So that you aren’t trapped by your investment
What is the point in investing if you’re getting held back by that investment? The whole purpose of doing this is so you can grow. When looking to invest, it’s always important to consider and project what your personal situation will be like post-acquisition.
So you can afford to invest
Undoubtedly, once you start investing, you will want to keep doing it. It doesn’t make sense to invest with the view of not being able to afford to do more of it.
See benefits sooner
The power of compounding! By picking cashflow-rich investments, they will enable you to put that spare change towards re-investment, paying down commitments, holidays...the options are endless.
Someone else is also helping you pay the loan off
If you bought a property that’s cash-flow positive, the tenant can help you pay the loan off faster! This along with your contributions to the loan will see that debt get hammered down even faster!
Financial freedom
For most people, this is why they invest...so they don’t have to worry about money and they can have options later in life. Do the hard yard now...make the sacrifices and you’ll be giving yourself a pat on the back years down the line.
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