Bill Zheng's latest seminar
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I didn't know there was going to be revelations based on intense research into the X factor. If I had known this then I would have been disappointed.
Maybe the term X factor is sexy and sells bums on seats?
I don't want to be labelled as an MY bagger.
So won't go on anymore, but I am so thankful of this forum.
Maybe the term X factor is sexy and sells bums on seats?
I don't want to be labelled as an MY bagger.
So won't go on anymore, but I am so thankful of this forum.
Hi Guys,
Sounds like a great night! I posted elsewhere that I thought the new Michael Yardney "secret" might be about the requirement to add value in the new investing environment and it seems I might be on the mark with that guess. It makes perfect sense to suggest that when the drivers of passive capital growth such as increasing incomes and reducing interest rates evaporate then you need to re-focus on building in equity yourself. I've read Michael's book and agree whole-heartedly with this observation. This is precisely why I have now adopted an active wealth creation strategy with property and don't believe the stellar passive returns of the last decade will be repeated in the coming decade. Margaret Lomas has echoed this sentiment too as I understand it.
I personally have targeted the affluent baby boomer demographic in Mona Vale with the high demand "downsize" property type of units/townhouses for the ageing population. High spec, 3+1 bed / 2.5 bath, pet friendly, central to everything, lifestyle properties. Through development I can build in a 20% gross margin on borrowed money and create significant wealth. By repeating this exercise over the coming decade I can progressively trade up the amount of leverage I employ and the resultant wealth creation, or I can just repeat at the same level with ever reducing risk via reduced leverage.
It seems the location and demographic I have targetted and the approach I have embarked on would get a thumbs up from Bill and probably Michael Y too. Good to know that guys of that calibre see the environment the same way I do. Helps my SANF. Now I just have to wait for interest rates to ease through the next 12 months and for softening commodities and a softening economy to result in softening construction costs then its game on.
Cheers,
Michael (the other one)
Sounds like a great night! I posted elsewhere that I thought the new Michael Yardney "secret" might be about the requirement to add value in the new investing environment and it seems I might be on the mark with that guess. It makes perfect sense to suggest that when the drivers of passive capital growth such as increasing incomes and reducing interest rates evaporate then you need to re-focus on building in equity yourself. I've read Michael's book and agree whole-heartedly with this observation. This is precisely why I have now adopted an active wealth creation strategy with property and don't believe the stellar passive returns of the last decade will be repeated in the coming decade. Margaret Lomas has echoed this sentiment too as I understand it.
I personally have targeted the affluent baby boomer demographic in Mona Vale with the high demand "downsize" property type of units/townhouses for the ageing population. High spec, 3+1 bed / 2.5 bath, pet friendly, central to everything, lifestyle properties. Through development I can build in a 20% gross margin on borrowed money and create significant wealth. By repeating this exercise over the coming decade I can progressively trade up the amount of leverage I employ and the resultant wealth creation, or I can just repeat at the same level with ever reducing risk via reduced leverage.
It seems the location and demographic I have targetted and the approach I have embarked on would get a thumbs up from Bill and probably Michael Y too. Good to know that guys of that calibre see the environment the same way I do. Helps my SANF. Now I just have to wait for interest rates to ease through the next 12 months and for softening commodities and a softening economy to result in softening construction costs then its game on.
Cheers,
Michael (the other one)
Hey Michael (The Other One),
I agree with your observations. It does seem that the commentators are getting on board the pro active property investment band wagon.
I'm right there with them, too.
Like you, I've targeted a particular demographic, buying units in good suburbs within a few km of the CBD. So far, it's working a treat.
I don't have much development potential as such, but lots of potential to add value through reonovation. The potential just sits there waiting for the right time for me to capitalise on it.
Like you, I think my strategy is in alignment with the current thinking of Bill and Michael.
And now you have validated it, too!!
I agree with your observations. It does seem that the commentators are getting on board the pro active property investment band wagon.
I'm right there with them, too.
Like you, I've targeted a particular demographic, buying units in good suburbs within a few km of the CBD. So far, it's working a treat.
I don't have much development potential as such, but lots of potential to add value through reonovation. The potential just sits there waiting for the right time for me to capitalise on it.
Like you, I think my strategy is in alignment with the current thinking of Bill and Michael.
And now you have validated it, too!!
