First homebuyer to property investor – savvy goal setting will help you make the leap!
We know that the key to successful property investment is savvy goal setting. It is what separates those who create significant personal wealth through property investment from those who don’t!
A simple concept, when it comes to building a strong property portfolio it takes detailed thought and planning. Whether you’re making your first move into the property market or you’re a seasoned property investor expanding your portfolio, every property investment decision you make should start with a set of clear and achievable goals. Investing in property is a significant financial commitment that can change your life – for better or for worse.
Plan ahead
You’ve probably heard the saying ‘fail to plan and you plan to fail’. Whilst plans don’t always play out exactly how we intend them to, they guide us on our journey. A detailed investment plan will help you determine what you can manage, the timeframes required to achieve your goals, and the steps you need to take to reach them.
Ask yourself – what do I want to accomplish? Where do I see myself in five, ten and even twenty years’ time? This is what you should be basing your goals and objectives around.
Typical answers to these questions include wealth, financial freedom, and the ability to determine your lifestyle when you retire. We encourage you to think deeper. The problem with these outcomes is they’re not measurable. In order to adequately prepare yourself for the property investment journey, you must first formulate specific outcomes that allow you to keep track of your progress over time. That way, you will be able to monitor which investments bring the best returns, which ones remain solid through periods of instability and keep track of your overall growth to ensure you stay on target.
Establishing personal goals
You should start by setting a long term goal with a specific deadline and work backwards from that. This goal should be tailored to your individual needs but, more specifically, it needs to be measurable, deliverable and most importantly have a deadline. Then compile a list of smaller goals that you which to achieve along the way. Again, these need to have a specific deadline.
Breaking your goals into long term, medium term and short term allows you to track your progress and modify your approach if things aren’t quite going to plan.
Know your limits
One of the most important aspects of establishing your investment goals is to know your limits. It’s important to have an understanding of what you can and can’t manage. Think about yourself as an investor and how you relate to money. This is how you establish your investment comfort zone. Do you like to take risks? Or do you prefer the calm of a reliable, proven investment? Some investments are more secure than others. If you already fear your journey before you begin you are setting yourself up for failure. Always invest based on your personal risk profile.
You need to be aware of where your strengths and weaknesses lie. What knowledge and skills are you bringing to the table? Do these skills align with the financial status you want to reach as you build your property portfolio? This is where you determine how long it will take to reach your objectives and the type of assistance you’ll need along the way. Enlisting the help from a professional and experienced mortgage broker such as Focus Property Wealth can make this process a lot less daunting. With key taxation strategies, property portfolios and specialised loan products, Focus Property Wealth provides an integrated financial support system which will keep you on track to reaching your goals.
Now you understand how to set your property investment goals it’s time to start planning! We are here to assist you every step of the way. We will help you plan for the future. Complete the inquiry from above or call Focus Property Wealth on 08 6162 6577 today.