Hello to all,I’m very new to the idea of investing in property,The Investors Club here in Perth seem to offer a lot to the beginner with help in choosing property,advice,support and ongoing learning.The Club originates out of QLD and is run by a man named Young.I would appreciate any info from readers who have had positive or negative experiences with this organisation.Thanks and happy days.
Godfrey O’Connell .Perth.Hey Godfrey,
I would do a little checking around ASIC and such as I read something in the paper not long ago that mentioned their practices being investigated.I have friends who bought a property through them and while not unhappy they sold the property on as they realised they could source better properties (price and position) for themselves with a little hard work.
I am a big proponent of DIY as you learn heaps and also feel a sense of accomplishment when it comes together. Also if you learn the tricks then you can keep on reproducing the results to suit yourself.
Hope this helps.
Enjoy
AD [:0)]
(Andrew)“”Imagination is more important than knowledge. Knowledge is limited. Imagination encircles the world.”
Albert EinsteinI’ve been along to their meetings and still seem to get their newletters.
The one question that I asked that they seemed to dance around and be particularly evasive in answering was “How can I be sure of the independance of the properties that you reccomend I buy?” as well as (on a similar line) “Are you prepared to guarantee that Investors club will not accept any outside financial incentives (ie kickbacks) beyond those discussed in our agreement?”
Whilst not a guarantee of something wrong, I am particularly wary of anyone trying to sell me new, off the plan property based on their research and not mine. There’s a lot of money for developers who can guarantee sales, and in my experience this is a hydra that has a history of having many heads so to speak from (well known) unscrupulous seminar promoters pushing students to buy off the plan in suburbs they “just happen” to be developing in – to more direct two tier marketing where developers directly bring in uneducated investors, give them “questionable” inflated prices and hard sell them to buy on the spot.
I don’t know if they are doing anything questionable at all, however it definately felt that they had something they were selling hard, were targeting inexperienced investors and were asking you to buy based almost exclusively on their information….
Oh, and I second what AD said about ASIC and reccomend *always* checking for complaints.
All the best
Quasimodo [^]
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It seems to me that action has a most magic way of answering all the questions our fearful mind tries to throw before us…
__________________________________________________I agree with the advice provided so far on this topic. I too went to a seminar recently in Perth.
I am a bit of a sceptic and suspected DIY with proper research should give a better outcome. Good information though especially for inexperienced investors new to property investing.Buying through the I.C. though makes me sceptical & 1 post referred to it as 2 tier marketing which could be correct – & only get “benefits” of club membership if buy 1 of their properties – typically new property that the club is linked to.
I read the info provided right through and found FAQ.22: Q. “What does the Club get out of this ?
A. Any Club Member gets a reward for helping fellow Members put their wealth creation plan into action. You too can benefit by referring friends, relatives or colleagues to the Club who make a purchase. We only get paid after we’ve negotiated with the vendors so their price to Members gives the market of 0.5% better-than-market rental return.”
Sounds like some tiered caper to me.ASIC query ? I think I read somewhere or they advised at intro seminar that the “No tenant? No Problem!” program was disallowed by ASIC.
I would be interested in hearing from others who have been involved with the I.C. please [?].
Thanks
Hi all,
I heard that the article about ASIC getting onto Investor Club was actually based on false information? Apparently, an apology was printed soon after.
However, I have been advised by some people to exercies caution if dealing with IC and maybe look into them a little before I commit to anything.
I would also be curious to hear any comments from people that have dealt with them.
Cheers,
Vikash
“Success is not to be pursued, it is to be attracted by the person you become”
I agree with what the others have said, and recommend you DIY for the knowledge and experience gained, as well as to save some $$$.
I also receive their newsletter and have been to their seminars which is the usual spiel, i.e. “property is such a great investment, have a look at these statistics and oh, by the way we happen to have some properties for sale that match this criteria.”
Apparently the IC get their properties directly from the developers at a discount price, and then sell them to their members at an inflated price of amounts $20k plus.
They are essentially real estate agents that also guide you through the whole process and also organize finance and property management for you.
Also be aware about the ASIC investigation that others have mentioned.
Howdy folks.
I’m going to take the other side of this discussion. I have no benefit in sticking up for the investors club, but i’ll tell you about my experiences with them.
It’s true they have been to court about the ‘No Tenant, No Problem’ program which is a form of insurance in case your property is vacant. That program is no longer allowed to run although the judge did say there was not one complaint about it while running.
I bought a property through them about a year ago. It was my first property purchase and did not have much idea. I had done some research – at least enough to know I did’nt want to -ve gear. I live in vic and bought in qld, home of two tierd marketing, but also the place they were reporting big growth.
1 year on, the property has increased about 25% and had 2 rental increases. I have no complaints.
They do make money from this, although I beleive they attempt to negotiate a lower price and then commission, rather than inflating the price above it’s value.
I do agree with all other comments that DIY can be a much better way to go, hence the reason I’m here not IC website. But for my first purchase it worked well. Those folks were EXTREMLY helpful and I honestly beleive they are a cause helping themselves while they help many others.
To have your hand held in the begining is a great thing, but once the confidence and knowledge increase, have a go yourself and the profits will to.
Of course it’s just another opinion and something for you to consider, but dont rule them out because of all the dodgy operators out there.
All the best and keep searching,
Phil.
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