Real Estate Investor Magazine South Africa September 2014 | Page 7

PUBLISHERS LETTER FROM THE EDITOR F or all time, property has been the cornerstone of wealth. Around 70% of the world’s wealth is in property. The truly wealthy, from the Queen of England to Donald Trump, all own huge property portfolios. The banks and life insurance companies also own vast properties – from shopping centres to holiday resorts to vacant land. “Ninety percent of all millionaires became so through owning real estate.” This was the view of Andrew Carnegie, once the richest man in the world. If buy-to-let property investment is such a simple, easy-to-implement and practically failsafe system FROM THE PUBLISHER R eal Estate Investor Magazine celebrates its 8th anniversary issue this month. We acquired a powerful readership following for our print magazine, plus many investors who accessed our website regularly and attended our real estate investing educational events. Today, 8 years on we have big growth plans. One year after our launch, the biggest global financial crisis known to man unfolded. Today, the market is still recovering. This taught us that the world is more interconnected than most realised and that we need to search for new emerging markets for higher growth rates. The commercial sector was also affected. Today, large commercial players like GrowthPoint and Redefine are dominant commercial players in a down market, continuing to lead the retail, industrial and office sectors and having wisely invested offshore. Both have listed successfully on the JSE and are giving their shareholders steady returns. Nedbank, the biggest commercial real estate lender in SA, has grown their loan book fourfold from R24 billion to over R100 billion today with a default ratio below 1%, testimony to the strength of the corporate of creating wealth, why isn’t everyone doing it? The reason is actually quite simple: statistics have shown time and again that just 5% of people who know how to do something will actually do it. Buy-to-let property is not a new concept, it is simply common sense. It is not even a formula that is difficult or time-consuming to implement. So, when it comes to buy-to-let property investment, then, the question is not: “Why isn’t everybody doing it?”, but rather: “Will you be among the top 5% of people that actually do what they know must be done to create wealth?” Action is the key to success. MONIQUE TERRAZAS sector and commercial sector. This month we are delighted to provide great insights into the commercial market with our free 56-page annual Commercial Real Estate Investment Guide. The world of real estate and media is changing rapidly as traditional media becomes digital. The introduction of our digital magazine, and social media mediums such as Twitter, Facebook, YouTube TV channel, has changed the way we communicate. We are in the business of creating communities who want to interact with us. We are innovating how we communicate with you and introduce new products. Follow my investment journey by clicking on the banner on our website and submit your email to join the group with whom I share in-depth real estate knowledge. This month, don’t miss our annual REIM event, a joint venture with Rode and Associates, prominent property consultants and valuers who have been operating for over 25 years. We are proud of this association and refer you to the back of this issue for the exciting program of speakers. See you there! Prosperous investing NEALE PETERSEN FOUNDER “Owning a home is a keystone of wealth… both financial affluence and emotional security”. SUZE ORMAN www.reimag.co.za September 2014 SA Real Estate Investor 7