Hi emz03,

If you are going to option trading in the property market based in Queensland you’ll need to have a 15% share of equity in the property that you’re looking at trading if you are doing more than six properties a year under the property developers license.

In other words you get 15% discount off the property. However I must highly stressed that you must seek your solicitor first to get legal advice on how to set yourself up and then how to do the option trading strategy.

Fundamentally the concept is not hard … It might just be challenging to implement. As the old saying goes “it was that easy then everybody would do it”

Hope you guys all the best and if you got any questions just private message me or e-mail me directly.

Kind regards,

Jason Moore and Sherry Ortiz

Hello Nathalie,

I am assuming that seminar was an evening one and not a weekend one. Even for an evening seminar that seems extremely low turnout For the Positive Real Estate Group. My experience of we are looking for a mentor is in the next week or so reading Steve McKnights book 0 to 130 properties and 3.5 years just so you can get a grasp on property in general and shortlist the property strategies that are most appealing to you. Once you’ve done that you can then find a mentor who specialises in those particular strategies. When talking to potential mentors treat it like you are giving a job interview and asked them for [1] where they have come from [2] what they currently doing in relation to property investing [3] what they can offer you [4] and what you can offer them.

Hope this helps.

Jason Moore and Sherry Ortiz

Hi Natalie,

Welcome to the forum and great to see you are going to give it a go. My experience share with you a couple of interesting points you might want to consider:

1. Asking for a Mentor… Excellent first step in getting started in property. Just make sure the mentor has the credentials and CURRENT experience and property investing. If you find a great mentor, it’s advisable that you pay well for the information and help that they give you. The best mentors are people who are actually what I term as “Currently Active Doers” … They are the ones that are out there right now doing property transactions that are making them $20,000 – $100,000 at a time. Like all good professionals you need to pay for their time, please keep that in mind. Depending on the type of property strategy that you can choose and whether you want to be a passive or active investor will determine the type, level and duration of mentoring that will be appropriate for you.

2. A Starting Point… A best place to start to get a long-term strategy or prospective we want to go is to read Steve McKnight’s book called “From 0 to 130 Properties in 3.5 Years (Revised Edition)” as it releases down the options of what you can consider in the property game both considering the pros and cons of each body strategy and also giving you the game plan of where you should be heading to in the future and for $32.95 it will be the most cost-effective, educational tool you can have to start with.

3. Be Careful Who You Listen To … As there are a lot of “Just Talkers” who do not mind sharing their opinions/theories and on the other hand there are a number of “Doers” who share their valuable experiences.

4. Information Overload … The way to kill action is to drown in too much information. I come across a lot of people who after two years are still researching the best way to property and they will never get out of cycle of looking for more information to try and find the best way of doing property. As you have requested, if you have a mentor … Then they [1] guide you in selecting a property strategy that suit your lifestyle and time commitments. [2] They will then help you source the type of information that will be most relevant to the property strategy that you prefer, [3] you can then take action and [4] finally if you run the hurdles they will either be the best person to help you resolve the issue or [5] they will know somebody is better qualified to help you out. This approach is the best way of getting started in a cost-effective manner without spending too much money on researching a whole number of strategies or by drowning in too much information that will hinder you from making a decision on which way to go in a timely manner.

5. Action Will Always Beat No Action … Thing is to get started with the right level of knowledge and a sounding board (mentor) to help guide you along the way. You’ll learn so much more as you get out there and do it than reading the theory about how to do it.

6. Risk And Reward … “Like a lot of people, I am very scared of making the wrong decisions.” By having a mentor they should be other guide you from their experience the best way of doing things and also be able to help you overcome the hurdles as you go along. From my experience you need to understand that you always make mistakes and that is how you learn effectively however it is nice to have a mentor there as a sounding board and is a person who can get you out of a sticky situation at one arises.

I hope this helps you out if you have any more questions please feel free to ask us. Check out our Facebook page etc. (website will be coming soon). As we often give helpful hints on deals that were currently doing.

Kind regards,

Jason Moore and Sherry Ortiz

Hi Hirav,

We are currently in the process of getting a website built, therefore the best way of getting information is probably through our Facebook fan page. I did receive your e-mail today and respond to it tomorrow for you.

Kind regards,

Jason Moore and Sherry Ortiz

Hi MJP,

We are located in Brisbane, some of the things you could think about would be the following:

1. If that $400,000 was hard cold cash or superannuation and you were looking at a passive way of investing your money you could look at becoming a private money lender (Private Banker) where you would receive about 12% for the use of your money secured by a first registered mortgage over a property. Check out our website at Boston West just to give you an idea of how it works or Google private money lending on the net and that will give you heaps of information regarding that type of passive lending strategy.

2. If you’re borrowing the money and you’re looking at building a rental portfolio then check out the links below as Great Property Deals is a property wholesaler suppling rental properties to investors below the market prices.

3. A bit more active in property you could consider a joint-venture arrangement in a property transaction. You can check out Paul Dobson on this forum as he provides joint-venture arrangements.

4. Are you working full-time? If you want to become extremely active you could consider becoming a renovator.

My personal opinion, if I had 400,000 hard cold cash I would do option number one. However, I have 12 years’ experience in doing it and I am very comfortable with that strategy.

I hope this helps. If you got questions, just shoot us an e-mail.

Kind regards,

Jason Moore and Sherry Ortiz

Hi Sandtrackers,

Although it seems you are having a two-way conversation with Paul and nobody else is contributing … you are lucky to be talking to the right guy when it comes to vendor financing and wrapping.  We know Paul and he is a buck of knowledge and backed up by experience when it comes to this topic.

Kind regards,

Sherry and Jason

Hi Zac,

Most of the stuff here is from personal experience. We've done over 120 property transactions including such things as installment contracts, rent buys, second mortgages, renovations, wholesaling, flips, delayed settlements, joint ventures, private money lending, and rentals. If I had my time over again, I would first establish WHY I was doing it … Because we had a hard spot pushing through so we strongly advise for you to get to know the reason why you are doing it.  Turning back the clock, also consider a property strategy that is more ALIGNED with your lifestyle.  Case in point, wrapping is like long-term property management business. In very simple terms, at one stage we had 46 properties under management which was a strain.  Second mortgaging and flipping more appeals to me as it is fast, efficient process. When trying to find a property strategy that aligns with your lifestyle, I would suggest reading Steve McKnight's "0 to 130 Properties in 3.5 Years" as it gives you a roadmap and the pros and cons of each strategy.

In relation to the presenter you want to see, do a search on this name and you'll be surprised at the amount of tools, tactics, and strategies he discusses freely online on YouTube and also, I think, on Facebook.

Well, hope these all helps.

Regards,

Sherry and Jason

Hi Kate,

From my own experience, I left my high paying job and jumped into the property game straight away as I had caught the property bug 12 years ago. What I had failed to realise at the time was my borrowing capacity became non-existent and I had to use joint-venture partners to finance the deals which in effect meant that I was halving my profitability and
had a funding source with money that had varying personalities and risk tolerant levels.  If I had my time over again, it would not be the course of action I would have chosen mainly because I had to do twice as much work and had to manage the money people. 

A once wise mentor said to me that he did not use joint-venture partners/money partners because I was giving half of my profitability away which meant taking twice as long to get somewhere. He said initially it would be slow going because I would be doing one or two properties at the time; however, because I would have been getting 100% of the profitability that I can reinvest back into my business then in time the snowball effect will mean faster growth than anybody who's used joint-venture partners to fund their business/investment ventures. I wouldn't have the management headaches.  We do use private money lenders that we do pay a fixed return to; however, they act more like private bank than a joint-venture partner.

If had my time over again, I would have treated my property investing venture in the manner …. Some of my thoughts:

1.      Treat it as a business/hobby until it got to a point where I could leave my full-time job knowing that I had the team in place. A few runs on the board could have been done first so I could start making money straight away to replace my income from a full-time job of day one of stepping out. By doing this you are more focused on building something rather than merely surviving.  Having a job with a regular income is also a great safety net for your family. It can also fund any
contingency plans if need be, you can put food on the table every week and you can enjoy life long way … as based on personal experience. Your family does not suffer as a result of you being a fanatical property renovator.

2.      Accept that your profitability is not high due to the fact that you need to project manage the renovation process out to a third party like a builder. In looking at it you are just replacing the cost of a joint-venture partner with a builder who does project management on your renovation.

3.      You also have to realise that you do have to invest a considerable amount of time outside business work hours in order to source suitable properties, oversee the renovation project in the morning, in the evening, and over the weekend. When I first started, I did the before work, during lunchtime, during the evening after work and on the weekend. You need to make sure that you don't burn yourself out. But you do have the income to have a holiday or a weekend away on a very regular basis to recuperate.

4.      Live on the proviso that you make money when you buy … So we concentrate most of our efforts on buying extremely well as that definitely helps cover the learning experiences along the way. I have normally found in the past 12 years that learning experiences are invaluable that you normally have to pull out the cheque-book to pay for it.

All the best in your future endeavours  and I hope that this sheds some light on the topic for you. If you want to check out some of the renovations that we have done please have a look at http://www.bostonwest.com.au and if you know anything more please shoot us an e-mail.

Kind regards,

Sherry and Jason

Hi Jaidee,

I find it interesting how people are trying to chase the pot of gold at the end of the rainbow (trying to predict the next boom), when opportunities today exists all around them. It is never too late to get yourself a property bargain if you buy well at the start. Over the past 12 years that I have been purchasing property the motto that I live by is that you make your money/equity when you buy and anything else on top of that is icing on the cake.

I've always concentrated on locating motivated sellers (whatever reason) who need to sell today and are prepared to forego potential equity to make it happen.  If you are prepared to put in a bit of time in a number of offers, you will eventually find a property that makes financial sense to you.

If you need some help, shoot us an e-mail.

Hope this helps.

Regards,

Sherry and Jason

Hi Jodee,

Before I pass comment I must disclose that I have very little experience in this type of property transaction.  In my opinion, you are effectively purchasing a house only (depreciates in value and always need maintenance) and in most instances it is the land that you want as that is the piece of the puzzle that increases in value.  I would talk to a solicitor to get the finer points on buying an investment property this way.

Sorry, I can't be of much help.

Kind regards,

Sherry and Jason