An investor has revealed his ambitious goal of creating a lifestyle that he wants by 35 through strategically investing in the property market.
The term FIRE or “financial independence, retire early” is a lifestyle movement with the goal of its Millennial members to either completely leave the rat race behind or achieve a more suitable work/life balance.
For this reason, property investor Bobby Haeri began his property journey.
“Financial freedom. So, financial freedom is different for everyone. To me, it is working because I want to and not because I have to. It is being able to travel three to four months a year if I want to, and I’m not going to lie because I like the finer things in life. That is why I got into property investing,” Mr Haeri explained on a recent episode of The Smart Property Investment Show.
The property investor highlighted the importance of compound interest by having enough in his portfolio by 35 and simply holding on to it.
“When I’m 40 I want to be working because I want to. I don’t want to be acquiring property after 40, I would like to have acquired them all by 35 and let time do its thing,” Mr Haeri said.
Host Phil Tarrant explained that property has always been a good performer and time is an important part of any property portfolio journey.
“If you buy correctly, it goes up. So, hopefully the properties in your portfolio go up,” Mr Tarrant said.
The property investor noted the importance of buying in the right assets as a way to protect against future unexpected events.
“I think it’s a matter of finding the right assets in the right suburbs even if the vacancy rates go up a little. If you buy the right assets, they are going to be the ones in demand,” Mr Haeri said.
To get to financial independence by 35, Mr Haeri said his original plan was to have $100,000 in passive income a year, but life circumstances have changed the goal.
“I don’t think the number [of properties] is that important, I think it is more the value.”
“I did have an end goal and reverse engineered a strategy of $100,000 passive income. I did have that goal originally.
“However, I don’t have a passive income target because I love what I do now. Previously, I wanted to stop work as fast as I could because I am passionate about not trading my time for money,” Mr Haeri said.
Going forward, Mr Haeri said he doesn’t have an end goal of a certain amount of properties, but instead purchasing what he is comfortable with and buying properties with granny flat or subdivision potential to pay down the mortgage quicker.