It’s been a crazy 6 weeks, well, in fact, 2020 has been very strange. We did not think in December of 2019 we would have had to face BushFires and a worldwide virus pandemic. But here we are, with the future a lot less predictable than what we thought it was going to be.
We are tired of all the fear mongering and lack of critical conversation in the media. We know that there is a lot of news swirling around, but the fact of the matter is, we are excited about the future and the opportunities that present themselves now.
Here is the thing, the future is never predictable. We do not know what is going to happen. We don’t know if we are going to get sick, have an expected kid (or grandkid), lose our jobs, win the lotto, or be given an unexpected inheritance. When people look to invest, they are trying to protect the unknown by having money and resources available to them. People are never thinking about the actual cash, ok, well some of us might be fantasising about a Scrooge McDuck moment of swimming in a pile of money.
But most of us aren’t thinking of physical cash, we are thinking about how we want to feel in the future. Those feelings are a combination of feeling safe and experiencing things we know will make us feel good.
“I don’t want to be old and have enough money to pay the power bill”
“I want to be able to travel when I am retired”
“I want to have a freehold house in ten years, so I don’t have to work as hard as I do know”
“I want to pay for my kid's university”
These thoughts create relief and excitement about the future. But when there is a big disturbance in our external world, like this pandemic, or say the 2008 GFC, those thoughts of the future can get a little bit shaky if you don’t have a plan in place, or you don’t trust you have the skills to pull together a plan that protects you from the unknowns.
Taking steps of empowerment and claiming a peaceful future, means stepping out of fear and into knowledge.
At Property Lab we care about one thing: our client's futures being positively geared towards success. We have told some of our clients, now is not the right time for them to be taking advantage of the huge opportunities around, mostly because their mindset is not ready for success, or the fear of failure would far outweigh the financial gains they stand to make. No one should do anything they aren’t mentally ready to do.
But for most of our clients, they understand that the quality of their future is determined by the choices they make today. The reality is that there may never have been as good a time to invest. The fear of the future is an opportunity for people who are willing to understand the advantages, and put in place protections to minimise the risks.
The world's economy was in freefall, there was huge unemployment, the banks were going broke and the news was a non-stop stream of doom and gloom.
Knowing what you know now, would have you considered purchasing back then?
By 2019, the median house price was $855,428. That is $519,428 increase. Half a million of increased and 12 years of rental income under your belt. How would you feel about that decision?
The people who were too scared or didn’t feel confident enough to invest were rewarded with the safety of staying in their comfort zones in 2008.
The people who understood the risks and made calculated investment decisions were rewarded with huge financial wins that allowed them to feel excited about the future.
We aren’t here to try and sell anyone anything they don’t want. What we are here to do, is to support people to help them be excited about the future.