Life is made up of a series of positive & negative event's. Some may involve a crisis of some kind while others are blissful. In either case we should be grateful. Which is easier said than done, especially while looking down the barrel a home foreclosure!
Just as the 4 seasons, (Spring, Summer, Autumn, Winter) change is inevitable. It would be down right irresponsible to not prepare for the winter during the summer time... Cause then your family will starve!
Most of us forgot about this little known fact when it comes to the housing market. Partly because professionals have convinced us the following...
"Buy a house! Don't rent forever! When you buy a home, it will always appreciate & never depreciate! Then when you retire, you're 30 year mortgage will be paid off! This house will be your biggest investment.".
However, we forgot one thing... Never underestimate how greed can change the heart of any man! History will always repeat itself when it comes to the greed of man. What makes the housing market any different? Especially when loans were legally able to be handed out like candy to people who couldn't afford them!
Subprime Loans were part of the cause of the problem (i.e. The Terms & Conditions set forth by the Mortgage Companies). The terms were extremely unfavorable for the client. In the event rates would be raised the client wouldn't be able to afford their monthly payments, and would eventually be homeless (Because these loans were locked in a type of Interest Rate Program (ARM - Adjustable Rate Mortgage), that could adjust extremely high at any time). Additionally, the Underwriters of the Mortgage Company wouldn't even ask for proof of income or in some cases they wouldn't ask for any documentation at all. Also the Loan Officers could care less if you default on your loan, cause they already received their commission.
Despite the housing bubble that eventually burst, people who still own a mortgage & live in that home, with no intention of selling or renting, continue to call that their biggest investment! In these cases the only thing people own is a "Mortgage" or a loan. The bank owns the property. So in most cases people's homes is in no way the biggest investment.
Your Biggest Investment
It may come to a shocker to most, but YOU are your family's biggest asset/investment! Your ability to earn income/cash flow is the biggest investment your family has.
Think about it. An investment is a resource that can earn you cash flow presently or in the future. A house is unable to earn you income if the bank repossess it. Which is what happened to millions after the 2008 recession.
Most home's would be an investment in the future, if people didn't refinance every 5 years.
One thing that most people undervalue, is their ability to earn income. We all feel this way at one point in our lives. The downfall is most people never get out of that mind set.
Developing a prosperous mind-set is the key to your growth.
Invest In Your Asset's Future Growth
Okay, so now that you know the truth, you are your biggest investment. It's time you started beefing up.
Begin investing in yourself. Invest in the knowledge of growth. Knowledge that will help you grow in your current field /career choice. Buy and read a new book every month that will expand your horizon. There are self help books on every topic imaginable...public speaking, confidence, sales, networking, social media, etc.
Confidence! If you're confident that you'll be great, then failures throughout life won't bring you down.
Fake it till you break it! Break the habit of doubting yourself immediately, even if at first you're doubtful. Personally, I believe there is greatness in everyone, but some choose to listen to the haters!
Next, invest time and energy in your health. You are no good to your family sick or dead! If you are dead then you can't earn money. And if you are un-healthy then you can't go to work, and if you can't work then you can't earn! If you can't earn, then you can't save! Then you will retire poor!!
If you are overweight, there is no magic pill or special food that will keep you healthy. Science and history always comes back to the unpopular task of diet & exercise! That's it!
It's not a coincidence that people in their 40's or 50's who exercise regularly and eat right, are healthy and still look good.
Stop lying to yourself that every workout video you've tried or every diet plan you signed up for, didn't work for you. The reason it works for some and not for others, is because some make it a lifestyle, while others try it for a month!
Last, make it a point to network with successful men and women in your company/industry. It is well known that we subconsciously and then consciously, become who our friends are. I'm not saying stop hanging out with old friends, but make new ones. It wouldn't hurt if they were where you want to be in the future.
Having cronies who are where you want to be will force you to elevate. Elevate your surroundings, and your whole existence will follow. Being around those at a higher level of consciousness, will eventually force you out of your level of comfort. Complacency will soon vanish when you fell pressured to act like your friends. Good pressures will increase your value to the world.
Diamond's are made through tremendous amounts of force and pressure. Without pressure, diamonds would never exist and neither would your greatness!
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Point being, you and your ability to earn are your biggest investment's. Not the home you and your family are currently living in.
I'm not saying that your home won't be apart of your overall investment portfolio, but it's not always your biggest. Treating your home as your only and biggest piggy bank is small minded thinking.
Begin expanding your horizons beyond your front door. You are much greater then the mortgage you owe to the bank. Surround yourself with other's who are greater than yourself. Read their book's, study their biographie's, implement their strategie's!
Our habit's will either kill our dreams or be the reason we attain them! Be the best role model for your kid's and the kid's in your community.
Let them see you grow and prosper, so then they can do the same...
