using a buyers agent to create equity on your next deal

Using a buyers agent to create equity in your next deal

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• Portfolio Manager with over 500 clients

• Degree in Real Estate & Property Development

• Member of the Urban Development Institute of Australia

• Almost a qualified real estate agent

Tehana Payne

We help investors build and manage

their property portfolios

• 3,000 current subscribers

• Mix of personal users, brokers, buyers agents and accountants

• 200,000+ members use us for market information, calculators, investment news and updates

Real Estate Investar

ASX:REV

• Heavy investment in product

• Public company governance

• Strong and focused board;• Simon Baker – Former CEO of REA• Anthony Catalano – CEO of Domain

In partnership with…

USING A BUYERS AGENT TO CREATE EQUITY ON

YOUR NEXT DEAL

With Ben Everingham from Pumped On Property

What will we cover tonight?

• What is a buyers agent• How to research like a professional property investor• How to scour thousands of property listings each week and

narrow the results down to a handful of opportunities• How to find heavily discounted property and buy below

market value• How to create short term equity in less than 15 minutes a

week• Lessons I’ve learnt from buying over $60,000,000 worth of

property in the last 12 months

We Love Questions!

What Is A Buyers Agent?

Researching like a professional property investor

Utilising REI’s online tools

Poll: Do you currently subscribe to the REI tools?

Stage of the global property cycle - Phil Anderson’s – 18 Year Property Clock

Researching like a professional property investor

Identify a market• HTW – Month In Review Report

Researching like a professional property investor

Identify a suburb• Residex – Predictions Report

Researching like a professional property investor

Understand the fundamentals• KPI’s

Researching like a professional property investor

Understand the fundamentals• DSR Score

Researching like a professional property investor

Using My ResearchUnderstand the fundamentals• Sales history

Using My Research – mapping search

Understand the fundamentals• Public housing, owner occupiers vs renters, flood, bush fire, etc

Researching like a professional property investor

I do all of this before I take a look at any property online!

How I look through thousands of listings each week to pick out the opportunities?

How I look through thousands of listings each week to pick out the opportunities?

Using Investar Search

• Assess your finances

• Understand your next steps

• Create a set of rules for your next investment property you buy

Three things to do

Poll: Would you like a free financial health check?

Create a set of rules for each investment property you buy

• Buy a house for under $500,000• Buy 5% below market value• Buy in a rising market • Buy in a market with an average historical growth rate of 5%+ and a

rental vacancy rate below 2%• Buy an un-renovated house on 500M+ flat piece of land• Buy in a suburb where you can add a granny flat in the future• Buy a house with a 5%+ rental yield now and a 6.5%+ rental yield

after you add a granny flat• Buy within 1km of a school, 2km of a train station and 12km of a CDB

How I can help you obtain your next investment property

Need a hand developing an acquisition plan or understanding your next steps?

Ill explain how you can book a one on one complimentary 60 minute Strategy Session with me later in this webinar.

Finding heavily discounted properties and buying below market value

Manufactured growth

• Cosmetic renovations• Structural renovations• Building• Sub-division

Finding and performing manufactured growth deals

Targeting motivated vendors and distressed sales

• Motivated sellers• Owners selling their own property• Under performing agents – 90% of real estate agents earn less than

$50,000 per annum• Top performing agents• Agents selling property in an area that is not their primary focus• Properties that are listed too high• The State Government• The Public Trustee• Distressed land developers

How create short term equity in less than 15 minutes a week

Manufactured growth

• Cosmetic renovations• Structural renovations• Building• Sub-division

Cosmetic renovation

How create short term equity in less than 15 minutes a week

Structural renovations

How create short term equity in less than 15 minutes a week

Building

How create short term equity in less than 15 minutes a week

Sub-division

How create short term equity in less than 15 minutes a week

Lessons I’ve learnt from buying over $60,000,000 worth of property in the last 12 months

Poll: When are you planning on purchasing next?

Example - Capital GrowthMichele

• Sydney - NSW.• 3 bedrooms.• Unit.

• Purchase price 2013 - $640,000.• $120,000 renovation.• Comparable sales 2016 -

$1,100,000.

• Equity in 3 years - $340,000.

Example - Above average rental returnsJason

• Sunshine Coast - QLD.• 4 bed, 2 bath + 1 bed, 1 bath.• Dual income. • 859m2 land.

• Total cost (land + build) - $445,000.• Comparable sales - $510,000.• Equity on purchase - $65,000.

• Rent - $680.• Rental yield - 7.95%.• + Depreciation.

Example - Manufactured Growth

Ben

• Sunshine Coast - QLD.• 4 bedrooms.• House. • 359m2 land.

• Total cost (land + build) - $459,000.• Comparable sales - $540,000.

• Equity in 12 months - $81,000.

Example - Buying in a rising market

Luke

• <9km from Brisbane - QLD.• 3 bedrooms. • House. • 575m2 land.

• Purchase price - $405,000.• Comparable sales - $475,000.• Equity in 12 months - $70,000.

Why do we exist?

Who do we help?

We help two very specific types of investors over come their challenges…

Busy Ben

1 – 10+ properties

• Limited time.• Limited market knowledge.• Advisors.

Just getting started Ben

0 – 1 properties

• Lack of confidence.• Fear of failure.• Limited market knowledge.• Limited skills.• Overloaded on information.• Feeling of overwhelm.• Limited social support.• Average advisors.• No mentor or coach.

How do we help our clients?

We help well educated investors buy property…

In rising markets.

At great prices.

With the potential to achieve long term capital growth.

With the potential to improve the rental return.

With the potential to make short term equity gains through manufactured growth strategies.

What do we actually do?

Existing houses

Brand new dual income property

Sub-division sites

Our process1. Strategy - Session 1.

2. Strategy - Session 2.

3. Finance.

4. Find Property.

5. Negotiate.

6. Due Diligence.

7. Conveyancing.

8. Property Management.

9. Manufactured Growth*.

Example – Capital Growth, cash flow, manufactured growth & a rising market

Adam & Ang

• North Brisbane - QLD.• 3 bed, 1 bath + 1 bed, 1 bath.• Dual income. • 400m2 land.

• Total cost (land + build) - $465,000.• Comparable sales - $515,000+.• Equity on purchase - $50,000+.

• Rent - $570.• Rental yield – 6.37%.• + Depreciation.

Example – Capital growth & a rising market

Chris & Nikole

• <11km from Brisbane - QLD.• 3 bedrooms, 2 bathrooms. • House. • 627m2+ land.

• Purchase price - $475,000.• Comparable sales - $500,000.• Equity on purchase - $25,000.

• Projected capital growth – according to Residex - 6% p.a. for the next 8 years.

Example – Capital growth, cash flow, manufactured growth & rising marketBarry & Sirima

• North Brisbane - QLD.• 4 bedrooms.• Dual income. • 350m2 land.

• Total cost (land + build) - $399,500.• Comparable sales - $440,000+.• Equity on purchase - $40,000+.

• Rent - $600.• Rental yield – 7.78%.• + Depreciation.

Example - Buying in a rising market

Sally & Rowan

• <10km from Brisbane - QLD.• 3 bedrooms, 2 bathrooms. • House. • 650m2+ land.

• Purchase price - $500,500.• Comparable sales - $530,000+.• Equity on purchase - $29,500.

• Projected capital growth – according to Residex - 6% p.a. for the next 8 years.

Complimentary Strategy Session.Book a complimentary 60 minute Strategy Session with me here:

http://info.realestateinvestar.com.au/pop

I would love the opportunity to help you develop a clear investment strategy.

By the end of your Strategy Session you’ll have identified:

• Where you are and where you want to be in 1, 3 or 5 years from now.

• The road blocks currently holding you back.• A clear property investment strategy.• Your next action step.

Poll: Would like to take a free 21-day trial of the REI tools?

Question Time.

Book your complimentary 60 minute Strategy Session with me here:

http://info.realestateinvestar.com.au/pop