What are some of the "exaggerated stories" you've heard from investors/magazines??

[beachy]

I love how spruikers, magazines or some investors love to EXAGGERATE the truth in order to big note themselves. I know magazines are there to embellish the truth with sensationalist headlines so that people pick them up and buy them, but so many times it's so untrue after you read the articles.

"Like 22 year old investor has $2m portfolio" (but you read the nitty gritty details only to find out $1.85 is debt!!)

Or the investor who says "I'm installing a kitchen for a house when the kitchen is the size of one for a studio unit!!"

Or the couple who bought a "House for $60,000" when it was actually 2 studio units side by side

What are some of the exaggerations you've heard regarding property?

 

[pinkboy]

Reno Funders!



pinkboy

 

[DaveM]

Those "From $0 to $10 million in property with no money outlaid in 12 weeks" books

 

[Singo]

The portfolio sizes they mention are always like that. 90% loans and the rest may be all savings and not much made from investing at all. (But if those investors hold onto their portfolio, they will make money anyway. A portfolio worth 2M now could double a couple of times within 25 years. That could be equivalent to 1.6M in today's dollar value.)

They do carry advertising claiming "1M in 3 months" and so on.

What amuses in these magazines is they always predict a big next boom. According to them there is always a boom around the corner.

 

[D.T.]

They do carry advertising claiming "1M in 3 months" and so on.

.

This part annoys me. Buying X worth of property in Y time isn't a feat, you could do that in one transaction.

 

[strongy1986]

Don't read them any more

Sick of reading about young couples who work in the mines who have bought 4 or 5 house and land packages and know nothing about investing

 

[beachgurl]

3mil property ownership with current debt of 1mil. Includes a proposed development site with projected equity gain and no mention of development/construction costs.

 

[TMNT]

young joe blogs "a buzzing developer" has done his first 4 unit site in XXXX"

and will get an equity gain/increase of $200k!!!!!!!!!!

but they left out the fact that thats on the assumption he keeps them all, and if he sells his profit drops down to $40k due to gST, while his returns at $200k profit are sub 10%!!

 

[Spades]

hari yellina

Cheers Spades.

 

[Truly Exotic]

this issue we introduce a self professed property mogul by the name of "Got Nofknidea" who has bought a massive 1.6million dollar property portfolio in 2013

IP 1: OTP $400k, due for completion in 2341
IP 2: OTP $400k, due for completion in 2341
IP 3: OTP $400k, due for completion in 2341
IP 4: OTP $400k, due for completion in 2341

 

[jelsa2]

Newspaper article in Perth paper (think it was realestate guide) asking young people what has been their best advice they've received in relation to property ... When you read further into article, 2 of the 5 hadn't even bought a house!

 

[D.T.]

Newspaper article in Perth paper (think it was realestate guide) asking young people what has been their best advice they've received in relation to property ... When you read further into article, 2 of the 5 hadn't even bought a house!

That doesnt exclude them from receiving advice

 

[westminster]

I got approached by a mag to do an interview and I was hesitant because
a. I didn't want to seem like Mrs Wankminster
b. until I complete more it's all pie in the sky figures
c. I like some privacy

I could imagine the sensationalistic headline though
"Supermum builds multi million dollar portfolio by giving up sleep"

I'm not giving journos a bad rap - they need to make stuff sell, but I note some rather un remarkable stories which I wouldn't be that proud of.

 

[jim1964]

I didn't want to seem like Mrs Wankminster

I nearly chocked on my nutella sanga laughing at this.I was keeping my 1000 post for tomorrow,but this was a worthy post to comment on.

 

[beachy]

this issue we introduce a self professed property mogul by the name of "Got Nofknidea" who has bought a massive 1.6million dollar property portfolio in 2013

IP 1: OTP $400k, due for completion in 2341
IP 2: OTP $400k, due for completion in 2341
IP 3: OTP $400k, due for completion in 2341
IP 4: OTP $400k, due for completion in 2341

Yeah, I love those as well...

 

[westminster]

I nearly chocked on my nutella sanga laughing at this.I was keeping my 1000 post for tomorrow,but this was a worthy post to comment on.

Awwww thanks for giving me the 1000 !!

 

[Blacky]

I was actually in one of those mags earlier this year. But it was all about my failed property development - so it didn't make me sound like an over inflated knob. I never even got a copy of the mag so don't know how it turned out.

It was basically my "Life - it's not all beer and skittles" thread compressed into a mag article.

I don't like how they only ever tell half the story.

 

[D.T.]

The beer half or the skittles half of the story?

 

[see_change]

Not a property related story , but I saw a article about someone who day traded and retired when aged around 40

They didn't happen to mention that he's been the sole Neurosurgeon at a major suburban hospital ( close to where I worked ) for the preceding ten years on a 7 days / week roster etc and would have been earning over 1 mil / year .....

Cliff

 

[oc1]

Not a property related story , but I saw a article about someone who day traded and retired when aged around 40

They didn't happen to mention that he's been the sole Neurosurgeon at a major suburban hospital ( close to where I worked ) for the preceding ten years on a 7 days / week roster etc and would have been earning over 1 mil / year .....

Cliff

Next year i'll be retiring comfortably from spending two hours a week for the last 2 years as a forum contributor. Developing property had nothing to do with it....i swear.