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Canna Campbell

πŸ‘€ Speaker
1844 total appearances
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How Do They Afford That?
Property investing for passive income

But it is a bit of a red herring in this.

How Do They Afford That?
Property investing for passive income

The opportunity for long-term capital growth and how it's going to work towards your goals.

How Do They Afford That?
Property investing for passive income

That's really what's most important here.

How Do They Afford That?
Property investing for passive income

Typically, it's the rent.

How Do They Afford That?
Property investing for passive income

So, if you have an investment property that's a residential investment property, they're paying rent.

How Do They Afford That?
Property investing for passive income

If you, say, have land for adjustment, which means you put cattle on it and a farmer might pay to rent that land, that's obviously an income stream.

How Do They Afford That?
Property investing for passive income

It might be a commercial property.

How Do They Afford That?
Property investing for passive income

It might be an industrial property.

How Do They Afford That?
Property investing for passive income

It all comes to you in rent.

How Do They Afford That?
Property investing for passive income

The more rent you receive, the more passive income you're receiving.

How Do They Afford That?
Property investing for passive income

So this is, I think, something that people really do underestimate or overlook, perhaps.

How Do They Afford That?
Property investing for passive income

If you're going to be buying an investment property, you want consistency.

How Do They Afford That?
Property investing for passive income

You want a long-term tenant.

How Do They Afford That?
Property investing for passive income

Being in between tenants, particularly if it's a bad time of the year, say Christmas time, Easter, school holidays, or if it's a

How Do They Afford That?
Property investing for passive income

out of season, like it's a seasonal spot and it's wintertime and you don't have people there, that can really be really, really detrimental.

How Do They Afford That?
Property investing for passive income

The other thing is obviously making sure that you're getting that rental increase happening.

How Do They Afford That?
Property investing for passive income

Now, I know this is a bit of a sore spot because obviously people are renting annoyed with rents going up.

How Do They Afford That?
Property investing for passive income

It's frustrating.

How Do They Afford That?
Property investing for passive income

But if the value of the property is going up, will the rent go up with it consistently over time?

How Do They Afford That?
Property investing for passive income

The reason why I say that there are people out there who have a property or properties and the rent hasn't actually increased with the value of the property.