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Wealth Managers and Financial Planners- How To Choose

Financial independence is something most of us if not all of us strive for and it’s a continuous effort. You work, pay your bills and try to save money although it can sometimes be easier said than done. Having a 401k with contributions matched by your employer is a great way to pave a solid road to a successful retirement. However if you work for a small company, you are self-employed or a business owner, you obviously need an alternative route.

That’s where Wealth Mangers come in. They are good financial advisors and investment managers that will help you get your ducks in a row so you can become financially independent and retire at the age you choose. There are some factors that you need to think about.

*At what age do you want to retire? You will need to think about your age and income level at this point in your life and make your decisions about your portfolio based on those facts. A person starting a retirement account at 30 years of age will probably have a different portfolio than a person starting at 45 years old. You should also keep in mind that your portfolio will probably change as you get older. For instance if you are 25 and single with a gross income level of $40,000 you could be married by the time you are 30 with an income level of $50,000 or a combined income level of $80,000 and have 2 kids. The types of financial risks you take may vary and you might add life insurance to your policy as well as college tuition. Once your kids are grown and in college your financial goals will change again as will your portfolio.

*How much money do you want to have when you retire? Again you have to look at your age, income level and how much of it you have to invest.

If you don’t make a lot of money and you have high debt, your 45 years old, but you want a substantial amount of money when you retire, you will probably need to place your money in higher risk investments although a very good and talented wealth manager can help you compile a portfolio with a combination of risk level investments to help you achieve your goals. As time goes on you can always add to your portfolio when you reach the next level in your business. A good wealth manager will always let you know when there is an opportunity for you to increase your level of wealth through investments and when you should juggle your money to keep you on the pathway to your financial goals and interests, not the investment advisor’s.

How to Find Good Investment Property

The topic that will be explained in this article is the way to find good investment property. Owning rental real estate seems to be more and more popular as investor tire of the swoops and swoons of the stock market. As for our information, not everyone has what it takes to be a landlord. But those who do may find out that rental will be a good way to build wealth. After we have decided to buy rental property, our real work begins. To find a profitable rental property usually takes a long time, connections and plenty of research.

To find good investment property, we need to know our time horizon. As it is the same as any other investment, we must have a plan or idea on the period we want to own a rental property before we buy it.

The longer the period we plan to own the property, the more we’ll probably need to invest in maintenance, improvements and repairs. If we’re keeping it for 20 or 15 years, at some point, it means that we will be putting a new roof on that property. In addition, we will be putting in new appliances and doing some major repairs. If we are only planning to own a property for four or five years, by contrast, we will probably want to avoid making any major improvements unless we are confident that we can recoup the cost with a higher sale price.

There will also a greater risk that we will face within a shorter time horizon. Although our rental will almost certainly appreciate over 15 years, but it could easily lose all the value in the following next five, especially if we are buying in an overheated market. We will need a higher amount of potential annual return to make up for that risk.

As for small investors, they might prefer long-term ownership. We will have plenty of time to achieve great result in the market, and rental income can make a nice supplement to our day job. Find more rental properties, and being a landlord may become our daily job.

Lastly, we need to develop a network. Landlords that have greater experience might find their properties in a variety of ways. Some of them will hunt for foreclosures, making friends with bank employees and city hall clerks or who has information on which properties are about to be sold. Some of them run promotion in local newspapers. Meantime, others might work with real estate agents that keep their eyes peeled for possible buys. Some of the landlords might be joining a local landlord and property owner’s association to make contacts and good relationship. It is believed that when we begin to own rentals, all the other investors start coming out of the woodwork.