Finding a stable and secure income that will come year in, year
out, no matter what happens on the farm, will give you real peace of
mind. By investing off farm, you are not only providing a secure income
now, but also preparing for retirement. This IS attainable by all
levels of income earners and people of all ages.
I am a farmer's
wife and have lived through some good and bad seasons on the farm. If
farming was all about money, then we wouldn't still be here. Most of us
farmers genuinely LOVE the lifestyle that farming brings.
However,
being a 'city girl' and marrying a farmer, I struggle with the
insecurity and irregularity of income. These days, you'd have to be a
top financial professional to get it right 100% of the time. Some years
we seem to have plenty of money and other we're in debt before we even
start paying for seeding expenses (and that doesn't even include the tax
due!). Does this sound familiar?
Well, I've got some great news
for you. I have discovered a way that provides a regular income that is
not affected by the rainfall! My husband and I have been investing in
real estate now for a couple of years and have found that even in bad
times, we still have that income to fall back on. This brings real
'peace of mind.' Trust me, it's really not as hard or as expensive, as
it sounds, and we as farmers have an extra huge benefit that we can take
advantage of, and that is - the fluctuating seasons and income! (I bet
that's a surprise!)
Firstly, real estate investing builds not
only income for now (assuming you buy cash flow positive properties),
but will also prepare you for a comfortable retirement. As a bonus, you
also get the capital increase (real estate is said to double in value
every 7-10 years approximately), as well as tax advantages. And if this
isn't enough, then you can also use other people's money to acquire it
and pay it off.
Sounds like a winner all around, don't you think?
Not convinced yet?
Well,
how could we use our fluctuating income to our advantage? As farmers,
on a good year we could put money in a 'mortgage offset account' or just
pay extra off the loan. This would reduce your interest payments. In a
bad year, you can redraw the extra equity you have in the property, or
properties. This investment vehicle can be used totally to your
advantage (check with your accountant or tax advisor though).
I
really could go on for ages about this brilliant opportunity because I
am so passionate about it and it has been our saving grace over the last
couple of years as well as having comfort in knowing that we're
planning for a secure financial future.
I really hope you have got
some benefit out of this article, at least be inspired to check it out
further. Good luck in your enterprises, whatever you do, and I hope
that this year is a great one for you!
Mandy Nield is a recognised authority on the subject of
investing. Whether you are a fully experienced master craftsman or a
raw apprentice, you will learn exciting and achievable ways to improve
your saving and invest profitably in real estate, to secure a financial
future.
