Quit Your Day Job To Be A Property Investor? - Binvested.com.au

SHOULD YOU QUIT YOUR DAY JOB TO START PROPERTY INVESTING? 

 

If you are wondering whether you should keep working in parallel to your investing, or whether you should quit your job to focus on property, income is usually the deciding factor.

According to Nathan, it is better to keep earning an active income through work, so you can use it to create a passive income through property investing.

 

WEIGHING UP WORK AGAINST PROPERTY

 

Nathan says, when he started investing in properties, he worked hard in order to earn as much income as he could. He knew that bigger payslips would get him finance in order to invest in property.

He worked to protect this until the day he realised his payslip didn’t cut it anymore. He was still earning good money, however, his assets held a range of options that he could use to generate even more money than his salary.

For example, he could renovate to add value and earn more equity. Or, he could buy, renovate and sell to raise capital.

The capital he could earn from doing these sorts of things meant he could get even more finance from his lender than what his payslip could have achieved.

 

THE IMPORTANCE OF PROTECTING YOUR BASES

 

Nathan says it is essential to protect your bases. As an investor, you have an active income from work as well as a passive income from property. It is important to keep your active income going for as long as possible in order to generate and build your passive income.

You are probably good at what you do, meaning you will earn more for your time doing what your doing, then focusing 100% on something completely new like property.

One day, you will find yourself in a position where going to work may not be worth your while if you can spend the time on a project that will make you more, such as a new development.

Until then, it is advisable to stick with what you are good at; keep working and earning income, and invest as much of st as you can into building a passive income through property investing. A team of experts can help you

A team of experts can help you maximise your resources (time and money) while you focus on doing what you do best, and they worry about getting you results through property.

 

KEEP THE GOOSE ALIVE

 

Nathan says, don’t disrespect the goose that lays golden eggs. The goose is your job and the eggs are your income. In order to protect your bases, keep the goose alive and invest the eggs into making even more money. One day those eggs will hatch into more golden Geese, giving you an even greater income.

Today the banks don’t value rental income as highly as they did in the past when assessing borrowing capacity. A solid taxable income base from employment or business will go a long way to helping you build a portfolio of many properties, and give you more financial options.

The desire to free yourself from your job may be overwhelming, but it’s vital to practice delayed gratification, so you can reap greater rewards in the future and tell your boss where to go with style!

Have you decided to quit your job to focus on property investing? What led to you making this decision? Please share your experiences in the comments section below.

 

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4 Comments

  • merridy

    January 5, 2017 at 3:10 pm

    What do you do then if you dont like your day job?

    Reply
    • binvested

      January 5, 2017 at 3:18 pm

      Hi Merridy,

      If you don’t like your day job, maybe it’s time to start putting measures in place to change your circumstances, however that may be! 🙂

      Reply
  • James H

    January 6, 2017 at 8:22 am

    What a mediocre article.
    You constantly here people’s broken property as the be all and end all it is just an investment that can go down and burn you as well you’re better off not invest in all your money in property relying on the golden goose of property prices to continually rise it is a safe bet but only a safe bet When Times are Good and assets are only as good as the speed that you can get rid of it!

    Dont be a sucker to this property fad.
    The people speaking at usually have purchased property when prices were cheap relying solely on the only thing that made them which is cheap prices in the first place….. now it is not the case and your risking more for the same…. affordability limits will be the factor that makes you bankrupt

    Reply
    • binvested

      January 6, 2017 at 11:31 am

      Hi James,

      Thanks for your feedback. I’m keen to understand what you are basing your opinions on … are you an investor yourself? Where are you at in your journey?

      We never make promises to our clients, nor do we advise people on how much of their money to invest in property – we leave that to your financial advisor. What we can talk about, however, is the successes we have had personally and for our clients. The majority of our team are not only investors, but fall within the top percentile of investors in Australia. We have also helped many of our clients join us there. Some of our team were investing in property before and throughout the GFC, they actively invest in the current market also. Investment is not without risk but it is not to say that risk can’t be mitigated with the right team of experts supporting you.

      When we assist our clients in building their investment property portfolios, we spend a lot of time figuring out what goals they have and tailor strategies to those specific goals. The strategies that are devised, with the help of finance strategists, financial planners, property tax specialists and more, are revisited regularly to ensure that as the client’s situation adapts, the strategy does accordingly also. We, as a business, adapt our strategies to current market conditions. We use tried and tested methods and, I stress, are active investors ourselves. We put our money where our mouths are. Nathan Birch has been investing for over 10 years and so has gone through a complete property cycle, seeing both the highs and the lows of the market. During this time, he has built a property portfolio of more than 200 properties, with a net worth of $50 million and over $2 million in passive income.

      You see it as a property fad, which means that, in your current mindset, property investment probably isn’t for you. You won’t face any of the potential risks but you will also miss out on the potential rewards too. Property investment is not a fad. It is a time tested vehicle for growing wealth when done correctly.

      Reply

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