How to convince a friend of property investment

Here's the scenario:
I've gotta friend, young fella, on a really good income. He has never gone into property and seems happy to continue renting and speculating his money on BS micro cap shares.
When I tell him to invest in property instead, he tells me he is not worried nor bothered as 'they will never run outta house's' etc..
any tips to get it in his head to invest early in property? Especially when he can afford it. I've already mentioned all the usual benefits of property investing but it's apparently more fun to gamble on shares so that's where his focus is...

 

What was that about horses and water.....been there done that..over that!

 

Then what made u take property more seriously and invest in it?

 

I break through was when I was working for a professional services company...one of the largest in Australia....I finally woke one day in 2005 and decided I did not want to be like one of the partners in joint.

Voila....10 years later...and 20 odd properties later.....voila here I am...I had 5 in 2005...

 

Investing in property isn't for everyone; likewise it isn't your job to spread the good word to every person you know in your life.

Leave him be - personally it's great to see that he's investing in anything at all. If he knows you're happy to discuss property and one day wants some advice, he'll know who to come to.

 

Absolutely Corey

 

Yeah don't waste your time. I look forward to the day of retiring then saying "i told you so". Its My sick and twisted motivation to stick it to the haters, thanks t swift!

 

I've got a friend who is similar. He happily rents but also invests his money in the sharemarket. When I asked him why he didn't want a house, he told me he was in no rush and was happy playing the share market. In saying that, he's making great returns from the stock market, so it works for him. Your friend might be in the same boat.

 

I have a colleague who actively plays on the stockmarket and when I last asked he wasn't ahead... I think approx once every 3 weeks or so he misses a day at work and we think its because the stockmarket hasn't performed for him and he's wallowing... I don't know the truth of it, its just a theory...

 

Well now that your friend knows you're into property, ask him to let you know if he ever has any questions or needs advice.
If he doesn't come and ask, you can be assured he just doesn't care or is not interested.
What else can you do?
Can't force people with poor mind sets to become rich.

 

Cannot convince anyone to do anything.
I would just be asking him what his strategy is? What does he want to achieve via shares.. If he has a plan then so be it... Just as long as he has a clear strategy for himself.

 

The thing that changed my mind was age, you can't teach that .

 

Nah dont bother, what happens if does actually buy a property and its a dud, do you think they blame themselves for making a crap choice in house or you for pushing them in that direction?

It his life let him live it how he wants. Ive seen all these scenarios play out before

 

100% agree.

Each to their own - if he's decided that property isn't for him then all good.

You have good intentions - but I wouldn't interfere.

Cheers

Jamie

 

Yeah, it's not like property investing is a secret in current day.
There's so much information available on it in recent times, if you miss it or ignore it, you're clearly not interested.

 

What made me interested in property was seeing people I knew with reasonable wealth and realised they all had something in common.

1. Not all of them had a formal education and funny enough some could barely speak English.

2. All had mulitply properties.

So I said wait a second, if these guys can do it, why can't I?

I have an education and I have a passion for property. I will give it a go.

I knew if I was expecting to create wealth from my salary with savings it would never allow me to retire by a reasonable age.

That's how I got to my current mentality.

Some people can see it, others just can't see it.

 

He has no strategy in share trading. All he wants to do is pick cheapies that have potential to be taken over byblarge players and hence price growth... That's kinda stuff..he was actively scouting for 'ebola plays' ' last yr ie companies that are good but have been smashed on ebola fears and will get a pop in price once ebola is under control...that kinda pure speculative gambling on shares..

 

Very rarely does he come forward and ask me about property. The only time was when he wanted to buy ultra small cbd unit and asked me for advice..I nearly fell of my chair...
Needless to say he is not looking at those dog box <40sqm units anymore lol...I pointed him in better directions (eg mid suburb townhouses next to facilities and transport) and told him his goal at this age and salary should be more cg rather than yield because his salary is high and cf is thus ok. However, I think he has just given up altogether and not interested.

 

Agree with ace. He has a poor mindset. He'll never change until his mindset does. That's it. Can't build a 4 storey building with a poor foundation. Will never work.

In the flip side, I have helped quite a few people get into property and do really well. But it was only after they approached me. Then I blew them off a little to see if they would keep asking me ect . Some did. Helped them. Didnt want to waste my time on the no hopers.

Bottom line is they have to really want to do it. And this usually only happens when someone's reasons are strong enough to make them want to do it.

 

Not sure why you'd want to convince him.

But let's say you really did, show him you've made lots of money from it. If you haven't, it's pretty hard to convince.

Eg if he's making $50k or losing $50k from shares, and you're making millions in the same timeframe, that should do the convincing. If he's making serious money, maybe he's onto something.

There are lots of successful people in every field.