With over 25+ years of experience each, expert property investors Matt Lewison and Michael ‘Boz’ Beresford recently sat down to reflect on their property investment journey. In their candid conversation, Matt and Boz transform hindsight into a torchlight, that casts a steady glow on the road ahead for today’s aspiring investors.
Their discussion isn’t just nostalgia; it’s a wealth of lessons learnt so investors of today can invest with confidence and skip the learning curve.
As we delve into their shared wisdom, each story unfolds as a lesson in the art of property investment, taught by those who have built their legacies one strategic decision at a time.
Why This Story Matters for You
- Prepares You for Market Swings: Their journey through market waves teaches you to stand firm and follow your strategy, no matter the tide.
- Shapes Smart Decision-Making: Their stories become your roadmap, offering up the wisdom to make informed decisions and strategic plays.
- Reinforces Your Confidence: Following in the footsteps of those who’ve walked the path before you give the courage to chase your investment dreams without hesitation.
If you would like to understand the value in working with professionals on your investing journey, check out our blog on Why Consulting Specialists Matters.
4 Key learnings from our experts:
1. The value of Leverage and Timing:
Lesson: Leverage, when used wisely, can be an accelerator in property investment
Matt’s investment story began with a fearless approach to debt, seeing it as an essential tool rather than a burden. As he matured as an investor, he realised that the strategic use of leverage—how much and when to borrow—could make a significant impact on his investment’s growth. Reflecting on past decisions, he acknowledged that sometimes he could have been more aggressive with leverage to take advantage of market opportunities. This highlights the importance of understanding your borrowing capacity and market conditions is critical to optimising the use of debt for investment growth.
On the flip side, Boz’s success is partly attributed to his persistence against cautious advice, understanding that well-managed cash flow justified an aggressive strategy.
Success in investment, often lies in striking a balance between bold action and strategic caution, each informed by a keen understanding of the market and one’s financial standing.
2. The Significance of Market Research and Knowledge
Lesson: Comprehensive research and adaptability are key to navigating property investment risks effectively
Boz’s investment philosophy emphasises the critical importance of thorough market research and ongoing education. He advocates for a deep dive into market conditions and property values, stressing that a well-researched investment is more likely to withstand market fluctuations and pave the way for long-term success.
“Understanding every angle and aspect of the properties you’re considering is crucial,” Boz suggests, illustrating how comprehensive knowledge can buffer against unforeseen market shifts.
In the vast Australian property market, where thousands of properties are available at any given time, both Matt & Boz highlight that it’s impossible for a single investor to assess every opportunity that’s available.
With over 50 years combined experience, they understand the importance of following a well-established strategy and learning from those who have been through this experience before.
“It’s not just about diving deep into a few properties, but also about having a strategic approach that’s been tested over time,” Matt explains.
Boz’s approach to risk involves not just guarding against potential downsides but also preparing to pivot as market conditions change. His success reflects his ability to adapt strategies based on thorough research and real-time market analysis. This method of blending deep research with strategic flexibility offers a robust model for investors aiming to thrive in dynamic markets.
3. The Perspective on Risk and Adaptability
Lesson: New investors should embrace strategic flexibility to succeed in a fluctuating market
Throughout their 25 years of investing, both Matt and Boz have experienced the need to adjust their strategies in response to changing market conditions and government policies. This adaptability has been key to their enduring success. Matt shares insights on the importance of staying ahead of economic indicators and policy changes that can dramatically affect investment outcomes.
“It’s about not just following a fixed path but being ready to shift directions when the market or regulations change,” he explains, reiterating the need for a dynamic approach to investment.
Boz adds that understanding government policies and leveraging them can provide a strategic advantage. “Sometimes, new tax incentives or changes in zoning laws can open up opportunities that weren’t there before,” he notes. This perspective highlights the importance of being well-informed and ready to capitalise on new possibilities as they arise.
Both investors highlight that while the fundamentals of property investment remain constant, the “best” opportunities can shift over time. An investment that looks promising today might not hold the same value in six months. Keeping a finger on the pulse of the market, understanding long-term trends, and being ready to pivot are essential strategies for any investor.
“Adapting to market cycles and updating your strategy accordingly isn’t just a skill—it’s a necessity for anyone serious about building lasting wealth in real estate,” Boz concludes. This approach ensures that investors are not only prepared for the ups and downs of the market but are also positioned to make the most of them.
4. The Influence of External Factors
Lesson: To succeed in property investing you must understand economic trends, resist short-term pressures and carefully select your advisors.
Matt and Boz have learned the importance of discerning which external factors to heed and which to ignore. Matt shares a poignant example from his own journey: “There was a time when I sold a property because interest rates were climbing, and I felt pressured by the market sentiment and people’s comments about my cashflow. Looking back, if I’d held onto that property, the long-term gains would have far outweighed the temporary financial strain.” The critical nature of understanding and sometimes resisting prevailing market fears, emphasises the need for a well-founded strategy based on deep market knowledge rather than reactive decision-making.
Boz elaborates on the impact of surrounding oneself with the right people, stressing the detrimental effect of naysayers or ‘dream crushers’ on an investor’s strength and decision-making process. “It’s vital to surround yourself with supporters who not only share your vision but also truly understand the dynamics of property investment. Often, those casting doubt are not well-informed themselves and can lead you astray from potentially profitable ventures.”
Together, Matt and Boz agree that external influences can range from market conditions and economic shifts to the opinions and attitudes of the people around you. Navigating these requires a balance of personal conviction in your investment strategy and openness to adapt based on reliable economic indicators and trends. They advise new investors to build a network of knowledgeable, supportive peers and mentors who can offer both sound advice and encouragement to stay the course.
Steering Through Market Volatility
Rather than a tale of caution, Matt and Boz’s experiences read like an roadmap. Their insights reveal that the best way to win at property investing is with a cool head and a calculated strategy.
Looking back, the “what ifs” are transformed into “what now’s.” Each story shared serves as a chapter in the guidebook to making smarter, more impactful investment decisions. They both agree that if they could have their time again, they would seek advice from experts early on and take on the learnings of successful seasoned investors to save themselves from expensive mistakes.
Your Investment Crossroads Awaits
Now it’s your turn. Imagine yourself a few years down the line—what stories will you tell? What wisdom will you share? Start crafting that story today.
Ready to take the first step? Book a Discovery Call with our experts and let’s begin planning your path to investment success.
The perfect time to start your journey was yesterday; the next perfect time is now.
