Turn your bad habits into property profits

Property has developed the status of being a pariah investment in some circles, with some advisers urging their clients to stay clear of bricks-and-mortar additions to their portfolios of assets.

Recently Realestateweb responded to criticisms by celebrity tax lecturer Matthew Lester of Rhodes University, who is discouraging whoever cares to listen from buying property.

Among Lester's reasons: the high costs associated with buying and selling property; the new developments mushrooming in Gauteng; concerns tenants might not pay the electricity, water and rates bills; and, the prospect of a tenant not paying the rent. His tax concern was that rental losses on holiday homes and granny flats cannot be offset against other income.

We disagreed with him on many fronts, emphasising that many of these risks can be overcome by selecting a property and tenant with care. Careful checking of references and credit records and a sound contract are essential before handing over the keys.

Realestateweb visitors joined the debate, giving Prof Lester and his followers even more reasons not to ignore residential property as an investment option.

Said professional property investor Brennan: "Had a meeting with my insurance broker this week, which we do every year to review my policies and plans. After discussing my life cover needs and requirements we moved onto my investments.  I called my RAs (Retirement Annuities) paid up a good couple of years ago with him as my property investments were sufficient, so he makes nothing as a broker besides the life cover and medical.

"Having a good long term relationship as my broker we always review my retirement plan.  His comment: He does not have a product that can offer me what I have built up myself in this short space of time and that I am still young. I came out of my meeting with my broker feeling quietly content but at the same time also feeling that I need to step up my purchases because there is still so much more I want to achieve," commented Brennan on Realestateweb. 

Rob emphasised that a major benefit of investing in property is that you can pay a relatively small portion of the price and get a bank and tenant to fund the rest for you. He reminded visitors: "You can gear your investment property purchase in such a way that your tenant can pay off the geared portion. You cannot gear stock market investments. The dividend yield is too low and it is just too risky."

Tuscanite, who seems to have property interests around the globe, noted that "buy and hold is a strategy". "Property... is a long term asset class because of the acquisition and disposal costs."

Emphasising why rental property will always be in demand, Tuscanite said: "Most residential property is still bought by people looking for a home and not property investors. Most people can afford to buy, but their aspirations direct them to homes in areas which they feel are ‘basic' to their needs but in reality are out of their purchasing power. That's why they rent although there are legitimate reasons why you should rent instead of buy, such as divorce, new to area, short-term contract, etc."

Added Tuscanite wryly: "When property goes out of fashion as shelter and tents become the must-have shelter, property may prove to be a sell. Until then it's generally a buy. Just buy selectively and do not overextend your financial reach whether owner-occupier or investor."

You can catch up with the fascinating debate that has developed around whether a second property is a good investment option, by clicking here. (Your views are welcome, so please share them constructively in the comments' section here or under that article.)

In the meantime, Prof Lester has told millions of South Africans that it is a good idea to give up smoking and invest what you would have spent on fags. In this week's Sunday column, entitled "Quit now - or you'll really be coughing up".

A 40-a-day habit is now R18 000 per annum (without the lighters, burned clothes and sheets), says Lester with characteristic humour. "I am pleasantly surprised at my life insurance quotes, which will be down by R12 000 per annum. And I must save as much again simply because I don't go to the shops or pub that often any more. All in, I reckon I am saving R40 000 per annum in after-tax income - equivalent to a retirement annuity contribution of R67 000 per annum," he says.

"So, without getting too clever, take a R67 000 annual investment premium and inflate the premium by 10% per annum for cigarette inflation, then allow for a 10% return over a period of 20 years."

Lester reckons by year 20 the value of his investment will be about R7,5m. "But I can't tell you what that will buy me - a new Beemer, or a second-hand walker?"

We agree wholeheartedly with Lester's suggestion that you should save instead of smoke, a habit the former 40-a-day puffer reckons would have cost about R250 000/year in 20 years' time.

We hope that Lester might, after hearing the other side of the case for property, seriously consider a bricks-and-mortar investment for his diverted cigarette money.  

At the very least he should buy his own property and pay that extra 10% per year to get rid of the mortgage faster.

Assuming he can afford the average South African house, which costs about R1m, a quick calculation on a bond calculator shows that he could chop not far off R400 000 off his total property debt repayment just by paying 10% extra with his home loan repayment. He could also reduce the loan repayment period to just over 15 years. 

If he inflates his premium by 10% every year, as he is advising others to do with their investments, the loan will disappear even faster - long before he needs a walker.

And, if property prices go up, as they inevitably will over 20 years at the very least in line with inflation, we reckon he'll be able to afford a few new Beemers with the money he makes.  Lester could easily turn his bad habit into bumper property profits.

• Jackie Cameron is editor of Realestateweb, South Africa's fastest-growing property website. Write to jackie@realestateweb.co.za.

Save on your property insurance by visiting the Moneywebmarket.co.za

Click here to access Realestateweb's new property valuation tools! For less than R100 you can find out who owns a property, what they paid and whether they have a large mortgage - and what others have been paying in a suburb.

Services Subscribe to newsletters News feeds Share this article Facebook Google Laaik.it Yahoo! Digg del.icio.us

Comments

 

responses to this article

I think I'd rather put my 10 bars into BHP Billiton I trust their management team far more to create real value than the builders, developers, estate agents, conveyancers, defaulting and destructive tenants, municipalities and SARS, who collectively leach a property portfolio dry. by Jock on October 30 2009, 13:57 Find this comment inappropriate? Report it

@ Jock You just can't seem to grasp it can you jock? If you had 10 Bar you could probably gear it to give you at least 80Bar in property. Let the 80 bar grow at say, a nominal 4% and it will give you an overall return of 32% per annum - somewhat ahead of BHP . .more methinks. Let it grow at the property average for the last thirty years (10%) and you're really laughing. I wonder how much property BHP own????? . .less by Robbie the Grape on October 30 2009, 14:38 Find this comment inappropriate? Report it

residential property Residential property is a dog for the reasons given by Jock above, listed commercial property is the way to go and gee wiz it even gives you a growing 9% p.a. if you select the right ones. by Harry on October 30 2009, 14:51 Find this comment inappropriate? Report it

FT.COM - "UK House Prices Rise for Six Month" Eish CJ...Is'nt life tragic as a renter...life is @@#$ (tenant)....and then you pay rent!! by CJs Landlord on October 30 2009, 15:22 Find this comment inappropriate? Report it

Property Old Mutual shares gave me 100% growth in 8 months. Shoprite grew at 40% p/a tha last 5 years. And then I don't have the hassle of property maintenance, lost income due to empty property, burst waterpipes causing a reduction of income due to house . .more partially unusable, tenants moaning about alterations they want done to the property, tenants trying their negotiation skills on me for size, etc. And at what rate did rental income increase on average the past year, 0% ? And property value increased at -2% ? I know where I will invest my spare cash. . .less by Komo on October 30 2009, 15:31 Find this comment inappropriate? Report it

Of course you can gear stock market investments What's with this continued argument that you cannot gear shares? You borrow to buy property - you borrow to buy shares - what's the difference? Futures and options are inherently geared stock exposures, and a lot simpler to administer than buying and . .more letting property. Tenant pays part of the interest on the mortgage? The dividend yield on shares pays toward the carry cost of futures - and divvies usually goes up every year. Strange how futures are regarded as high risk exotics when gearing up property amounts to more or less the same thing. If you buy a house and bond it to the hilt, you will be sitting on a sizable geared loss when prices come down. . .less by Arnold on October 30 2009, 15:43 Find this comment inappropriate? Report it

@JOCK Provided they don't decide to by-pass their dividend like Anglos did recently...a complete "P*** take" on the whole market. Now thats a real bummer!! by AA on October 30 2009, 16:00 Find this comment inappropriate? Report it

Gearing There are many ways how to gear stock, you can trade ALSI and nobody on the earth can give you better results. Problem is that when you don't trade it then no money in, and off course you can't give it to agent to manage it. There . .more are pit falls in propert investment for sure no question about it. But that is exactly why there are few people are doing it and not everybody. And that is very fortunate for landlords. Every investment class have it's own pros and cons, and will be like that till the end of the world. So stick to what you know and do it the best you can. If you want to know how to trade ALSI check those two: http://twitter.com/ALSITRADER http://www.alsi-trader.blogspot.com/ . .less by Igor on October 30 2009, 16:29 Find this comment inappropriate? Report it

Geared stock market investments Banks will lend up to 100% on a property using a mortgage. Banks will lend 50% of the value of your share portfolio. Limited gearing on shares. As for futures and options you first have to deposit the cash and then you can gear aginst what you . .more have on deposit. . .less by Vosloo on October 30 2009, 16:41 Find this comment inappropriate? Report it

Gearing Fundamental difference between gearing on property and gearing on other investments such as equities and futures, is that there are no margin calls. Until you are not meeting any longer your debt obligations that is. With futures and equities investments . .more you put up a margin which has to be maintained at all times. Stock goes down by 5% on a 2 million investment, you have to put up another 100k on your margin (OUCH!!!). That is why gearing property and gearing stocks and futures is not the same. Gearing stocks and futures is more risky. Much more. I do believe in property as an investment, however I do reckon that it is far too early to dismiss CJ's claims of a potential crash in property. Whilst I do believe this will not happen, I also do reckon that there is still substantial probability outhere of me being wrong/ CJ correct. This was supposed to be a big economic crisis, and I don't reckon our clever politicians have "solved it" without major consequences. They are still coming. Heavy inflationary environment (which some state is a good thing) is not all good for property i.e. prices are so high no one can afford it (in case you need cash quickly, you might, because in such environment everything is going quickly), upon selling it one must spend/ convert it immediately, etc. . .less by Rogi on October 30 2009, 16:50 Find this comment inappropriate? Report it

C'mon Jackie Seriously Jackie - a we bit of selective bias in the comments you decided to highlight - there were many equally valid comments countering residential property as an investment - surely balanced reporting dictates that you highlight those views as . .more well? @Vosloo -the days of banks lenidng 100% on residential invetment/buy-to-let properties are long gone my friend. At the very, very best, you'll get a 60% LTV on a second and subsequent properties, primarily because the bank significantly discounts the potential rent. The risk models that I know are currently being used in 2 of the big 4 banks discount future rental to around 40% of the value claimed by the applicant. Once the model spits out the revised rental income number the affordability test as prescribed by the NCA will kick most borrowers into touch unless they come up with a substancial deposit. In the end Igor has it spot on - stick to what you know and enjoy when it comes to investing and having property (preferably listed commercial property) in a diversified portfolio is not a bad thing, as far as I'm concerned. I just don't particularly want to deal with the nice tenants who, by mistake, turned the garage into a mandrax factory! . .less by PhatCat on October 30 2009, 17:31 Find this comment inappropriate? Report it

10 bar jock....10 bar ?? my A**...thats why ur on here...bitching abt not putting ur 10 bar into property... by zimbo on October 30 2009, 21:46 Find this comment inappropriate? Report it

Wow Jackie! nice pic on the Mnyweb page - you're hot! But property is not... yesterday Brait annouced their results and declared a divi. Having bought in a few years ago, the interim divi is now 10% of my capital. I'll be earning 22% full year, tax and . .more hassle free. Why would i even consider property when there are returns like these to be made in equity. I pad 80c for PNC 4 years ago - I've got 43c back in divies by end of Nov this year!! Jackie, you're hot!! Not as hot as equities tho... . .less by whips excite me on October 31 2009, 01:42 Find this comment inappropriate? Report it

What about buying a Steers franchise? How hot is that? by @Whips on October 31 2009, 05:11 Find this comment inappropriate? Report it

What inflation ? I see the Argus food basket is MINUS 5% year on year this week - looks like it will be minus 10% in a month or twos time and could even get as low as minus 13%. That's deflation folks, big time. That's falling prices. I'm seeing CPI as below zero this . .more time next year. My office landlord also sees it - only a 1% rent increase per year for the next 2 years. . .less by CJ Says on October 31 2009, 21:38 Find this comment inappropriate? Report it

Property versus trading Got 100,000 to invest ? Want to get some of those R 500,000 beemers that Jackie promises. Well buy a R1m house - 100,000 buying costs, 5% rent, 3% return after rates and maintenance. Lets say 5% inflation a year. 10% interest . .more only bond. House price, rents, and beemer cost all go up with inflation. The good news is that in 20 years time you can buy 66% of a beemer instead of the 20% you can buy now. Cool, bust your gut as a landlord for 20 years and you gain half a beemer. OR ... you take your 100,000, put as much energy as you would have put into being a landlord into trading the financial markets like old igor above - aim for 20% return a year - after 20 years you can buy 3 Beemers. 6 times the return that your little buy to let can get you. Makes you think. . .less by CJ Says on October 31 2009, 21:49 Find this comment inappropriate? Report it

Coexistence of parallel universes In a comment by CJ Says on October 31 2009, 21:38 the future apparently involves deflation and then 11 minutes later by CJ Says on October 31 2009, 21:49 we have to assume 5% inflation...a parallel universe does exist by the sound of it... As . .more for trading ALSI versus property there is no discussion of risk exposure nor do the returns take into account where you stay and what you pay whilst wagering on trading positions. Day trading has proven wealth damaging to the majority who have tried it and to suggest it suitable for the general population is foolhardy. Not everyone possesses the temperament, time, nor the ability to be a day trader, never mind a grasp of managing risk exposure. Property market is mainly driven by people looking to live in a house, property investors with multiple properties are a small percentage of property market. . .less by Tuscanite on November 01 2009, 17:48 Find this comment inappropriate? Report it

@CJ Your punting in the markets can't be too great then....if can't afford to buy a roof over your head...whats the deal? Are you putting all the "energy as you would have" into making trading profits...so that you can pay me them back in Rent? by CJs Landlord on November 02 2009, 09:10 Find this comment inappropriate? Report it

@Tuscanite, Cj's comments Glad you are awake and as sharp as usual Tuscanite. I stopped reading Cj's comments around the time he predicted negative CPI for the next two years or something as arcane as that. zzzzz by Randlord on November 02 2009, 09:55 Find this comment inappropriate? Report it

@Tuscanite "Day trading has proven wealth damaging to the majority who have tried" Yes same with running your own business, what is that stats 10 in 100 survives after 5 years, and again 10 in 100 another 10 so 1 in 100 survives 10 years. And then people . .more starting new business every day. Problem is that people who tried to trade futures, didn't try to educate themselves about futures. And that is like everything else in lives. They think they are the most clever bunch and will be easy for them. Same with business, same with property investment, same with everything. Nothing is suitable for the general population. Property, trading, investing. Only suitable for the general population is working from 9-5. http://twitter.com/ALSITRADER http://www.alsi-trader.blogspot.com/ . .less by Igor on November 02 2009, 10:18 Find this comment inappropriate? Report it

CJ who is this clown? On the property - after 20 years rents have gone up. The place is paid for. On your 20%PA Trading profits...you got tax bud!!... thought about that one? At 20%PA trading profits you should have retired long ago... to your own . .more mansion in Monaco...what happened? . .less by AA on November 02 2009, 11:48 Find this comment inappropriate? Report it

CJ who is this clown? On the property - after 20 years rents have gone up. The place is paid for. On your 20%PA Trading profits...you got tax bud!!... thought about that one? At 20%PA trading profits you should have retired long ago... to your OWN . .more mansion in Monaco...what happened? . .less by AA on November 02 2009, 11:50 Find this comment inappropriate? Report it

Oh dear Tuskers This is not difficult - have I ever said there will be deflation for 20 years? Of course not. Next 3 years, at least, yes I believe so. As I pointed out, the Argus food basket says it is already here at MINUS 5%. Soon to be MINUS 10%. The PPI figures . .more concur. I believe the CPI will catch up next year and I certainly look forward to "Randlord's" grovelling apology. 20 years of deflation, like in Japan, is not impossible, but it still only remains a possibility. its too soon to really know. Where I have bravely put my predictions on the table is the 3 years of deflation coming up. Over 20 years I think 5% inflation is a fair guesstimate considering the several years of deflation that the period will be starting with. It could be less. Meanwhile, if you are prepared to do the hard work, getting a trading system that can give you 20% a year is totally doable. If you are lazy and a bit dim, then certainly, settling for half a beemer in a property buy to let might be the better bet. In real terms, your 100,000 BTL investment will gain you 250,000 over 20 years - 250% - that's 12500 for every year. . .less by CJ Says on November 02 2009, 14:46 Find this comment inappropriate? Report it

@ AA Notice the "interest only" bond in my calculation, so, sorry, no equity gets paid off during the 20 years. True, no tax has been deducted either example - I didn't deduct tax from the rent and I didn't deduct tax from the trading profits - I try . .more and keep it simple for the property guys who do struggle a bit with crunching the numbers :-) . .less by CJ Says on November 02 2009, 14:51 Find this comment inappropriate? Report it

Cj, wake me up when you actually buy something. Until then you are merely a by-stander with plenty to say, but not much in the way of experience. But good luck with that trading thing; you will need it when inflation takes hold over the next few years and you find you STILL can't afford to buy. by Randlord on November 02 2009, 15:43 Find this comment inappropriate? Report it

@Igor Yes, I also find it sad when people start their own their business. Its not just about education, its also about aptitude. People are not all the same. I've lost count of the amount of people who have been retrenched or resigned, cashed out their . .more pension money and started up a business as "the way to go". Theoretically its possible to succeed but after a lifetime of being an employee they lack the people skills, the judgment and decision making skills and more time than not they fail. They act as businessmen, but they are not businessmen. They end up divorced, kids in a place of safety, owing debt, no roof over their heads, no healthcare, no pension, no food to put on table and performing menial tasks to survive. All because they believed they could learn all they need to know to succeed in business. The lure of riches and status was their downfall. Ditto day trading. Easy to learn, but not necessarily do they have the aptitude. Some people should be forced to save and unit trusts, RAs, financial advisers and owning their own home and having to meet that monthly commitment best fits their temperament, personality and skills. There are others who can afford the risk of starting a business, day trading or managing their own financial affairs. . .less by Tuscanite on November 02 2009, 15:47 Find this comment inappropriate? Report it

Why sell property as an investment? I am not sure why property investors sell property as an investment. If something is making that much money for an individual why share the secret and expose himself to more competition? Tenants are good people, they are not stupid fools that we take . .more money from. They are the ones that close the investment loop, the dividends payers. So why would we want them to own their own property (CJ example)? It beats me... . .less by Mthoko on November 02 2009, 15:51 Find this comment inappropriate? Report it

@CJ Says The Argus food basket is not representative of everyone's food basket. That's why everyone disagrees with inflation and deflation rates that are often quoted in articles. That's why I keep on emphasising to you repeatedly about the uniqueness of data-sets . .more and the importance of not trying to interpret too much nor extrapolate beyond the data set. I've also tried to explain repeatedly about pithy headline hype intended to capture readers more than convey am accurate representation of the situation. Sensationalism sells. Journalists like blogs, they don't have to fact check, they just publish opinion pieces. As for expecting deflation in SA, when has it happened before? Most of what I read highlights inflation for SA. I've already done all my hard work, thats why I don't get caught up in headline hype nor tangled in the lure of easy riches. I got mine the old fashioned way, I worked hard for it. . .less by Tuscanite on November 02 2009, 16:01 Find this comment inappropriate? Report it

@Mthoko In my view its not about selling property as an investment, its about defending its reputation against uninformed maladjusted miscreants extrapolating data from inappropriate timelines and presenting it as fact... :-) Property investment is . .more not a secret. As Andewa often reminds us its hard work and requires sacrifice. Some never get on the property ladder because they have found the path to easy riches through XYZ, yet strangely if XYZ was so easy surely they could afford to buy a place as an extravagant lifestyle choice? These threads are more about putting enough information and viewpoints so that people learn enough to ask informed questions of real-estate agents, trading software peddlers and financial advisers before making a decision that best suits their circumstances, aptitude and risk-tolerance. . .less by Tuscanite on November 02 2009, 17:00 Find this comment inappropriate? Report it

@Mthoko Because even if you were to publish the way to riches in easy to follow steps on the front pages of every news paper in bold headlines, few people would follow them. Why? Because we live in a world of instant gratification and the steps, although easy, . .more take commitment, time, patience and some amount of hard work. After a few set backs most people would throw in the towel, and the rest would not even start. There are few easy, quick ways for the average man to create real wealth in this world. That is why there are relatively few truly wealthy people among us. Most paths to wealth entail hard work, patience, consistency and discipline. And few people are willing or able to put in what it takes. As like in trading there are no Holy Grails there are no secrets about property investment. It's not complicated, and it has made many average working people wealthy. Yet so many others will never use it to enrich their lives, even if they knew how. Because once again it takes time, patience, persistence, discipline. In other words, it just looks like hard work. Day trading by comparison looks so much easier. . .less by CT Landlord on November 02 2009, 18:54 Find this comment inappropriate? Report it

Reply to all... i hear you, but the threads sound like we are seriously trying to justify the investment. Like we are trying to get approval for the decision we have made. CT Landlord trust me, i have tried day trading and failed, there is nothing easy about it. If you . .more make a single mistake you cannot let time correct if for you. in other words you guys are saying that people are dumb, even if you gave them a detailed solution they would not be able to pull it off? . .less by Mthoko on November 03 2009, 11:44 Find this comment inappropriate? Report it

@ Tuscanite I concur, well said. The issue of liquidating one's profits is also often overlooked. Real estate investors have exit strategies. We do not necessarily want to own all our properties ad infinitum; its just a means to an end. by Etienne on November 03 2009, 12:11 Find this comment inappropriate? Report it

@Mthoko No, I am not saying that at all. And I am certainly not trying to justify it to anyone - it's been very good to me, but then so have other investment vehicles like the stock market. This just happens to be a property section, and I happen to . .more be a landlord. Amongst other things. Thing is most people can create wealth, it's not too difficult, and the steps are simple. But although they are simple, they are not necessary "easy". It takes patience, persistence, discipline, some sweat and tears. And most people want a quick a more "quick and easy" route to riches. That is why I say even if people had the way spelt out for them, and they trusted it, few would follow it, as it entails a bit of effort, and takes time. I would venture to say most people want it easy, they don't want to work to hard. Hence the draw to get rich quick schemes, day trading etc. (by the way only 1-5% of day traders make it through a year without getting "blown up".) . .less by CT Landlord on November 03 2009, 13:44 Find this comment inappropriate? Report it

@Mthoko cont. In my opinion it doesn't matter what people know, it matters what they do. Examples; we know we should eat well and exercise to live a longer, healthier life. How many of us do that? We know to practice safe sex, how many of us do? We know we should . .more invest 10-15% of our income from an early age 'till retirement. How many people do that. We know we should pay out TV liscences, how many people do that ;-) Knowledge is only half the story. Application is the other, and it's more important. To know what to do, and doing it are two different animals. . .less by CT Landlord on November 03 2009, 13:47 Find this comment inappropriate? Report it

@ CT Landlord I agree with you on your last statement, it's all about action. Not sure i agree on the T.V Licence bit though...even though i just paid another SABC R250 last month (they don't deserve it). Yeah most of us on the forum have diversified . .more portfolios. Satrix, property and some gold in the vault. All good and well except that the shares are busy taking a knock, the property trun around might be a bull trap (job losses still very high) and gold pays no dividends so cannot live off it. Put one in a very interesting predicament. And i do know that rents by markets and property values but wait till your tenants loose their jobs and are forced to consolidate and share with other friends and family. I guess it's easy to sit in a chair and pass judgement on an investment that you have never tried. I just wish we go back to the days where investments were jsut that INVESTMENTS, without the hype, descussion and glory of making a quick buck... . .less by Mthoko on November 03 2009, 16:39 Find this comment inappropriate? Report it

@Mthoko Hey, well done re. the TV licence. It pains me to pay it but apart from it being "the right thing to do", choke choke, once they have your number they are impossible to get rid of. Even after death it appears you will still get a summonsed to appear in . .more court for non-payment. Yeah, the markets are taking a pounding these last few days. Markets are risky places, but with risk comes reward, and they remain one of the best places to grow one's wealth. It just depends on how much volatility you can live with. It gets less with age, in my opinion. Perhaps that's why day traders tend to be youngsters? Of course Tuscanite will remind us too that returns must always be risk adjusted when comparing them. And that's where I like property, its risk is low if held for the medium to long term. Go well. . .less by CT Landlord on November 03 2009, 18:04 Find this comment inappropriate? Report it

@Mthoko I'm with you on day trading - I've tried it, but just don't have the time to monitor my stocks on a continual basis. I still have a portfolio, but my view has changed to "medium" term and I try to invest in "stable" stocks with decent dividends. I have . .more read a lot about futures, options, etc. and believe that that is the real way to make money. It's illegal to borrow money to invest on the stock market and futures, etc. at least gives you the chance to gear your portfolio. HOWEVER, I still don't know enough to feel comfortable with these types of investments and still have a lot to learn before I venture into these. That's the point, isn't it? Only invest in what you know. My dad made huge money in day trading, options, etc., but still had long term views, property investments and cash. Now THAT is a diversified portfolio! My speciality is currently property and that's why I stick to it. I've made some bad decisions, but those you get rid off and can honestly say that property was my saviour in the recent "bad" times. If I didn't have my properties, I would have had to seriously cut back on my lifestyle. My businesses took some knocks, but my properties kept me in my current postion. . .less by Bearded Bandit on November 06 2009, 12:22 Find this comment inappropriate? Report it

Name
Subject
Comment