Anyone used Omega Investments?
- Thread starter POLSATOR
- Start date
POLSATOR,
What do they do mate? Sell of the plan property or something similar to a buyers agent?
What do they do mate? Sell of the plan property or something similar to a buyers agent?
Their whole pitch is based on this assumption (taken from their website) "Across Australia, a once-in-a-life-time phenomena is happening – the commodities boom." They then spruik buying new property in mining towns.
If this doesn't set off alarm bells given the events of the past couple of months I don't know what will.
If this doesn't set off alarm bells given the events of the past couple of months I don't know what will.
They're really looking for the uneducated end of the market if that's their pitch.
I do agree with the fundementals of the urbanisation of China in the future and the demand of Australias commodities, but I am also cautious in the current market.
I have done well with previous investments in mining towns and I am always on the lookout for new opportunites to purchase in property in the so called "infastructure boom towns" as they arise. What I am not sure about is the product Omega offers. From their website:
"Omega Investments offers a joint venture agreement for investors interested in purchasing individual properties in infrastructure towns. The agreement is structured to specifically enable investors to maximise potential capital growth and taxation opportunities, while ensuring interests are aligned between investors and Omega Investments.
The essence of the joint venture agreement is as follows:
Investor pays a $1,000 initial joint venture fee to engage Omega Investments and provides a detailed description of investment criteria (eg, minimium rental yield, old vs new property, preference for long term leases etc)
Omega Investments provides a comprehensive infrastructure town brief, detailing the rationale for investing in the town, overview of the major infrastructure projects planned, key risks, snapshot of the issues raised in the Environmental Impact Statements of the various infrastructure projects (that may cause the project to be rejected), and time line of infrastructure projects
Omega Investments provides a list of recommended properties with strong capital growth and rental yield potential that the investor could buy within that town
Investor pays a further $1,000 joint venture fee upon receiving the infrastructure town brief (at the investor's request, another infrastructure town brief of another town will be provided for a further $500)
Investor negotiates the purchase of the property
Omega Investments will organise building and pest inspections, independent valuation and (if required) financing
At settlement, the Investor pays another $4,000 joint venture fee ($6,000 in total fees paid)
12 months after settlement an independent valuer (chosen by the investor) values the property
Omega Investment will provide a comprehensive 'Revaluation Brief' for the property, detailing the towns growth over the last 12 months, at least 4 comparable properties recently sold (to support a higher valuation) and at least 3 inferior properties (to justify a minimum valuation) recently sold
The investor pays Omega Investments joint venture termination fee of 10% of the increase in the property's value (calculated as new valuation minus purchase price of the property) "
By putting clients into there own pick of towns - they can have an artifical positive impact on house prices in that town (especially if its really small) so that clients already with houses in that town enjoy an increase in the CG being pushed by the services of Omega Investments.
Does that make any sense?
I have done well with previous investments in mining towns and I am always on the lookout for new opportunites to purchase in property in the so called "infastructure boom towns" as they arise. What I am not sure about is the product Omega offers. From their website:
"Omega Investments offers a joint venture agreement for investors interested in purchasing individual properties in infrastructure towns. The agreement is structured to specifically enable investors to maximise potential capital growth and taxation opportunities, while ensuring interests are aligned between investors and Omega Investments.
The essence of the joint venture agreement is as follows:
Investor pays a $1,000 initial joint venture fee to engage Omega Investments and provides a detailed description of investment criteria (eg, minimium rental yield, old vs new property, preference for long term leases etc)
Omega Investments provides a comprehensive infrastructure town brief, detailing the rationale for investing in the town, overview of the major infrastructure projects planned, key risks, snapshot of the issues raised in the Environmental Impact Statements of the various infrastructure projects (that may cause the project to be rejected), and time line of infrastructure projects
Omega Investments provides a list of recommended properties with strong capital growth and rental yield potential that the investor could buy within that town
Investor pays a further $1,000 joint venture fee upon receiving the infrastructure town brief (at the investor's request, another infrastructure town brief of another town will be provided for a further $500)
Investor negotiates the purchase of the property
Omega Investments will organise building and pest inspections, independent valuation and (if required) financing
At settlement, the Investor pays another $4,000 joint venture fee ($6,000 in total fees paid)
12 months after settlement an independent valuer (chosen by the investor) values the property
Omega Investment will provide a comprehensive 'Revaluation Brief' for the property, detailing the towns growth over the last 12 months, at least 4 comparable properties recently sold (to support a higher valuation) and at least 3 inferior properties (to justify a minimum valuation) recently sold
The investor pays Omega Investments joint venture termination fee of 10% of the increase in the property's value (calculated as new valuation minus purchase price of the property) "
By putting clients into there own pick of towns - they can have an artifical positive impact on house prices in that town (especially if its really small) so that clients already with houses in that town enjoy an increase in the CG being pushed by the services of Omega Investments.
Does that make any sense?
