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View Full Version : Only 10% invest in IP's but other excuses


kincella
10-01-2009, 10:12 AM
copy of a post I made on another site today...to make you think....
.................................................. ................................................

just read parts of Jan Sommers 'building wealth in changing times'...it was first released in 1994.....
I did not buy it until 2002, after I had purchased the bulk of my props....and only then because of all the gush surrounding the book.....and to see how her methods compared to my own assumptions....

interesting reading parts of it again....less than 10% of the population invests in property,
the following is extracts from her book
.................................................. .......

then there are all the excuses people have for not investing....here are just ten of the main excuses

1. I am afraid to borrow money (the most common)
2. I cannot afford to ( the next most common)
3. waiting for interest rates to go down
4. I might become unemployed
5. waiting for house prices to go down
6. waiting for inflation to go down
7. waiting until I have saved some money
8. too many people in property already
9. waiting for the right time
10, my friend, spouse, uncle, or grandfather don't think its a good investment
*** FEAR of all or any of the above
Human nature
apathy, inertia, laziness, lack of time, lack of confidence in one's own ability to make decisions

90% of the worlds wealth is in the hands of 10% of the population....
that 10% overcome fear,inertia, and lack of confidence, and go and do something about it....
% of the population
.................................................. ........
some or all of the above sound familiar to you ???
well most of it comes from the bears .....they all have some excuses or many excuses.....and it comes in the form of the arguments they have against property as an investment......
hence the reason there are so few property bulls....less than 10% of the population invest in property....90% do not...
but 70% of the population buy their own home.....
I think its funny
end of copy
.................................................. ..............................

Wildkactus
13-01-2009, 02:41 PM
I find this interesting,
I found that getting the first home was the hardest, then it was all down hill from there.
Anyway if only 10% have IP's all the more for me.

I guess most think that the family home is all they need.

kincella
13-01-2009, 03:29 PM
Sommers wrote her books, after her own experiences in property,,,just your average investor on an average wage...she was a maths teacher, then stayed home to start a family...did the property thing on one wage, and to boost their family income....
and as a warning to others that living on a pension for retirement is akin to living in real poverty...
agree most people think owning the family home and looking forward to a pension will be ok....age pension now is about 13,000 pa...
I enjoy the property investment, most of the time its passive...every now and again there are hiccups to deal with...but basically looks after itself.
cheers

bluelabel
17-01-2009, 06:39 AM
then there are all the excuses people have for not investing....here are just ten of the main excuses

1. I am afraid to borrow money (the most common)
2. I cannot afford to ( the next most common)
3. waiting for interest rates to go down
4. I might become unemployed
5. waiting for house prices to go down
6. waiting for inflation to go down
7. waiting until I have saved some money
8. too many people in property already
9. waiting for the right time
10, my friend, spouse, uncle, or grandfather don't think its a good investment
*** FEAR of all or any of the above
Human nature
apathy, inertia, laziness, lack of time, lack of confidence in one's own ability to make decisions

Haha, i think i use all 10 excuses at once!! id like to see how she did it, sounds like a good read. I'm going shopping!! (dang, i sound like my wife...:sly:) In the meantime is there a link to an extract or something you can post for others who are interested?

:bier:

blue

kincella
17-01-2009, 12:47 PM
bluelabel,
I have the book...am sure there will be extracts on line....need the time to trawl....probably not today,,,,but I will post a link when I find it
cheers

kincella
17-01-2009, 04:21 PM
ok...here they are on ebay...but you can search the net ...lots of chat about her books....Jan Somers...I only have the one book cost about $25 8 years ago
otherwise just copy my post with the list of excuses...print it out and hand it around.....
or put it on the wall to remind you...I have a 100 year chart of house prices on the wall to remind me....where we are going


http://cgi.ebay.com.au/BEST-SELLER-Jan-Somers--3-BOOKS-----Building-Wealth_W0QQitemZ300286621679QQcmdZViewItemQQimsxZ2 0090114?IMSfp=TL090114127001r17059

bluelabel
17-01-2009, 04:45 PM
otherwise just copy my post with the list of excuses...print it out and hand it around.....
or put it on the wall to remind you...I have a 100 year chart of house prices on the wall to remind me....where we are going

Theres a good idea right there..Done! it's on the wall

Also, where on earth do you get a 100 year chart of house prices?

:bier:

blue

kincella
17-01-2009, 05:20 PM
ok here is a 20 year chart for starters
http://www.aph.gov.au/library/pubs/RN/2006-07/07rn07.pdf

and another world wide prices...click on tha alpha list...and scroll down the page etc
http://www.globalpropertyguide.com/real-estate-house-prices/A

and interest rates for 20 years
http://www.globalpropertyguide.com/real-estate-house-prices/A

and for a good read on why houses are unaffordable and the answers to how to fix the problem
http://www.demographia.com/dhi-ix2005q3.pdf

I have to find my link to the 100 year graph in my fav's list
cheers

kincella
20-01-2009, 03:51 PM
this is the US chart...note it only goes to year 2000, ( I dont like this chart, not sure that it is correct after being adjusted for inflation)...I prefer to see the original prices (obviously over rode my old chart, and this one is everywhere, copied by bloggers)

but look up the 20 year charts from 1986 to 2006....and note they are AUS prices....AUS is the king of home ownership....its like its in our genes..
EUR used to be only 50% owners and 50% renters...not sure if they changed.
and US were similar ...not as high as we are at 70% owners..

it really does make a difference between countries....the difference....owners compared to investors....might help to explain our houses do not move down like the others
http://graphics8.nytimes.com/images/2006/08/26/weekinreview/27leon_graph2.large.gif

kincella
20-01-2009, 04:55 PM
Sommers book from 1992 mentioned only 1% of the population owned multiple investment properties....and only .01% owned 5 or more ....
in my view that adds up to a whole load of experience....or sheer luck, and some added stress...admittedly all mine were acquired since 2000...and you know what the charts look like for that period.....
and then I find myself being baited and arguing with the babes, who have yet to take the first big step and buy their own home, let alone an investment property....
it will be interesting to see..when we look back next year to see how we have all fared
cheers