From $0 to $5.6 Million in 4 years

Interesting story in the latest YIP Magazine about a property investor who went from living in rental accommodation, without even enough money to pay for his wedding, to owning a portfolio of 12 properties worth $5.6 M

The financial strategy/ability still alludes me though
 

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Hi Redwing,

I think it is still definitely achievable although in current lending environment it is harder now than it was 3-4 years ago. Just might take abit longer thats all.

The right buying criteria and finance structure and u r half way there and of course no fear of debt, to go from no debt to $4M plus very quickly is not easy for some people. Also have to ignore all the people who would tell you u r crazy, wrong time blah blah blah!


There were lots of growth markets in Aus and the banks basically threw money at you " you only want $350k , sure u don't want another $100k?" ahh the good ole days:rolleyes: Still possible though

Cheers

Bt
 
This person has $5.6 mil in property, not a net worth of $5.6 mil. Admittedly that is more than the average person, but what is the LVR?
 
This person has $5.6 mil in property, not a net worth of $5.6 mil. Admittedly that is more than the average person, but what is the LVR?

yes I think others have realised this also, I think it was pretty clear.

What are you pointing out ? Is a $5.6m portfolio of assetts collected over less than 5 years not an acheivement ? Do you think the reasers here had fallen for thinking it was more than it was ?
 
Guys, big picture here...Does it really matter what the lvr currently is and what the household income is?? I think not. Its what the investor's done for their financial future.
 
Does it really matter what the lvr currently is and what the household income is?? I think not.

Only to the banks who will issue a margin call if LVR does'nt suit them and reposes if they default on interest payments.
And to someone looking to pick up some cheap IPs at auction.
 
true, no wonder he could do it.

like all the other property investors out there, he was lucky.....:rolleyes:


I was just curious that's all, as I haven't read the article.

What if you were on $1M pa in your JOB (an achievement in itself) and inherited $2.5M cash, and then bought a PPOR for $5.6M at ~50% LVR... (and this is without looking at the age of the individual/s involved).

The details just put things into some sort of perspective, that's all.

Not to belittle anyone's achievements in anyway.

If you are to gain anything useful from these sensationalist titled articles it's useful to ask how the person did it, what the context was, and what resources they had in this context to make things happen.

It might have all been in the article, but I'm just asking (as others are) what the context was, as I haven't read the article.

I'm sure there was much to learn from it, for those who read it, rather than just say WOW that's a great achievement, you deserve a pat on the back... :rolleyes:
 

What if you were on $1M pa in your JOB (an achievement in itself) and inherited $2.5M cash, and then bought a PPOR for $5.6M at ~50% LVR... (and this is without looking at the age of the individual/s involved).

The details just put things into some sort of perspective, that's all.


Then no one would write a story about it.

I agree it would be interesting. I dont think I coudl have done it fore example on my income, barr except with lot of expert type knolwdge which I dont have
 
Interesting feedback and comments indeed

Hi guys,

Thanks Redwing for posting this article online. I guess you wanted to generate a bit of discussion about myself right? :)

One thing I have come to accept is no matter what humans do. Whether they are successful or not, there will always be others out there that want to dissect every piece of information possible to understand the "how's" and the "why's"..... It's just a fact of life.

Nothing I have done as per the article was through magic. My salary when I first got married was around $37k and yes, it made it alot easier because my wife worked as well. But I know of people who are on one income of around $70k who have been able to accummulate numerous properties.

People are right when they say well, he's got $5.6 million worth of property, but what are his debts? They are around $4 million, but one thing I'm comfortable with is the fact that say in 10 years time, my debt will still be $4 million, but I'm pretty optimistic that the total worth of the portfolio will be more than $5.6 million. So is it worth doing all of this. From my point of view heck yeah!

I don't let any of this get to my head and all of this has come about through perseverance and hard work. I've attended so many seminars, spoken to so many people and have read so much all so I could educate myself on the ins and outs of property investing.

Anyway, I don't want to see some sort of drawn out debate on this and if you like to have some context around this, then it's simple. We came to Australia as boat refugees. My folks were ordinary hard working people. I was your usual Aussie teenager wanting to have a good time and thinking about my financial future.

Yes, it may have been a bit easier to obtain finance back then compared to now, but you still had to obtain the finance in the first place. And yes, some will some I'm lucky (and that I won't deny). But I always say, you make and create your own luck. There will always be negative and positive people out there. I for one am positive. I look at the good and try to work on that, whilst others try to list the bad and dwell on them forever.

I always say to people the biggest risk in life is if you don't take any risks. For me, investing in property is just like investing in shares, buying art, collecting coins etc..... At the end of the day you have to feel comfortable with yourself on the journey you're taking. If not, then take a step back and say to yourself what are you living for??? For me, FAMILY is and always will be No. 1. Everything else pales into insignificance if you don't have family.

Take it easy and hope you all enjoy the rest of your long weekend.

Quyen
 
This person has $5.6 mil in property, not a net worth of $5.6 mil. Admittedly that is more than the average person, but what is the LVR?

I see your point, but I'd rather have a $5.6. portfolio and a 90% LVR than a $2m portfolio with a 60% LVR.

The game I play involves controlling the assets, not owning them. Let the bank own them. By controlling them, I get to keep all the future CG.

Of course, those who play the cash flow game see it differently.

We are al going to the same place, just talking different paths.
 
Hi Quyen,

First off, welcome to the good ship SS forum - setting 'sale' to your dream destination.

Congratulations and well done on your achievements. You are an inspiration.

I look forward to reading your future posts.
 
Interesting story in the latest YIP Magazine about a property investor who went from living in rental accommodation, without even enough money to pay for his wedding, to owning a portfolio of 12 properties worth $5.6 M

The financial strategy/ability still alludes me though

Haven't read it, but it all sounds very amazing.

My guess - a portfolio worth 5.6mill, but how much debt attached?

Large numbers on the asset column don't impress me; but large numbers on the equity and cashflow columns do.
 
They do impress me.

$5.6m accumulation in 4 years is, basically to my simple mind, an above average acheivement.

I'm with Rixter, would be interesting to to read future posts.
 
My guess - a portfolio worth 5.6mill, but how much debt attached?

The figures are in a post by the person that the article is about, a few before your post.

I also am impressed, and when property prices rise that debt will stay the same.

(I know that property prices can and do fall, but I am a glass half full type of person :D).
 
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