Millionaires and multimillionaires in the making

Amazing! We have just done the same. Hit the $1mill net worth mark as of our last valuation last week. My partner turned 30 earlier this year I am turning 30 in a weeks time.

We bought our first property in 2015 and I remember checking sold prices for comparables for the first 2 years abd feeling like it barely has moved. We then bought our 2nd prop which is our PPOR in the peak of Covid last year.

Fastrack to today it’s amazing to think how far we have come. Yes we have got lucky and bought at the right time but we also feel like our hard work in researching suburbs and data has paid off.

It’s amazing what time in the market can do!

 

None of that would have happened if you didn't take the initiative, the risks, the sacrifices, the hard work to achieve it.

Some luck indeed. The rest is you .

 

Congratulations. You've done well.

 

Growth in net wealth tends to accelerate, esp when using property. If you have 1m in net, it's likely you have multiples of that in gross property. IF property prices keep growing, it grows as a % of gross value. It tends to be slow at the start and unbelievable at the back end. This is why its so hard for people to stick to it.

 

…..

whatever rocks your boat

I am taking a bet each way. Sell and buy/build

For the investors who have been doing this for a very long time…… well its icing on the cake

 

Hi @MTR ,

I believe my comment was in reference to investors who bought well before the pandemic and have made great gains already.

I agree with you and I'm currently doing all 3, selling, buying and building .

 

Yes, understand….. my writing skills need to be fine tuned

 

Yeah.
It's just as easy to go from $10k pa to $29k pa as from $1m pa to $2m pa....when you are on the ride it just keeps going up .

 

I've always wondered when people think of themselves as a particular net worth, lets say 1m,
would they only consider this if they only had net assets of 1m or if they owned 1m of assets with their spouse?

A lot of the success stories in the property media seem to often ignore the spouse's contribution and could shave 50% of peoples individual net worth in reality...

 

AFR's list of Australia's poorest is often family or intergenerational wealth not just individual wealth eg Lang Hancock & Gina Rhinehart, Lowy's, Gandel and the like.

I am no longer surprised by >$10m sales in various suburbs - there were a few on the weekend Roseville & many in the $3-4m range.

 

I was feeling kind of smug financially three years ago, I had made it, all by myself, working since 15 & investing since I was 22…I had reached all my goals, lived and travelled the world for ten years, post grad degrees, I knew I would always have enough money to do whatever I wanted to do…(well - after I sold my Sydney terrace and had, for the first time, a million cash in my hands!)

Fast forward just a few years, my house in Sydney on the beach has gone from 2.5 to 5,000,000 in three years, and the investment property from 1.4 to 3. Equity over 7 mil.

I honestly don’t know what to do, and still can’t put my kids into top private schools as I won’t see the money until I sell. We don’t want to sell, we love both our home and IP…(luckily this is not an issue as they are both on scholarships!)

we realise we will sell, In a few more years and we’ll have millions we won’t know what to do with….I’m considering using some to set up a scholarship fund & micro loans for women and girls in South Asia.

 

Congratulations. Great idea to set up a scholarship fund and micro loan scheme.
Instead of selling can you keep your properties and set up a line of credit to draw out funds?

 

Mine will be individual wealth. Just wait till the Druitt charges one million bucks for a bit of fibro on 560 sq metres lol.

 

Won't your 27 dependents & fake IDs have a claim?

 

Safe to now say, I was right. Those who were buying would have killed it.

 

Mono-millionaires aren't exactly wealthy these days though.

 

Many folks holding portfolios a year ago and adding, would have seen a serious jump in net worth today (some more than others depending where theybought). Those who were just starting out would have also seen a big step up in their net worth, depending what they already had and also what they subsequently bought.

 

Nah.... sticking to my formula:

1. Be lazy
2. Get others to do the work
3. Take a siesta
4. Don't get out of bed till after 9am unless you absolutely have to...went to Melbourne and the flight left at midday on a Sunday..

Laziness is next to godliness...well since I am an agnostic....it is the next to wealthiness.

 

The saying "the first million is the hardest" is certainly true! After that you just need a decent boom for the next one, a medium boom for the thrid one, a small boom for the fourth one, etc.

 

Some property owners count their portfolio value which doesnt mean much. A better assessment is net value. ie Market values less debt. This removes the issue when equity loans etc are drawn. And counting your own house can be a issue since selling it at the higher value may mean buying another is equally as costly.

@Jamesesaurus raises a valid point. Divorce etc can see matters quickly change. I had a tax client who was often in media telling eveyone how many properties he owned. Well he owned half what he said. And then those he owned were with others incl his wife. Real wealth is often something people keep very private and you cant pick them.