The Power of a Plan in Property Investment

If you haven’t heard the saying from Winston Churchill “If you fail to plan, you plan to fail!” no doubt you have heard it from someone else.

When it comes to property investment, we believe it does pay dividends spending time working on your property investment plan- it gives you clarity, focus and intent.

We come across many people spending lots of time on “the plan” and not enough time on the why, and setting SMART (specific, measurable, achievable, relevant and timebound) goals.

The problem with overinvesting your time in the plan and underinvesting your time on your goals and your why is that you can never know for sure if your plan is working effectively because the plan itself doesn’t know where it’s going (and why). Much like telling a race car driver to drive without a track to drive on. Without your why, you will also lose motivation.

Do you want to invest in property so you can tell your family and friends you “own” 20 properties, or do you want to invest in property to enhance your and your family’s lifestyle?

Once you have clarity on your why and your goals, you can measure how effective your plan is and make changes as required.

For example, creating a goal like paying off your home loan in 7 years and not 30, is a great goal and powerful in the sense that removing a mortgage from your household budget will free up a significant amount of income and give you options in life like working less or not at all. It will save you potentially hundreds of thousands of dollars in interest expenses and lay a strong platform to invest in if you choose to.

Or creating a goal like having an income stream after expenses of $100,000+ from my property investments in the next 5 years is another great goal that could also put you in a position to work less or retire earlier than 70.

Keep an open mind to what could be possible and talk to professionals like finance strategists and property buyers who have your best interests at heart.