Help: property investment strategists Perth

Hi all. I'm new to this forum and was hoping for some recommendations for Perth buyers agents/strategists that can help us take our property investing to the next level.

I have been recommended Destiny or Momentum Wealth. Does anyone have any thoughts on which one would be best for a young couple with 2 investment properties (melb) and a PPOR (Perth) who is looking to aggressively grow our portfolio over the next 10 years so that we are earning $1 million plus per annum from our portfolio?

Thanks in advance
 
Hi younguns,

welcome to the forum.

Don't know much about the Perth market, however you have already been initiated to property investing, so I don't know what you will gain from a BA (unless you are new to Perth).

Do your own research and use the search function under "Where to Buy" for Perth suburbs.

Destiny is run by Margaret Lomas.........read her books.

Momentum is Damien Colins (? Collings) Co I believe.

You will learn more from scouring this forum. As for being in a position of "earning $1 million plus per annum from the portfolio" in you tern year time frame, good luck doing it with resi real estate. Also if the people you wish to have as your BA's and educators were in the position to which you aspire, it is unlikely they'd be doing seminars/mentoring.

Not saying it can't be done, however you will need one hell of an income (or a business cashflow) to subsidise your purchases, servicibility and negative gearing shortfall, in order to duplicate and leapfrog into other assets. You are also counting on sustained capital growth to allow you the equity to achieve this figure of income.

Don't want to be a wet blanket.....I am all for thinking big, however in a 10 year time frame it will require a more active approach than merely acquiring resi IP's IMHO.

Perhaps search the commercial property section of this forum .....way back to learn how some have achieved the goal to which you aspire. It does involve more than buying a few resi IP's however and requires some appetitie for risk ;)

Happy hunting :)
 
If looking to buy locally I would go with Ausprop's usggestion.

Don't want to be a wet blanket.....I am all for thinking big, however in a 10 year time frame it will require a more active approach than merely acquiring resi IP's IMHO.

What Player is saying is $1m rental income will require $20m of resi properties at 5% yields. Your expenses (such as loan interest) then have to be paid out of the $1m probably not leaving much left. $1m per year NET income will require substantially higher asset holding, or zero debt over the portfolio.
 
Perth, BAs and where to buy

Thanks bene313, Player and Ausprop for the quick reply.

Thank you for the advice. I have noticed that there are not allot of recent posts on the Perth market which is why I though I would ask the question.

Regarding our goal of $1 million cash flow, we very much want to take an active approach and hope to incorporate commercial in addition to resi property and we are very interested in development as well but at the moment my husband is building his own business and we have a young family which is making us quite time poor. Hence the reason for getting the assistance of a BA and seeking some professional guidance and advice to help us achieve our goals.

We are also new to Perth and we were thinking of getting in with a good BA to make some new connections and to get access to some of the off market property they may come across.

Specifically we were thinking of using them to help us find our next PPOR/investment in the second half of this year. We would like to get into the Nedlands market and will be looking at this purchase as more of an investment so we are looking for a property we can add value to by renovating or even potentially subdivide and build another residence on the back.

As mentioned we are wanting to be quite aggressive with our property acquisitions over the next few years and are interested in capitalising on the growing WA workforce that will be needed as a result of the mining activity up North. What are your thoughts on Port Headland? We have friends who have just bought up there for $650,000 and it is renting for $1,200 a week.

Also, any thoughts on Nedlands?

Thanks again
 
I know Nedlands like the back of my hand. Fantastic suburb for a PPOR if you've got the moola. Most houses have been going for around the $2m mark but there are some cheaper pockets such as some areas on the northen side of the highway towards Shenton Pk near the cementary. Ausprop keeps an eye on the west I think also.
 
i like neddies. neighbour justy sold a property there, said dont be fooled by the askign prices - its still a dead duck and you can knock off up to 20%. not sure if thats true but wouldnt surprise me, he had no reason to make it up!

port hedland is good stuff too

any deal tho depends on the specifics of it... the buy price, your finance, etc
 
Thanks Ausprop and bene. It is great to get some advice from other Perth investors.

We would be looking to spend up to $1.4 million in Nedlands and do what ever work is required to bring the place up to scratch. It really depends on my husbands business over the next few months. We would like to get as close to the river as possible but i think our budget may restrict us a bit. Any tips on the best streets to get into for good capital growth? I have heard now is a good time to buy in Nedlands as it has bottomed out a bit.

Have either of you bought in Port Headland? I really don't know much about the market up there other than the rental returns are looking very good. Our two apartments in Melbourne are negatively geared so we are looking to balance it out a bit with a good cash producer in the West.

If it's not too forward, do you mind me asking where you guys are purchasing/looking at the moment?
 
Any tips on the best streets to get into for good capital growth? I have heard now is a good time to buy in Nedlands as it has bottomed out a bit.

South of the highway is more expensive I think being closer to river, schools and Dalkeith. There's a couple of primary schools so you might not want to be right next door to them. Also some busier streets than others such being the streets running East-West Princess, Melvista, Elizabeth, Edward and then Vincent and Bruce running North-South. I would look at the North-south running streets on the south side of the highway, eg Thomas but you might be say $1m short on that budget.
 
Also, any thoughts on Nedlands?


Unfortunately we've got an IP in Nedlands, right up in the dodgy section north of the highway amongst all the other dross next to the cemetery.....at a pinch, with an extra top up loan from your folks, actually make that both your folks, you may be able to afford it.


It yields about 2.9% gross, and after rates and land taxes, pulls in an amazing 1.8% nett. But it's a really nice area, got a great family feel to it, and that's what really counts.


Anytime you want to take this magnificent opportunity off our hands, let us know.


Say hi to Damian from Momentum, he'll see you right.
 
Thanks for the post Dazz. I know the returns aren't great. It would be a PPOR purchase but I do take on board your point about the yield. We won't be there forever and don't like to sell so we will have to keep this in mind.

Do you mind me asking where you would purchase instead of Nedlands? We are trying to get into the Western Suburbs for schools, river etc.

Thanks again.
 
Unfortunately we've got an IP in Nedlands, right up in the dodgy section north of the highway amongst all the other dross next to the cemetery.....at a pinch, with an extra top up loan from your folks, actually make that both your folks, you may be able to afford it.

Dazz did you ever live in this place? is it weird being so close to the cemetery? I dont mind this area but the cemetery just really puts me off
 
I like the inner eastern suburbs as an investment, but if you're looking for a place to live, I hear the western suburbs are nice ;) I choose to live in East Perth, this is also close to good schools and right on the river. It's higher density than most but I don't think I'll ever go back to the burbs after living inner city. We're currently in a 2x2 apartment but will be looking for something bigger, prob 3x2 townhouse or apartment in the area as a family home in the years to come.
 
We also have a cemetery nearby, not in view from our balcony but around the corner.

I must say I haven't seen a single ghost ;) Really though, the cemetery is quite a feature, a little bit gothic. I like it.
 
Dazz did you ever live in this place?

Yes - nearly two years. A HUGE step up from where we were living previously. We rented it out for 3 years to a nice ex-pat Shell couple, so we took the sting out of the mortgage before we moved in.

Didn't like it that much as the block was only 15m wide, as we had just come from a 27m wide block. Talk about feel hemmed in. You could hear the neighbours fighting clear as a bell. Forget land size, the width of the block is so much more important than the depth of the block.

We found they were much snootier than what we were used to, which drove the wife nuts, but as I went to work each day, it didn't bother me at all.

I would describe Neddies as a "wannabe" suburb. They constantly compare wealth and income with neighbours, and if they can afford it, ever so slowly start creeping south toward the river. There was the always asked question at parties, which tried to pidgeon hole you into the following box, in ascending order ;

Nedlands - north of Stirling Highway..........1.4 to 1.8
Nedlands - south of Stirling Highway..........1.8 to 2.1
Dalkeith - north of Waratah Ave...............2.3 to 2.9
Dalkeith - south of Waratah Ave..............2.3 to 3.6
Dalkeith - river views.............................2.8 to 5.0
Dalkeith - river front..............................6.0 to 20.0


We always loudly proclaimed we were members of the first group, and watched to see who turned their noses up at us. We actually found members of the second group to be the worst - the aspiring wannabes. Surprisingly, the ones up in the upper groups never had anything to prove, and so were - in the main, generally cordial.


is it weird being so close to the cemetery? I dont mind this area but the cemetery just really puts me off

Our house was 2 streets back and had nothing to do with the cemetery....it certainly doesn't get noticed at all. It is nice to take your dog for a walk in there though, very peaceful and calming to get away from all of the cars.

It is close to the Royal Show, you can walk from there. Trains were quite inaccessible, with Loch St being the closest station. Typical household were a middle manager type husband, with a stay at home mother with young kids. Big mortgage, big car, big debt, big hair and not going anywhere.

Ours now rents for $ 820 p.w., (it flatlined at $ 500 p.w. for 8 years before the big rent jumps in '07) which will service a loan of about 600K. With house prices starting at about 1.4m, she's a huge negative cash hole.

If anyone wants to give me 1.5m unconditional cash for our 4x2, I'll probably rip your arm off in the rush to take it from you. hahahaha :D
 
The cat is really handy isnt it! i'm a 15 min walk from Highgate to the claisebrook yellow cat.

It's such a good service init... it's quite popular but I'm surprised it's not more so. They're talking of sending one across the causeway into vic park.

City living certainly has its perks, but it can be so dead after hours, I guess it's a small town phenomenon that is very slowly changing as people and services move into the city.
 
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