Before buying property, know four numbers: how much you can afford, whether you can handle loan payments, your monthly cash flow after expenses, and your overall portfolio performance. Get these right and you'll pick the right property for where you actually are.
You've got to get clear on your figures. You have to understand what your buying power is. You have to understand what your serviceability is. You have to understand what your cash flow is. And so when you understand these metrics and understand what's working in your portfolio, in your current financial situation, what's not, then you can actually start to understand, well, what type of property that needs to serve what type of purpose needs to go into my portfolio right now that's going to help me go from one deal to the next deal to the next deal.
