By Terry Ryder, 16th July 2008

You make money in real estate when you buy, not when you sell. The essence of good property investment is buying well.

That’s why I’ve become a buyer since the market and the mood of the public turned south. The current economic and real estate climate is, for me, the ideal circumstance to secure the real estate which will grow my financial security in the future.

Fortunately for me, everyone else seems to be doing the opposite. There’s been a stampede in the wrong direction and I’m happy to be running against the herd. I seem to have the whole territory to myself.

For reasons I’ve never understood, most people seek to create wealth by doing what the masses are doing. They wait until a market is booming before buying. They follow the pack into the frenetic market and buy at or near the peak. No one ever secured their future behaving like this.

One of the oldest maxims in wealth creation is that you buy when everyone is selling and sell when everyone is buying. If there’s a common denominator among the histories of people who have made serious money, it’s that they detached themselves from the herd and moved independently, often counter-cyclically. They did the opposite of the masses.

Most people, however, like the comfort of the herd, even when it’s stampeding towards a precipice. When the market goes cold, buyers go into hibernation. And, inexplicably, home owners suddenly want to become sellers.

The number of homes listed for sale in Perth has trebled since the WA property boom ended. Listings have risen in Brisbane and elsewhere since the market went pear-shaped. People who bought in the boom want to be sellers in a declining market. It baffles me.

I want to be a buyer now because the heat is gone from the market, there’s no competition for the properties that interest me and I can negotiate from a position of strength. I know interest rates have risen but I also know that rental markets are tight and rental increases are compensating for higher borrowing costs. I also know that every time interest rates rise, the balance of power tips more in favour of investors - the outcome is fewer home owners and more renters. And, with too few homes being built, the already-serious housing shortage will continue to push up rents

People too easily allow themselves to be affected by negative news. There’s no shortage of it lately. Home lending has fallen for four consecutive months. Survey shows consumer sentiment is at its lowest since the early Nineties. We’ve even had one research company, hungry for a bit of publicity, claiming Australia is heading for a one-in-100-years slump.

This kind of media has added to public pain from too many rises in interest rates, petrol prices and grocery bills. It’s had a dramatic impact on the public psyche and property markets have braked sharply.

Brisbane research analyst Michael Matusik says today’s climate feels a lot like 2005. He says: “The residential market is going through a consolidation period - similar to that experienced in late 2005. The market improved considerably between mid-2006 and the end of calendar 2007, surprising many with the strength of this recovery. Despite forecasts of price falls (infamously by over 10%, according to one Aussie icon) and a general market crash, residential prices and weekly rents are up around 30% since late 2006.”

Matusik says the fundamentals now are the same as they were in 2005 and forecasts that residential property prices will increase on average about 8% a year over the next three years. He expects price growth to be stronger in Queensland and Victoria because of higher migration intakes.

The analogy with 2005 is a good one. In 2005 a pack follower would have avoided Melbourne property. The market was flat, prices were stagnating and sentiment was low. But the individual hunter would have been on the prowl at that time. After a couple of busy and buoyant years, the Melbourne market was quiet and it was taking a long time for property to sell.

This represented opportunity to the switched-on investor. Opportunity to take your time, do thorough research and buy without pressure. Opportunity to find good property without competition from others and to negotiate hard. A buyer’s market.

These are the successful investors - the ones who ignore the present and consider the future.

Investors who bought in Footscray in 2005 or 2006, when things were quiet, are smiling now. Values have risen steadily since then, including a 20% rise in the 12 months to March. The individual would have bought in 2005, the pack animal early in 2008, just before the market went into decline.

The market in Frankston touched bottom around 2005. Those who bought then have seen their values rising strongly over the past 2-3 years, including 13% in the year to March. Ditto near-city Carlton, where median prices for both houses and units dropped in 2005 but have climbed sharply since.

The thing Footscray, Frankston and Carlton (suburbs I’ve chosen at random) have in common is a long-term growth average around 12% (average capital growth over 10 years) and identifiable reasons for prices to grow. It’s the future that’s important, not the present.

The climate today presents similar opportunities for investors able to think and act independently. Consider the fundamentals. Migration into Australia is at record highs, providing record overall population growth. Economic and employment growth remains strong - and is widespread, not just confined to the resources states.

At the same time, the housing market is under-supplied. We continue to build homes in numbers that are well below underlying demand. Vacancies are extremely low and rents have been rising - and rising.

Matusik says: “New dwelling supply is under-supplied by 32% across Australia - and more so in NSW and Queensland. The under-supply of new stock is expected to get worse in coming years and some forecast it could remain so for the next decade and beyond. We anticipate annual rental growth of around 12% a year over the next three years.”

These views are supported by many other commentators, including CommSec’s chief economist Craig Jamers, who says: “Australia is experiencing the biggest migration boom on record and the rental market is as tight as a drum - but home buyers are in short supply. There must be a lot more people in shared accommodation or at least staying at home with their parents longer.”

I’ll give the final word to the Herald Sun which reported earlier this week: “Melbourne’s rental market is the tightest it’s been for years. This is a landlords’ market with tenants bidding to rent properties and open-for-inspections crowded with potential applicants.

“As sharemarkets become more volatile, property investment is increasing as an alternative. Although there is strong and growing demand for rental housing by tenants, there are not enough investors in the market.

“So, it could be the right time to invest in residential real estate, with the aim of becoming a landlord.”

“We are in the midst of the greatest transformation in communications since printing! The internet is the real estate opportunity of the 21st Century.”
Jamie McIntyre

“If you are looking to are looking to accelerate your financial results and create an extraordinary quality of life - then this book is for you!”
Dale Beaumont, Creator of the Secrets Exposed Series

What I didn’t learn from Google, but wish I had
By Jamie McIntyre

Price: AUD$34.95
ISBN: 9781921258019
Format: Trade paperback
Publisher: 21st Century Publishing
Number of pages: 215
Publication Date: April 2008
Edition Number: 1

Jamie McIntyre’s new book What I didn’t learn from Google, but wish I had explores the internet business and marketing strategies Jamie wishes he knew before starting his business, which would have made his success even greater.

Jamie shares his experiences of ways to make money online, without the need for capital or expertise in computing. He examines the success of internet giants such as Google and eBay and shows how people can leverage web-based technologies as powerful business and marketing tools.

The book is an easy to follow and informative guide that will be invaluable for anyone wishing to embrace technology as a wealth creation tool, or contemplating setting up a website and using Web 2.0 technologies to enhance their current business model.

It provides tips on how to profit from the internet, advice on treating the internet as an investment strategy and the truth on how successful websites sell.

The book also details the strategies behind many well-known internet entrepreneurs, such as Graeme Wood of Wotif.com, Sean Howard of OzEmail and Google founders Sergey Brin and Larry Page.

What I didn’t learn from Google, but wish I had is available now in bookshops Australia wide.

END

About the author
Jamie is the author of four books including the highly successful What I didn’t learn at school, but wish I had.

Jamie became a self-made millionaire in his twenties. In addition to his work as a personal and financial educator, Jamie is an entrepreneur, investor, a sought after public speaker and climate change campaigner.

Through his work with the 21st Century Education group of companies and in founding 21st Century Academy, the flagship company of the group, Jamie has made it his mission to teach people life and financial skills that he believes people should have learnt at school. The concept has proved so popular there has now been over 225,000 people educated worldwide from 16 different countries.

This is how Keith spent his 50th Birthday. Climbing Cradle mountain in Tasmania. The climb took approximantley 7 hours. We had both rain and snow during the climb but we keep going until we reached the top.

The once was a man who lived by the side of the road and sold hot dogs. In fact, he sold very good hot dogs.

He put up highway signs telling people how good his hot dogs tasted. He stood by the side of the road and called out, “Buy a hot dog, mister?”

And people bought his hot dogs. They bought so many hot dogs, the man increased his meat and bun orders.

He bought a bigger stove so he could meet his customers’ demands. And finally, he bought his son home from college to help out in the family business.

But something happened. His son said, “Father, do you not watch television, or read the newspapers? Do you not know we are heading for recession? The European situation is unstable, and the domestic economy is getting worse.”

And the father though, “My son is a smart boy. He has been to college. He ought to know what he is talking about.”

So the man cut down his meat and bun orders, took down his highway signs, and no longer stood by the side of the road to sell his hot dogs.

His sales fell fast overnight. “You’re right son,” said the father, “We certainly are in a serious recession.”

Soure: “What I Didn’t Learn At School But Wish I Had” - available for free from http://learntoberich.com.au/free_products/free_ebooks.php 

What I learn’t from this story is you should not always listen to your friends and family if you are trying something different. Just because you think somone is well educated and smart doesn’t mean they know what they are talking about. All your decisions should be based on doing research and investigating all possible outcomes. Looking at the facts of the situation and not make a decision based on emotion is the best way to decide what you should do. This story is based in USA and the European market was the one in recession, not the US market. The father thought his son was right as he stopped all his marketing efforts and his sales declined. 

The first thing you need to do to rewire your subconscious for wealth creation is to answer a few simple questions about financial pressure.

1.       When was the last time you felt financial pressure?

2.       Do you currently feel financial pressure in your life?

3.       Does having more money really create less financial pressure?

4.       When have you felt completely free from financial pressure?

Apart from happiness what do you think people really want in their life? In my view the answer is security.

Would you say that people mainly link pleasure or pain to money? From surveys that have been conducted in Australia, university studies have determined that many people actually link more pain then pleasure to money.

Most of us will do more to avoid pain then we will to gain pleasure. This is important because consciously if we link pleasure to money and get excited about money and start doing things to be financially successful, we will start to move forward.

Society conditions us to be self sabotaging. We don’t base our decisions on logic we base our decisions on emotions. Subconsciously large proportions of us have a negative attitude to money. We have all heard the saying “money doesn’t grow on trees”, “filthy rich”, “stinking rich” are all negative saying against money. Being told “we can’t afford it” as a child or having parents that had to go away to work have given many people negative subconscious thoughts about money.

To find out how you can rewire your subconscious visit http://learntoberich.com.au/free_products/free_ebooks.php and down load the free ebook What I Didn’t Learn At School But Wish I Had”

For more information vist www.LearnToBeRich.com.au

For more information visit www.LearnToBeRich.com.au

For more information please visit www.LearnToBeRich.com.au

Helicopter Flight Over the Flordland National Park New Zealand 2007

This is us  Helisking in New Zealand 2005

This is a clip from the free dvd availiable by Clicking Here

In today’ s scoiety you have to learn how to create your own wealth and master your financial intelligance. Failing to do this will result in you turning out like 90% of Australians dead or dead broke by the age of 65.

• Do you work for free in your job or business? If not, why not?

• Jamie is committed to donating the initial 3 hour DVD plus provide a team of coaches available to answer questions at no charge to over 100,000 individuals, which is quite generous, considering the expenses involved. However, for those requiring further training, support and access to Licensed Sharebrokers, Property Sourcing Team, Accounting and Finance Brokers to help implement the strategies it requires a fee.

• From experience, Jamie found that those truly committed to changing their life wouldn’t hesitate to invest into their own education.

• Jamie used to do it for free and found people don’t value something as much if it is free, as a result they have a lower commitment, and thus achieve poorer results.

• Jamie doesn’t want uncommitted people doing his Homestudy course, thus by charging it eliminates those who are not committed to improving their life.

• Part of what Jamie teaches is that you should add value and not under charge for your services, thus be confident to charge what something is worth.

• Life is often a reflection of where a person is at, Jamie invested over $100,000 into seminars and tapes to learn these strategies and as a result became successful faster than most people. Those who are reluctant to invest in their education often don’t realise this is reflected by the universe being reluctant to allow wealth to flow into their lives.

• The course comes with a ten times 90 Day 100% Money Back guarantee, thus Jamie has removed the risk for those committed to having a go and wishing to invest in the program.

• It costs millions of dollars a year to run 21st Century group of Companies and Jamie only wants to help those who are willing to help themselves.

For instance, ignorance can be more expensive than education. Can most people afford to continue to miss out on $2,000 to $5,000 most months of the year in extra cashflow that many clients can produce within 90 -180 days of doing the Program?

For any further questions, feel free to contact us or your Personal Account Representative or visit our Online Forum at www.21stcenturygraduateforum.com

Visit Our Website Click Here

• Firstly, the cost of something is relative, i.e. is it expensive or cheap to do the course if you learn how to make $2,000 to $5,000 many months of the year or more for the rest of your life from just one strategy? After doing the course, many clients realise the program is very inexpensive.

• One should also consider what it costs to go to University. The costs are a lot more than $49 per week or $3,995. And does one’s University fee come with a ten times your money back guarantee or it’s free? Obviously not. A University degree even though very valuable, doesn’t even guarantee a job, let alone skills that can produce real life results for a lifetime.

Visit Our Website Click Here

The easiest way to order is to Click Here and order online or you can contact the agent who sent you the initial material.

Australia Ph: (02) 4472 1001       Fax: (02) 4472 1010

The programs are usually shipped within 48 hours, however this is not always possible. You should allow 14 to 21 days for delivery however it often arrives sooner. If it hasn’t arrived within 21 days please email info@learntoberich.com.au so they can track where the program is.

Visit Our Website Click Here

The programs are charged in Australian dollars no matter where you live, so if paying for it by credit card, your credit card company will automatically convert it for you on your credit card statement. The Australian dollar is approximately $0.75 to the US dollar (as of early 2005) however this can vary.

Visit Our Website Click Here

Yes, the strategies work wherever you live in the world with a few exceptions. The share strategies are best done on the Australian Market or the US Market, which anyone in the world can easily access.

The success principles and the mindset of a millionaire are applicable no matter where in the world you live.

The property investing strategies vary from country to country and the property strategies covered are predominantly tailored to the Australian, New Zealand and UK Property Markets. However, if you live outside these countries this is a good insight to investing in these property markets as they represent some of the best property markets in the world. An average person can become rich in a reasonably short period of time from property, i.e. 5 to 15 years or less.

However, the principles for property investing can be adapted to other property markets, especially the United Kingdom and the United States. Other emerging property markets such as Asia, Eastern Europe and Latin America can also provide great property investing opportunities as well.

Visit Our Website Click Here

The share strategies covered in detail in the Homestudy by licensed brokers use Australian shares as examples. However, you can use these strategies in any share market that has a liquid options market as long as it trades in US style Options.

You can do it in many markets around the world, however we recommend you use the Australian Market for the following reasons. For New Zealand clients you will simply need to use the Australian market and not even consider the New Zealand market as it isn’t possible at this point in time.

• It’s just as easy to use the Australian market as it is to use your local market (i.e. just one phone call a month to a licensed broker so it doesn’t matter where they are and free call numbers available for New Zealand).

• The Australian market can be very profitable.

• You can use the US Share Market, however we recommend to start with the Australian market due to the extra support we can provide. Once you become experienced with the strategies you may consider using the US market but it is not necessary.

• The program is based on using the Australian market so examples always refer to Australian examples.

• The Australian Options market is the third largest in the world, which means there is generally very good liquidity for trading and it is considered the second best in the world outside the U.S. share market.

• Time difference is quite alright for both New Zealand and Asian clients as the US market isn’t.

• When you purchase the Homestudy Program you get ongoing support from our Australian licensed brokers. You can have a share account application and margin loan application (if you wish to borrow money) sent to you free of charge once you receive your Homestudy Program and they can implement the strategies for you. Remember it’s just one phone call a month and many of our clients have supplemented their income within 90 to 180 days of purchasing the Homestudy.

Visit Our Website Click Here

Yes. About 60% of our clients take the payment plan option as it preserves their cashflow and works out at approximately $49 per week (charged at $199 per month). Those who pay up front in full receive a significant discount, thus they only pay the early bird rate of $3,995 plus $45 postage and handling. Visit our website Click Here

We have a refund rate of approximately 7% to 8%, i.e. 92% to 93% of our clients never request a refund and anyone who has been entitled to a refund has always received it no questions asked. This is done to ensure you have no risk in purchasing the program and can be guaranteed that what the program promises can be done in reality as long as you are prepared to take action.

Visit Our Website Click Here

It’s very simple. You have 90 days from the day you order the Homestudy to study it and if you don’t believe that you can profit by at least 10 times the course investment (ten times $3,995 or nearly $40,000) then you can return it to us for a 100% refund. Refunds are then processed within 30 days of us receiving the program back.

Visit Our Website Click Here

Yes these are porvided as part of your membership benefits.

• These sharebrokers understand the strategies, and they also speak at the 21st Century Academy Seminars and work with our members ongoing.
• They are also investors themselves so they can actually personally use many of the strategies as well.
• We make them available to 21st Century Homestudy Members to ensure you are fully supported and can implement the strategies. They can also provide ongoing support and can look at your personal situation and provide advice if required i.e. share selection etc.

Visit Our Website Click Here

To receive the 21st Century Academy 5 Yeah Homestudy Membership bonus worth over $5000 extra including 3 additional years of support, increased from the standard 24 month membership you simply have to nominate a 4 Day Education For Life event you wish to attend within 30 days of registering and attend the 4 Day Education For Life event within 12 months of enrolling.

Visit Our Website Click Here