Isn’t that a duck??? Quack!

Steve McKnight

**********
Remember that success comes from doing things differently.
**********

On the other side though, what does it mean for already established blocks?

Surely supply v. demand must force those prices higher!

Interesting… great post aussierogue!

Steve McKnight

**********
Remember that success comes from doing things differently.
**********

Hi,

Sorry, I’ve been very busy writing book #2, which includes a detailed look into the MAP process… much, much more than I could write here.

Yes, it seems that those outside of the program may have been unsure about the goal – but it always was to control $1m worth of r/e in 12 months. The idea was not so much to gain equity, but rather a source of income from the property.

A quick snap shot though – 21 people started. 8 have left for a mixture of personal and other reasons (such as personality conflicts, thinking the program was something else than it really was, etc.)

Of those remaining I expect that 11 of the 13 will surpass the goal – currently 9 of the 13 have.

A quick financial snapshot of the result (from memory)…

$11m of property acquired.
$3m of equity / profit made
$770k of gross income

Comparing the income figure to property acquired is a little misleading as some participants wanted equity above cashflow which thrown the numbers out.

I’ll provide more info once the program ends.

And no… I don’t plan to run it again at this stage.

Bye,

Steve McKnight

**********
Remember that success comes from doing things differently.
**********

Hi Shaun,

I’ll see you there!

STATUS UPDATE: (12:30PM 29/6/04) As I type about 30% of the tickets have gone.

Cheers,

Steve McKnight

**********
Remember that success comes from doing things differently.
**********

Hi,

In a nutshell, wraps are a form of private finance, which, by itself is neither ethical nor unethical.

It’s the person applying the technique that puts that flavour on the deal.

Are most investors who use the technique unethical? That sounds like a big call to make.

What I’d say is that most of the stories in the press seem to relate to investors who unethically applied the wrap strategy.

Cheers,

Steve McKnight

**********
Remember that success comes from doing things differently.
**********

lol

No t-shirt. The New Zealand CD product will be ready early next week. Stay tuned for more info.

Cheers,

Steve McKnight

**********
Remember that success comes from doing things differently.
**********

We have [biggrin]

More like 50 or so… but we have also traded out of some of our other deals under the ‘multiplication by division’ strategy.

Cheers,

Steve McKnight

**********
Remember that success comes from doing things differently.
**********

Hi,

A few comments.

First, this is a very interesting article, however it remains one man’s opinion. I’m sure the RBA would have a different view on some of the topics raised.

Second, if you have a long-term settlement then it would be wise to compare that with your position of the market going forward. For example, if you thought prices would drop, why would you hold the investment?

Finally, if you could settle early top secure finance you’d have to weigh up the cost:benefit of this and whether you have the available funds to settle now.

Cheers,

Steve McKnight

**********
Remember that success comes from doing things differently.
**********

Hi,

I’m inclined to agree with Rob. I can certainly remember the dark days of loan-calls from the early 1990’s.

However, recently looking through some of my loan agreements on investment property (for the book) I can’t see any clause that allows the bank to recall a loan that is not in default.

Having said that, the LA does give the lender the pwer to look through the property and has to approve tenants etc. Practically this never happens, but I guees it could be a clause relied upon to suggest a default situation.

Still, Bill’s warning (although a little like Chicken Little) does hold merit. I too am worried that investors are rushing to NZ like the gold prospectors of yesteryear.

Rob’s comments about due diligence are very well made. I add that offshore investing is always more risky as control is more remote. There are plenty of opportunities, but never allow greed to override commonsense.

Nice to hear from you again Bill.

Regards,

Steve McKnight

**********
Remember that success comes from doing things differently.
**********