Categories: Finance

How does the idea of your hard earned cash going down the drain sound to you? If you have never taken the time to sit and think your business financial structure through, that’s exactly what may be happening to you.

True, selecting the right property investment structure is no simple task. But when you think about how much in unnecessary taxes you may be paying, the idea of not investing the time and effort to do so becomes simply unacceptable.

Paul Copeland is an accountant and a very successful property investor, he is also a long time contributor in our property networking group meetings.

As a property investor, Paul understands that the property game ultimately is about making money.

But as an accountant and director of the business advisory group at William Buck, he also recognises the important role that the right property investing structure can play in maximising profits, minimising risk, reducing taxes and planning for the future.

Because property investing structures can be complex and should be based on an investor’s individual plans and goals, Paul developed a four-step “building blocks” system to provide a roadmap to help investors decide which structure is right for them.

Step 1: Review Your Options

[Read more…]

Categories: Finance

If you’re interested in the fastest way to create massive wealth using property, then read every word of this blog post.

You probably know that when it comes to cold hard cash, no strategy is a match to the obscene amounts of money that can be made in just ONE properly run development project.

But hold your horses, because there’s one truth of life you must take into account. The higher the reward – the higher the risk. And in property development, just one failed project could be your one-way ticket to losing all of your life savings…and even bankruptcy.

This is why I invited Blake Lanham, from Lanham Constructions Qld Pty Ltd, for a chat. I wanted to find out what are the most common mistakes that make property developers go broke and how can smart property investors avoid them.

What he revealed was far from complex property market flotation theories or technical construction stuff. He talked about some simple practices that, when followed, can not only save you from losing your hard earned money but lead you to a world of wealth with property development.

After 10 years in the construction game as a builder and design/construction specialist, Blake knows what it takes to complete a successful building project. And he also knows how easy it is for developers to lose money.

According to Blake:

There’s a basic belief among newbies that property development is easy and quick, that is not the case.”

Blake has seen many people who complete short property development courses and immediately run out with their first joint venture partner to start buying up properties.

Often, he said, these people—who are initially very excited about property investing—end up walking away from a deal due to a lack of preparation and communication.

Drawing from his vast design and construction experience, Blake shared the top three mistakes that send property developers broke.

1. Not getting (good) advice

[Read more…]

Categories: Finance

Are you closer today to the goals that lead you into property investing to begin with?

I know how easy it is to get “Tunnel vision” and focus exclusively on finding your next deal. After all, you’ve got into property to make money and that’s where your profits come from, right?

But after flipping deal after deal – even with a consistent profit record – it doesn’t look like you are any closer to the life you envisioned when you first started.

If that’s your case, maybe this is the moment to take a step back, reassess your overall wealth creation strategy and design a financial plan that will take you where you really want to go.

According to Jolene and Matt Sukkarieh, financial planning experts at My Financial Group, a wealth advisory firm in South-East Queensland, that’s where the advice of a qualified financial planner can help.

Unfortunately, many property investors don’t tap into the power of financial planning because they have misconceptions about what financial planners do, try to handle their finances themselves or simply are unaware that the resource is available.

If you are serious about building wealth in the property game, here are a few questions that you should be asking about financial planning: [Read more…]

Categories: Finance

Welcome to part 2 of this series on turning your next property deal from dream… to reality.

As you might recall, in Part 1 we reviewed the Access Formula – a simple framework for making sure you have a good deal in your hands. If you missed it, or in case you forgot, here’s a quick reminder.

There are 4 components to the formula:

• Ability: The ability to find a profitable property deal
• Cash: In the bank, or accessible equity
• Servicing: The ability to borrow money
• Skill: To manage a project to a profitable outcome

Together, A+C+S+S equals access to a solid deal.

If you’ve been following the Property Resource Shop blog, you are already way ahead of the pack when it comes to the Ability to find a deal and the Skill to manage it to a profitable outcome.

But what most people struggle with the most in the earlier days of their investing career is…

They Lack Cash And Servicing!

Now… if you want to become a successful property investor but lack either of the two… you really have no choice but to do the smart thing – and find yourself a joint venture partner.

That’s why in Part 1 of this series – 6 Best Places For Finding People Eager To Finance Your Deals – I reviewed where you could go about finding people who are very, very eager to finance your deal (granted it’s a good one!)

But knowing where to find them really is half the battle. The honest truth is that there is no shortage of people willing and able to finance your investment projects.

The real problem, as you will soon find out, is:
[Read more…]

Categories: Finance

If you want to be in property for the long term, you have two options. Either you…

1. Learn how joint ventures work – and evolve into a master deal maker
2. Or you stay a hobby investor,  letting your fears, limiting beliefs, and what other people think, stop you from reaching your full potential

Only one of these two options leads to creating long term financial freedom.

Can you guess which one?

Of course you can! (After all, only smart people read this blog, and you’re undoubtedly one of them! 🙂  )

The path to becoming a master deal maker and creating true wealth – faster than you ever imagined possible – is revealed through mastering joint ventures.

And unlike what many people think, it doesn’t matter what skill level you’re at right now. It doesn’t matter how long you’ve been in the game. It’s never too early (or too late) to start leveraging joint ventures.

Unless You Prefer To Have 100% Of NOTHING Instead of 50% of SOMETHING?

Now, if you’ve taken my “The 9-to-5 Property Investor Action Plan” course, you already know the four key components you MUST have in order to complete a profitable property deal.

The “A+C+S+S = DEAL” Formula

[Read more…]