SLIDE 1
Buyers Advocates and Qualified Property Investment Advisor (PIPA)
SLIDE 2 Legal Disclaimer
- Information provided in this presentation is general in nature and does not constitute financial
advice.
- Every effort has been made to ensure that the information provided is accurate.
- Individuals must not rely on this information to make a financial or investment decision.
- Before making any decisions, we recommend you consult a financial planner or take into
account your particular investment objectives, financials situation and individual needs.
SLIDE 3 Cate’s Story
- Ex Industrial Chemist
- Experienced Investor
- Worked as a Mortgage Broker
- Licensed Real Estate Agent
- Buyers Advocate and QPIA (PIPA)
- Independent
- Boutique Victorian business
- Vice-President of REBAA
SLIDE 4 What we do
We look for properties that:
- Offer out-performance capital growth
- Meet the rental yield (cashflow) needs
- Deliver tight vacancy rates
We always consider tenant demographic and client’s risk-profile
rent Outgoings:
- mortgage
- rates
- insurances
- maintenance
- property manager
- $X per
month?
SLIDE 5 Where we cover
Specialise in:
North and West
SLIDE 6 Where are we at right now?
Source (in order of appearance) CoreLogic Business Insider Macrobusiness CommSec Property Update Daniel Bowen
SLIDE 7
- Buyers adversely affected by APRA changes & First Home Buyer Incentives
- Impact on Units
- Impact on Houses
- Impact on the Regions
- Concerns for investors to be mindful of:
- Off the Plan purchases
- Tough valuations
- Interest-only periods resetting to P&I (cashflow)
Challenges we face
SLIDE 8 Hard to finance for mainstream buyer Main roads High
Off the plan < 50sqm Non-
residentially
zoned High density
Quirky “weird”
What we don’t select
SLIDE 9
Case Studies
Capital growth strategy
$1,120,000 in Seddon @ $550pw
SLIDE 10
Case Studies
Capital growth strategy – lower price point
$540,000 in Newport @ $380pw
SLIDE 11
Case Studies
Tree-change strategy
$775,000 in Geelong’s Rippleside for a family
SLIDE 12
Case Studies
Capital growth and value-add strategy
$541,100 in Herne Hill @ $380pw
SLIDE 13
Case Studies
Balanced Cashflow strategy
$315,000 in Ballarat East @ $330pw
SLIDE 14 Property within SMSF
- Essential to get advice
- Understand the rules
- Cost of fund set up
- Target the right rental yield
- Have full visibility on outgoings
- Don’t assume everyone should do it
SLIDE 15
- 1. Genuine growth drivers
- 2. Yield must meet the client’s cash flow needs
- 3. Vacancy rates must be attractive for the investor
- 4. Quality target tenant (*or at least KNOW the area’s
challenges and have a great PM!) If you are trying to build a portfolio and wish to continue borrowing, cash flow should be top of mind
Conclusion
