Property Investing & The power of time
The beauty of a long-term investment strategy is that the power of compound interest works wonders over time. As the value of the properties continues to grow, the debt on them remains the same or decreases, skyrocketing the net value of the assets – and throwing wide open the lifestyle choices that flow from buying the properties as early as possible.
It is a mathematical fact that even one or two properties bought over a 10-year period and allowed to grow naturally in value will be worth more in 20 years than perhaps double the number of properties bought over a shorter timeframe close to the end of the 20 years.
The secret to this outcome is not how much money you have to start with, how many properties you buy or even whether you buy the best investments, even though these factors are important. The real key to this element of the strategy is to buy as early as possible and allow inflation and capital growth to drive the value of your assets over time.
This proves another real estate truth: Time in the market is more valuable than timing when to buy. Investors who try to pick cycles in the market usually do not do better than others who buy as soon as they can. In every sense, time is your friend when you invest in property. The longer timeframe you have, or in other words, the earlier you begin, the better the result.
For more information on the subject please refer to the Property Friends DVDs Property Strategies Revealed which, as a bonus offer will be made available for the cost of postage only.
Property Friends is a specialist Property Investment Advocacy that has been operating for the last 13 years on the basis of 3 principles: Trust, Community & Progress.
www.propertyfriends.com.au Tel. 03 – 9758 5331