I am 20, can I retire by 30 through property?

Discussion in 'Investment Strategy' started by Accumulo, 16th May, 2016.

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  1. Luke T

    Luke T Well-Known Member

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    Awesome Goal Accumulo!
    I had the same goal at 20,
    Some things i learned that helped me were
    #Move towards working in a job that you enjoy now so it doesnt feel like work
    #Move towards working maybe 1 or 2 or 3 days less per week so your life doesnt feel as pressured-then the work you are doing now maybe wont feel as much like yr battling in the rat race
     
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  2. Jasmine

    Jasmine Well-Known Member

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    Welcome Accumulo!

    I was in a similar situation to you in my mid twenties - working for a Big-4 IT company on over 100k + Super (plus 1:1 matching) + 1k stock a year. This was around 2010. That was too much money to just leave sitting in the bank. I went out and purchased my first IP at 500k. After 3 years I paid it off outright, and then purchased my next IP (also at 500k) which I am nearing the end of also paying off. However, I don't have a PPoR. Each of my IP brings in 17k per year. Combined that exceeds your low goal of only 30k. I was made redundant last year, and I'm now earning less in Australian IT (sigh). I would not feel comfortable retiring with what I have. I would also be bored.

    Have you travelled overseas yet? Also, girlfriends and wives are expensive and not tax deductible. :)
     
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  3. Steven Ryan

    Steven Ryan Well-Known Member

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    Very achievable.

    The question is, how bad do you want it?
     
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  4. Marg4000

    Marg4000 Well-Known Member

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    Yes, it is probably achievable, but at what cost? Focusing simply on financial goals is incredibly narrow.

    Sure it is necessary to control your finances, but as the saying goes, you only live once. There are other experiences out there for people in their twenties, having fun, enjoying life with few responsibilities, travel.

    As a retired 60-something, one of my fondest memories is the time I spent hitch-hiking (gasp!) and working casually in New Zealand for 15 months when I was 18-19. Only came home because my sister was getting married. Planned to head for the UK but met my future husband and went down the saving, home and family pathway.

    Take a few months out, put on a back pack and explore the world out there.

    After all, the proverbial bus is out there waiting to run us all down.

    Live a little.
    Marg.
     
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  5. wogitalia

    wogitalia Well-Known Member

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    Marg dropping the YOLO bombs! Love it :)

    The only problem with travelling is how immensely hard it is to go back to reality when it ends...
     
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  6. Marg4000

    Marg4000 Well-Known Member

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    Not hard when you are closer to the end of your life than the beginning!

    And I can assure you that my energy levels in my 20s are a distant memory!
    Marg
     
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  7. Sackie

    Sackie Well-Known Member

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    I really think which ever way you look at it, its a sacrifice in order to have something. Putting investing on hold and travelling when your very young is great. But in my opinion it does come at a cost. And also being obsessed with investing for a few years when your young and then travelling a little later also has its costs and benefits. Its really an individual thing.

    For me, I don't regret a single day that I decided back then when I was younger and had the energy to be obsessed for a few years in order to set myself up for the life I have now. It has meant that while most of my peers are in the hustle and bustle of 9-5 now, I have options to basicially do whatever I want. For me, that sacrifice early on was easily worth it. But for others it may not be and I completely understand that. Its really a personal thing.
     
  8. MTR

    MTR Well-Known Member

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    oh no, too much time for the pokies, they should blow them up.
     
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  9. Johnny Cashflow

    Johnny Cashflow Well-Known Member

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    If you want to live like a poor person for the rest of your life you probably can.
     
  10. bobbyj

    bobbyj Well-Known Member

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    That shall be the lesson for today. Good reminder.
     
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  11. Johnny Cashflow

    Johnny Cashflow Well-Known Member

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    Old people should be banned from pokies. Or limited to like $10 a day or something. Impossible to enforce, my god mindless zombies they are ding ding dding
     
  12. Mumbai

    Mumbai Well-Known Member

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    Instead of setting your eyes on 30 as a target, why not set some milestones.
    e.g. Halfway at 25, $X by 22, etc
    This way you can adjust the target and work towards it rather going big bang.
     
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  13. bobbyj

    bobbyj Well-Known Member

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    Exactly.

    I don't think anyone will regret investing their money.

    The only time people may regret that is if it consumed their lives completely, alienating themselves from their true self, dreams, family, friends and health.

    ie. on your death bed with regrets.

    Otherwise, I'm pretty sure everyone else will be thinking 'thank god I invested my money early'.

    Living a balanced life is important with financial intelligence and frugality/saving/investing playing a significant role in that.
     
  14. MTR

    MTR Well-Known Member

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    I am going against the grain here.....

    If it is very achievable why do so few achieve this at a young age??

    I think in part life gets in the way. Marriage, children etc.

    Its also easier for investors to go down the passive route. $30,000 passive income will require some strategizing to achieve this. It will take work and capital to create income streams in a shorter time frame.

    It will also mean that timing the market is critical, get this wrong and you have to wait perhaps a 10 year cycle, your capital is tied up.

    Also when starting out lack experience/knowledge may slow you down, you are learning, bound to make some mistakes along the way, part of the game.

    Not trying to be negative, but pointing out some areas that should be considered moving forward.

    I could tell you how easy it was for me to create income streams, however that would not be the truth.

    It was in part luck, timing, lo doc loans, and large amount of capital which allowed me to buy volume and flip.

    You definitely need some luck in this game.

    MTR:)
     
    Last edited: 17th May, 2016
  15. dabbler

    dabbler Well-Known Member

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    Why retire & I would say no from property anyway as it will be a job just looking after multiple places.

    I was aiming to retire before 40, but now I actually like working, I also do not like watching movies etc or just wasting time, just find a job you can enjoy maybe ?
     
  16. Tonibell

    Tonibell Well-Known Member

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    Exactly !

    If retiring is the goal you chose and you forsake all others - then you will achieve it.

    We chose family, a PPOR where we wanted it, private school fees ............. all of which deferred retirement. It is still there and still possible (but not at 30 anymore !) - but it is not the primary objective.

    You will likely have to miss out on a lot of other things to retire at 30.
     
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  17. Plucka

    Plucka Well-Known Member

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    Retiring on $30kPA? Yeah good luck with that once you're married and have kids.
    Sorry to burst the bubble but given your current position and current property cycle I would suggest your goal is almost impossible. Very few people would have achieved that even in the last 15-20 yr boom we've had in property, given I believe that boom will not be repeated anywhere near the same level I'd say it makes it even less likely.
     
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  18. legallyblonde

    legallyblonde Well-Known Member

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    Ergh... why does everyone assume that all people want crying ******** germy little humans? I could comfortably live on that income with no rent or mortgage.
     
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  19. legallyblonde

    legallyblonde Well-Known Member

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    Whoops.. seems that is a cuss word. Correction: popping
     
  20. sanj

    sanj Well-Known Member Premium Member

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    ease up turbo, we're speaking generally here and generally more people will have kids at some stage in their life than those who dont
     
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