Our ninth property wasn’t our smartest financial decision. At least not on paper.
But I’d buy it again without hesitation.
Like most holiday homes, it’s not a cash flow king. The holding costs add up. OK, the capital growth has been excellent, but if you were looking purely at the numbers, you could make a strong argument that the money could have been deployed more efficiently elsewhere.
But not every important decision in life should be judged using spreadsheet analysis. In hindsight, this has been one of the most valuable investments we’ve made.
By this stage of our investment journey, prior to purchase number nine we were in a strong financial position. We had built a substantial property portfolio, our home life was stable, and we weren’t looking to upgrade our family home. In many ways, we’d achieved the goals we’d spent years working toward, I guess that was the problem.
Without realising it, I had drifted into what I call the Blue Zone. Most people are familiar with the Red Zone, which is where stress, pressure and overwhelm dominate daily life. The Blue Zone sits at the other end of the spectrum; you’re comfortable, things are going well and there are no major problems to solve. But there are no challenges pushing you forward either.
Then there’s the Green Zone, where you’re stretched just enough to stay focused, motivated and growing.
Most people spend their lives trying to escape the Red Zone, and understandably so. But over the long term, I think getting stuck in the Blue Zone can be just as dangerous.
Comfort has a way of disguising itself as success. Nothing is wrong, but nothing is really pushing you toward your fully realised potential either.
A mentor called it out one day with a simple observation: “You’ve stopped learning.”
He was right. I hadn’t picked up a non-fiction book in over a year. I wasn’t setting bigger goals. I wasn’t actively challenging myself. I was comfortable, and comfort was slowly dulling my edge.
It was about that time, that my wife and I started discussing the idea of buying a holiday home. Not because it was the perfect investment or even that we needed one, but because it was a challenge and opportunity.
The idea of escaping the city on weekends, spending more quality time together as a family and creating memories with our young children felt far more appealing than upgrading our primary residence. It represented a lifestyle we wanted to build for ourselves.
The challenge, of course, was that it came with a significant financial commitment. Many financially savvy people will tell you to avoid taking on large lifestyle debt because they say it reduces flexibility, consumes after-tax income and can make you feel tied down. Those arguments are valid.
But what often gets overlooked is that the right kind of pressure can be incredibly productive.
Buying the holiday home changed more than our asset column. It changed our behaviour.
We became more intentional with our time. More focused on our goals. More motivated in our careers. We started thinking bigger again. The commitment forced us to re-engage with growth, and before long we found ourselves back in the Green Zone.
Of course, there is a fine line between the Green Zone and the Red Zone. One is driven by purpose. The other is driven by fear.
The difference is that we never felt trapped. If circumstances changed, we could always sell the holiday home. Just as many families could downsize their home if they genuinely needed to. The pressure was enough to inspire us, not overwhelm us.
For many couples balancing careers, mortgages and young families, it’s easy to believe every decision should be perfectly optimised for financial success – minimise risk, maximise returns. Never overextend.
But sometimes the biggest risk is becoming too comfortable…
Playing it safe has a cost as well. It can lead to slower growth, reduced motivation and a future that looks remarkably similar to your present. The reality is that big commitments don’t just create financial pressure. They create personal growth. They force you to become the person capable of carrying them.
It’s worth noting that not every decision needs to be the most financially efficient. Some decisions are about unlocking the next version of yourself as an individual, as a couple and as a family, because over time the best investments aren’t always the ones that generate the highest return.
Sometimes they’re the ones that help you build a life that excites you, challenges you and pushes you closer to your full potential.
And that’s a return no spreadsheet will ever fully capture or offer you.
Stepping outside the blue zone for you might not be buying a holiday home, it might be buying that first or even your next investment property. If you want to explore what the numbers look like for your next step, you’re welcome to book into a free 15-minute strategy session with my team.
