/// Contributor
Ahyat Ishak
Investment Expert
Ahyat Ishak is the author of the
bestseller “The Strategic Property
Investor” book and the founder of
“The Strategic Property Investment
Model & Program”, which has helped
many Malaysians create immense and
sustainable wealth through property
investment. He first began property
investing for more than a decade ago
and became a property millionaire
before the age of 30, having started
from humble beginnings. Through his
experience and learning from many
successful property millionaires, he has
discovered the REAL Wealth Formula™
and has also trademarked his Strategic
Property Investor Model™, which is the
framework for his highly acclaimed
workshops, seminars and talks.
Academically, Ahyat Ishak has an IT
Degree and MBA with the University of
Southern Queensland (USQ), Australia,
specializing in Strategic Marketing.
He also holds the CPT or Certified
Professional Trainers with IPMA, UK.
Professionally, he is an entrepreneur
and is the executive director of his
family’s group of companies, which
he 1st joined in the 90’s. This group
has businesses ranging from services,
technology, trading, food, agriculture
and property investment.
Website: www.ahyat.com
YouTube channel: AhyatPropertyTV
While the author makes reasonable
efforts to present information which
he believes to be reliable, the author
makes no representation that the
information or opinions contained in
this article is accurate and complete.
Readers are advised to seek specific
professional advice before acting on
the views.
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www.PropertyHunter.com.my
Property Bubbles (Part 2)
Lessons from my Property
Exploration in Spain & Portugal
T
his is part 2 of the lessons I am bringing back from my property exploration in Spain and Portugal,
which had brought me to 2 nations, traversing 3,500km through 7 major cities, 3 ghost towns,
meeting 10 property investors and 35 hours of flight that brought me across more than 20,000km
from KL to Barcelona and back. Here are another 3 lessons I bring back from my property exploration in
Spain – Portugal:
1
#
Property is not an asset!
Now I don’t want to shatter your hopes and dreams and all that you were told
about property investment. But one of the biggest lessons that I had learned from
this life-changing trip was that property is not ‘always’ an asset! In fact, in Spain and
Portugal, properties are considered toxic! Most of us grew up with people telling
us that property is an asset. While this may be true half of the time, it may be an
absolutely horrible myth the other half! Not until we are able to accept this fact,
can we start to progress and transform ourselves into the strategic investor that
I’ve always talked about; great investors who are able to invest in good times and
bad times!
So what’s the problem with this age-oldmyth? The problem is simple, if your
property is not bringing you income, than it cannot be seen as an asset, it is
more like a liability! So what is an asset and what is a liability? I like this simple
explanation; assets puts money in your pockets and liability takes money out! Lets
use this simple concept which a kindergarten student can understand and apply it
to property investment.
So if I am living in a RM2million bungalow which burns more than RM10,000 just
to pay the loans, it is now a liability. Yes it is a property but no, it is not an asset.
Many will argue that I own an asset that appreciates in value, but no, it does
not put money in my pockets, so I don’t call it an asset. Second instance, I own
a RM2million shoplot but unfortunately bought at a wrong location, facing the
wrong side of town, and cant rent out. Yes, it is a property but no, it is not an
asset. This property doesn’t put money into my pockets, but instead takes money
out, a whole load of it! I am burning Rm10,000 per month and that can never be
good, no matter how deep my or anyone’s pockets are, for that matter! Lets start
collecting properties, which are real assets. Until and unless we start accepting the
fact that property is not always an asset, that is when we will force yourself to be
more discerning in asset selection. And that brings me to my next lesson.