Knowing what you know now, what would you have done differently in 2023?

In this episode, we reflect on the pivotal lessons of the past year, providing 23 key insights that have reshaped our real estate investment strategies.

From the intricate analysis of diverse Australian property cycles to the crafting of tailored strategic plans, we dissect the forces influencing market dynamics and how to leverage them for wealth accumulation.

Emphasizing the significance of risk management, asset diversity, and long-term planning, we delve into the marathon journey to financial independence through property investment.

Alongside practical investment wisdom, we also touch on the philosophical, advocating for contentment and gratitude in our pursuit of success.

This episode is not just a treasure trove of investment advice, but also a reminder of the importance of aligning our financial goals with personal fulfillment.

And as I share these lessons with you I hope they'll give you some direction and certainty in the challenging markets ahead.

The Investor's Compass: 23 Vital Lessons in 2023's Real Estate Market

With a focus on the Australian real estate landscape, these 23 lessons provide a comprehensive guide to building a resilient and profitable property portfolio. Listeners are invited to explore the lessons learned from the past and how they can be applied to ensure investment success in the current year.

1. Expect the unexpected

The biggest risk is the one that no one sees coming. If no one sees it coming then no one is prepared for it and if no one is prepared for it, its damage will be amplified when it arrives.

2. Focus on the long term

It’s not a good strategy to make 30-year investment decisions based on the last 30 minutes of news.

3. It’s the media’s job to entertain you – not educate you

Negative headlines drive clicks and views and get eyes on advertiser content. That doesn’t mean they’re reliable.

4. Take economic forecasts with a grain of salt

It’s often the things you can’t predict that make the difference, while the things you can predict don’t have as big an impact.

5. Don’t believe the doomsayers

There will always be somebody wanting to stall the aspirations of their fellow Australians who are looking to take their financial futures into their own hands and do something about it.

6. No one really knows what’s going to happen to the property markets

While it’s important to have mentors, make sure you’re listening to somebody whose opinions are based on successfully investing through multiple cycles.

7. There is no such thing as the “Australian property market.”

There are multiple markets in Australia, and each state is at a particular stage of its own property cycle within each state multiple submarkets depend on price point, geography, and type of property.

8. Don’t try and time the market

If you buy the right investment-grade assets, time in the market is much more important than timing the market.

9. The crowd is usually wrong

Market sentiment is a key driver of property cycles and one of the reasons why our markets overreact, overshooting the mark during booms and getting too depressed during slumps.

10. Property investment is a game of finance with some houses thrown in the middle

Strategic property investors have a financial plan to buy themselves not only real estate but also time.

11. You need to plan

Attaining wealth doesn’t just happen, it’s the result of a well-executed plan.

12. Invest for Capital Growth

Cash flow is important and will keep you in the game, but it’s capital growth that gets you out of the rat race.

13. There will always be reasons not to invest

Focus on your long-term goals and remember that the year’s crises are part of the normal course of history.

14. Property investment is risky in the short-term, but secure in the long term

2022 reminded many property investors that real estate is not a way to get rich quickly.

Those who stay in the property game benefit from the power of compounding growth which builds wealth but takes time.

15. Plan for the worst and look forward to the best

There will always be those X factors that crop up and affect the market. Protect yourself by planning well, but also planning on the plan not going according to plan.

16. You can't rely on one stream of income

Rather than relying on your job as an income source, become financially fluent, learn to invest, and develop multiple streams of income.

17. There are always risks associated with investing

Don’t be afraid of failing, because the biggest risk is not doing anything to protect your financial future.

18. Cautious optimism is better for your investment health than perma-pessimism.

But having said that, optimists are more successful in all areas of life than pessimists.

19. Time is a limited resource – don’t waste it

You can lose money and get it back again, if you’re sick you can often get your health back again, but once the time has gone it is gone and is irretrievable. Start to capitalize on the time you have and get a whole lot more done.

20. The only certainty is change

Changes are a normal part of life; the problem is most of us don’t like change – we like certainty. However, learning to expect change has brought me hope during challenging or unexpected life events.

21. Worry Better

Worrying about the right things can motivate you, but if you find it unproductive, try to take your mind off things by getting engaged in other activities.

22. This too shall pass

I've learned that making long-term investment decisions based on short-term concerns is not a recipe for success.

23. 2023 was the year of AI

Moving forward, it's likely you will be utilizing tools and platforms that should streamline your investment process, provide valuable insights, and manage your properties efficiently.

The episode underscores the idea that success is not just about acquiring assets but also about meticulous planning, understanding market trends, and preparing for the unexpected.

Links and Resources:

Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us

Get a bundle of eBooks and reports – www.PodcastBonus.com.au

Join us at Wealth Retreat 2024 on the Gold Coast in April 2024 – click here to find out more

Some of our favorite quotes from the show:

“I guess one way of looking at the media is to imagine how much stuff you'd have to make up if you were forced to talk 24-7. Remember, that's really what watching the financial news on TV or in the media is like.” – Michael Yardney

“So I guess the message from this is remember that each property boom sets us up for the next downturn.” – Michael Yardney

“I think the first thing you should do is practice noticing what's great about what you've got.” – 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

23 property investment lessons from 2023 you don’t want to forget

Property Investment & Wealth Creation Australia | The Michael Yardney Podcast