11 Things To Do If You’re Not Ready To Invest In Property Yet

[arve url="https://www.youtube.com/watch?v=TOGHA6ap6vE" mode="lazyload" align="center" /] If you're passionate about investing in property but not quite ready to go then here are 11 things you can do if you're not ready to invest in property yet. 0:00 - Introduction 0:55 - #1: Learn How To Budget 2:28 - #2: Automate Your Finances 3:20 - #3: Pay off Debt 3:50 - #4: Pay Yourself First 4:50 - #5: Earn More Money 5:37 - #6: See a Mortgage Broker 7:08 - #7: Start Reading Books 8:13 - #8: Get The Right Property Investment Strategy 9:22 - Get one-on-one help 10:00 - #9: Find The Best Suburbs To Invest In 11:47 - #10: Find The Best Properties in a Suburb 12:38 - #11: Learn To Assess The Cash Flow of a Property Resources Mentioned: Advanced Suburb Research Course - https://onproperty.com.au/suburb Property Tools - https://propertytools.com.au Recommended Books The Barefoot Investor - https://onproperty.com.au/barefoot Linchpin - https://onproperty.com.au/linchpin Recommended Videos 10 Ways To Make Money From Scratch - https://www.youtube.com/watch?v=FIvRMTXcLbs How To Find The Best Properties in a Suburb - https://www.youtube.com/watch?v=7f0ETsKRD0U Transcription: So you passionate about investing in property, you want to start building out those foundational properties, work towards financial freedom, but you're not quite ready to invest yet. Maybe you haven't quite savior deposit, maybe can't quite get a loan yet. Here's 11 different things that you can do if you're not quite there yet and not quite ready to invest, and these 11 things go into two major categories. The first category is what I call your financial house or getting your financial house in order, and the second category is your property investment skills, which you can work on even if you're not quite ready to buy yet. So let's jump in and first talk about getting your financial house in order, which is going to be key if you're going to save a deposit and if you're going to be in a position to borrow money from the banks in order to purchase a property, the first thing that you need to do to get your financial house in order is to actually learn how to budget. This is something that took me years to work out. I tried multiple different types of budgeting and none of them really worked for me. That was until I read this book, the barefoot investor. If you haven't checked it out, go ahead and check it out. I'll leave the links in the description down below or you can go to on-property dot com dot EU for sash barefoot. In here he talks about how to automate your finances, how to set a budget, and I found this extremely helpful and has just been great. I also kind of did. I slightly edited what he recommends, so if you want to check that out, just go to youtube and search barefoot. Investor bank accounts and my video will come up for that one. So step number one is learning how to budget. So little quick rundown of how I do it is that basically each week I pay myself, so money automatically goes for rent, it goes for paying off debt, it goes for savings. And then I have a weekly amount that I can live off my other bills are also accounted for and paid for, but I have a weekly discretionary income that I can use towards food, towards going out towards whatever it may be. So everything is automated in terms of paying off debt savings, paying the bills, and then I have a set amount each week that I can live off and that's just the best way I've found to do it. The second thing you can do, which is kind of in line with the first one and learning how to budget and that is to go ahead and automate your finances. So each week money comes in and I am paid from my business, a certain amount of money, but automatically rent is paid, money is put aside for bills, money is put aside to pay off debt, money is put aside for savings, and then money is moved into an everyday spending account that I can then use and have discretionary spending to buy my groceries, to go all of that sort of stuff. So every single week my finances that absolutely automated. So I'm saving towards that goal of a deposit and paying off debt at the same time, but it's happening automatically and I'm not thinking about it. So all I need to focus on is my weekly budget and how much money I'm spending, but the savings already happening. Now, as part of that, automating all of your expenses, there's two things you should be doing. So the first one is paying off debt. If you have debt in your life, whether that be credit card debt, car loans, etc. You want to be paying off that debt. Automating that is keY, but you need to focus on paying off that debt and we're going to talk about how to do that through earning a bit more money, but you need to focus on paying off that debt. Getting yourself in a good position to isn't eating you alive. The next thing is that you need to pay yourself. So we talked about automating our finances. the key here is that you need to do your budget and when you do your budget, you need to allocate money towards saving for your deposit in order to purchase your property. And that needs to go out first, so when you are paid, the first thing that you do is save money. The things you do after that, assuming that you've paid off debt, sorry, the first thing you do is save money. Then after that, then you pay your rent. Then you pay your bills. Then you have your discretionary money, so by paying yourself first you're going to be moving towards that goal and then you focus on living within your means with whatever's leftover or making more money so that you can live within your means. So rather than living awake and then saving whatever's left at the end of it, the week, the fortnight, the month you want to pay yourself first, save first, and then focus on living off the breasts. And that leads us to the fifth item on our list, which is to look for ways to earn more money. This can be done through your job and getting a pay rise through moving jobs, through getting a second job or through doing something on the side to make money. I did a video on 10 ways to make money from scratch, which I'll link up down below if you need ideas for how to make money that that's a great video to go ahead and get you started, but start a side gig, start a side hustle, started making money on the side to either use towards savings or if you're already paying yourself first and you're finding it really hard to live off what's leftover, use that extra money from your side hustle in order to live off and to have a comfortable lifestyle while you're saving for your deposit. Okay, so far you've learned how to budget. You've automated your finances so that you're paying off debt and you're saving your deposit. You're also focusing on ways to earn more money so that you can save that deposit faster or you can live off the money that you have left after you pay yourself first. The next thing you want to do is go and see a mortgage broker gallancy, a mortgage broker, and talk about your situation, where you're at, and how much money you can borrow. the mortgage broker will also be able to help you run through certain situations. If you can't borrow at the moment, what position do you need to be in in order to borrow? Now, mortgage brokers offer a free service and they only get paid when they actually get alone, so if you're not quite ready to get a loan yet, I find it best to just be upfront with the mortgage broker and just say, okay, what position do I need to be in in order to get a loan? They can quickly run some numbers for you and tell you how much of a deposit you need to save or if you're not earning enough money or you don't have the right sort of job. Maybe your casual rather than full time or part time. They can talk to you about that. But speaking to a mortgage broker, getting clear on what you need to actually been in that position to borrow money is really key. I've done that. Sat down with my mortgage broker. I know where my business needs to be at, how much money I need to be earning in order to borrow money to purchase a property. So step number six is to go ahead and see a mortgage broker. So the seventh thing and the last thing in this financial has category is start reading books. Start educating yourself, start investing into your education. You might not be able to invest into property yet, but you can invest into your own education. Read books about property, read books about personal finance, read books about side hustle and starting a business. There's so many great books out there that you can read if you're really stuck and you don't know where to start. The barefoot investor is a great book to start with, all linchpin by seth goden and again, a lick them. Link them up in the description down below. So now that we're focused on our financial house, we're getting that in order. That's gonna. Take time. That's going to take energy. That's going to take effort. In order to do that, that needs to be a conscious thing that you're focusing on, but the other side of things that you should focus on is building up your property investment skills, so when you are ready to invest, you've got the skills you need to invest wisely. The first and most important thinG to focus on when we're thinking about property skills and investing in property is actually getting the right property investment strategy for you, so getting clear on your strategy, getting clear on the way you want to invest. That way when we're looking at the other steps like researching markets and suburbs and properties, it's all needs to be in line with your goals, with your strategy and your focus. So what a lot of people do wrong is they go out and they start looking at the property market without having a strategy first. This means they're looking at every single property. If you have a strategy, then when you're going out to the market,