Comments on: Buy income generating assets first

By: red

red — Tue, 16 Feb 2010 22:39:26 +0000

Congratz po sa inyo! WOW!

paltan ko lng ung isang sinabi nyo, there are abundace in this world.

” Kapag maiksi ang kumot matutong pahabain ito ”

corny po pero sana na gets nyo ugn message nung sinabi q.

thanks

Red

By: Meg Yago

Meg Yago — Tue, 16 Feb 2010 17:11:37 +0000

Hi Jay, I’ve been on track of your blog.
I can so much relate to all your subjects as I am also passionate with real estate development. Initial reason though was not for financial freedom; it’s my love to subdivide a Lot into many units, maximize space for the floor plan, with still a little space left for breathing (e.g. garden), but all at an affordable/reasonable price. This vision is brought by what my family has gone through- not having our own permanent dwelling, and renting a small shabby house at a very high rate (Manila area that’s why).

Today I am glad to tell you and everyone, that I have started fulfilling this vision. Well, not as developer yet but in real estate investing. I have acquired my first unit thru PagIBIG Rent-To-Own in year 2000, property at Dasmarinas Cavite; the second unit also thru PagIBIG under the name of my husband after we got married in 2007 property at Bacoor Cavite, and the third unit (conjugal) thru In-house in 2009 property at Sta.Mesa Manila.
How I did it? The biggest contributing factor is having a very supportive husband. If both has the same goal nothing is difficult. I know I will be able to reach all these too, by myself, but it will take me decades.
My husband and I both have the same type of job, started out as call center agents(where we met). Then we both decided to try abroad, and now we are in Dubai. The Sta.Mesa Manila property still has balance but it is paying for itself as it is being rented-out at P15k/mo. The Bacoor Cavite property is already paid, and is also currently being rented-out at 4000/mo. The Dasma.Cavite property is also fully paid and is where my parents currently lives. Now we are ready again for another housing loan thru PagIBIG but we have decided to rest a while and enjoy having extra cash on hand. You see, to achieve all these we have saved as much as we can. We stick to our budget and we eliminate every unnecessary expense. So the saying goes: Kapag maiksi ang kumot, matutong bumaluktot.
I’ll keep myself updated thru your blogs- so updated, so informative. Many many thanks.

By: stevenglobal

stevenglobal — Tue, 19 Jan 2010 08:35:02 +0000

Buy assets that generate income first, sure, right. Normally should start from the small property first as it will burden you if it couldn’t be rented out.

Do research on the place, and read some article on financial literacy. An “I” quadrant is basically a WIN + LOSS game. If you unable to get the rent, how do you solve the problem? Are you out of the game. Ever heard that Rich Dad quite strict to Robert Kiyosaki?

Study well.

By: Jay Castillo

Jay Castillo — Fri, 18 Dec 2009 07:56:36 +0000

Hello, just like Red mentioned, I hope you will find your true goal in life. Whatever it is, I wish it includes being financially literate. I believe the financial burden being faced by other people can be attributed to lack of financial literacy.

I’m glad that my post has somehow made you consider buying assets first. Echoing Red’s suggestion, why not read Rich Dad Poor Dad? It can make a huge impact on your goals in life.

By: Jay Castillo

Jay Castillo — Fri, 18 Dec 2009 07:47:40 +0000

Hi Maredith, glad to know you’ve already read Rich Dad Poor Dad and TRP(you should be finished reading it by now…hehe).

You’re 29 years old?! Definitely not too late… I started when I was 36. I hope to see you here often, thanks for dropping by!

By: Jay Castillo

Jay Castillo — Fri, 18 Dec 2009 07:44:17 +0000

Hi Ronald, thanks for the excellent insights! The sooner one realizes that buying assets before doodads is a much wiser choice, the faster he/she will gain financial freedom.

I notice you are also into stocks. That’s one thing I would like to seriously explore this 2010. I attended the Rich Dad Asia seminar last November 30 and one thing I learned is I am too conservative and I should also venture into stocks. I also have a draft game plan and I intend to implement it soon. Yes, let’s all meet you at the top!

By: red

red — Fri, 18 Dec 2009 04:30:13 +0000

Kuya/ate sana malaman mo po ung totoong goal mo. Good Luck! hmm.. you can start your business while your taking master’s degree. part time lng..hehe..

PLEASE read the book Rich Dad Poor Dad. It will change your life. It change mine.

By: office furniture makati

office furniture makati — Fri, 11 Dec 2009 02:49:13 +0000

Thanks for the thought. I am now in my 4th year college and still I am on the stage of planning what to do in the future, whether I would run my own business, go for a master’s degree or work abroad. Moreover, as I’ve seen many older people, they are really depressed because of financial burden. I don’t want to be like them. I want to be rich and experience the goodness of life. I am not reading any financial IQ books, so your post strikes me that I must be wise financially. I must buy first assets before buying liabilities. Thanks again.
office furniture makati´s last blog ..RP’s top 25 contact centers post P68.5B revenue for 2007

By: Bryan Uy

Bryan Uy — Sat, 05 Dec 2009 19:09:11 +0000

Sige, that would be a nice way to meet… Invite me when you go to a cashflow 101 game with earth. Is this the one on Saturdays or Sundays?

Text me bro if you are going to one so I can fix my schedule as well.

Thanks!
Bryan Uy´s last blog ..Invest in Cash in a Flash: A P300k Package for only P750 by Mark Victor Hansen and Robert G. Allen

By: Maredith Lyn Cabrias

Maredith Lyn Cabrias — Thu, 03 Dec 2009 04:02:13 +0000

Hi everyone! I’m reading Rich Dad Poor Dad and it tickled my interest in learning real estate investments. Yesterday I bought Think Rich Pinoy by Larry Gamboa because it’s for the Philippine setting. I stumbled upon this website to know more about investing in real estate (a beginner at age 29!)…not too late right?

Hope to learn from this website more and more. Thank you!

By: Ronald Cagape

Ronald Cagape — Tue, 01 Dec 2009 16:05:31 +0000

Hi Jay,

Buying assets should be mission #1 for anyone on a serious bid to be financially free. Liabilities slow you down and your journey begins to feel like running a marathon in the mud. Buying assets on the other hand feels like taking a bike up a hill in the beginning but when you get to the top, it’s all downhill from there. Let’s all meet together at the top.
Ronald Cagape´s last blog ..Seven Steps to Online Stock Trading in the Philippine Stock Market

By: Jay Castillo

Jay Castillo — Tue, 01 Dec 2009 13:55:55 +0000

Hi Edgar,

Now that is what I call an excellent example of an income generating asset! Yes, I totally agree with you, we really need a change in mindset and I’m glad you’ve already done it, thanks for sharing! This should help inspire other people to do the same.

Goodluck with your lease contracts and thank you for adding my site in your favorites!

By: Edgar Garcia

Edgar Garcia — Sun, 29 Nov 2009 19:07:42 +0000

saw your site as i am cramming knowing the latest rent control law because I need to issue my first two contracts for two commercial stalls I’m leasing out. I constructed three storey building with four stalls on the ground and six apt. on the second and third floor in Pampanga. The roof top will be re-designed to cater to function hall for rent area. It is almost finished just waiting for the water and electricty connection but got two store tenants already. This is one sample of investing in income revenue generating properties if you just get out of the box of the dream house and lot and car thing especially to the OFW’s like me. I added your site to my favorites, sometime browsing the internet is very fruitful but normally I’m not a fanatic.
Regards.

By: Jay Castillo

Jay Castillo — Sun, 29 Nov 2009 17:23:10 +0000

You got it Edi, that’s the way to do it! Funny you mentioned Rich Dad because I will be attending the Rich Dad Asia event in a few hours from now. Thanks for the visit and goodnight for now!

By: Jay Castillo

Jay Castillo — Sun, 29 Nov 2009 17:20:48 +0000

Wow Aileen, looks like you are well on your way to financial freedom with your formula of using the rental of the previous unit to finish the next unit… and you have actually completed all units! Even if you don’t have a house right now, I’m sure it’s just temporary and the delayed gratification is well worth it! Thanks for visiting and I wish you all the best!

By: Jay Castillo

Jay Castillo — Sun, 29 Nov 2009 17:15:57 +0000

Good luck RG! Go for it, looks like you have a great deal!

By: Jay Castillo

Jay Castillo — Sun, 29 Nov 2009 17:15:00 +0000

Hi Allan, thanks for the valuable insights! After two weeks of looking at various properties, I am beginning to feel it is easier to find an investment property than a house to live in.

I guess we have no choice but to buy liabilities like a house to live. What’s important is we know the difference between assets and liabilities and we should have both so that the assets that generate positive cashflow can offset the negative cashflow caused by the liabilities.

By the way, you have a great book review of RK’s “Increase Your Financial IQ”. i hope to read the book soon! Thanks for dropping by!

By: Jay Castillo

Jay Castillo — Sun, 29 Nov 2009 17:02:11 +0000

Hi Jenefa, you can do what my wife and I are doing right now, we are visiting lots of properties and we are constantly analyzing the potential income of all properties we stumble upon. I really believe that if we keep at it, we will find those income generating assets!

By: Jay Castillo

Jay Castillo — Sun, 29 Nov 2009 16:55:18 +0000

Hi Shersmaker, the most common income generating assets would be rental properties that produce a good positive cashflow. Other examples would include stocks or mutual funds that give dividends, certificates of deposits, etc. Of course I am more into rental properties. Thanks for visiting!

By: Jay Castillo

Jay Castillo — Sun, 29 Nov 2009 16:52:23 +0000

Thanks Dinah! I also hope our Pag-IBIG insurance gets released soon, although I’m sure yours will be released sooner because you were able to file it earlier. Good luck!