Understanding that property investment is a business and treating it as such is the foundation for becoming a successful property investor. Like any
business, you will need to first determine what goals you have for your ventures, what your desired end position looks like so that you can ensure
you get there. Having no goals when you invest is like driving around in your car to a new destination without a map.

Investment/financial principles

There are points which you must take into account when trying to figure out exactly how to get to your desired destination. You definitely want to
ensure you have figured out from a financing perspective, how you will build for the long-term. In many cases people will usually hit a wall in
relation to financing ability – this will either be due to lack of deposit, or lack of income (serviceability).

This means that you will, early on, need to ascertain where you are likely to struggle
first and build on that weakness. For example, if you are lacking in deposit but have a 
high income, you may be targeting properties where you can
add value and build equity quickly so that you can continue investing. The flip-side is if you have a large deposit but a low-income, you may
need to look at higher yielding properties so you aren’t limiting yourself too early. “Beginning with the end in mind” is a habit of any successful person, and the same is true for property investing.

Cycle-proofing your portfolio

CREDIT: myproperty.coachCycle-proofing your portfolio begins with understanding
the property...