Ajay Ahuja on Education, Maths Skills and Making Money

I am a great believer in education.  Not necessarily formal education, but education.  It is these blocks of information you learn and pull together from various sources to create wealth.

I took my mathematical knowledge combined it with my economics degree and sprinkled it with my accountancy qualification and ended up with a 200 property portfolio!

I had no formal property education.  There were no such formal training courses available.  If there was I think I would have probably done that instead of my chartered accountancy.

It was my interest that drew me to property investment.  I just loved the concept of rent.  To break it down in simple terms I will tell you the allure rent had for me:

It was

  1. money
  2. recurring
  3. inflation proof
  4. no effort

Rent was real cash I could spend.  It was not some notional amount such as equity or paper profit.  It was real money to spend.

It re-occurred on a regular basis with the regularity similar to a salary.

Its value rose with inflation so there was no risk of diminishing returns.

And this is the best bit: NO EFFORT to obtain.

So in summary:

Cash, regularly, inflation proof for no effort.  NICE!

Money for nothing and your chicks for free as Dire Straits would say.  Now it does sound rosy and it certainly is NOT a bed of roses as there is a bit of effort, a certain degree of risk and whole load of thinking time.

It is this thinking time that determines your success.  I have spent many hours pondering whether I should do this or that when it comes to investing.  This is because it is a long term investment!  Long term investments require some thought.

Anyway rent is extremely seductive for the reasons I have mentioned above.  Waking up, checking your bank account and seeing the rent in your bank account is a nice feeling.  Seeing several rental payments coming in every day is a very very nice feeling.

So do you want rental payments hitting your bank account?  You should do.  It beats working!

If you would like me to help you build a portfolio read one of my books.