In other words, will there be enough supply to meet the demand. If the prediction is that there won’t be enough, then the obvious follow up is that gas prices will continue to rise. Therefore, anybody owning these energy exchange traded funds are likely to make money on them.
10000 dollars - Some of the simplest strategies work the best but having 10000 dollars today to invest can be a daunting thing to do. Most investors start at the risk profile of any potential investment and doing this is the first step in making sure your investment not only pays off, but that your seed capital stays intact and is returned to you.
invest 10000 - Some of the simplest strategies work the best but having invest 10000 dollars today to invest can be a daunting thing to do. Most investors start at the risk profile of any potential investment and doing this is the first step in making sure your investment not only pays off, but that your seed capital stays intact and is returned to you.
investing 10000 - If each share costs ten cents then you can buy 10,000 shares with $1000. And if a share rises to $12 then you can easily earn $2000 by selling those 10,000 shares. You can sell the shares for $12,000 immediately after investing $10,000. That means you have not made 20% profit but its 100% gain.
Scented Candle Gift Sets
Swing trading - a swing trader looks for short-term opportunities in the market to go long at a relative low, or get short at a relative high, with the expectation of closing their position in one to several days. Swing trading involves a longer time horizon than day trading, but avoid holding an open position beyond a week or two.
Swing trading can be effectively utilized on a part-time basis, allowing a trader to also have a day job. With the sophisticated conditional orders available through most online brokerages, it is not necessary to agonize over every market tick. A stop loss order will close your trade to limit losses, while a simultaneously placed order will capture the profits from your winning positions.
Investing tips - the stock market should present you with a wide variety of NEW stocks in 2009. Many of them are going to be new technology stocks that come from the financial, energy, & communications sectors. Investing tips - mostly seem promising, but the truth is that a good number of these trading & investing opportunities could be extremely risky, while others are simply not as good as they look. That’s why it’s very important to know how to choose among the best especially if you want to day trade them.
Why do so many investments fall through cracks? Experts blame everything from lack of information to wrong strategy and over-confidence about the swings in the market. Here, some tips that may get you find the tracks of investments.
1. Be consistent and organized. Make thorough efforts in whatever you do.
2. Be open to all the new thoughts and get out the myths of your bag.
3. Develop your own plans and play your own games.
4. Access quality investment information available at internet.
5. Diversify your knowledge and investments plans to various channels.
Investing Journal - this newspaper company has a price – to – earnings ratio of 11.3, a price – to – sales ratio of 0.93, a 5 year average return on capital of 17.6%, and a five year average pre-tax profit margin of 27.4%. Investing Journal - the Journal Register Company has an enterprise value – to – EBITDA ratio of 9.07 and an enterprise value – to – revenue ratio of 2.24. Obviously, this company is carrying a lot of debt. So, perhaps the multiples on the common stock price are deceptive.
Investing the stock market - Stock is a share in the ownership of a company. When a private company decides to divide its business and allows the public to be a part of the firm, then it sells shares of ownership through stock offerings. For example, if a company sells one million stocks and you buy one share, then you own one-millionth of that company and vice versa.
When a company sells stocks to the public for the first time, then it is called initial public offering or new issue. One of the major reasons of selling stocks is to meet the financial needs of the company for its growth and expansion. If a company plans for expansion and if the bankers of the company feel that borrowing money would be a heavy burden, they look to investors and/or shareholders to finance the growth of the company.
Investing commodities - now, brokerage firms offer a variety of investments, including equities, bonds, CDs, REITs, mutual funds, money market funds, government treasuries, real estate, options, futures, and other derivatives. The Internet, so crucial in relaying information, is an important source of data for today’s investors. The links herein relate specifically to investments and ventures.
Charts Candlestick patterns are used by each and every kind of trader. Day trading and swing trading utilize Charts candlestick as a way to read chart patterns quickly and efficiently, while getting the same data offered charts. Professional traders love charts candlestick because they can be read much quicker than a bar chart, while also allowing a different kind of technical analysis known as charts candlestick reading.
new investors - Investing is one of the most important decisions we must take. If you are new to investing then this is the best place to start. Investment is a learning process that requires one to implement their knowledge in a proper way. It is very simple to lose money and very tough to generate money. If you want to make your first investment you should get your capital in proper order. Once you started handling you expenditures, it will be must easier to start investment.
oil etf - all of the commodity ETFs (exchange traded funds) oil is probably the most exciting, as well as the most frustrating. Until very recently, the market price of oil ETFs has been steadily rising for quite some time. Is this a direct result of the increasing price of crude oil? In many ways it is. If you had invested in oil, in any capacity, a year or more ago, you are probably quite satisfied with your returns to date.
energy etf - This means that they watch the future prices and resources of the energies. For example, oil and gasoline are futures. These energy ETFs depend on the future prices of a barrel of oil as well as how much oil is being made and stored. In other words, will there be enough supply to meet the demand. If the prediction is that there won’t be enough, then the obvious follow up is that gas prices will continue to rise. Therefore, anybody owning these energy exchange traded funds are likely to make money on them.
10000 dollars - Some of the simplest strategies work the best but having 10000 dollars today to invest can be a daunting thing to do. Most investors start at the risk profile of any potential investment and doing this is the first step in making sure your investment not only pays off, but that your seed capital stays intact and is returned to you.
invest 10000 - Some of the simplest strategies work the best but having invest 10000 dollars today to invest can be a daunting thing to do. Most investors start at the risk profile of any potential investment and doing this is the first step in making sure your investment not only pays off, but that your seed capital stays intact and is returned to you.
investing 10000 - If each share costs ten cents then you can buy 10,000 shares with $1000. And if a share rises to $12 then you can easily earn $2000 by selling those 10,000 shares. You can sell the shares for $12,000 immediately after investing $10,000. That means you have not made 20% profit but its 100% gain.
Scented Candle Gift Sets
Nov
24
Investing?
Filed Under investing | Comments Off
PLEASE HELP ME! asked:
hey, i have around 150$ and about how much is it to invest on something? what is investing? whats the purpose of it? do i have enough money? how will this help me? im under 18, so can i even invest? thanks
i also already own a walgreens stock. am i allowed to buy another stock, for maybe starbucks, walmart, target, i dont know, but something like that. what stock would you suggest for a second one?
for the investment, like something i can buy now for about one hundred fifty dollars, to about two hundred dollars.
Painting Vinyl Siding
hey, i have around 150$ and about how much is it to invest on something? what is investing? whats the purpose of it? do i have enough money? how will this help me? im under 18, so can i even invest? thanks
i also already own a walgreens stock. am i allowed to buy another stock, for maybe starbucks, walmart, target, i dont know, but something like that. what stock would you suggest for a second one?
for the investment, like something i can buy now for about one hundred fifty dollars, to about two hundred dollars.
Painting Vinyl Siding
Nov
23
How Much Money Should You Invest?
Filed Under investing | Comments Off
Paul Hata asked:
Knowing how much you should invest in the stock market is extremely important for any investor. Often, people look at the bull run of the stock market and the gains they will reap from their investments, forgetting the downside of the bear market.As a result, some lose their entire life savings and into financial turmoil.Cases of suicides and divorces are not uncommon as a result of losing one’s investment in the stock markets.
Many first time investors think that they should invest all of their savings. This isn’t necessarily true. To determine how much money you should invest, you must first determine how much you actually can afford to invest, and what your financial goals are.
1. Take a look at how much money you can currently afford to invest. Do you have savings that you can use? If so, great! However, you don’t want to cut yourself short when you tie your money up in an investment. What were your savings originally for?
2. It is important to keep three to six months of living expenses in a readily accessible savings account - don’t invest that money! Don’t invest any money that you may need to lay your hands on in a hurry in the future.
3. Determine how much of your savings should remain in your savings account, and how much can be used for investments. Unless you have funds from another source, such as an inheritance that you’ve recently received, this will probably be all that you currently have to invest.
4. Determine how much you can add to your investments in the future. If you are employed, you will continue to receive an income, and you can plan to use a portion of that income to build your investment portfolio over time. Speak with a qualified financial planner to set up a budget and determine how much of your future income you will be able to invest.
5. Do your research.For many types of investments, a certain initial investment amount will be required. Hopefully, you’ve done your research, and you have found an investment that will prove to be sound. If this is the case, you probably already know what the required initial investment is.
6. Seek the help of a financial planner so that you can be sure that you are not investing more than you should or less than you should in order to reach your investment goals.
7. If the money that you have available for investments does not meet the required initial investment, you may have to look at other investments. Never borrow money to invest, and never use money that you have not set aside for investing!
Rheem Gas Furnace
Knowing how much you should invest in the stock market is extremely important for any investor. Often, people look at the bull run of the stock market and the gains they will reap from their investments, forgetting the downside of the bear market.As a result, some lose their entire life savings and into financial turmoil.Cases of suicides and divorces are not uncommon as a result of losing one’s investment in the stock markets.
Many first time investors think that they should invest all of their savings. This isn’t necessarily true. To determine how much money you should invest, you must first determine how much you actually can afford to invest, and what your financial goals are.
1. Take a look at how much money you can currently afford to invest. Do you have savings that you can use? If so, great! However, you don’t want to cut yourself short when you tie your money up in an investment. What were your savings originally for?
2. It is important to keep three to six months of living expenses in a readily accessible savings account - don’t invest that money! Don’t invest any money that you may need to lay your hands on in a hurry in the future.
3. Determine how much of your savings should remain in your savings account, and how much can be used for investments. Unless you have funds from another source, such as an inheritance that you’ve recently received, this will probably be all that you currently have to invest.
4. Determine how much you can add to your investments in the future. If you are employed, you will continue to receive an income, and you can plan to use a portion of that income to build your investment portfolio over time. Speak with a qualified financial planner to set up a budget and determine how much of your future income you will be able to invest.
5. Do your research.For many types of investments, a certain initial investment amount will be required. Hopefully, you’ve done your research, and you have found an investment that will prove to be sound. If this is the case, you probably already know what the required initial investment is.
6. Seek the help of a financial planner so that you can be sure that you are not investing more than you should or less than you should in order to reach your investment goals.
7. If the money that you have available for investments does not meet the required initial investment, you may have to look at other investments. Never borrow money to invest, and never use money that you have not set aside for investing!
Rheem Gas Furnace
Nov
20
PB asked:
Where do I start?
Where do I start?
I am 24 years old and have never invested any money in anything except for a savings account at the bank. I am wanting to start putting my money to work to make more money. What do I need to do to start? I am completely new to all of this, so please answer in “The Complete Idiot’s Guide to Investing” style. Please give as many details as possible!
What I mean is stocks, bonds (whatever they are), etc… I don’t even know what else there is!
Thanks!
Painting Vinyl Siding
Nov
17
Investing?
Filed Under investing | 5 Comments
William S asked:
Hi, I am a 16 year old and I have been looking into investing. I do not have great knowlege on the subject, and I am looking for some information on it. How old do you have to be? How much money do you need to get started. Is there a way around risk, which I mean by knowing which stocks will go up or down. What kind of responsibilities would I have in ensurring that I get the best out of it. Is there anything I can do now to get a head start? Any help would be great, especially from those who are experienced investors. Thanks
Kitchen Cookware Sets
Hi, I am a 16 year old and I have been looking into investing. I do not have great knowlege on the subject, and I am looking for some information on it. How old do you have to be? How much money do you need to get started. Is there a way around risk, which I mean by knowing which stocks will go up or down. What kind of responsibilities would I have in ensurring that I get the best out of it. Is there anything I can do now to get a head start? Any help would be great, especially from those who are experienced investors. Thanks
Kitchen Cookware Sets
Nov
13
Safe Investing - Where to Start
Filed Under investing | Comments Off
Ann Marosy asked:
It is great that many people are now searching for good financial advice. With past generations, the typical financial advice passed down from parents to children was: buy a home, pay it off as quickly as possible and then - if you are really good at managing your money - buy an investment property.
Unfortunately, there are still a lot of people who think this is the safest and smartest way of increasing their wealth. Banks are still encouraging their mortgagees to pay off their homes “in only 8 years!”. There are even investment books that herald how quickly you can pay off your mortgage. Just follow these steps. But it’s the wrong long-term investment strategy. It always was and still is today.
Why? Because, firstly, you have broken the first and most important rule of investing: Don’t put all your eggs in one basket. Good investors understand and apply the rules of diversification. What happens if the property market falls? What happens if interest rates rise? Good investors know that residential property is the lowest performing category in the property sector. And then of course, there are all the problems associated with maintaining good tenancies and avoiding cashflow problems.
So what are the basics of sound, practical and realistic investing? Risk, return and timeframes.
RISK
All investments incur varying amounts of risk. This is caused by many factors: inflation, economic downturns, interest rate changes, movements in the market, wrong market timing, not diversifying your portfolio, borrowing risks or simply choosing the wrong investments.
However the good news is - risk can be managed. Good financial planning always includes planning for risk. The steps include:
1 Determining your risk profile
2 Understanding the risk levels of each investment asset class
3 Determining your timeframes
4 Creating a solid overall plan
5 Reviewing your plan at regular intervals
RETURN
There is an old, yet generally true saying in investing: The greater the return, the higher the risk - or loss of your investment. However, when you establish a calculated plan that allows for risk management, you can plan for the level of risk involved.
There is also many factors to be considered in the relationship between risk and return: The higher the short-term risk, the greater potential return in the long term. That is why assets such as shares, which may wildly fluctuate in the short-term, predictably outperformed other asset classes in the long term.
So, what constitutes return? When we talk about return on your investment we refer to the increase (or decrease - negative return) you receive from that investment. This arises from two sources: distributions (from either interest income or dividends paid) or capital growth of the asset.
TIMEFRAMES
Once you have an understanding of the relationships between risk and returns on investments, you can see how important it is to plan, set and maintain the right timeframes.
The timeframe is the essential glue that holds the financial plan together. Get them wrong and your whole plan falls apart. Get them right and your plan should purr along nicely, with only the minimum review.
THE 8TH WONDER OF THE WORLD
John D. Rockerfeller called Compound Interest the 8th Wonder of the World and for good reason too. Compound interest refers to the cumulative effect of re-investing the interest or returns that you receive on your investment. Interest is then paid on both the original sum invested and the accumulated interest. This has a major impact on the growth of your investments.
For example, if you invested 20,000 and received 10% interest per annum - not compounded - in 20 years you have the original $20,000 plus $40,000 in interest, equalled to a total of $60,000 at the end of the 15 year period. However, if you used the same scenario but compounded your interest, i.e. reinvested it back into the investment, you would have over $146,500.
Also, the more you add to your investments over that period of time, the greater your investment will grow. For example, if you added an additional $200 per month, you will have doubled that amount to $298,000.
When investing, it is therefore critical to the growth of your principle sum to ensure that the returns from your investment are compounded and, if possible, keep adding additional payments as you go. This, of course, is easier when you are within your working years. Later when you retire, you will be expecting to live off the returns from your investment and, therefore, the compounding effect will lose its effect.
Also, it is important to point out that the longer you invest and the sooner you start has a profound effect on the total sum you will have to retire on. A regular saving plan that quickly converts your savings into investments is the best strategy to follow, particularly for newcomers and novices to the investment scene, or for those who do not have a lot of cash reserves to start with.
Bamboo Steamers
It is great that many people are now searching for good financial advice. With past generations, the typical financial advice passed down from parents to children was: buy a home, pay it off as quickly as possible and then - if you are really good at managing your money - buy an investment property.
Unfortunately, there are still a lot of people who think this is the safest and smartest way of increasing their wealth. Banks are still encouraging their mortgagees to pay off their homes “in only 8 years!”. There are even investment books that herald how quickly you can pay off your mortgage. Just follow these steps. But it’s the wrong long-term investment strategy. It always was and still is today.
Why? Because, firstly, you have broken the first and most important rule of investing: Don’t put all your eggs in one basket. Good investors understand and apply the rules of diversification. What happens if the property market falls? What happens if interest rates rise? Good investors know that residential property is the lowest performing category in the property sector. And then of course, there are all the problems associated with maintaining good tenancies and avoiding cashflow problems.
So what are the basics of sound, practical and realistic investing? Risk, return and timeframes.
RISK
All investments incur varying amounts of risk. This is caused by many factors: inflation, economic downturns, interest rate changes, movements in the market, wrong market timing, not diversifying your portfolio, borrowing risks or simply choosing the wrong investments.
However the good news is - risk can be managed. Good financial planning always includes planning for risk. The steps include:
1 Determining your risk profile
2 Understanding the risk levels of each investment asset class
3 Determining your timeframes
4 Creating a solid overall plan
5 Reviewing your plan at regular intervals
RETURN
There is an old, yet generally true saying in investing: The greater the return, the higher the risk - or loss of your investment. However, when you establish a calculated plan that allows for risk management, you can plan for the level of risk involved.
There is also many factors to be considered in the relationship between risk and return: The higher the short-term risk, the greater potential return in the long term. That is why assets such as shares, which may wildly fluctuate in the short-term, predictably outperformed other asset classes in the long term.
So, what constitutes return? When we talk about return on your investment we refer to the increase (or decrease - negative return) you receive from that investment. This arises from two sources: distributions (from either interest income or dividends paid) or capital growth of the asset.
TIMEFRAMES
Once you have an understanding of the relationships between risk and returns on investments, you can see how important it is to plan, set and maintain the right timeframes.
The timeframe is the essential glue that holds the financial plan together. Get them wrong and your whole plan falls apart. Get them right and your plan should purr along nicely, with only the minimum review.
THE 8TH WONDER OF THE WORLD
John D. Rockerfeller called Compound Interest the 8th Wonder of the World and for good reason too. Compound interest refers to the cumulative effect of re-investing the interest or returns that you receive on your investment. Interest is then paid on both the original sum invested and the accumulated interest. This has a major impact on the growth of your investments.
For example, if you invested 20,000 and received 10% interest per annum - not compounded - in 20 years you have the original $20,000 plus $40,000 in interest, equalled to a total of $60,000 at the end of the 15 year period. However, if you used the same scenario but compounded your interest, i.e. reinvested it back into the investment, you would have over $146,500.
Also, the more you add to your investments over that period of time, the greater your investment will grow. For example, if you added an additional $200 per month, you will have doubled that amount to $298,000.
When investing, it is therefore critical to the growth of your principle sum to ensure that the returns from your investment are compounded and, if possible, keep adding additional payments as you go. This, of course, is easier when you are within your working years. Later when you retire, you will be expecting to live off the returns from your investment and, therefore, the compounding effect will lose its effect.
Also, it is important to point out that the longer you invest and the sooner you start has a profound effect on the total sum you will have to retire on. A regular saving plan that quickly converts your savings into investments is the best strategy to follow, particularly for newcomers and novices to the investment scene, or for those who do not have a lot of cash reserves to start with.
Bamboo Steamers
Nov
10
What is the Best Property Investment Book Ever?
Filed Under investing | Comments Off
Banjo Smyth asked:
Trying to find a good and ‘up to date’ property investing book can be quite a challenge. There is nothing worse than reading a property investing book that refers to property prices that are half what the current day values are. In my experience I have found that sometimes a good general investment book can be of just as much use as a specialist property investment book. Most real estate investors are actively investing in other areas so having a book that discusses real estate investing in relation to the stock market etc. can be very beneficial.What to look for in a property investing book?
The best property investing books should be written in an easy to follow - step by step fashion. It is no good if the reader finishes the book but still doesn’t feel like they have the confidence to start building their property portfolio. At times the facts and figures involved with property can become quite tiresome so it is also vital that the writer can deliver the information in a fun and entertaining way. Let’s have a closer look at three of the all time great property investing books.
More Wealth from Residential Property - Jan Somers
A fantastic property investing book that covers all aspects of how to purchase residential property. It literally covers every stage and detail that you need to know when buying your first (or 10th) investment property. Jan Somers writes in an honest and fun way and she doesn’t forget that most of the people reading her book probably haven’t ever bought an investment property before. There is a chapter that talks about renting vs. buying the house you live in and Jan mentions the fact that living in your own house can have great mental advantages that don’t come into consideration when you only look at the figures. This is a refreshing view point from a property investing professional as I often find that the writers of these property investing books can loose touch with reality but definitely not Jan Somers.
What I Didn’t Learn at School but Wish I Had - Jamie McIntyre
This book is a more general investing book but it covers some great real estate strategies. The first half of Jamie McIntyre’s book concentrates on the mental aspects of becoming a successful investor. He calls it developing the mindset of a millionaire. It is easy to want to skip over this section of the book but I promise you that if you haven’t developed your mental investing muscles then no matter how many great strategies you have you will find it hard to succeed. Whilst Jan Somers book goes into the real ‘nuts and bolts’ of Real estate investing this book covers some more elaborate and interesting strategies.
Go For Your Life - Chris Grey
This is a very underestimated book that didn’t receive anywhere near as many accolades as it deserved. It is basically a combination of the above two property investing books. It shows how Chris slowly bought the 6 investment properties that he currently owns.
You might be saying “6 properties - that’s not enough to write a book!” But this is the exact reason why it is such a great book. He explains how you don’t need to own 100 houses to be a successful real estate investor and enjoy the luxuries of life. By owning a handful of properties he has been able to obtain his dream lifestyle. So there you have it 3 great property investing books that you should definitely read before or after you start building your property empire.
All of them are filled with great property investing tips and secrets that will help you achieve your goals. The only thing missing from these books and form every property investing book ever written is the magic ingredient that makes you actually put the strategies into action. You will need to find that yourself! You can read as many books as you like but if you don’t ever take some action then you won’t ever achieve the success that you would like.
So what are you waiting for? Start taking action today by reading one of these books and then when you are armed with the required knowledge take the next step and start your investing career.
Point Of Use Water Heater
Trying to find a good and ‘up to date’ property investing book can be quite a challenge. There is nothing worse than reading a property investing book that refers to property prices that are half what the current day values are. In my experience I have found that sometimes a good general investment book can be of just as much use as a specialist property investment book. Most real estate investors are actively investing in other areas so having a book that discusses real estate investing in relation to the stock market etc. can be very beneficial.What to look for in a property investing book?
The best property investing books should be written in an easy to follow - step by step fashion. It is no good if the reader finishes the book but still doesn’t feel like they have the confidence to start building their property portfolio. At times the facts and figures involved with property can become quite tiresome so it is also vital that the writer can deliver the information in a fun and entertaining way. Let’s have a closer look at three of the all time great property investing books.
More Wealth from Residential Property - Jan Somers
A fantastic property investing book that covers all aspects of how to purchase residential property. It literally covers every stage and detail that you need to know when buying your first (or 10th) investment property. Jan Somers writes in an honest and fun way and she doesn’t forget that most of the people reading her book probably haven’t ever bought an investment property before. There is a chapter that talks about renting vs. buying the house you live in and Jan mentions the fact that living in your own house can have great mental advantages that don’t come into consideration when you only look at the figures. This is a refreshing view point from a property investing professional as I often find that the writers of these property investing books can loose touch with reality but definitely not Jan Somers.
What I Didn’t Learn at School but Wish I Had - Jamie McIntyre
This book is a more general investing book but it covers some great real estate strategies. The first half of Jamie McIntyre’s book concentrates on the mental aspects of becoming a successful investor. He calls it developing the mindset of a millionaire. It is easy to want to skip over this section of the book but I promise you that if you haven’t developed your mental investing muscles then no matter how many great strategies you have you will find it hard to succeed. Whilst Jan Somers book goes into the real ‘nuts and bolts’ of Real estate investing this book covers some more elaborate and interesting strategies.
Go For Your Life - Chris Grey
This is a very underestimated book that didn’t receive anywhere near as many accolades as it deserved. It is basically a combination of the above two property investing books. It shows how Chris slowly bought the 6 investment properties that he currently owns.
You might be saying “6 properties - that’s not enough to write a book!” But this is the exact reason why it is such a great book. He explains how you don’t need to own 100 houses to be a successful real estate investor and enjoy the luxuries of life. By owning a handful of properties he has been able to obtain his dream lifestyle. So there you have it 3 great property investing books that you should definitely read before or after you start building your property empire.
All of them are filled with great property investing tips and secrets that will help you achieve your goals. The only thing missing from these books and form every property investing book ever written is the magic ingredient that makes you actually put the strategies into action. You will need to find that yourself! You can read as many books as you like but if you don’t ever take some action then you won’t ever achieve the success that you would like.
So what are you waiting for? Start taking action today by reading one of these books and then when you are armed with the required knowledge take the next step and start your investing career.
Point Of Use Water Heater
Nov
6
My Little Nest Egg – an Investment Loan Helps Me Secure My Investment Property in Australia
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avi asked:
I recently decided the time was right to utilise some surplus cash I had available and began looking to purchase an investment property. Whilst it would have been easy to just dive in and find something that I could afford regardless of the location or potential growth, I thought it best to do some research knowing that my investment property was more than likely going to be a long term property investment for me. Timing was also good from an income perspective –I good easily demonstrate my capacity to service the investment loan I would need to complete the purchase and negatively gear the property. The “cost” of my investment loan after tax benefits were taken into account were considerably reduced.
When I began to think carefully about purchasing my investment property, I took such things as what economists were predicting as far as growth and property value increases as well as expenses that I would incur, both now and ongoing. This was definitely a decision I had to make with my head and not my heart. I also considered what was happening in the investment loan scene particularly in relation to features of an investment loan that could be advantageous for me as well as the general interest rate environment.
On the property front, my first port of call was to view the recent BIS Shrapnel report noting that by mid-2011, the median Sydney house price will climb from $560,000 to $650,000 - A senior economist at the firm, Jason Anderson, said the price rise would be spread across the city, helping cut the gap between Sydney’s two-speed property market. This was quite encouraging and meant that I could now look at a vast array of locations for my investment property. Whilst deciding on a local property, I also looked at the opportunity to perhaps purchase an investment property interstate, which is definitely something prospective buyers should focus on.
As far as investment loan product was concerned I checked out a number of mortgages until I found one that included a capitalising interest component. I wanted to make sure that in the event that I had surplus personal income I could apply as much as possible of this to my home loan repayment as opposed to subsidising my investment loan repayments. A capitalising feature in an investment loan also gives me some protection in case of unexpected maintenance costs on my investment or a prolonged vacancy.
The next important issue I had to consider when deciding on an investment property was the cost associated with the purchase. There were the up-front costs such as loan fees, legal fees and government charges as well as the ongoing costs such as maintenance costs, real estate agent’s fees (rent collection), loan repayments, government taxes, etc. From a discussion I then had with my accountant, I discovered that as this was to be an investment property, most of the costs associated with the purchase, both up-front and ongoing, were tax deductible, either in the year I incurred them or in some cases they had to be spread out or amortised over a 3 or 5 year term.
I also checked out the possibility of borrowing these costs within my investment loan. This is always a possibility but I discovered that if your investment loan exceeds 80% of the purchase price then the costs increase – basically it did not seem worthwhile to take my investment loan past 80%. I did realise however that if I included my home property as security for the investment loan (I had quite good equity in my home) then this meant that I could borrow 100% + costs on the purchase within the investment loan. This again meant that instead of applying my savings to the investment purchase (and taking a smaller investment loan) I applied this to the reduction of my non-deductible home loan debt and increased my investment loan debt. Increasing the investment loan like this was much more tax efficient for me.
Having done my own property research and having sourced an excellent investment loan I now felt at ease with my decision to go ahead and start to look in earnest for a property.
I am now the proud owner of an affordable investment property that I negatively gear for taxation purposes through my investment loan. With the help of a reputable non-bank home loan provider, I have structured my home and investment loans to maximise my tax benefits.
When thinking about purchasing an investment property and looking for an investment loan it would always be advisable to thoroughly research the current real estate market, source qualified information about where the market is heading both locally and interstate as sometimes this may be a more profitable option and finally, speak to qualified financial consultants as this could potentially save you thousands when claiming deductible expenses. And don’t forget to make sure your home and investment loan are structured properly so that you are minimising your tax bill as much as possible.
Candy Vending Machines
I recently decided the time was right to utilise some surplus cash I had available and began looking to purchase an investment property. Whilst it would have been easy to just dive in and find something that I could afford regardless of the location or potential growth, I thought it best to do some research knowing that my investment property was more than likely going to be a long term property investment for me. Timing was also good from an income perspective –I good easily demonstrate my capacity to service the investment loan I would need to complete the purchase and negatively gear the property. The “cost” of my investment loan after tax benefits were taken into account were considerably reduced.
When I began to think carefully about purchasing my investment property, I took such things as what economists were predicting as far as growth and property value increases as well as expenses that I would incur, both now and ongoing. This was definitely a decision I had to make with my head and not my heart. I also considered what was happening in the investment loan scene particularly in relation to features of an investment loan that could be advantageous for me as well as the general interest rate environment.
On the property front, my first port of call was to view the recent BIS Shrapnel report noting that by mid-2011, the median Sydney house price will climb from $560,000 to $650,000 - A senior economist at the firm, Jason Anderson, said the price rise would be spread across the city, helping cut the gap between Sydney’s two-speed property market. This was quite encouraging and meant that I could now look at a vast array of locations for my investment property. Whilst deciding on a local property, I also looked at the opportunity to perhaps purchase an investment property interstate, which is definitely something prospective buyers should focus on.
As far as investment loan product was concerned I checked out a number of mortgages until I found one that included a capitalising interest component. I wanted to make sure that in the event that I had surplus personal income I could apply as much as possible of this to my home loan repayment as opposed to subsidising my investment loan repayments. A capitalising feature in an investment loan also gives me some protection in case of unexpected maintenance costs on my investment or a prolonged vacancy.
The next important issue I had to consider when deciding on an investment property was the cost associated with the purchase. There were the up-front costs such as loan fees, legal fees and government charges as well as the ongoing costs such as maintenance costs, real estate agent’s fees (rent collection), loan repayments, government taxes, etc. From a discussion I then had with my accountant, I discovered that as this was to be an investment property, most of the costs associated with the purchase, both up-front and ongoing, were tax deductible, either in the year I incurred them or in some cases they had to be spread out or amortised over a 3 or 5 year term.
I also checked out the possibility of borrowing these costs within my investment loan. This is always a possibility but I discovered that if your investment loan exceeds 80% of the purchase price then the costs increase – basically it did not seem worthwhile to take my investment loan past 80%. I did realise however that if I included my home property as security for the investment loan (I had quite good equity in my home) then this meant that I could borrow 100% + costs on the purchase within the investment loan. This again meant that instead of applying my savings to the investment purchase (and taking a smaller investment loan) I applied this to the reduction of my non-deductible home loan debt and increased my investment loan debt. Increasing the investment loan like this was much more tax efficient for me.
Having done my own property research and having sourced an excellent investment loan I now felt at ease with my decision to go ahead and start to look in earnest for a property.
I am now the proud owner of an affordable investment property that I negatively gear for taxation purposes through my investment loan. With the help of a reputable non-bank home loan provider, I have structured my home and investment loans to maximise my tax benefits.
When thinking about purchasing an investment property and looking for an investment loan it would always be advisable to thoroughly research the current real estate market, source qualified information about where the market is heading both locally and interstate as sometimes this may be a more profitable option and finally, speak to qualified financial consultants as this could potentially save you thousands when claiming deductible expenses. And don’t forget to make sure your home and investment loan are structured properly so that you are minimising your tax bill as much as possible.
Candy Vending Machines