Property Investment, Success & Money | The Michael Yardney Podcast

There are signs that the modest coronavirus-induced housing correction has come to an end. Nobody’s going to ring a bell telling us the market’s bottomed, but I’m sure when we look back in 12 months’ time, we’re going to find that the value of some properties has increased significantly and our property markets turned the corner in October 2020. But as usual, some segments of our property markets will continue to languish. Now I’m not denying that we’re still going to have some challenging times ahead. We are. But the recovery of our home values has been underwritten by a number of factors that we’re going to discuss in today’s podcast as I have a chat with Stuart Wemyss. Stuart’s going to talk about what kinds of properties are going to lead the recovery in 2021 and why buying the right property next time around is more important than ever. And then, in my mindset moment, I’m going to share with you one of the most important lessons I learned from one of my mentors as we talk about the miracle of personal development. At the end of today’s podcast, I hope you’ll have a bit more clarity about what’s going to happen to our property markets inn 2021 and what you need to do to position yourself correctly. What properties will lead the recovery in 2021? The major media has done a backflip on their predictions earlier this year of 10, 15, 20, and even 30% drops in property market values. One of the people who has forecast things over the past year and gotten it right most of the time is director of Prosolutions, Stuart Wemyss Highlights from our conversation: The market didn’t take as much of a hit as many predicted that it would this is because: The government absorbed most of the cost The people who were hit hardest by the coronavirus pandemic were mostly younger and lower income There are two major sectors to be concerned about: Regions dominated by low-income earners Inner city apartment markets The loan pause data shows that 9 out of 10 of the greatest loan pause suburbs have been in southeast Queensland This might be because the area was heavily impacted by the reduction in tourism It’s also possible that most of the loan pauses are out of convenience rather than necessity. Since prices are down on the lower end of the market, why not get in on that and get a bargain now? There are two types of tenants in rentals: lifestyle tenants and necessity tenants It’s the properties occupied by tenants that rent by necessity that are on the lower end of the market These properties don’t offer much capital growth in the medium to long-term The tenants may be living week-to-week, which makes it less likely these properties will be profitable Lending criteria will soon be lessened. This is a game changer for property markets Interest rates are low and probably going to stay low for several years to come This decreases the risk of taking on debt and makes it more affordable Lower interest rates will probably have a bigger impact on the top end of the market Choosing the right first property is important because good decisions compound and lead to future good decisions Links and Resources: Michael Yardney Metropole Property Strategists Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Stuart Wemyss – Prosolution Private Clients Stuart’s Book – Rules of the Lending Game Some of our favourite quotes from the show: “Interest rates are likely to have a larger impact at the top end of the market, the luxury end of the market.” – Michael Yardney “Instead of asking about your work, your job, “what am I getting?” instead you should be asking yourself “what am I becoming?”” – Michael Yardney “If somebody hands you a million dollars, you better hurry up and become a millionaire.” – Michael Yardney Shownotes plus more here: This is the type of property that will lead the recovery in 2021 with Stuart Wemyss PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how

Are you wondering what’s ahead in property for 2021? Maybe you’d like to know what other Australian property investors plan to do? Well, that’s exactly what we discuss in today’s show as we unpack the results of this year’s Property Investor Sentiment Survey.  You’ll hear what 1,500 Australians feel about our current real estate markets and what they plan to do. And you’ll also hear what COVID did to their property plans and how if at all it changed their strategy And to discuss the results of this year’s survey, I’m joined by Brett Warren. Being Australia’s longest-running and largest survey of Australian property investor sentiment, it showcases insights from property investors and would-be investors across the country. Running since 2011, it offers rich and vibrant insights into how property consumer trends and sentiments have changed over time. And as usual I’ll share a mindset message with you – because if you can change your thinking it could change your life. Highlights from the Sentiment Survey Has the coronavirus induced recession affected you? Are you considering moving to live in a different location because of COVID-19? Has the pandemic changed your strategy or approach to property investing? These are some of the Covid-19 related questions we recently asked 1,500 Australian property investors and would-be investors in our annual Property Investment Sentiment Survey, and some of the answers were enlightening. Being Australia’s longest-running and largest survey of Australian property investor sentiment, it showcases insights from property investors and would-be investors across the country. Running since 2011, it offers rich and vibrant insights into how property consumer trends and sentiments have changed over time. So if you’re wondering what’s ahead in property for 2021 you’ll enjoy today’s podcast because you’ll hear what 1,500 Australians feel about our current real estate markets and what they plan to do. And to discuss the results of this year’s survey I’m joined by Brett Warren national Director of Metropole Property Strategists. These are some of the highlights of the survey that Brett and I discuss today: Survey respondents already owned an average of about 2 properties each Survey respondents who don’t already own property are planning to get into the market in 6 months to 2 years About half would consider rentvesting – renting for themselves while owning an investment property. Most respondents are not considering moving because of COVID-19 Only 3% of respondents did not have an investment strategy 74% of respondents think that now is a good time to invest Only 6% said they’re worried about the future of property investing Only 10% of respondents said they had applied for a mortgage repayment holiday for either their home or investment properties because of COVID-19. One-quarter of the respondents had received a request for a rental reduction or holiday because of COVID-19 from the tenants While 20% are pausing their investment plans until the situation became clearer, the majority of respondents are not going to change their plans and 14% are going to take advantage of the current climate to enter the market sooner. 50% of the respondents were planning to buy an investment property in the next 12 months 38% want to buy a property with value-add potential of renovation or development Close to half of respondents didn’t see boom conditions. Most had a realistic view and saw good long-term conditions Ultimately, most respondents have a realistic and positive view of the year ahead. Links and Resources: Michael Yardney Metropole Property Strategists Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Get the results of the 2020 Property Investor Sentiment survey here Shownotes plus more here: Here’s what 1,500 investors think is going to happen to property in 2021 - Our Annual Property Investment Sentiment Survey Some of our favourite quotes from the show: “No one’s born talented at making excuses.” – Michael Yardney “As you go in this journey we call life, you’re going to get the chance to back out and make excuses or not. You have a choice.” – Michael Yardney “One thing you can’t move, change, or  improve is the location of your property.” –Michael Yardney PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how  

You’re probably listening to this podcast because you’re interested in property investment, but if you’re like most people, you’re also interested in more success in various elements of your life, as well as more money. We’re going to have two separate sections to today’s show. In one I’ll explain to you why wealth is about what you don’t spend. In the second segment, I’ll have a chat with Tom Corley who studied millionaires and poor people for five years, and one of his conclusions was that being rich comes down to only two things. Is it really as simple as that? Clearly, it’s not that simple or more people would be millionaires. But Tom has a great message, and at the end of today’s show, you’ll know more about the rich habits you want to develop and the poor habits you should leave behind. Why Wealth is About What You Don’t Spend Some people use exercising to justify food binges. They feel that they’ve done the exercise, so now they deserve a treat. The same kind of thing happens with money. Even though Australians earn more than they ever have before, financial gains made by higher wages are often lost due to higher spending. Financial well-being is in the gap between what you earn and what you spend. Savings relies on your ability to earn an extra dollar, acknowledge that it would feel great to spend it, but to save it anyway. In other words, delayed gratification. Earning more money is an important part of building wealth. But it’s not enough by itself. Earning more won’t help you build wealth if you spend every extra dollar you make. Learning to contently live with less has the same effect as growing your income. And it’s often easier for you to control. Building wealth is a negative art. It has a lot to do with actions you don’t take and things you avoid. Everything has a price. The price of building wealth isn’t just the work of earning more money, it’s also avoiding the urge to spend. Becoming Rich Boils Down to 2 Things The first thing you have to do to become rich is to accumulate wealth. This isn’t easy and it will take time. The second thing you have to do is keep the wealth that you accumulate. How can you do these two things? With the right habits. One of the first thing you can do is start by setting some goals for yourself. Use visualization. Your brain thinks in pictures. When you visualize a goal that you want to achieve, you see a picture in your brain and starts looking for ways to get to that picture Once you’ve started to set goals, you have to start pursuing daily growth. Become a bit better every day than you were the day before. Don’t compare yourself to other people, compare yourself to who you were before. How should you pursue daily growth? A common habit of rich people is reading. Rich people do specific, focused reading every day, usually for about 30 mins. Another way is to practice your skills outside of work. When it comes to keeping your wealth, delayed gratification is important. Spend less than you earn so that you can put your money to work for you. Stay optimistic and open-minded. Having a positive mental outlook leads to looking for solutions to problems and listening to other people’s ideas. You need to have a strategy that you’re following for saving and building wealth Wealthy people are also prepared to pay for coaches and mentors Links and Resources:  Tom Corley - Rich Habits Michael Yardney - Metropole Get your own copy of our international bestseller Rich Habits Poor Habits Shownotes plus more here: Here are 2 proven ways to get rich | Rich Habits, Poor Habits Podcast with Tom Corley Some of our favourite quotes from the show: “Spending more when your income rises is as tempting as eating more after you exercise. It feels like you’ve earned it.” – Michael Yardney “Don’t compare your chapter one with somebody else’s chapter twenty.” – Michael Yardney “The ones who are optimistic, they do better in life.” – Michael Yardney PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how.

We’re almost at the end of another year.  And what a year it’s been! 2020 started off with predictions of a fantastic year in property. Remember we were coming off the end of 2019 when property markets were very strong. Then the predictions changed to doom and gloom because of COVID. And it wasn’t just the naysayers – economists were suggesting property doom as well. Now it’s been said that the role of an economist is to explain to you tomorrow why what they predicted yesterday didn’t come true today. This is a very apt description of the behavior of many economists and all of those other experts chasing headlines who were very noisy in the media with their attempts to exploit the pandemic for publicity. But those of you who saw the dark side, you were wrong. We’ve had great support from incentive programs from the government, and now it’s become clear that our property markets have turned the corner and will perform very strongly over the next couple of years. However, life is still going to be very different going forward, and that’s part of what will discuss on today’s episode of the Michael Yardney Podcast. I’m going to share some lessons that you can learn from what happened to airline pilots (and it’s probably not what you think.) Then I’m going to have a chat with Brett Warren about the suggested trend toward working from home. And finally, I’m going to share a mindset moment with you that may help you think differently about life and your situation. What the Bad News for Airline Pilots Means for You Qantas lost billions of dollars and has shed thousands of employees. Virgin went broke and similarly, its employees, including pilots, are facing layoffs or job losses. While a gate attendant might easily transition into a customer service position in another industry, what does a pilot to do? How do their special skills translate into a new industry? Of course, pilots aren’t the only people with high-paying, prestigious jobs based on skills that are narrowly marketable should the industry they’re in slow down. Chefs and entertainers are suffering. Even many surgeons were temporarily put out of business to preserve medical capacity for COVID victims. It can happen to anyone with very little warning. Do you have skills that are transferable? And if so, which industries are expanding? Is there even room for you? If you think about it, it’s really no different than when an illness, accident, disability, or any severe life event takes you out of action. When you trade time for dollars … even for a high income…you are vulnerable. And even if you have insurance or some money saved for a rainy day – this might not absorb the entire impact. Of course, the key to security and resilience is to have a cash machine. By that I mean a portfolio of investments that provides you with enough income to live on … and more … whether you work or not. And the right time to start building that cash machine is right now. Actually, that’s wrong! The best time to have started building your property portfolio, your cash machine, would have been 20 years ago. The second-best time is right now. Wherever you are now, it’s smart to use what you have to create resilient wealth to shelter yourself from tough times … whether they’re on the horizon or on your doorstep. The good news is …. properly structured property portfolios have a strong track record of resiliency through challenging times. The bad news is it takes money, knowledge, relationships, credit, and in particular, time to build a resilient portfolio. I don’t know your personal circumstances; maybe all you can do at the moment is hunker down and get through the challenging times we are going through. But for many Australians now is the time to get all your ducks in a row and look after your future. Now is a good time to prepare to take action and set yourself up to take advantage of the next stage of the property cycle which will come sooner rather than later. Working from home revolution with Brett Warren We’ve heard a lot in the media about the working from home revolution that will change where and in what homes Australians want to live. Will this trend have an impact on property markets? Brett Warren did the research and found out some interesting things. For one thing, about a third of Australia’s workforce works from home regardless. For another thing, only about 36% – 37% of Australia’s jobs can actually be done from home. This means that even if the trend of increased working from home continues, it’s going to remain a minority trend. There’s only so much room for increased numbers of work from home workers in Australia’s workforce. The other 63% of the workforce will continue to follow historical trends. So why fight the big trends? We already know where 63% of the workforce will want to be. Rather than chasing minority trends, property investors should focus on known and proven historical trends, supported by facts, research, and data and not the latest headlines. Links and Resources: Michael Yardney  Get the team at Metropole to help build your personal Strategic Property Plan. Click here and have a chat with us  Brett Warren – Director Metropole Properties Shownotes plus more here: What the bad news for airline pilots means for you as a property investor + The working from home revolution with Brett Warren Some of our favourite quotes from the show: “Unless you grow out to where it is, you end up going back to where you are.” – Michael Yardney “When you throw out the blame list and start to become more of yourself, you learn more, you grow more, then all of a sudden everything is going to change around you.” – Michael Yardney “Why chase the trend of the minority of people who may move to other locations? Why fight the big trends?” – Michael Yardney PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how

How do you pick the turning point of the property market? And are we there yet? With so many mixed messages in the media today, I’m going to spend today’s show explaining my thoughts about what’s ahead for the property market so that at the end of the show you’ll have a better idea of what’s to come. I believe there’s a window of opportunity before we have what I call a “perfect storm of influences” that will create strong capital growth in our property markets. And before you say “oh, Michael’s an eternal optimist,” stay with me because I want to share with you what locations are going to outperform moving forward and what type of properties will be popular post-pandemic. And of course, I also have a mindset message to share with you. Are we there yet? The messages in the media have changed in recent times. Today the common theme is that the property market will turn later this year or early next year, with many asking, “have we reached the market bottom yet?” But as they say – no one rings a bell when we reach the bottom, so how do you pick the turning point in the property market? If you’re a home buyer or property investor and you have a secure job and your finance organized, now is an ideal time to purchase your next property countercyclically knowing your downside is minimized and your upside is maximized. However, here are some of the indicators the research team at Metropole watch carefully looking for a signal that the market could be turning. The economic fundamentals Our property market doesn’t work in isolation, so we keep an eye on the macroeconomic factors such as the world economy and Australia’s economy. We’re probably out of the recession by now but won’t know the official figures for some months yet. Finance Recognizing that our property markets are driven by the availability of credit we keep track of the ABS data on credit growth which is a leading indicator, turning positive before the markets do. Finance approvals are moving in the right direction, and the recent announcement of sweeping changes to remove overly restrictive lending rules will give more people access to easier credit. At the same time many Australians are saving more than they have for a long time and this, together will historically low interest rates, will encourage more Australians to buy their first home, upgrade their home or purchase an investment property. Market Sentiment Increasing consumer and business sentiment point to good times ahead. Supply and demand While Australia’s population growth will stall in the short term due to lack of immigration, there is currently a lack of good quality property on the market. A-grade homes and investment-grade properties are selling quickly due to the normal flight to quality which happens after economic shocks. On the other hand, there is an oversupply of apartments in some locations, particularly in our CBD’s, due to the lack of buyer interest from investors and tenant interest in the absence of overseas students and visitors. To keep an eye on the state of our property markets we track the following: Housing credit growth Google and Property Portal Search volumes Days on Market and Vendor Discounting Asking Prices Auction clearance rates We’re setting ourselves up for a perfect storm in property There will be a perfect storm leading to a period of strong property price growth in the second half of 2021 and into 2022 due to the following: Federal Government spending, initiatives, and infrastructure projects State Government spending and infrastructure initiatives Historically low interest rates The security that interest rates will remain low for a number of years Easing of credit approval criteria A return of international demand for Australian property A return of immigration and students to Australia is also possible This means that there will be a window of opportunity between now and the second half of 2021 for savvy investors to really amplify their wealth position. There hasn’t really been as good a time to buy counter-cyclically for well over a decade. But be careful – our property markets will remain fragmented and not all properties will make good investments. As always correct property selection will be critical. What is going to be the right type of property? We’re going to have a two-tier market. Higher-end properties, more expensive properties in middle and inner rings of capital cities are going to increase more. The right type of property is going to be different than it was before the pandemic. Some will pay more for properties with pandemic appeal. Apartment living might fall out of favor. Standalone dwellings that easily allow for reducing contact will be in demand. Low-rise, low-density apartments, what we used to call flats, might be in demand. People will pay a premium for the ability to have social isolation. Buyers will also want to be able to separate work and living space. That may mean a separate home office or Zoom room. Neighborhoods will also be important. Some people will move to regional Australia for more space, but the majority will want to stay in capital cities – but in lifestyle or destination locations. The 20-minute neighborhood will become important – people want schools, shopping, jobs, and services they use within 20 minutes of their homes. Links and Resources: Michael Yardney  Get the team at Metropole to help build your personal Strategic Property Plan. Click here and have a chat with us  Shownotes plus more here: Here’s how to pick the turning point in the property market Some of our favourite quotes from the show: “My suggestion is, of course, going to be, don’t even try and pick the bottom, because even the smartest economists armed with all the data can’t do that.” – Michael Yardney “The cloud of uncertainty caused by the Coronavirus Cocoon that we were forced to hide in for a while is now slowly lifting.” – Michael Yardney “The media always gives you mixed messages at times of market change.” – Michael Yardney PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how  

If you’re a poor negotiator, you’re going to spend a fortune, if you’re a good negotiator, you’ll save a fortune, if you’re a great negotiator, hopefully, you’ll make a fortune. Success in life depends upon your ability to influence. And I’ve just recently had my 9th book published - Negotiate, Influence, Persuade. In today’s podcast, Mark Creedon has a chat with me and I share some tips from my book. Now if you think about it, life is one long negotiation. Either you’re buying what somebody else is telling you or selling you, or they’re buying what you’re saying. And you negotiate all day in your life, with your spouse, your children, your work colleagues, your customers, and your clients. At the end of today’s show, I hope you’re going to know some negotiating rules and you’re going to be a better influencer and more persuasive. Some of the topics we discuss in today’s episode: Why negotiation is so important Whether you realize it or not, you’re negotiating all of the time, not just in business, but in life. You need to know more than just negotiating techniques. You need to know how to communicate with people, how to do it in different ways, such as digitally, and how to ethically influence and persuade people. How Negotiate, Influence, Persuade is about more than just negotiation The book isn’t just for salespeople, it’s also for consumers, because we all negotiate every day. The book is meant to help readers get the best deal whether they’re buying or selling. Further, the book is meant to help readers get what they want when they want while still maintaining good relationships. It includes a theme of using negotiating skills in an ethical way The book includes 27 rules of negotiation. These are three of them Everything’s negotiable. That doesn’t mean you’re always going to get what you want, but it means that the potential for negotiation is always there. You should know what you want before you negotiate. Know what the highest price you’ll be willing to pay is, or the lowest price you’re willing to sell for Treat negotiation as a game. If you’re too emotionally involved, you’ll lose perspective You often hear that you should never be the one to make the first offer Actually, people who make the first offer actually usually have the upper hand. How important preparation is in negotiation It’s important to know what you’ll be willing to pay or accept It’s also necessary to understand the other person and what they’re trying to achieve. Why building rapport is such an important part of the negotiating process 95% of persuasion occurs at the subconsious level Some of the different types of bias in a negotiation: Cognitive bias Anchoring bias Bandwagon bias We don’t always realize how much we negotiate. You’re negotiating when you’re trying to get the best table at the restaurant, decide who will take out the trash, or determine what to watch on TV 3 sources of power in negotiation: Time power Information power Alternative options power Links and Resources: Michael Yardney  Get the team at Metropole to help build your personal Strategic Property Plan. Click here and have a chat with us  Get your own copy of Negotiate, Influence, Persuade by clicking here Shownotes plus more here: Learn how to be a top negotiator, influencer and persuader, from the person who wrote the book Some of our favourite quotes from the show: “If you’re a poor negotiator, you’re going to spend a fortune, if you’re a good negotiator, you’ll save a fortune, if you’re a great negotiator, hopefully you’ll make a fortune.” – Michael Yardney “In my mind to become a power negotiator, you need to understand human psychology, human nature.” – Michael Yardney “If you want to become a better negotiator, you’re going to have to understand how the mind works, yours and the prospect’s mind.” – Michael Yardney PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how  

When I wrote the first edition of my book How To Grow A Multi-Million Dollar Property Portfolio - in your spare time, way back in 2006, it was outsold by another author who promised the secret to going from 0 to 230 properties in three and a half years. Subsequently, the same author wrote another book, 0 to 260 properties in seven years. Now who wouldn’t want to be able to achieve that? But the question is, is that realistic? And the answer is - No. And the author didn’t own that number of properties either. He was using a form of options financing that is  now illegal (not that I’m suggesting he did anything illegal at the time.) Anyway, there are still people out there claiming that you can build significant property portfolios in a short amount of time. But my guest today, Daniel Gold, who’s a finance broker, will explain why owning 50 properties is virtually impossible today. Now clearly, it’s not how many properties you own that’s important. More important is the size of your asset base and how hard your money’s working for you. I’d rather own one shopping center than 50 properties in regional Australia. When we dug into the latest Australian tax office data that showed how many property investors were in Australia and how much they owned, the statistics were telling. Most property owners never get past their first or second property. Less than one percent of all property investors owned 6 or more properties. That’s it. In today’s conversation, I’ll show why it’s really hard to grow a portfolio of 50 properties. Then, after my conversation with Daniel Gold, I’ll share a mindset message with you. Why is it harder to own 50 properties now? The credit environment is now completely different from what it was 10 years ago This is largely due to the National Consumer Credit Protection Act 2009 The NCCP changed the way banks assess rental income and expenses Most banks are discounting your rental income by 20-30% The bank assumes that interest-only commitment is a principle and interest commitment Banks buffer up the interest rate by as much as 2.5% more than the actual rate You need more cash flow to hold onto your properties than you did in the old days Right now, a cash-flow neutral or even cash-flow positive property will hinder new borrowing in some way Everyone has a borrowing or credit ceiling Links and Resources: Michael Yardney  Get the team at Metropole to help build your personal Strategic Property Plan. Click here and have a chat with us  Daniel Gold, director Long Property Daniel Gold’s article -  Sorry – owning 50 properties is near impossible now Shownotes plus more here: Sorry, owning 50 properties is almost impossible now with Daniel Gold Some of our favourite quotes from the show: “I guess the reason behind this is, some people were lent a bit too much money, they got a bit ahead of themselves and got themselves into financial trouble.” – Michael Yardney “You’ve got no choice at the moment; the banks are actually forcing us to become good money managers.” – Michael Yardney PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how  

Maybe you’re rich. Maybe you’re poor. Maybe you’ve experienced both at different points in your life. There is no doubt the divide between the rich and the poor is only becoming bigger. By the way…if you haven’t figured it out yet, being wealthy isn’t all about money. So what’s the difference between the rich and the poor? That’s the question that I was asked by Andy Hart when I was interviewed on his Maven Money Podcast. Today’s episode is a recording of his interview with me where we discuss my book Rich Habits, Poor Habits that I wrote with Tom Corley. I’m sure you’ll get a lot out of his probing questions of me as we talk about the difference between the rich and the poor mindset. Highlights from my conversation with Andy Hart My background in property investment How COVID-19 caused a recession in Australia How COVID-19 has affected being a landlord in Australia Landlords can put mortgage payments on hold for awhile Tenants can seek rental relief How poor money habits keep people in the rat race What differentiates the rich from the average person The rich have learned to spend less than they earn They understand the concept of delayed gratification The know the difference between assets and liabilities The five levels of wealth Level 0 – Financial instability: not even on the hierarchy, no reserves Level 1 – Financial stability: The most basic level of wealth. Some savings, insurance, can handle an unexpected challenge as long as it doesn’t last too long Level 2 – Financial security: Accumulated enough passive income to cover the most basic expenses, can maintain a basic lifestyle if you stop working Level 3 – Financial freedom: Accumulated enough assets to create enough passive income to pay for the lifestyle you want, more than just the basics Level 4 – Financial abundance: Financially free, can give back to the community, can train their kids to get to the next level Financial abundance means not just having enough wealth for you, but having generational wealth as well Whether we’re exiting the golden block of time for real estate wealth creation The wealth creation machine Why Rich Habits, Poor Habits is the book I’m most proud of Mistakes that crop up frequently in property investment How to handle a partner who isn’t interested in growing wealth The difference between being rich and being wealthy Links and Resources: Michael Yardney Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Andy Hart – Maven Adviser Maven Money Podcast Shownotes plus more here: Here’s why is the gap between the Rich and the average Australian widening – with Andy Hardt Some of our favourite quotes from the show: “In my mind, if you don’t have the right mindset, and you suddenly come into money, you lose it.” --Michael Yardney “The first thing is to invest in your financial education, because as we’ve said a couple of times, most people don’t even know about this.” -- Michael Yardney “You can’t driver around in a Lamborghini with the engine of a Hyundai in it, so you’ve got to upgrade your wealth operating system.” -- Michael Yardney PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how  

What’s ahead for our property markets? It’s hard to make predictions, especially about the future. It’s even harder to predict the endpoint of a moving target. Yet there is a palpable change in property sentiment happening. Earlier this year, there were a number of dire predictions suggesting property values would plummet. But now, most of the pessimists have changed their minds and backtracked on their forecasts. Australia survived the coronavirus better than many countries, and despite a recession, rising unemployment, and Melbourne’s severe prolonged lockdowns, the property markets have remained resilient. Recently, there have been 2 significant game changers that have altered my view on what’s ahead for property markets in 2021 and 2022, and that’s what you’re going to hear about in today’s episode, which is an audio recording of my Masterclass. We’re also going to talk about which areas you should be investing in, and which areas you should avoid. The Perfect Storm for the Property Market I believe we’re setting ourselves up for a perfect storm in the property market in 2021 and 2022. Back in March, I suggested that A grade properties wouldn’t drop much in value during this pandemic – maybe 5%. I was correct. I suggested that B grade properties – not investment-grade properties – would drop around 5-10%, and that was pretty right also. And I suggested that C grade properties wouldn’t be moving at all. And, right now, we’re seeing a fallout in off-the-plan market and inner city apartment market. Only certain segments of the market suffered. I was able to get those predictions right because I’ve been through many cycles. Most of the credible economists who had dire predictions at the beginning of the pandemic have changed their stance and gotten more positive at this point. How come? Why is the coronavirus-induced housing correction coming to an end? There are several reasons. House prices rise quickly but slide slowly. Property prices rise quickly in a boom, but when buyer demand falls, potential sellers hold on instead of dropping the price and devaluing their property. There were very few forced sales during the pandemic because the government and banks threw lifelines to owners. Renters have been harder hit than homeowners. And finally, we’re not all in the same boat. Unemployment is high, but not everyone is struggling. While I was always positive that our property markets were going to pick up, recently two major factors have underpinned the property market. These two factors will lead to the perfect storm that will have property markets performing very strongly in 2021 and 2022. The first was the announcement of sweeping changes to remove overly restrictive lending rules. This will give more people access to more credit, enabling them to get into the market. The other big gamechanger is the budget. It’s calibrated to create jobs and promote consumer confidence, which will encourage buying and investing. Links and Resources: Michael Yardney  Get the team at Metropole to help build your personal Strategic Property Plan. Click here and have a chat with us Watch the Masterclass – get all the details here Shownotes plus more here: The latest research has changed my view on what's ahead for property Some of our favourite quotes from the show: “It’s becoming increasingly clear that this modest coronavirus induced housing correction is coming to an end.” – Michael Yardney “Easier availability of credit is going to flow in through the system and push up property values.” –Michael Yardney “Hot spots tend to be short-term areas of growth. You’ve got to dig deeper and look for areas of gentrification that give long-term capital growth.” – Michael Yardney PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how  

Inspirational quotes trigger something within us when we hear them and read them. They activate our emotions and sometimes when they resonate with us, they increase our pulse and get our creative or critical thinking juices flowing That’s one of the reasons why I often share quotes from already very successful entrepreneurs with Mark Creedon, founder of Business Accelerator Mastermind in our monthly Build a Business Not a Job podcast. Today will be discussing some quotes from Richard Branson. Even if you’re not a Richard Branson fan, and even if you’re not in business or professional practice, today’s show will be for you because I believe there are some great benefits you can reap by listening to inspirational quotes. Maybe when you hear Mark and I dissect some of Richard Branson’s quotes you’ll get a different or better angle on a particular subject. Maybe you’ll get an insight into the thoughts and teachings of somebody a little wiser Maybe won’t learn something new but the repletion of words will remind you of something you already know and hopefully it will trigger something within you to get you back on track or further down the track. Even if you’re not a fan of quotes I hope you enjoy today’s show because if you want to become more successful in life whether it’s in business, entrepreneurship, investing or just simply in your relationships. 15 intelligent Richard Branson quotes Richard Branson needs no introduction; he is the daredevil entrepreneur who is best known as the founder of Virgin Group. If you’re looking for inspiration, it’s interesting to know that in school, Branson struggled with dyslexia and couldn’t really adapt, so at 16 he decided to drop-out of school and start a youth culture magazine called “Student”. The magazine was the starting point for a humble music store called Virgin Records. Today Branson has a net worth of over $4.9 Billion and having more than 400 companies, he is one of the most highly respected CEOs in the world. “Screw it let's do it.” Instead of waiting for the perfect moment, just get started and get it done. “There is no greater thing you can do with your life and your work and follow your passions in a way that serves the world and you.” If you’re not passionate about your work, maybe it’s time to think about making a change. “When you're first thinking through an idea, it's important not to get bogged down in complexity. Thinking simply and clearly, it is hard to do.” If you wait until every possible detail is covered, you’ll never get around to doing it. “If you don't succeed at first, there is no need for the F word (failure). Pick yourself up and try, try again.” Failure is part of the process. Learn from it and move on. “You don’t learn to walk by following rules. You learn by doing, and by falling over.” “Luck is what happens when preparation meets opportunity.” If you’re not prepared and you don’t have the right mindset, luck will pass you by. “Don't become a slave to technology – manage your phone, don't let it manage you.” It’s fine to use and enjoy technology, just don’t let it take over. “Chance favours the prepared mind. The more you practice, the luckier you become.” The more time you spend focusing on what you want to achieve and practicing the skills you need, the more opportunities will find you. “Life is a hell of a lot more fun if you say yes rather than no.” Don’t let negativity or negative people limit you. “A business has to be involving, it has to be fun, and it has to exercise your creative instincts.” You’ll attract more clients, customers, and opportunities if you’re enjoying yourself.  “I have always believed that the way you treat your employees is the way they will treat your customers, and that people flourish when they are praised.” “Hard won things are more valuable than those that come to easily.” You don’t tend to value things that come too easily “How slim the line is between genius and insanity and between determination and stubbornness.” In order to be successful, you have to be determined, but you also need to know when to quit. “I will continue questioning, questioning, questioning. I will never completely get to the truth, but I want my life to be one long strive to get there.” Hold on to your curiosity. It will make you more innovative and creative “Capitalism – which in its purest form is entrepreneurism even among the poorest of the poor – does work; but those who make money from it should put it back into society, not just sit on it as if they are hatching eggs.” Look for ways to help other achieve success too. Links and Resources: Why not join Metropole’s Business Accelerator Mastermind Learn more about Mark Creedon – Business Coach to some of Australia’s leading entrepreneurs  Shownotes plus more here: Learn some lessons from these 15 intelligent Richard Branson quotes with Mark Creedon Some of our favourite quotes from the show: “Analytical people definitely have their role and can become very successful businesspeople and entrepreneurs, but often they need somebody else to bounce their ideas off, because they can get too bogged down.” – Michael Yardney “Failure is part of success, it’s part of the process.” – Michael Yardney “Once you reach the top, you’ve got to send the elevator down to help other people up too.” – Michael Yardney PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how.