Secret Of Property Millionaires Part 2

Secret of property millionaires always remain risk conscious whereby their portfolio is proven workable no matter economy good or bad. Not many people having recession proof portfolio. Recession proof is whereby majority of the assets are having low loan balances or even better if it is free from encumbrances. Yes..Free from any loan and 100% own by you. That means in the event of economy crisis you don’t need to worry about all the repayment and of course spike up of interest rate is not related to you at all. You are basically sitting on the assets especially vacant lands that grow in value day by day like what I mention in my previous articles on “You cannot grow Land”. I have repeatedly mentioned the beauty of owning a land and how the rich’s has benefit from their vacant land portfolio. My advice to all, those who leverage too much with bank facilities must naturalize it by diversify your portfolio into vacant land. I know vacant land can’t give you any cash flow but in long term land has proven to be the best performer in terms of return over your capital. And I also fully aware that you need huge capital in acquiring vacant land but what to do, if you don’t do it now do you think the price will stop rising? The answer is “NO”. Of course another strategy to protect yourself from recession risk is to borrow less every time you purchase property. Say 70%, as this will reduce your monthly commitment and in the event the rental is not coming in, at least you still can cover your low monthly repayment. This will not only protect you from loan default but also help you to save interest cost over the long run.

The last strategy of the property millionaires is to start young. Instead of starting at the middle age of your life, you might as well start now and stop when you reach middle ages. Look at people around you, I bet most of them will tell you they will start next year when they have money. But I can tell you the day will never come simply because as we grow older, our commitment and responsibility will gradually increase together with our earning. Increase in responsibility and commitment simply means increase in our daily expenses. These unavoidable expenses are like housing loans, children expenses, house renovation, marriage expenses and etc. So you have no choice but to cut down all your unnecessary expenses before you are 30 years old otherwise you are “gone”. I assume you are person who take full responsibility as father and husband after you are 30 years old. Don’t ever trade your own life for short term pleasure. Take it seriously as we only walk through our life once. There is no repeat in our life.

With all the above secrets, I can assure you, your destiny to millionaire is clearer and faster. But the main rules to become property millionaires is to start young…with longer time frame you can afford to make more mistakes. So don’t take your life for granted. Everyone here going to be successful if you make it right at the first step and you can even afford to spend all your hard work money if you start young. Look at me, even from today onwards if I decided to stop accumulating property, can I afford to do so? Yes…Why? Remember, as long as I didn’t sell my properties it will continue to grow without much effort. I can start spend every single cent I earned from my employment income enjoying my life especially trip to overseas which I wish to go many years ago. Oh ya..For your information, since I started working 10 years ago, my best trip is only reaching Thailand and that is since 2005.
Only 3/64 pages use after 5 years :(

Only 3/64 pages use after 5 years :(

So ashamed to tell you that I only utilized 3 pages out of 64 for my passport before it expired last year!! Hope coming year I will spend more time travelling around seeing other part of the world to expand my exposure and knowledge. So what more you need to wait? Start now when you are young and I hope all of us will get rich and retire young. Nothing is impossible and don’t forget live below your means. Happy Investing.

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