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Could this signal potential bargins in the British real estate market with added currency play?
Hi Blackhotel, What was your friends cash on cash return over the years ?
Jeta may i ask where did you buy and why did you pick that surburb in Tasmania. What is the Cap rate, cash flow, and future growth prospect (total return)?
Those are the web sites i use. You can also get paid web site such as rp data, ripehouse, and others
You might just have to be patient
When the market is expensive (depending on how you measure it) an investor must be patient. Warren Buffett stay out of the stock market for 3 years during the tech boom in the late 1990s. Do you have the temperment to sit on your hands? As Charlie Munger says he get pay by being patient and something in the line that inpatient what get most investor in trouble. In regards to mentioning housing are over price it really depends on how you are comparing it to (eg income to house price, debt to GDP, increase debt, ect) if you compare the returns base on interest rate they may be consider cheap. Potentially cheaper if interest rate continue to fall. As George Soros mentioned 7 years ago we are in an age of currency wars it is hard for Aus to remain competitive (particularly in our export driven market) when our interest rate is high (relative to other nations). I am now just ranting. Sorry
I flew in from Townsville to attend the conference with minimal expectation. However, my assumption was wrong. The speakers were really good. The young Australian of the year was motivational and inspiring (especially the part where he work for 4-5 years with minimal pay and now his runs a non for profit company with revenues in the millions), Peter from RP data was also very good and had some data backing up his speech (auction clearance rate, investor + owner occupied ratio, ect); Steve talk about commercial property (how to value and the cash flow) that was outside my circle of competency. All the speakers had credentials and that is what I like about it.
Thankyou Steve for putting this event together.
I believe that those web site is a great way to start. However, having read Howard Marks the most important thing, you must asked yourself if other investors also have access to those web site what will give you your competitive edge (second order thinking)? To make money in the market you must be a contrarian, be right, and the convection to act.
Simple answer is to just buy into Steve new brisbane commerical property fund
That is an accountant question
Do we know which day the gala dinner will be on?
I think a simply way to look at it is to compare increase in rent divided by cost of renovation (they tend to cost more than first plan) vs your 10k return in a term deposit or ect.
Simple and straightforward.
Oh yes please make sure the tenant intend to stay with the increase in rent.
You should try microburbs and Sqm.com
Funny, I was just doing some research and i also found some seniors over 50’s accomodation. The ownder is trying to sell with a cap rate of 10% (fund from operation / total cost of purchasing the property). However, I did some research and found that the owner is taking a 40% loss on his initial purchase price.
I have examine past sale history in the lot and found that some took 1 year to off load the investment, the current owner have been selling for a year.
Right now I am also thinking if if the cash flow is worth the risk.
The question is not about likelihood or timing but instead preparation
A better questions is if there is a sudden decline in property prices in 12 months in Melbourne and Sydney. Which suburb will you buy?
How do you post a topic on the forum?
