Financial Design For Property Investors

Posted on Wednesday, August 22 2012

So what makes a property investor successful?

Many say negotiation skills, some say market expertise, success can be many varying things to many different people. However, at the end of the day, your access to funding is the one key ingredient that cannot be overlooked.
Funding is principally the vessel which will allow you to either travel on along the highway to success or be the same vessel that sees you sitting on the sidelines watching as others achieve what you desire. Yes, funding is essential to get you where you need to go. There are so many more factors to property investment that will ultimately define if you are truly successful or not, however if you hit the financial brick wall early into your investment journey then it can be a lot more difficult to get back on track.

Interest rates are at historical lows, this is no secret, the media nationwide have been sensationalising the “mortgage wars” & mainstream lenders have been competing furiously for your business for several months now. Great discounts, cash backs & the waiving of fees has become the norm, a fantastic market for investors & definitely assisting in making cashflow more attainable for many. A short increase in wholesale rates did push some upwards movement however these wholesale increases did not maintain however are still not at the lows seen in late June early July. One of the concerns I have with the sensationalism behind low rates though is those getting into debt with full understanding of how a property market cycle & not factoring in economic factors, stability or interest rate increases. Definitely, make hay while the sun shines, capitalise on the great rates, what you can save in fees but don’t forget to plan for winter. Short term thinking can be dangerous & if I may hark back to the question I opened this article with, I feel knowledge is the key to becoming a successful property investor. Be this knowledge taught from a wealth creation educator or simply knowledge gained in the form of expert advice from your mortgage broker you need to ensure you are have the best possible resources.

So what is financial design? I’ve had many different answers to what it has meant to our clients. If you are investing in property chances are high you have some desire for financial freedom or perhaps have preparing for your retirement in mind. Whatever your desired outcome, a bad financing decision at any stage of your investing can hold you back from your goals & dreams.

What Financial Design means for us is looking after you with a extended viewpoint, ensuring we are helping you not only achieve your goals by sourcing your funding for the current deal, but looking at how this will affect your next deal & ultimately how this will affect your portfolio going forward, again & again.

Ensure your foundations are solid, get educated & work with professionals who understand how to help you grow your portfolio.

 

By Matt Thorburn| CT Financial Design Ltd.

www.FinancialDesign.co.nz

 

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Expert's Bio

Matt Thorburn

CT Financial Design is a boutique Brokerage specialising in mortgage solutions for Investors. Founded by successful investors & borne out of a passion for funding property investment, we focus on working with a smaller group of clientele, ensuring you receive personally tailored advice every time without compromise in expertise or professionalism.

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