Hi All (and especially Steve and Dave)
Appplying what we learned yesterday and Saturday in Sydney, today we bought a little “Buy and Hold” for 50k.
Using Stuart’s Guerilla marketing we discovered it was a don’t wanter, and why. So we negotiated the price down to 50k and enough time to settle (and access beforehand) that we can have it fixed up by settlement, and with a tenant standing at the gate with their bags.
Using Geoff and Paul’s Quick quick Reno techniques we “found another bedroom” and we are confident we can get it valued at 65k by spending <2k on it. It will then rent for 120/week (20/week more than now, thanks to Steve and Dave’s rent techniques). Our first B&H. All purchase and reno costs will be recovered in an 80% lend, and we are only out the closing and loan costs… under 4k.
Thanks to the Property Investing Masters gang for opening our eyes to alternate possibilities. Previously we would have wrapped it like the others.
Tomorrow we look at another one we think we can get for 38k – probably a B&H, and another wrap possibility at 80k that would be sellable on a wrap at 95 or so.
To those at the PI Masters seminar: Don’t let your momentum die! We’ve been able to recover the cost of the seminar back already in just one day!
GO!
Cheers
Lance
.
Fair Go Homes
http://fairgohomes.com.auRapt with Wrapping!
(07) 5465 4999
[email protected]Well done Lance. Great to see people applying what they learn. You beat me back to the market by a day. I’m off hunting tomorrow and wednesday. Love to chat sometime.
Enjoy
AD [:0)]A great deal of talent is lost to the world for want of a little courage. Every day sends to their graves obscure men whose timidity prevented them from making a first effort.
-Sydney SmithLance.
Can I just say you are truely a go-getter. Be very proud of your efforts. I can not wait until next year so that we can all listen to you and your partner’s rise in passive income over the last 12 months since you attended the PI seminar. If we look at your returns on your little B/H, your cash on cash is in excess of 100%. Is it any wonder we don’t put our money in the bank???
All the best,
MattLance,
I was in the hotel room after the seminar reading the feedback forms and read with interest that one of the insights you wrote was that you wanted to broaden your strategy from just wraps and also purchase some buy and hold.
Well, no one can call you a tyre kicker! And I’d have to say that your place in “one of the fifteen” has been cemented by your action.
It’s most rewarding to see participants take the information offered at the seminar and then use it to make money.
You’re right… action is the key. And this is just the start!
Congrats and thank-you for your feedback.
Bye
Steve McKnight
**********
Remember that success comes from doing things differently.AND
If it’s meant to be, then it’s up to me!
**********Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.comSuccess comes from doing things differently
Thanks to those who replied with encouragement. [
]Maybe we are a little misrepresented though – we learned about wraps last November at a John Burley seminar, bought the Wrap Library from Steve and Dave, set our team in place after much careful research, and did our first two wraps mid year. One was wildly successful financially (65% C-on-C return), the other moderately (20%). We found it easy to do by simply following the Wrap Library steps.
We then realised we needed to sort out some other businesses we had so as to free up time to wrap. That took some months.
So when we went to the seminar we already had our eye on a few suitable houses. However we held off making any deals until after the seminar because we were sure we would learn some money-saving techniques on the weekend. And that we did!
I just wanted to explain this so no-one assumes we jumped in blindly after a two-day seminar – however good it was – and that it’s safe for them to do the same. But if you’ve been researching wraps for a while, you already know MORE than most investors, most Real Estate agents, and almost all vendors. That last thought struck me while listening to Stuart on the weekend. The vendors have sold property maybe a couple of times. We however have made offers and/or bought property dozens, perhaps hundreds of times. Who is the experienced one who is likely to get the best win in a win-win deal?
So do your research, learn, but there comes a moment when it’s time to move. And that time comes BEFORE you know everything, because you will never know everything.
Cheers as always!
Lance
.
Fair Go Homes
http://fairgohomes.com.auRapt with Wrapping!
(07) 5465 4999
[email protected]You go Lance!
It’s terrific to see people like yourself fired up with enthusiasm and drive. We may all possess the knowledge, but it’s taking action that separates the truly successful. I wish you every good fortune (though I don’t think you will need it by the sounds of it ) and have a terrific journey along the way. Go Personal Power!!By the way, just as an aside, why did you decide not to wrap this latest purchase? I am assuming you’ve bought in an area that you’re confident will have good future capital growth?
Jacqueline
JP asked: “why did you decide not to wrap this latest purchase? I am assuming you’ve bought in an area that you’re confident will have good future capital growth?”
Short answer: Not just that, but yes.
Long answer: Well, in our area capital growth has been negligible in recent years, but it is just starting up again. This particular house is a very cute old Queenslander cottage – an original building in the town – which was originally built as a worker’s cottage for a butter factory. It’s got the verandah at the front, the lattice and the scrollwork, is already painted in heritage colours, but is very tiny. Indeed, there are just four rooms (bed1, bed2, kitchen, lounge) and at the back there is an “outbuilding” with the bathroom, and another room that was a laundry, but which we will make into bed3.
In other words, it’s a house that is not particularly practical for families, but it has great emotional appeal for someone that wants to live in a restored Queenslander. It’s less than 2 blocks from the centre of town, so it’s good for a couple or single person who wants to walk to work. The market for such a house on a wrap is pretty limited, as it’s impractical for a family, and those that would want to live in it would probably have the ability to get their own finance.
However, at the moment, there are other similar houses in the street that have been done up (indeed a slightly bigger one across the road just sold for 85k) and so we feel this one is a better-than-average buy for capital growth (for our area, anyway). We don’t want to sell it, but we will refinance it to take our profit as the market rises and the rent increases.
e.g. If the tenant has a car, and pays on time for a year, we will put up a carport for them (cost 1200, valuation increase 6000). If they don’t have a car we will maybe offer them a ceiling fan in the bedroom etc. This keeps the rent high, and the tenants high quality and happy. And of course, we are creating our own capital growth. This trick we learned from Dolf de Roos.
Hope this helps
Lance
.
Fair Go Homes
http://fairgohomes.com.auRapt with Wrapping!
(07) 5465 4999
[email protected]
]
) and have a terrific journey along the way. Go Personal Power!!The topic ‘Is this quick enough Steve & Dave?’ is closed to new replies.
