millionaire auckland landlord reveals how he got rich - prestige car alarm
A former Oakland store owner who was $17 an hour and had only $4000 in cash at the beginning wanted to tell others how to be a millionaire through a new "how to" property manual
He will not be worried about any upcoming market downturn.
Albert man Jonathan biddmead, 53, said he has changed from a warehouse administrator at Newton computer to a redundant person and now has 14 properties in Auckland and New Plymouth, 20 homes are worth more than $12.
5 million, generating less than $40000 billion.
By borrowing money from relatives, he set himself on the path to wealth and said others could do the same.
After ANZ chief executive David Hisco and a growing number of conservatives warned about housing issues and called for more urgent action, he said
Hisco, New Zealand's largest mortgage lender, warned last week that property prices in Auckland were too high and could eventually become chaotic.
For a long time, the Reserve Bank has expressed concern that all four major trading banks are imposing new landlord loan restrictions requiring 40 cents to be deposited.
But biddmead has not been blocked, saying he wants to spread the message that the only way to get rich in New Zealand is through real estate.
If people want to be rich, he says, they can repeat his "magic" formula today, and he thinks property is the way to achieve that.
"People need help from family members, and then they can still get the same results as I did," he said of those with relatively few savings.
"In 1991, I invested $4000 in my own money in the first place on Springfield Road in west spring.
The house cost $79,000, I borrowed $12,000 from my fatherin-
The deposit under the law is enough.
Bedroom duplex, the worst house on the street.
Half of the windows broke and I didn't know there was a clothesline until I trimmed the lawn.
"Since then, just using the equity growth of the property, I have borrowed it to buy more properties," he said . ".
The house in Xiquan is his own.
"I was laid off by the computer company and I spent a day looking around the HR department for work and just decided 'No, it's the wrong thing to do, so in the next six months, I read books about real estate investment and business and I realized that real estate investment is a way.
"For most people in the world, most of the wealth is in real estate," he said . ".
"I bought eight houses in less than three years --2001 and 2002 -
Right in my house.
"They are in Avondale, New Windsor, Westmere," he said . ".
The other six were bought after that, he said.
He said their total rental income is less than $400,000 a year.
The invisible millionaire
Guide to real estate wealth (
Mary Egan Press, $24. 99)
About his journey.
The book will be published in August 2.
"The book is to encourage informed investors to buy one or two properties, and if they stick to it for about 10 years, they will accumulate more money than they can save in their lifetime," he said, the notion of rejecting a recession can be dangerous for investors.
"I like the downturn.
"Real estate prices actually fell from 2007 to 2010, and I look forward to a downturn in the economy," he said . ".
"Most of our millionaires are invisible.
"Many people will be surprised by who the real millionaire is, not those who might drive a famous car and live in the right suburbs," he said . ".