This ‘3 word’ investment strategy leads to struggle street!

 “Every Battle is Won Before it’s Ever Fought”

Sun Tzu, the Art of War

Why do some investors just buy one or two investment properties and ‘stop there’…

While others build substantial property portfolios that pay them a healthy income for life?

After, personally coaching literally thousands of investors one-on-one here’s Todd Polke’s view:

“I’ve discovered that most investor’s strategies is – “buy and …”

No, not buy and hold.

It is “Buy and Hope!”

They buy a property, cross their fingers and hope it goes up in value!

Maybe it does and maybe it doesn’t, but just purchasing good deals isn’t a guarantee of a becoming a successful investor.

These investors haven’t considered all of the other factors in the equation, and the major sticking points in most people’s portfolios.

Their view is too short sighted – and frankly it can often lead to poor financial results.

To be a successful investor you cannot just consider what your next deal will be and ignore the bigger picture.

Whenever I’m working with clients on a strategy, I consider not only the current deal but their future deals as well.

For every property deal I review, I always have the next two deals – at least – in mind and am always considering how the current deal will impact their portfolio in three to five years.

I also reflect on the purpose the deal is serving for their overall wealth creation strategy.

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Here’s the key point to remember: always buy a property with the next two property deals in mind.

To help you do that, ask yourself the following questions:

  1. How is this deal going to help me get the next five properties in my portfolio?
  2. How could it hold my back on my journey?
  3. Is this the most effective use of my money, at this point in time?
  4. What is the outcome I expect from this property?
  5. What is the purpose of this property in my portfolio right now? Is that purpose going to change moving into the future?

Simply answering those 5 questions can help you be a more strategic investors, who builds a cashflow-rich portfolio for your retirement.

Hope that helps you in structuring your portfolio the right way.

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