| Here's how to get as rich as you want! |
|
|
|
|
|
mattjd
Member
Cash: $ 3.40
Posts: 16
Joined: 15 May 2005
|
| Here's how to get as rich as you want! |
 |
|
Plan To Build Wealth (Basic detail)
To get rich I will use the money I make from my business(es) to
invest in real- estate. The money I make in real-estate will then be
reinvested in more R-E along with added funds supplied by my business(es).
Plan To Build Wealth (In Depth Detail)
All the money I make from my business(es) will be used for real-
estate investing. My real-estate investing consists of flipping properties. I
will buy foreclosures and will sell at market value. I will buy a property only
if I can get at least a 200% return or better. Such properties are very easy
to locate if your buying foreclosures. Lets say I made $100,000 in my first
year of my business(es). If I invest that $100,000 with a 200% return, that
means that I just doubled my earning for that year ($200,000). Now let’s
say that I reinvested all of the $200,000. That means I just doubled that
(400,000).Every time I reinvest my total funds, I double my funds. Just keep
reinvesting that money made from flipping. Whenever I receive money from
business(es) immediately add it to my investment fund. Remember, the
more I flip properties, the more I make.
I wrote this plan for myself last year when I was 14. I have thought about all aspects of it and don't see any down sides to the plan. What do you think?
Thanks for any replies.
Matt
|
Fri May 27, 2005 8:37 pm |
|
|
nextmillionaire
Full Member
Cash: $ 10.23
Posts: 56
Joined: 23 May 2005
|
It is not as easy as talking and writing. You need to have the constigency plan as well.
|
|
Sat May 28, 2005 11:59 pm |
|
|
Richc
New Member
Cash: $ 1.00
Posts: 5
Joined: 21 May 2005
Location: uk
|
|
|
|
hello mattjd
Well i notice your fifteen so i suppose i could just be patronising and treat you like a kid and say yeah cool idea son...but ive read a few of your other posts and i think you deserve... with the commitment you show.. to get an adult answer.
heres alist of questions and dont post replies but answer honestly to yourself how many of these questions you already have answers to, as what i read in your post was a very very good outline goal target but these questions are designed to help you write a map to get there
1)100 k first year profits in your business ? what business? and have you considered living costs?
2)can you give three examples of real estate in your area now going for well under market value(or recently gone)that meets your criteria?
3)where can you gain the information required to purchase this real estate?
4)what about redevelopment or renovation costs?
5)your example is of turning 100 k into 200 k equating to 200% profit(50% gross profit) but what if a property for 200 k comes on the market which you forecast can be sold for 300k(still got that 100k profit but only 33% gross profit)will you be flexible on mark up targets?
6)what taxes etc will you have to take into account?
7)how will you deal with a market downturn?
8)by what age do you expect to gain this goal?
9)what do you have to do to get there(college etc)
10)are your goals S.M.A.R.T.(explained below and is used for all goal setting)
SPECIFIC(is your outline goal specific?)
MEASURABLE(how can you measure your progression to this goal?)
ACHIEVABLE(can you achieve this goal and how)
RELEVENT(is this goal relevent to your future ambitions and vision)
TIMEBOUND(have you set a date to achieve this goal)
A small piece of advice to finish....within each goal you will have a series of objectives to get there ....this is your map to show you how to get there and to measure your progress(everything is attainable if you break it down to bite sized pieces)...id be interested to know your first objective in reaching your goal?
Mattjd i have an inkling you have the drive and ability to succeed in your goal but reflect on what ive written and best of luck...
Richc(LFB..lifes five boxes)
|
|
Sun May 29, 2005 12:00 am |
|
|
mattjd
Member
Cash: $ 3.40
Posts: 16
Joined: 15 May 2005
|
|
|
|
quote:
Originally posted by Richc
hello mattjd
Well i notice your fifteen so i suppose i could just be patronising and treat you like a kid and say yeah cool idea son...but ive read a few of your other posts and i think you deserve... with the commitment you show.. to get an adult answer.
heres alist of questions and dont post replies but answer honestly to yourself how many of these questions you already have answers to, as what i read in your post was a very very good outline goal target but these questions are designed to help you write a map to get there
1)100 k first year profits in your business ? what business? and have you considered living costs?
2)can you give three examples of real estate in your area now going for well under market value(or recently gone)that meets your criteria?
3)where can you gain the information required to purchase this real estate?
4)what about redevelopment or renovation costs?
5)your example is of turning 100 k into 200 k equating to 200% profit(50% gross profit) but what if a property for 200 k comes on the market which you forecast can be sold for 300k(still got that 100k profit but only 33% gross profit)will you be flexible on mark up targets?
6)what taxes etc will you have to take into account?
7)how will you deal with a market downturn?
8)by what age do you expect to gain this goal?
9)what do you have to do to get there(college etc)
10)are your goals S.M.A.R.T.(explained below and is used for all goal setting)
SPECIFIC(is your outline goal specific?)
MEASURABLE(how can you measure your progression to this goal?)
ACHIEVABLE(can you achieve this goal and how)
RELEVENT(is this goal relevent to your future ambitions and vision)
TIMEBOUND(have you set a date to achieve this goal)
A small piece of advice to finish....within each goal you will have a series of objectives to get there ....this is your map to show you how to get there and to measure your progress(everything is attainable if you break it down to bite sized pieces)...id be interested to know your first objective in reaching your goal?
Mattjd i have an inkling you have the drive and ability to succeed in your goal but reflect on what ive written and best of luck...
Richc(LFB..lifes five boxes)
Hello Rich,
I thank you for the reply. I have thought about these things (questions) and I appriciate you posting them for me. Reviewing your questions I have decided to revise my plan with a few diffent things in mind. I will work on it this week and will post the revised one on this forum. Thanks!
|
|
Tue May 31, 2005 12:45 am |
|
|
handicap
Full Member
Cash: $ 8.62
Posts: 67
Joined: 02 Apr 2005
Location: Currently in London
|
quote:
Lets say I made $100,000 in my first year of my business(es).
I think that would be a bigger challenge then flipping real-estate.
Remember that they say: "When the newspaper boy starts talking about buying real-estate get ready for the bubble to pop."
When we are young everything seems so simple, cut and dry. But real-estate can overwhelm you with debt very shortly. The average household income is still at $50,000/yr while million dollar homes have increased 47% since 2004.
Also, I thought I heard something about a new law or rule towards flippers who now have to pay a percentage if they sell a home too quickly.
My 2 cents.
|
|
Tue May 31, 2005 3:00 am |
|
|
Richc
New Member
Cash: $ 1.00
Posts: 5
Joined: 21 May 2005
Location: uk
|
|
|
|
quote:
Originally posted by handicap
quote:
Lets say I made $100,000 in my first year of my business(es).
I think that would be a bigger challenge then flipping real-estate.
Remember that they say: "When the newspaper boy starts talking about buying real-estate get ready for the bubble to pop."
When we are young everything seems so simple, cut and dry. But real-estate can overwhelm you with debt very shortly. The average household income is still at $50,000/yr while million dollar homes have increased 47% since 2004.
Also, I thought I heard something about a new law or rule towards flippers who now have to pay a percentage if they sell a home too quickly.
My 2 cents.
Hello Handicap
A very wise lady once said to me something along the lines of....if you dream then you already own part of the future.
Im not reading this forum to tout my theories and beliefs for any personal gain but because i have certain beliefs and find this forum helps me reflect and i draw on it for my own website( I purposely dont advertise it here to emphasise that im not looking for anything from anyone on here)but i believe passionately that all success comes from an original dream no matter how fantastic it may seem in the first place and we owe it to ourselves to follow what we believe in.
That said i can see where your coming from and theres a million dreamers out there that will never realise their dreams as they simply never get past the original idea and plan a route to get there.
Sure the lads only 15 and i sort of homed in on his posts as it reminds me of how i once viewed things(some 25 years ago)but it took me years to figure out what i know today and that is ..without a clear path being planned then dreams will remain just that.
I cant comment on your local laws on 2 % penalties for high turnover real estate investments as i live in edinburgh scotland but id view that as a positive thing but im not going into my political beliefs here(take too darn long  but once again that becomes another consideration for someone that really wants to take a dream and turn it into reality.
I wrote some guide notes for matt which take into account the points you raise concerning how simple things seem when we are young(SMART objectives etc)but as i view it we can either knock him down and who knows be responsible for stopping someone from reaching his full potential or we can try to guide him to looking deeper to see things are nt quite so easy but then try and give a helping hand to realise his goal in one form or another that can be realistically met.
Debt and real estate investment are very very real points you raise and i was impressed that he had nt written out a plan detailing how he would borrow 100 k but that it involved working towards this goal.
100k income translated into brit money remains alot and quite how he will get there he has to work out...but then as his ideas/goals develop maybe the target will move to a more attainable level and the investment ideas move along in parallel...hes a young lad that responded well to my challenges to his original plan which is encouraging and i have a gut feeling that down the line he ll put a realistic workable plan in place and set a series of objectives to help him get there.
I remain convinced that if we really want something then with planning it can be achieved and between you and i...would nt it be great to be fifteen again and have just a little guidance in those dreams and goals we set
Best wishes to you and yours :)RichcLFB
Last edited by Richc on Tue May 31, 2005 11:58 pm; edited 1 time in total |
|
Tue May 31, 2005 11:41 pm |
|
|
Richc
New Member
Cash: $ 1.00
Posts: 5
Joined: 21 May 2005
Location: uk
|
|
|
|
[quote="
Hello Rich,
I thank you for the reply. I have thought about these things (questions) and I appriciate you posting them for me. Reviewing your questions I have decided to revise my plan with a few diffent things in mind. I will work on it this week and will post the revised one on this forum. Thanks![/quote]
Glad you took my points in the way i intended Matt
I dont want to swamp you with information but whilst your re thinking can i just throw in a few pointers that might help you
1)your saying real estate...is that what really interests you because trust me...unless you feel passionate about what you plan to succeed at your chances of success are greatly reduced(or if you do succeed you dont get the satisfaction/happiness factor you expected..point being reflect on what you really really want to make money at and then plan for it
2)any business projects at school your able to get involved in(invaluable experience if taken seriously)
3)Have you shared this with a member of your family??maybe get them to read your posts here and give feedback(add everyone together and theres thousands of years experience out there to draw on(alot bad but alot good)
4)finally ...without being hard on yourself ..id recommend being brutally honest when planning and try to see a very real way of getting wherever your going.(and dont worry as you ve one advantage..at your age your plans will develop and in some cases change completely(but all good plans are flexible until we hear that bell inside say...right this feels right...and go for it with everything you ve got
good luck to you :wink:RichcLFB
|
|
Tue May 31, 2005 11:55 pm |
|
|
handicap
Full Member
Cash: $ 8.62
Posts: 67
Joined: 02 Apr 2005
Location: Currently in London
|
|
|
|
Rich,
I hope Matt finds some guidance. I was in no way attempting to discourage him only push more reality infront of him. With a strong plan I don't see any reason why he or anyone else couldn't make a good living. But it is more fact then fiction that the real-estate bubble is at max capacity and about to pop. Not to mention that 30% more americas have fallen below national poverty line this year. Those with degrees are finding themselfs working two jobs to make $50,000-$70,000 to support their families. He loosly throws $100,000 around like it a small amount of money. In the big picture, I suppose, it is a tiny amount but to the 30+% of americans who can't even find themselfs making it would disagree. Though I won't get into politics either, lol. I also agree that he needs to work on a solid business plan to aquire this $100,000 goal. Also reinvesting 100% of your profits wouldn't be wise or even possible with repairs, tax, and endless amout of other debt associated with real-estate.
I would swear off real-estate for a while atleast until every Tom, Dick, and Harry stops talking about their new waterfront investments, lol. Ask your self a question and come up with a vaild answer. And there you will find your millions and impact.
On a person note, Yes, it would be great to be 15 again. 
|
|
Wed Jun 01, 2005 1:15 am |
|
|
netman
Member
Cash: $ 4.55
Posts: 24
Joined: 01 Jun 2005
|
| Yes you can try this |
|
|
quote:
Originally posted by nextmillionaire
It is not as easy as talking and writing. You need to have the constigency plan as well.
Yess ,I fully agree with you
|
|
Wed Jun 01, 2005 6:40 pm |
|
|
Richc
New Member
Cash: $ 1.00
Posts: 5
Joined: 21 May 2005
Location: uk
|
|
|
|
quote:
Originally posted by handicap
Rich,
I hope Matt finds some guidance. I was in no way attempting to discourage him only push more reality infront of him. With a strong plan I don't see any reason why he or anyone else couldn't make a good living. But it is more fact then fiction that the real-estate bubble is at max capacity and about to pop. Not to mention that 30% more americas have fallen below national poverty line this year. Those with degrees are finding themselfs working two jobs to make $50,000-$70,000 to support their families. He loosly throws $100,000 around like it a small amount of money. In the big picture, I suppose, it is a tiny amount but to the 30+% of americans who can't even find themselfs making it would disagree. Though I won't get into politics either, lol. I also agree that he needs to work on a solid business plan to aquire this $100,000 goal. Also reinvesting 100% of your profits wouldn't be wise or even possible with repairs, tax, and endless amout of other debt associated with real-estate.
I would swear off real-estate for a while atleast until every Tom, Dick, and Harry stops talking about their new waterfront investments, lol. Ask your self a question and come up with a vaild answer. And there you will find your millions and impact.
On a person note, Yes, it would be great to be 15 again.
Hello Handicap
I realised you were looking at it all in black and white and taking a realistic standpoint and never viewed your comments as trying to knock the lad down .
your absolutely right to point out the realities involved in any business venture(being honest.. i was working towards Matt figuring this all out over time himself but not feeling he should give up on his thoughts and ideas(feed someone for a day and they go hungry tomorrow or teach them to fish and they feed themselves for life approach.)
Reading your pointers on the great North American economy and poverty divide....that could so easily be the united kingdom (britain...not sure what you guys call us) that your referring to so it appears we are all in the muddy bath together as far as inequality and poor wealth distribution is concerned 
I appreciate the intelligent reply you have just made and also your previous post...you have nt just dismissed the lad but put real pointers on the table that hopefully he reflects on rather than just a pointless one line answer designed to knock someone down(by all means point out the negative but be sure to be part of the solution as they say.
Thanks for replying handicap and i look forward to reading other postings by yourself
best wishes ...Rich
|
|
Wed Jun 01, 2005 11:38 pm |
|
|
netman
Member
Cash: $ 4.55
Posts: 24
Joined: 01 Jun 2005
|
| many important issues. |
|
|
Hi,all,
A healthy financial life requires a well-balanced approach to saving and spending, the authors argue, just as a healthy physical life requires a well-balanced diet. Their recommendation: Spend 50% of your net income on what you need, 30% on what you want, and 20% on savings.
|
|
Thu Jun 02, 2005 2:14 am |
|
|
handicap
Full Member
Cash: $ 8.62
Posts: 67
Joined: 02 Apr 2005
Location: Currently in London
|
| Re: many important issues. |
|
|
quote:
Originally posted by netman
Hi,all,
A healthy financial life requires a well-balanced approach to saving and spending, the authors argue, just as a healthy physical life requires a well-balanced diet. Their recommendation: Spend 50% of your net income on what you need, 30% on what you want, and 20% on savings.
A healthy financial life requires insider information
|
|
Thu Jun 02, 2005 3:07 am |
|
|
nayslayer99
Contributing Member
Cash: $ 1.11
Posts: 39
Joined: 24 May 2004
Location: OH
|
Hey Matt,
I sure wish I had your drive and ambition when I was 15. All I thought about at that age was getting my drivers license, getting the next awesome nintendo game, and girls of course.
I wish you the best and if you ever need any advice or help with your endevour this is the place to be. Many, many knowledgable and experienced people here in this forum that i'm sure would lend a hand.
Have a good day!
William 
|
|
Mon Jun 13, 2005 12:10 am |
|
|
mattjd
Member
Cash: $ 3.40
Posts: 16
Joined: 15 May 2005
|
Hello everyone. Thanks for the replies. Hoggie, I have read Rich Dad Poor Dad more than once. I have never read the other one though. That book has some good information in it that it does. I will write a longer reply soon when time allows. Take care everyone!
Matt
|
|
Fri Jun 17, 2005 8:57 pm |
|
|
|
