When I think of creating wealth, the first thing that comes to my mind is that I need to invest money. I need apply what I have learned from the Rich Dad series by Robert Kiyosaki by making my money work harder. All along, it never crosses my mind that I need to invest another essential thing to make it happen. In fact, I have been consciously investing this essential thing all along except that I do not realize it.
When I first heard about it yesterday, I feel enlightened. To be rich, I need to invest time too! I need to invest my time to study so as to gain financial literacy. I need invest my time to learn how to invest. I need invest my time to analyze investment opportunities. I need to invest my time to make the actual investments. I need to invest my time to monitor my investments. Time is definitely an essential component for wealth creation.
In short, I definitely need to spend a lot of time to create my wealth as well. That is where my problem comes. I want to be rich but I cannot find time to do it! Does this excuse sound familiar to you?
Unfortunately, according to Rich Dad's series by Robert Kiyosaki, time is one of the two available components that I can invest to create wealth. In other words, if I want to become rich, I must definitely find a way to overcome this excuse.
And this excuse is used for a lot of other things too. For examples, I want to exercise regularly so that I can become healthy. But I cannot find time to do it. I want to practice regularly so that I can become a good dancer. But I cannot find time to do it. I want to spend more time with my loved ones but I cannot find time to do it.
Why do I say that it is an excuse and not a limitation? Well, I have 24 hours a day like everyone else. No one is privilege to have more time compared to the other. Since the amount of time is the same for everyone, why is it that someone seems to have more time and accomplish more things than others?
The answer is very simple. It is a matter of personal choice on how I spend my time. Usually, I choose to spend my time on something that I feel is more important. That is why I will never have time for the unimportant things. Since it is a matter of choice, then it is an excuse when I say I do not have time. It simply means that I do not find the matter important enough to invest my time on it.
Imagine if 24 hours a day is like a note of $24, how will I spend the $24? I can spend $24 to buy a dozen of can drinks such as Coke from the supermarket. Alternatively, I can spend $24 to drink a few can drinks from a high-class restaurant or pub. Comparatively, I will have gained more if I have spent my $24 on the supermarket.
That is exactly the same situation with time. How much can I accomplish in 24 hours is really dependent on how I have spent it. If I have spent it wisely, I can accomplish more things. If I just laze around and do nothing, then I will accomplish nothing.
For any typical working person, he needs to spend about 8 hours per day on sleep. He spends about 4 hours daily on meals and personal items. Another 10 hours per day of his time is spent on work including traveling time. All that is left at the end of the day is about 2 hours. If he just relaxes and watches the television, then his whole day is basically gone. But if he spends the 2 hours wisely, he will be able to accomplish more things. Similarly, the way he spends his weekends will determine how much he can accomplish in life.
Some people may be luckier than others because they have more leisure time than the others. But that does not necessary mean that they will be able to accomplish more things than others. The key is how they invest their leisure time. Just like a person who earns more than others does not invest wisely as learned from the Rich Dad's series by Robert Kiyosaki, he will be definitely poorer than others by spending mindlessly.
In conclusion, I feel that learning to invest time is as important as learning to invest money if I want to succeed in life.
* DISCLAIMER * The author only provides the material and information as a layperson's views about an important subject. The materials and information are from sources believed to be reliable and from his own personal experience, but he neither implies nor intends any guarantee of accuracy.
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The very fact that you are reading this article indicates that you may be crazy enough to be thinking how to invest real estate, even in this upside down market. Why is it that some people can succeed, even prosper, in this down real estate market while so many others are struggling? Even more importantly, are you one of the ones that can prosper? Most important of all, you have to figure out how much. Sound crazy? Maybe a little bit, but that may be what it takes to learn how to invest in real estate and succeed in this crazy market.
So, what are the fundamental drivers at work that still make real estate an attractive investment? Believe it or not, the two fundamental drivers are supply and demand. I don't mean the current glut of homes on the market-that is a temporary phenomenon. A fundamental demand driver is population growth. The world's population is growing, not shrinking.
That is a fundamental fact. This is one reason why people are looking to find out how to invest real estate.
The second fundamental is supply. We can make more cars when that market picks up. We can make more clothes and computers. We cannot, however, make more earth; there is a finite, limited supply of it. The fundamental supply and demand equation now becomes, ever increasing demand with a finite supply. So until we figure out a way to colonize the moon, real estate is, over time, only going to grow in value. Maybe this real estate investment idea isn't all that crazy after all?
So now you have a reason for why to invest in real estate. This does not yet answer how to invest in real estate, but it gives you a reason to learn more. After all, we are living in the moment, and the spot market for real estate is not that great. At least, it is not that great if you are a seller. Sellers are not seeing the prices that they think their properties are worth. It is clearly a buyer's market.
This buyer's market is how to invest real estate. It costs sellers money for every extra month that they have to make a payment. Most sellers are accepting offers that would have been laughed out the door as little as six months ago. Herein lays the secret: Buy Low, Sell High. You say you have heard that before? It is sound advice regardless of the market you trade in. When you think how to invest real estate, think ?Buy Low?.
Economists are predicting an economic turnaround later this year.
Governments are doing everything they can to make that turnaround happen faster. While real estate prices may not immediately rebound to the levels they were at two years ago, they are going to go back up. The law of Supply and Demand guarantees it. Prices are also at record lows now, so this market presents a very rare opportunity to fulfill the Buy Low part of the strategy. Clearly, a big part of how to invest real estate is timing.
Obviously there is still risk. Is it the right risk for you? Are you crazy enough learn more about how to invest in real estate, and make your fortune investing in this real estate market?
Both Max Ng & Otto are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
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