Australian’s seem to have lost their mojo! For much of the last few years we were an unhappy lot, then just confidence seemed to be returning earlier this year, it took a slump again.
So what does it take to make us happy?
Obviously it’s more than money – because we’re already the world’s richest people.
Now before you shoot me down, let me explain that I certainly realise that to be truly wealthy you need more than just money. Of course I realise that money is important in those aspects of your life where it is important (like paying the bills and the school fees) and money is not important in those areas of our lives where it is not important.
But many of us are still worrying about getting more money so we don’t have to worry about money any more.
Back to the point I was starting to make – we’re already wealthy.
Yes, we’re already wealthy and this was confirmed in the Credit Suisse 2012 Global Wealth Report, which showed that Australians are now comfortably the richest population in the world with a median wealth per adult of US$194,000.
This is more than double that of second-placed Switzerland with US$87,000.
Interestingly the report states that Australians comprised some 1,571,000 people in the top 1% of the planet’s wealthiest persons
By the way…in order to be in the world’s top 1% you need a net wealth of US$710,000, and if you have net assets of over US$71,000, you are in the richest 10% of global wealth holders.
The fact that the proportion of Australians with wealth above US$100,000 is the highest of any country and eight times the world average, is mainly thanks to Australia being sparsely populated, our high levels of natural resources and our high real estate prices.
How many millionaires?
America still has the largest number of millionaires – more than 11million – three times higher than its nearest rival Japan and Australia boasts more than 905,000 millionaires.
The report suggests that total world household wealth is expected to increase by almost 50% in the next five years, with the United States retaining the top spot with wealth of US$89 trillion.
China is expected to add US$18 trillion to global wealth and overtake Japan as the second-wealthiest country in the world.
This bodes well for Australia – we just happen to be in the right spot at the right time.
As China transforms from an industrial economy into a consumer-driven society this will offer abundant opportunities for Australia.
Not only will China and other developing Asian countries require our resources, but we can supply them with health services, education, food, technology and if we play our cards right we can be the tourism playground for a new generation of middle class Chinese, just like we were for the Japanese in the 1980’s.
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Some interesting thoughts:
Amongst other things, our high level of wealth is due to the fact that around 70% of Australians own their own home.
Owning real assets is a powerful wealth creator and with our property markets moving on, as the report suggests, a whole new generation of property millionaires will be created over the new decade.
However, if history repeats itself, and it most likely will, most people who get involved in property investment will not become financially independent. may will buy the wrong property or at the wrong time or in the wrong location.
With so many mixed messages out there about what type of what makes a good property investment it’s hard to know who to listen to.
It’s hard to know who to trust.
If you’re looking for independent advice, no one can help you quite like the independent property investment strategists at Metropole.
Remember the multi award winning team of property investment strategists at Metropole have no properties to sell, so their advice is unbiased.
Whether you are a beginner or a seasoned property investor, we would love to help you formulate an investment strategy or do a review of your existing portfolio, and help you take your property investment to the next level. Please click here to organise a time for a chat. Or call us on 1300 20 30 30.
When you attend our offices you will receive a free copy of my latest 2 x DVD program Building Wealth through Property Investment in the new Economy valued at $49.
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Of course I’ll keep you up to date with how to take advantage of the changes happening in our property markets in future updates, but as so much is happening in property nowadays I’ll keep you updated almost every day with a short post in my blog –just click here and subscribe to it – that’s a different subscription to my regular newsletter – it gives you my short daily updates.