Thanks so much for checking out the Real Estate Today podcast. Right now we’re going to talk about something we all want. Financial Security.
Bob: I’m Bob Nelson, Eugene commercial real estate investment broker with Pac West Real Estate Investments.
Marcia: And I’m Marcia Edwards, residential broker with Windermere Real Estate. We’ve been talking about the idea of financial security, that feeling that is priceless, no pun intended, in regards to how you feel when you get up in the morning. Are you in charge, or are you being chased? And when you are not being chased by those who you owe money, and you have the freedom to spend your day the way you want to because you’ve got a passive income, you’ve arrived.
Well, maybe you’re not there yet. Let’s talk about that.
Bob: But at least you’ve arrived mentally. And that’s the key. If you start with a poor attitude, no matter what you do, it’s going to end up in a glum situation. You have to have a positive mindset. You can either view it with anticipation, which is the only way that you can view things. It doesn’t pay to view things in a negative manner.
Marcia: I see people who have been in their careers for a very long time, and they are a victim of their own career.
Bob: Oh, absolutely. Their own thought processes.
Marcia: They’re just in this … It just pulls that victim mentality, so you’ve got to … It’s a big shift, and it’s saying “I’m going to take control.” And you’re right, the first thing is “I can do this. What other opportunities do I have for income? What other resources do I have?” And you’ve got to start assessing just where you can take the first step.
Bob: Exactly. It is so important to at least put yourself in that position. To set aside a portion of your consumption capacity, and create an untouchable reserve account.
Marcia: Start with the reserve account. Just call it reserve account, put it in a separate spot in your accounts, and then start placing 20 bucks, 50 bucks. And eventually you’ll say “My goal is to put 20 percent of my income each month into this account.”
Marcia: It’s got to grow fast, and you’ve got to help it grow. And the sooner you get it to a significant number, the more it will work for you over time.
Bob: Some of you are rolling your eyes, saying “I couldn’t possibly do it.” Guess what? You can’t. Because your mind says you can’t do it, you won’t do it. So to a great degree, it’s with anticipation, here’s the reward that’s available to me if I do this thing, and that’s strong enough to cause me to do it, and live within that means which would be left.
Marcia: It’s strong enough to make you do it, and then it also, I think, empowers you to go through the stuff you hate going through. Like the budgeting process and the planning. That is the hardest part for me, is to sit down and say “Okay, let me look at my checking account over the last three months. How have I spent the money?”
Bob: Exactly. My wife has a thing that we track money. Where did the money come from, where did it go, and what was the net result? If you track your money, it’s pretty amazing.
Marcia: You own your stuff that way. I’m Marcia Edwards, Windermere Real Estate.
Bob: And I’m Bob Nelson, Eugene commercial real estate investment broker with Pac West Real Estate Investments.