Now more than ever before, to be successful in property investing you need the right investing rules to guide you.
Here’s some of Todd Polke’s investing rules that guide him in growing his property wealth faster and with more confidence.
1. Property investing is a business and needs to be treated that way
This means you have a clear plan to follow. You know your numbers. You research each deal thoroughly. You invest strategically. You have an ‘All Star’ team around you.
One thing that Todd does that helps him is he books a ‘money night’ every week.
This means he takes 60 minutes to review his entire portfolio, loans, cashflow etc. The secret to making this enjoyable? Wine!
2. Get caught up in the outcome – not in the property itself
We’re not buying the properties, because we love acquiring human shelter!
We’re buying an asset that will give us financial return – and ultimately lifestyle freedom.
Keep your eyes on the prize of what investing is really about. What’s your end result? Then create a game plan to get there.
3. Focus on the 3 stages of investing – acquisition, consolidation, lifestyle
When you understand what phase of property investing you’re at, it becomes easier to make decisions about your next move – and the next. This is about being a strategic investor.
4. It’s not about the number of properties you have
What good is it, if you’ve got 20 properties, but only $100,000 in equity and negative cashflow?
Wouldn’t you prefer 2 or 3 prime capital city properties owned debt free, that pay you $1,500 plus a week?
Forget the ego trip. Keep your eyes on what your ultimate goal is so you get there sooner.
5. Buy every property – and make each financial decision – with the next 3 moves in mind
This is critical – because the wrong property choice can ‘stunt’ the growth of your portfolio for years.
Each property must be chosen strategically so it can leap frog you into the next and the next.
This is the secret of ‘compounding growth’ that the world’s richest investors use to grow their family fortunes.