since a couple of weeks the Founder of Property Club Kevin Young answers every week a couple of questions from Branch Managers, Clients or people who are interesting in Property Investment. If you want to ask your question send your question either through:
1. Twitter by using Tweet: #askKevinYoung
2. Write him on Facebook or,
3. Fill out the form on Kevin Youngs official Website.
Now have a look to the Ask Kevin Young Episode 1:
Where is the economy heading?
[00:02:00] – Media love sensationalism & negativism
[00:04:00] – Here to help you, ask your Questions
Kevin Young: G’day, I’m Kevin Young, I’m Australia’s most successful property investor but I started out poor and I’m constantly being asked how do you do it? How do you get there? You ask me, I’ll give you the solutions, between us we’ll make you wealthy.
Joanne asks, “I have two properties in Robina and Tugun, Queensland and over the past seven years the value hasn’t gone up, nor have the rents. What do I do?”
Kevin Young: The answer’s simply, sit tight, property is not a short term boom it’s a long term investment and what you’ve experienced at Robina and Tugun is most unusual. A huge amount of supply coming to the market when a guy who had a 15 year plan for this big huge area that he owned, for some reason auctioned it all off for about 19 different builders who rushed forward with the stock. Oversupplied stock means that the capital growth stagnated and your renters had a lot more to choose from, buyers had a lot more to choose from. The good thing about all that is that’s all gone now, it’s all been used up and yet there’s more and more people moving into the area and, in fact, this area is going up 3.2% growth in population each year, which is double the Australian average.
So now, we’re going to get some really good growth on the Gulf Coast so the answer is simply sit tight. But Joanne, what I’d like you to do is send me your figures so I can go through them and show you how you can hold them a lot less expensive and what pay you think they are. So, simply hashtag ask Kevin Young and we’ll help you.
Richard asks, “Should I invest now? There is a lot of negativity about it in the media.”
Kevin Young: Well, Richard, always ignore the media because the media writers are never rich, they love sensationalism, they love negativism. So everyone was happy in 2007, right? Papers were happy, politicians were happy, unemployment was down. Well, money coming in from our resource sector, the so-called boom, then, is much less than is happening now. So, sure, the cost per ton is down now but the volume going out is much higher, we’ve made the mines, we’ve made the, we’ve made the ports. Now the going out and the money’s coming in so don’t believe the headlines.
Next, you’ll hear negatives about the deficit, “We must fix the deficit, we must be taxed.” Don’t forget, every time they tax you, that’s money coming out of your property … Coming out of you pocket, which means you can’t spend it and create real jobs so the government should leave it in your pocket, they should go out and actually borrow more because, I can show you, they’re paying far less now for the money that they’re borrowing than they did before. You’ll see they were borrowing and paying near 7% to fund the deficit previously, in 2007 and 2001. Now, they just borrowed four billion dollars at, wait for it, 20 years fixed at 2.85%. So would you like some of that money?
So forget fixing the deficit, borrow more money and create jobs, jobs, jobs. We’re at six and a half percent unemployment, we’ve got to get back to where it was at four percent and back, preferably, to two percent. Now, that’s going to happen so forget the media.
I’ve been in property over 50 years and in that time I’ve never met a wealthy journalist. They’re all negative because negative stuff sells papers and times. So, get positive, get into property and let us help you.
I hope you’ve enjoyed the first episode. We’ll see you next week, hashtag ask Kevin Young, on Facebook, Twitter, Instagram and YouTube. I’m here to help you. Let the good times roll.