Start building your property portfolio using these 5 quick steps.

Step 1. 
First envision and clearly identify what it is you are trying to achieve from your property portfolio. 
Are you seeking a certain number of properties, financial freedom, a target passive income goal? And do you wish to buy a home first or or rent for a period instead to keep your cost of living low?
Once your goals are clearly identified and aligned with your values you can dive into action.

Step 2.

Save your deposit as soon as humanely possible while embracing frugality along the way.
This means growing your income by doubling down in your career or taking on side hustles. At the same time thinking counter to how we have all grown up by decreasing your expenses to achieve your great and exciting vision. 

This can be ingrained in your habits by associating pleasure with saving money every month and seeing the balance grow. And pain with spending money on items that feel and look GREAT but, that you don’t NEED. In the later stages you will be able to loosen up again, I promise! ;) 

Step 3.
Decide on whether to rent and invest (Rent-Vesting) or first buy a home to live in.
The choice here is incredibly personal and is commonly based on your stage in life and values. Both paths can work out well financially. So long as one doesn’t take on too much debt only to discover there are no savings left over at the end of each month.
 
Buying a primary residence with additional income options is a great way to overcome cashflow hurdles especially, when buying your first property. This can be in the form of buying a house with a duplex or a granny flat and renting them out. Or simply renting out a vacant room.
Alternatively, you may decide to keep your rent low and purchase an investment property in a growing area with high yields that can be renovated on a small budget. Increasing rents further and helping cover the mortgage repayments. The choice is yours!

Step 4.

Continue saving hard and learning what is involved in managing a property.

Purchasing a property and managing a property are very different skillsets. It will take time to learn about the legislation in your state, the minimum standards and rules around leases, tenant-landlord responsibilities and working with your property manager, or tenants directly if they are living with you.

When gaining know-how in real estate nothing beats firsthand experience!

Step 5.

Build a team of professionals along the way and listen to their advice whilst never forgetting your original vision to avoid drifting off track. By this point you should be ready for your second purchase!
Arrange meetings with your mortgage broker and accountant to discuss your next property purchase and how best to structure it. Once a plan has been finalised follow through and make your next purchase.

Congratulations you now have the initial steps of building a property portfolio! 

Of course, as you move through your journey the concepts and knowledge you acquire will grow. Allowing you to consider more options, bigger deals with potentially better returns and understand economic drivers of property values and rents. Nonetheless, every successful property investor has taken the above steps to get the ball rolling. The only difference between you and them is time plus consistent action 

Good luck in taking your initial steps in the property game!