If Midland has so much going on there, what do you think of Swan View? I had a drive around there today, very nice in parts, and Midland is starting to fill up with little boxes, developments going on here there and everywhere. And that's before proposed zoning changes. SV is 5 mins up the road and prices drop significantly.
PERTH INVESTORS - Buy, small reno and hold - 15 k from Perth city
- Thread starter Tulamalula
- Start date
Here's my advice from someone who has been actively investing for the past 14 years and who has built a substantial multi $million property portfolio spread across the country.....
Stick in or as close to a satellite cbd as you can reasonably afford.
The reason why midland is getting all those 'little boxes' (as you put it) is due to one thing alone - demand for them!
Developers/investors wouldnt be building them if there was no demand/profit to be made.
I hope provides some food for thought
But surely Swan View, a 5 min drive from midland itself, is sticking close to a satellite city? I'm thinking long term growth here, like 20 years down the track the H and L 5 mins from Midland will be in much shorter supply than a little box in Midland proper. Is my thinking wrong?
Here is a cut n paste of a classic post from a forum member, The Wife, from many years ago... have a read as I believe its pertinent to you & all the questions your asking here on SS.
Just transpose your nick in place of Michelle's as that was who The Wife was replying to..... enjoy.
Gee Michelle,
Your post has really frustrated me, I did say spread the word, yes. And I still believe in spreading the word.
But I cant tell you how many times people have asked me things like, teach me how to fish. And what they really want, is for me to guarantee that they will make money.
Thats basically it, they want a guarantee, now if what I tell them doesnt work for them, they will be upset, say they had a bad teacher.
Michelle, I would love to teach you how to fish, cause I am sure I can, I've caught quite a few fish in my day, I aint doin to bad, but I only catch the fish I like, If I hook something on the line i dont like, i let it go, sometimes its something I have never seen before, and I let it go. I only like MY kinds of fish.
What I would like from you Michelle, is a guarantee that you wont stuff up and blame me, that you wont put limits on me by saying, "no, i dont like your fish, i want you to show me how to be succesfull with my own fish"...I dont want you to say, "show me how to be succesfull MY way", I dont know your way....
And the thing is, and I have said it before, there is NO magic pill....bo special lure that will bring the fish rushing to your hook,
you throw your hook out there just like everybody else does.
The difference is, some people get tired of fishing, and they go home empty handed, some dont watch their line, and off it goes towed out to sea by a shark, some people are just plain silly and dont even bother baiting their hook.
Its the fisherperson who can stand there, with baited hook, who keeps recasting, who has the determination to stay on the shoreline till they catch a fish, who keeps watching the water , the tides, the flocks of birds overhead, the person who is really trying to read the signs of where the fish are...that is the succesfull fisherperson, they will eventually catch a fish, and they will eventually get very good at it.
And then whilst standing there trying to figure out why your not getting a bite, you watch the sun go down, and everyone else is leaving the beach, but look around you, there is the rest of us die hards, some of us reeling in fish as fast as can be, drinking beer, having a natter to our friends also fishing, then you have found your likeminded friends.
Approach your likeminded friends and ask them, hey, how did you catch that big 14 pound juicy white fish? And how did you sell it so quickly, for so much?
Well the person you asked isnt going to reel their line in to tell you about it, they are going to keep on fishing, and yap yap yap, tell you about it, and they will keep on fishing, and they will be laughing how they did it, and gesture wildly about the size of the fish, the fight it put up, how great it was to sell it.
Its now up to you apprentice Michelle fisherperson, are you REALLY looking at what they are telling you? listen carefully, look where they are pointing to in the ocean, look back up the beach to the place that they are pointing to that bought their fish, this succesfull fisherperson is opening up their mouth, and telling you everything you need to know.
Are they going to put their rod down and come over and cast yours out for you? no i dont think so, but its up to you to listen to them, to watch them, to try to mimmic them, and then actully go back to your rod, pick it up, bait it the way they told you, and throw your line, give it a go, you are now wiser, when you cast, your casting with greater knowledge.
So what about the fisherperson who isnt fishing anymore, can they come stand by you and show you how to do it? No, they are tucked up in bed, they dont have the desire or need to be on the beach's anymore. You will have to learn from those still on the beach, and learn before they dont need to be there anymore.
The thing is,
its the doing,
you can talk about it all you like, but you have to actually do it,
if you dont know where to start, your going to have to go sit quietly, and watch the expert, watch what they do, how they do it.
You may have to try different parts of the beach, you may not like what some people are pulling in, or you may not like the way they kill their fish, some people can be so inhumane, but watch and make your choice, that is how you will define your own style.
Just transpose your nick in place of Michelle's as that was who The Wife was replying to..... enjoy.
Gee Michelle,
Your post has really frustrated me, I did say spread the word, yes. And I still believe in spreading the word.
But I cant tell you how many times people have asked me things like, teach me how to fish. And what they really want, is for me to guarantee that they will make money.
Thats basically it, they want a guarantee, now if what I tell them doesnt work for them, they will be upset, say they had a bad teacher.
Michelle, I would love to teach you how to fish, cause I am sure I can, I've caught quite a few fish in my day, I aint doin to bad, but I only catch the fish I like, If I hook something on the line i dont like, i let it go, sometimes its something I have never seen before, and I let it go. I only like MY kinds of fish.
What I would like from you Michelle, is a guarantee that you wont stuff up and blame me, that you wont put limits on me by saying, "no, i dont like your fish, i want you to show me how to be succesfull with my own fish"...I dont want you to say, "show me how to be succesfull MY way", I dont know your way....
And the thing is, and I have said it before, there is NO magic pill....bo special lure that will bring the fish rushing to your hook,
you throw your hook out there just like everybody else does.
The difference is, some people get tired of fishing, and they go home empty handed, some dont watch their line, and off it goes towed out to sea by a shark, some people are just plain silly and dont even bother baiting their hook.
Its the fisherperson who can stand there, with baited hook, who keeps recasting, who has the determination to stay on the shoreline till they catch a fish, who keeps watching the water , the tides, the flocks of birds overhead, the person who is really trying to read the signs of where the fish are...that is the succesfull fisherperson, they will eventually catch a fish, and they will eventually get very good at it.
And then whilst standing there trying to figure out why your not getting a bite, you watch the sun go down, and everyone else is leaving the beach, but look around you, there is the rest of us die hards, some of us reeling in fish as fast as can be, drinking beer, having a natter to our friends also fishing, then you have found your likeminded friends.
Approach your likeminded friends and ask them, hey, how did you catch that big 14 pound juicy white fish? And how did you sell it so quickly, for so much?
Well the person you asked isnt going to reel their line in to tell you about it, they are going to keep on fishing, and yap yap yap, tell you about it, and they will keep on fishing, and they will be laughing how they did it, and gesture wildly about the size of the fish, the fight it put up, how great it was to sell it.
Its now up to you apprentice Michelle fisherperson, are you REALLY looking at what they are telling you? listen carefully, look where they are pointing to in the ocean, look back up the beach to the place that they are pointing to that bought their fish, this succesfull fisherperson is opening up their mouth, and telling you everything you need to know.
Are they going to put their rod down and come over and cast yours out for you? no i dont think so, but its up to you to listen to them, to watch them, to try to mimmic them, and then actully go back to your rod, pick it up, bait it the way they told you, and throw your line, give it a go, you are now wiser, when you cast, your casting with greater knowledge.
So what about the fisherperson who isnt fishing anymore, can they come stand by you and show you how to do it? No, they are tucked up in bed, they dont have the desire or need to be on the beach's anymore. You will have to learn from those still on the beach, and learn before they dont need to be there anymore.
The thing is,
its the doing,
you can talk about it all you like, but you have to actually do it,
if you dont know where to start, your going to have to go sit quietly, and watch the expert, watch what they do, how they do it.
You may have to try different parts of the beach, you may not like what some people are pulling in, or you may not like the way they kill their fish, some people can be so inhumane, but watch and make your choice, that is how you will define your own style.
Odd. I thought forums like this were for throwing ideas out there and getting opinions from the more experienced. I'm done here.
Don't sulk. The internet is for throwing around ideas, arguing and sometimes a bit of argy-bargy. Take the good with the bad and move on. Sometimes, I learn the most from people who don't agree with me than from people who do.
I think that is a very good way of describing property investing.
Also a long way of saying that 5 min drive from a sattelite CBD is not part of Rixter's strategy.
I compare this to Joondalup and a property 5 min from Joondalup is in a total different category to Joondalup. A property in Joondalup would be an apartment or townhouse either rented to a young couple or students (walking distance to the hospital, university and police academy). A property 5 mins from Joondalup is really another house in suburbia (could be a good house/villa in suburbia).
Also a long way of saying that 5 min drive from a sattelite CBD is not part of Rixter's strategy.
I compare this to Joondalup and a property 5 min from Joondalup is in a total different category to Joondalup. A property in Joondalup would be an apartment or townhouse either rented to a young couple or students (walking distance to the hospital, university and police academy). A property 5 mins from Joondalup is really another house in suburbia (could be a good house/villa in suburbia).
It wasnt meant to offend you..just providing another perspective.
Analysis paralysis is a common issue from information overload that stops the majority from starting.
Only way around it is by biting the bullet and exercising the courage & faith in your conviction to jump in.
No one can answer if something is right or wrong for you - only you can. Thats because we are all different.
You dont have to get it right, you just have to get it going.
Thanks Rixter.
I am so thankful for all the fishermen out there for telling how to fish and showing how to fish. After listening to some fishermen, I went out there and caught a nice fish but I couldn't come across more fish for sometime. Then I started to listen to them more, watch them more closely and have caught a few fish now. Some are good ones some are ok and I have left a few as they are not my type. Without the guidance of all these fishermen, I would have made silly mistakes.
Thanks again Rixter. Love your posts.
I am so thankful for all the fishermen out there for telling how to fish and showing how to fish. After listening to some fishermen, I went out there and caught a nice fish but I couldn't come across more fish for sometime. Then I started to listen to them more, watch them more closely and have caught a few fish now. Some are good ones some are ok and I have left a few as they are not my type. Without the guidance of all these fishermen, I would have made silly mistakes.
Thanks again Rixter. Love your posts.
This is the tricky thing for me right now. In the past I have always known what to do. 1) buy a PPoR 2) buy an IP potential development in Melbourne 3) buy an IP potential development in Perth.
I did all these three, researched the markets and got exactly what I wanted, where I wanted for the price I wanted them for.
Now the market is tricky, prices are up, competition is feirce. It took me 18 months to find IP 3 and another 12 months to buy it. Now houses list and sell in 24-48 hours with multiple offers. I find a prospect and it sells before I even get a chance to inspect.
I'm investigating lots of possiblities and posting, discussing and arguing on this forum is helping me develop a strategy of where to move next.
Good on you Singo and Rixter. You have your plans and your strategies and your portfolios. Tell a newbie "how it is".
Hope it makes you feel like the big men around town.
I run my own business, I give so much free advice, i never say my way is the only way, and I would certainly never post such fishing dribble - the intention of which is clearly only tell a person to do their own due diligence and not rely on others.
isn't that the reason this forum exists?
Got my Jan Somers book, will read up elsewhere, the arrogance of some on this forum is unbelievable.
yes, I am offended but I don't sulk long, onwards and upwards.
Hope it makes you feel like the big men around town.
I run my own business, I give so much free advice, i never say my way is the only way, and I would certainly never post such fishing dribble - the intention of which is clearly only tell a person to do their own due diligence and not rely on others.
isn't that the reason this forum exists?
Got my Jan Somers book, will read up elsewhere, the arrogance of some on this forum is unbelievable.
yes, I am offended but I don't sulk long, onwards and upwards.
Sorry you think this way Tula.
Like I said, it is not meant to offend - just provide another perspective.
May indicate where your head space is at the moment.
Here's my observations on Success - success is 80% Correct Mindset x 20% Applied Strategy.
In other words how you think is 4 times more important than how you plan to do it.
We find ourselves exactly where we are as a direct result of our past thoughts & actions motivated by those thoughts.
If we dont like where we are we need to change our thinking to get ahead.
I hope this helps.
Like I said, it is not meant to offend - just provide another perspective.
May indicate where your head space is at the moment.
Here's my observations on Success - success is 80% Correct Mindset x 20% Applied Strategy.
In other words how you think is 4 times more important than how you plan to do it.
We find ourselves exactly where we are as a direct result of our past thoughts & actions motivated by those thoughts.
If we dont like where we are we need to change our thinking to get ahead.
I hope this helps.
Last edited:
Hi Tulamalula,
When I replied to Rixter, I didn't even notice that he was replying to you. I took his post as something written to me. I am a newbie as well. Bought my IP just 10 months ago. If I hadn't found this forum, I wouldn't have bought the last two IPs which are settling soon.
In a public forum, posts shared are intended for all I reckon. Most of us don't even use our own names. And for me each post is intended towards me as well.
For me that fishing example is a good one. I had almost given up buying. Felt tired. Wanted to stop worrying about IPs. Stories shared here motivated me. It's as simple as that.
When I replied to Rixter, I didn't even notice that he was replying to you. I took his post as something written to me. I am a newbie as well. Bought my IP just 10 months ago. If I hadn't found this forum, I wouldn't have bought the last two IPs which are settling soon.
In a public forum, posts shared are intended for all I reckon. Most of us don't even use our own names. And for me each post is intended towards me as well.
For me that fishing example is a good one. I had almost given up buying. Felt tired. Wanted to stop worrying about IPs. Stories shared here motivated me. It's as simple as that.
Yep, times have changed. Low-ball offers don't work any more, they only work when it's a buyer's market. It's a seller's market now.
Need to adapt. There are bargains out there, but they are harder to find. The low-hanging fruit has all gone.
I always seem to want something that no one else wants because I can see the potential that others might not be able to see. I bought my last IP in Cloverdale pre LPS15. It was run down, stank of dog urine and was full of junk including two sheds packed to the rafters and the junk spilling out into the yard. I had zero competition for that one. Mind you, it took 13 skips over 2 years to get rid of all that junk. However, the block got rezoned to R20/40 in LPS15 so worked out to be a good buy.
Anyway, I am currently investigating another property that it seems no one else wants. Just have to check out a few things and I might lowball them if I like what I see.
Otherwise, wait for the next one.
thanks all for your input, going to take a break and decide for myself.
Yeah I agree. After a few months of researching just jump in & buy something.
I made some mistakes with my first ip but I learnt a lot from it & will do better for the next one! Often the best lessons come from mistakes.
Midland - The developers are jumping in and have been for a while, but to make the numbers work they are building multi developments as this is the only way they can make the profit they require. The larger villa/unit will not stack up.
My only concern with Midland is the end value of these units and too much supply which will effect growth, its the old supply vs demand thing. Its not just areas we need to look at its also product. Sometimes units will do better than houses. If you plan to buy and hold, fine, that is your call, but this is a strategy which is slow and unless you buy the right product and at the right time you may be waiting years for growth.
Does it mean we should not buy in Midland, depends, perhaps a development site made sense 12 months ago??? Maybe even now, not sure have not looked recently?? This would be purely a buy and flick for growth in 12 months or develop as holding costs will kill you.
Rixter purchased a villa? I think but this was in 2000, that's a long time between drinks, we had a major boom in Perth from 2001-2006, properties tripled during this period, you could throw a dart at any area and you would make money. This is not to take away from Rixter who is obviously a very experienced/successful investor. So we should be aiming to get the timing right and buying the right product.
I have not researched Swan Valley so I wont comment on this area.
However, there are currently areas that are continuing to rise and I believe still great buying. There was a property in Beechboro that someone flicked me I believe just under $400K, beautiful neat home these don't come along very often, in the re-zoning precinct, pop a house at the rear and you have a cash flow property with growth a given, because this type of property is in demand and they are scarce.
If you want to achieve above average results you have to work harder for this, it means find something that everyone wants, that is scarce. You either add value or just hold and access the equity. The rent on the Beechboro home would possibly have been around $420 pw, no brainer and only 12 km from city. Just think in 5 years time where could you buy dirt at this price, this close to the city.
Cheers
MTR
When I look at the proposed rezoning of Beechboro all I see is street upon street upon street in the rezoning. I see investor upon investor buying up, and I see development after development and a glut of units all made by investors wanting to capitalise on their purchases.
I am not sure why you don't see the same MTR.
I am not sure why you don't see the same MTR.
If this is what you believe..... then there will be a glut of units all around Perth as there are many areas I could rattle off, too many to mention currently earmarked for rezoning. Government makes these decisions based on research, and they are not making any more land this close to the city.
Its not rocket science, demand is greater than supply and therefore the market continues to rise.
Cheers
MTR
Its not rocket science, demand is greater than supply and therefore the market continues to rise.
Cheers
MTR
Last edited:
