Investing Philosophy

Hi, Todd Polke here.

Congrats on making the decision to become strategic in your investing. You have made the right choice and are in the right place.

Only a certain percentage of people even start out on a property investing journey – and there are even less who become successful at it.

This probably comes as no surprise to you reading this, because seriously…. when are we ever taught about investing or wealth creation or anything to do with creating financial freedom in our lives? Answer….NEVER!

This means people get ‘stopped’ from building a big portfolio because they make these mistakes.

Q

Wrong property choices

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Ineffective finance structuring

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Or get stopped by fear or laziness

But the key fundamental reason that many investors don’t build a large portfolio is because they lack a strategy.

And if they do have a strategy it usually consists of the very sophisticated “Buy and Hope” strategy; you buy a property and hope like hell it goes up.

I hardly need to suggest that this is not an intelligent strategy for someone wanting to create financial freedom using property as a vehicle.

Now needless to say there can be a lot that goes into strategy, but let me give you some of my core philosophies when it comes to building a property portfolio that actually delivers results.

Building your portfolio the right way

Philosophy 1.

Strategy is about simplification, not complication.

Simplify all the way down to what is your next step

Philosophy 2.

There is no one size fits all approach to strategy.

Strategy is as unique as you are and has to be tailored to fit you, your life and your dreams

Philosophy 3.

Property investing is a business. Treat it like one. This means….
  • This means you need to take time for it (doesn’t mean a lot of time)
  • This means you need to make a profit (most peoples financial businesses should be bankrupt)
  • This means you need a solid team around you with experience (experience and results mean everything, a qualification is not everything)
  • STOP thinking like an emotional investor and disregarding due diligence fundamentals (Emotions plus Investing = lose money)
  • This means you need to protect yourself with either structures or buffers

Philosophy 4.

Focus on the portfolio, not on the property itself
  • Too many people get caught up in one particular strategy or one particular deal they like or don’t like.
    I’ve gotta say “Get over it!”
  • It is not about the deal; it is about the result it is going to create for your life.
  • Focus on the purpose a particular deal may or may not serve for your overall portfolio and how it is going to move you ever closer to the dream life you want to create.

Philosophy 5.

Your portfolio should stay separate from your personal life

Your portfolio should be completely separate from your personal life. As soon as these two things are tied up, it is going to equal pain at some point. Your personal life is a business, your property portfolio is a business, now keep them separate. Your portfolio should enhance your life not detract from it.

Philosophy 6.

Property Investing is a long-term strategy

Stop trying to get rich quick! Read that again and let it sink in. Property investing is a long-term strategy. Think 5 years, 10 years and 15 years ahead. Sure you can create results in a short-term time frame, but put your focus on the bigger picture and building a sustainable portfolio step by step.

Philosophy 7.

Wealth is a system. Wealth is a habit

This is a big one. The truth about success and wealth in any endeavour is that it is not reserved for ‘special’ people, it is not about taking giant leaps of faith and taking giant leaps outside of your comfort zone everyday or taking huge risks.

The truth is that wealth and success is created by taking small and consistent actions on an ongoing basis which are systematically moving you towards your desired outcome and eventually these small habitual actions avalanche over into this thing called success or wealth or financial freedom or whatever you want to call it. The sexiest part of all of this is that anyone can do it if you follow the system.

Make the decision to be strategic in your investing

Strategic property selection

“Driven by data and research. Not by opinions”

We are here to help you find the deals, which make the difference in your portfolio.

Not any old deal. The ones which make the difference in a successful portfolio versus well…. everybody else who never get past deal number 1.

When researching areas for capital growth potential and high yields we follow the P.I.E. principle.

PIE stands for population, infrastructure and employment.

This is a principle used by major research houses in determining future growth potential in an area.

While no one has a crystal ball, it has proven very effective in predicting large potential capital growth upswings.

Our research team looks for investment opportunities in areas with new infrastructure being created…abundant jobs….and with thousands of new families moving into the area with strong socio economic indicators.

We focus on areas that are populated mainly by owner/occupiers, because as you may have noticed, areas that have a high level of owner/occupiers tend to be better presented, more desirable, and better looked after. This helps to ensure sustainable capital growth over time