The main problem with crowdfunding is that in many cases there is little security attached to the loans. If you are thinking of entering into such an agreement I suggest you seek legal advice to make sure your interests are protected.

One way to do this is yes put a group together to purchase but make sure that you are part of the ownership group. In other words if a company or a trust owns the asset make sure that you have a percentage ownership so that you have direct ownership in the asset.

Since there is no election due for two years how do you think these policies can come into effect by the 17 July 2017.

HI Steven

The banks in Australia are being difficult and in my view short sited. What I suggest is talk to an investment mortgage broker who can assist you. I know a couple of very good brokers who specialise in high level finance. message me and happy to pass on the details.

Elena

Not sure what they do now however Metropole has a property management division and when they buy they insist that they manage the property. Now on the surface that sounds good however if the property is off an agents rent role then the agent would prefer to sell the property to someone who will leave the property on their rent roll. Perhaps this sounds like a small thing however it may well make a big difference on what type of deal you end up with. I am not saying don’t use Metropole but if you speak to them you should ask that question.

I am doing a similar thing but in the United States rather than in Australia. We are looking to buy apartment complexes in the Miami and Palm beach areas in Florida. However our aim will be to hold them for 5 years.

In Australia our aim will be to develop townhouses giving investors the opportunity of investing in Wholesale Property

I think as long as you do your due diligence and are looking to keep the property for around 10 years plus you will not go wrong. Personally you do not need a 40 square house. Something from 22 to 25 squares ideally 4 bedrooms 2 bath double garage. You will not go wrong. If you are buying to hold for 2 or 3 years you are a speculator not an investor. However these are are good 10 years from now people will be looking a look further out than Point Cook.

Couple of interesting facts, 75,000 people a year moving to Melbourne than 1,500 a week. Most are families and they are not building enough houses to keep up with demand.

I have been involved in the American markets for a number of years. I am establishing a new straight forward model of buying large apartment complexes in the 2 to 6 million mark depending on the number of investors we can put together. The benefits are that we can get non recourse finance at around 70%. We have just refinanced a 26 unit complex at 5.3% for 15 years. If you have a few vacancies it does not overly effect your investment.

I am working with a finance specialist who has experience dealing with funding of up to 100 million. I have learnt that to be successful in the states you have to deal with very highly accomplished professionals. I am also working with financial planners in Australia who are experts in dealing with self managed superfunds and making sure that they are compliant with Australian law.

So the concept is simple buy b and a class assets make sure that they cash flow well and hope them for at least 5 years. We are mainly looking at Miami and other parts of Florida I am personally also interested in Texas.

I am working on a new model of buying from smaller to larger apartment complexes ranging on a value of between 2 and 10 million. I am working with a high level tax Accountant in Australia and a few in the United States including a finance expert who has experience at leading at anything up to 100 million. Now I realize that we are all used to Americans making big promises and not delivering. However a client of mine brought a 26 unit apartment complex for around 1.3 million. Despite promises of finance the best we could do was get emergency funding at around 11%. I have two brokers working on the deal neither could put anything together. Now the guy I am working with went to work and got the deal refinanced for 15 yeas at around 5.3%. He is currently refinancing an office building. We are also looking at another deal up around the 2 million mark.

So what is the secret. Deal with smart people who know what they are doing. Going with someone who appears cheap will cost you a lot. Remember you get what you pay for.

I cringe when I hear the term student accommodation. Then I hear Noble Park a double cringe. However Student Accommodation in my opinion is bad investment. As Richard has said you will only get a 60% loan that’s if you are lucky and you will then have an investment that will be lucky not to go backwards.

So an ideal investment is one that will have the widest appeal to resell. So a standard apartment could also sell to an owner occupier.However a student apartment will only sell to another investors hence it has limited growth potential.

The best student accommodation are houses where they rent out the bedrooms. You get a great return however if the student market dropped you could always let it to a family or resell it.