The Investors Club
- Thread starter DJM
- Start date
Like Jacque said.
But just be aware, that they are not really a club. They are a "for profit" company, and make their money by selling stuff for which they receive a commission. Just like a real estate agent really.
They used to sell redevelopments- so usually units/townouses or the like. The developer didn't have to advertise, so go the profit by marketing to club members.
There's a place for that. It's probably a good peace of mid, first investment, with lots of peer support.
But once you find your feet, you could probably do much better yourself.
Many people here emphasise that it's land which appreciate, and buildings which depreciate. So units etc have a lower land content than houses.
But just be aware, that they are not really a club. They are a "for profit" company, and make their money by selling stuff for which they receive a commission. Just like a real estate agent really.
They used to sell redevelopments- so usually units/townouses or the like. The developer didn't have to advertise, so go the profit by marketing to club members.
There's a place for that. It's probably a good peace of mid, first investment, with lots of peer support.
But once you find your feet, you could probably do much better yourself.
Many people here emphasise that it's land which appreciate, and buildings which depreciate. So units etc have a lower land content than houses.
Hi DJM,
I too saw the Investors Club stand a few years ago. I went along to their seminars etc. I never bought with them as I wanted more info on them, which I found here. For information on investing, read Jan Somersoft's books, and Michael Yardney's. Any questions post them here and you will get answers.
If you find after getting all the info and then you get nervous about the whole deal, read through some of the old posts on here, and you will see that you are normal like us all with the First IP negative thoughts, ie is it really worth it. Trust me your positive thoughts will take over and turn into actions, and you will wonder why do I feel so good, as I have just gone into debt for $100s - $300K.
Start reading and Good Luck
I too saw the Investors Club stand a few years ago. I went along to their seminars etc. I never bought with them as I wanted more info on them, which I found here. For information on investing, read Jan Somersoft's books, and Michael Yardney's. Any questions post them here and you will get answers.
If you find after getting all the info and then you get nervous about the whole deal, read through some of the old posts on here, and you will see that you are normal like us all with the First IP negative thoughts, ie is it really worth it. Trust me your positive thoughts will take over and turn into actions, and you will wonder why do I feel so good, as I have just gone into debt for $100s - $300K.
Start reading and Good Luck
Trust me your positive thoughts will take over and turn into actions, and you will wonder why do I feel so good, as I have just gone into debt for $100s - $300K.
Start reading and Good Luck[/QUOTE]
this is right on the money ,
to get out of debt you must first get into debt ,crazy to some people but those that have done it knows how well it works ,read,read,read you can never be armed with to much information
Start reading and Good Luck[/QUOTE]
this is right on the money ,
to get out of debt you must first get into debt ,crazy to some people but those that have done it knows how well it works ,read,read,read you can never be armed with to much information
as mentioned above, you can't become a part of the club any more than you can become a part of Raine and Horne or LJ Hooker. To make matters worse, their commissons far exceed a typical real estate agents. Forget what they are making tho, the question is, is this the best deal for you? It could be yes... I am yet to be convinced. It is argued that some people wouldn't have started investing in property without them therefore all sins are forgiven. If you are to take this attitude, just walk into your local real estate office and ask them to sell you whatever they like as long as they help you with finance, settlement and finding a tenant. I am sure they will oblige.
There's been a mass of threads and questions regarding this subject, so I won't ramble on for too long. I went to my first TIC meeting way back in '98 or '99....can't remember exactly cos it was highly unremarkable. Some of the people sitting next to me as onlookers are now the State Branch Managers, with a swath of co-ordinators, Team Leaders, District Officers, Support Members and lowly Members underneath them - all, bar none, singing the praises and preaching to the unconverted dross sitting in the crowd starry-eyed at the prospect of buying a 2 or 3 bedroom flat somewhere in Coolongatta. Now this is a leap of faith for a couple of workers who've turned the TV off for only one night in Perth and have not a clue about property.
I've been consistently going to meeting now for 8 or so years, and have never given them the satisfaction of filling out the dreaded FEF....finance enquiry form. Once this is signed, they pump you through their sausage grinder like a piece of meat and you pop out the other end with a nice new 2 bedroom townhouse complete with whinging tenant, guaranteed to cost you every week to sustain their lifestyle and guaranteed to grow at a staggering 3 or 4% p.a.....wacko !!! Of course, an undisclosed amount is slightly shaved off and syphoned off to the demi-god's coffer. Big Kev and Kathy have to fund their travels somehow. And that's it. That's all she wrote. Repeat as often as necessary.
We decided to have a crack at the property thing ourselves, rather than be held by the hand by TIC. We weren't inspired by the property selection, weren't impressed by the suburbs they had their developers building in...despite the assurances of their highly unqualified, but much vaunted research officers. We also weren't turned on by the tenants the property attracted, and weren't impressed with the Leases.
All up, if you know absolutely nothing, are completely clueless from a legal / finance / property / tenant perspective, then perhaps TIC may be for you.
Over the years, the common thread in their presentations has been to put out all of the ABS data and "prove" to the audience that they need to do something. I have no problem with any of that. I agree with all of that 100%. It's that part C follow on that doesn't quite sit right.....ipso facto, because we've stood up here and shown you the sorry lot in life of most people in Australia, the best way to get out of that situation is to leverage against property via direct investment.......OK, I'm still with you.....and therefore you need to buy an apartment or townhouse off us........WHOA BACK.....you lost me right there.
By far and away their best selling tool to the uninitiated is the agricultural unlearned, unprofessional, unqualified doozy who gets up there as a newly anointed "Support Member"....who 3 months ago was sitting in the audience rubbing shoulders with myself.....and reels off in the most amateurish way that TIC has turned their life around and they are well on their way to being a part of the red sleeved brigade....a fully fledged member of the PMC.
When someone like that stands up, warts and all, in shorts and T-shirt, with customary sandals and beer gut, unshaven and scraggily hair, you can't help but believe him....cos he looks as far removed from a slick salesman as you could possibly get.
The free cup of tea and bickies are OK but....
I've been consistently going to meeting now for 8 or so years, and have never given them the satisfaction of filling out the dreaded FEF....finance enquiry form. Once this is signed, they pump you through their sausage grinder like a piece of meat and you pop out the other end with a nice new 2 bedroom townhouse complete with whinging tenant, guaranteed to cost you every week to sustain their lifestyle and guaranteed to grow at a staggering 3 or 4% p.a.....wacko !!! Of course, an undisclosed amount is slightly shaved off and syphoned off to the demi-god's coffer. Big Kev and Kathy have to fund their travels somehow. And that's it. That's all she wrote. Repeat as often as necessary.
We decided to have a crack at the property thing ourselves, rather than be held by the hand by TIC. We weren't inspired by the property selection, weren't impressed by the suburbs they had their developers building in...despite the assurances of their highly unqualified, but much vaunted research officers. We also weren't turned on by the tenants the property attracted, and weren't impressed with the Leases.
All up, if you know absolutely nothing, are completely clueless from a legal / finance / property / tenant perspective, then perhaps TIC may be for you.
Over the years, the common thread in their presentations has been to put out all of the ABS data and "prove" to the audience that they need to do something. I have no problem with any of that. I agree with all of that 100%. It's that part C follow on that doesn't quite sit right.....ipso facto, because we've stood up here and shown you the sorry lot in life of most people in Australia, the best way to get out of that situation is to leverage against property via direct investment.......OK, I'm still with you.....and therefore you need to buy an apartment or townhouse off us........WHOA BACK.....you lost me right there.
By far and away their best selling tool to the uninitiated is the agricultural unlearned, unprofessional, unqualified doozy who gets up there as a newly anointed "Support Member"....who 3 months ago was sitting in the audience rubbing shoulders with myself.....and reels off in the most amateurish way that TIC has turned their life around and they are well on their way to being a part of the red sleeved brigade....a fully fledged member of the PMC.
When someone like that stands up, warts and all, in shorts and T-shirt, with customary sandals and beer gut, unshaven and scraggily hair, you can't help but believe him....cos he looks as far removed from a slick salesman as you could possibly get.
The free cup of tea and bickies are OK but....
my god let me buy you a beer or a scotch or a chardonnay perhaps ,why do you still go to the meetings . love your candor and honesty ,and i think you felt a lot better off after you wrote and posted your reply ,i salute youThere's been a mass of threads and questions regarding this subject, so I won't ramble on for too long. I went to my first TIC meeting way back in '98 or '99....can't remember exactly cos it was highly unremarkable. Some of the people sitting next to me as onlookers are now the State Branch Managers, with a swath of co-ordinators, Team Leaders, District Officers, Support Members and lowly Members underneath them - all, bar none, singing the praises and preaching to the unconverted dross sitting in the crowd starry-eyed at the prospect of buying a 2 or 3 bedroom flat somewhere in Coolongatta. Now this is a leap of faith for a couple of workers who've turned the TV off for only one night in Perth and have not a clue about property.
I've been consistently going to meeting now for 8 or so years, and have never given them the satisfaction of filling out the dreaded FEF....finance enquiry form. Once this is signed, they pump you through their sausage grinder like a piece of meat and you pop out the other end with a nice new 2 bedroom townhouse complete with whinging tenant, guaranteed to cost you every week to sustain their lifestyle and guaranteed to grow at a staggering 3 or 4% p.a.....wacko !!! Of course, an undisclosed amount is slightly shaved off and syphoned off to the demi-god's coffer. Big Kev and Kathy have to fund their travels somehow. And that's it. That's all she wrote. Repeat as often as necessary.
We decided to have a crack at the property thing ourselves, rather than be held by the hand by TIC. We weren't inspired by the property selection, weren't impressed by the suburbs they had their developers building in...despite the assurances of their highly unqualified, but much vaunted research officers. We also weren't turned on by the tenants the property attracted, and weren't impressed with the Leases.
All up, if you know absolutely nothing, are completely clueless from a legal / finance / property / tenant perspective, then perhaps TIC may be for you.
Over the years, the common thread in their presentations has been to put out all of the ABS data and "prove" to the audience that they need to do something. I have no problem with any of that. I agree with all of that 100%. It's that part C follow on that doesn't quite sit right.....ipso facto, because we've stood up here and shown you the sorry lot in life of most people in Australia, the best way to get out of that situation is to leverage against property via direct investment.......OK, I'm still with you.....and therefore you need to buy an apartment or townhouse off us........WHOA BACK.....you lost me right there.
By far and away their best selling tool to the uninitiated is the agricultural unlearned, unprofessional, unqualified doozy who gets up there as a newly anointed "Support Member"....who 3 months ago was sitting in the audience rubbing shoulders with myself.....and reels off in the most amateurish way that TIC has turned their life around and they are well on their way to being a part of the red sleeved brigade....a fully fledged member of the PMC.
When someone like that stands up, warts and all, in shorts and T-shirt, with customary sandals and beer gut, unshaven and scraggily hair, you can't help but believe him....cos he looks as far removed from a slick salesman as you could possibly get.
The free cup of tea and bickies are OK but....
my god let me buy you a beer or a scotch or a chardonnay perhaps ,why do you still go to the meetings . love your candor and honesty ,and i think you felt a lot better off after you wrote and posted your reply ,i salute you
You're on Tom !! I'll have a fluffy duck
Nah seriously, the only reason I still go, is the same reason I come here and frequent this forum. That is, to hang out and converse with like minded investment orientated folk.
Sure beats the heck out of joining the zombie brigade watching commercial TV, saturated with American dross for entertainment and Australian dross for adverts.
I'll do just about anything to avoid turning into a retail therapied hyper consumer sitting on my bum eating McDonalds and watching Desparate Housewives or some mind numbing Big Brother turkey slapfest.
On a more serious note, over the years I've been conducting a silent, hard fought "competition" with Kevin and Kathy, to see who can grow their property business at the fastest rate.
I'm happy to report, as of 2007....our operation overtook his, despite his impressive 120 odd houses, without all of the whoo ha.
Now....where is that fluffy duck ??
my god let me buy you a beer or a scotch or a chardonnay perhaps ,why do you still go to the meetings . love your candor and honesty ,and i think you felt a lot better off after you wrote and posted your reply ,i salute you
Forget about the IC,...
I'm more interested in your 'kitchensinabox' advert.
How do you go about quoting and what is the turnaround from quote to delivery ?
Do you have a cost per m2 rate as and indicator ?
kp
But you know that in X years time there is just a great chance you will be ahead for being directed so.
Contrast this to their counterparts in the financial markets who are flogging product and 'education' and you will have a very sorry comparison.
It's a fine first mistake to be making I would say.
Contrast this to their counterparts in the financial markets who are flogging product and 'education' and you will have a very sorry comparison.
It's a fine first mistake to be making I would say.
There's been a mass of threads and questions regarding this subject, so I won't ramble on for too long. I went to my first TIC meeting way back in '98 or '99....can't remember exactly cos it was highly unremarkable. Some of the people sitting next to me as onlookers are now the State Branch Managers, with a swath of co-ordinators, Team Leaders, District Officers, Support Members and lowly Members underneath them - all, bar none, singing the praises and preaching to the unconverted dross sitting in the crowd starry-eyed at the prospect of buying a 2 or 3 bedroom flat somewhere in Coolongatta. Now this is a leap of faith for a couple of workers who've turned the TV off for only one night in Perth and have not a clue about property.
I've been consistently going to meeting now for 8 or so years, and have never given them the satisfaction of filling out the dreaded FEF....finance enquiry form. Once this is signed, they pump you through their sausage grinder like a piece of meat and you pop out the other end with a nice new 2 bedroom townhouse complete with whinging tenant, guaranteed to cost you every week to sustain their lifestyle and guaranteed to grow at a staggering 3 or 4% p.a.....wacko !!! Of course, an undisclosed amount is slightly shaved off and syphoned off to the demi-god's coffer. Big Kev and Kathy have to fund their travels somehow. And that's it. That's all she wrote. Repeat as often as necessary.
We decided to have a crack at the property thing ourselves, rather than be held by the hand by TIC. We weren't inspired by the property selection, weren't impressed by the suburbs they had their developers building in...despite the assurances of their highly unqualified, but much vaunted research officers. We also weren't turned on by the tenants the property attracted, and weren't impressed with the Leases.
All up, if you know absolutely nothing, are completely clueless from a legal / finance / property / tenant perspective, then perhaps TIC may be for you.
Over the years, the common thread in their presentations has been to put out all of the ABS data and "prove" to the audience that they need to do something. I have no problem with any of that. I agree with all of that 100%. It's that part C follow on that doesn't quite sit right.....ipso facto, because we've stood up here and shown you the sorry lot in life of most people in Australia, the best way to get out of that situation is to leverage against property via direct investment.......OK, I'm still with you.....and therefore you need to buy an apartment or townhouse off us........WHOA BACK.....you lost me right there.
By far and away their best selling tool to the uninitiated is the agricultural unlearned, unprofessional, unqualified doozy who gets up there as a newly anointed "Support Member"....who 3 months ago was sitting in the audience rubbing shoulders with myself.....and reels off in the most amateurish way that TIC has turned their life around and they are well on their way to being a part of the red sleeved brigade....a fully fledged member of the PMC.
When someone like that stands up, warts and all, in shorts and T-shirt, with customary sandals and beer gut, unshaven and scraggily hair, you can't help but believe him....cos he looks as far removed from a slick salesman as you could possibly get.
The free cup of tea and bickies are OK but....
I love this post
One of the best i have read on this site i reckon!Thanks DAZZLING...
Hi DJM,
I am a member of the Investors Club. Most of the replies you have got are negative towards the Club, but I can assure you every experience I have had with the club has been more than positive. The property that I bought in Benowa on the Gold Coast through the club 12 months ago, for 245k, has just been valued at 305k, and that’s supposed to be in a stagnate market.
The commission that is paid to the club, is paid by the Vendor, the same as if anyone bought their property through a real estate agent. YOU don’t pay anything. The commission, (im not sure exactly how much of it) is then put back into the club to provide the many free services the club has available to you. If you go along to a meeting they'll tell you about these services. One of which, are invites, if you have bought a property through the club to free advanced workshops with topics including:
How to manage your holding costs
Maximising your borrowing capacity
Tax implications for LOC use
Improving your cash flow by improving your property
Maybe DAZZLING might find these sessions more interesting after 8 years of seeing the same session over and over but still complaining about how amateurish they are.
The clubs plan is very similar to Jan Somers, so you can’t go wrong there. At no stage are you locked into ANYTHING (until you are well into the settlement stage of course) as far as I am concerned you have nothing to loose!
Tic
G'day Daz,
Your quote
"When someone like that stands up, warts and all, in shorts and T-shirt, with customary sandals and beer gut, unshaven and scraggily hair, you can't help but believe him....cos he looks as far removed from a slick salesman as you could possibly get."
That'd be me...... I didn't think I had my shorts on when last we spoke after the recent workshop in Bibra Lake.
In your 'competition' with Kevin and Kathy Young, how many people have you helped along the path to wealth creation? Don't forget to include that in your 'competition'.
In reply to the originator of this thread.... Just go to an Investors Club workshop close to you and use the information as you see fit. If it is right for you then use the services of the club, if not walk away.
Pud
G'day Daz,
Your quote
"When someone like that stands up, warts and all, in shorts and T-shirt, with customary sandals and beer gut, unshaven and scraggily hair, you can't help but believe him....cos he looks as far removed from a slick salesman as you could possibly get."
That'd be me...... I didn't think I had my shorts on when last we spoke after the recent workshop in Bibra Lake.
In your 'competition' with Kevin and Kathy Young, how many people have you helped along the path to wealth creation? Don't forget to include that in your 'competition'.
In reply to the originator of this thread.... Just go to an Investors Club workshop close to you and use the information as you see fit. If it is right for you then use the services of the club, if not walk away.
Pud
I'd agree with the above, except the new property has a price premium that could retard the progress of the first investor.
My profile of an ideal first investment would be a bit different to what the IC recommend.
A neat unit (small low-rise complex only) or house in a handy part of a capital or regional city costing around $200k, +/- $50k would be near perfect and should always have tenant demand.
What is the best type of investment property to buy and what is pushed most by salespeople might be quite different.
Depends - if the unit is in a posh suburb, its land value component might be more than a house for a similar price in a cheap suburb.
However for a given area, an 'Investor Club Special' (eg a new house in Narre Warren for $300k) will have barely half the land value percentage of an established house in the same suburb purchased for the low 200s (35% compared to 70%).
If you had $300k to spend, I'd suggest that this would be best spent on either: a. one house in a better suburb, nearer the city or bay, or b. two well-negotiated cheapies in the $160-180k range. Both would deliver double the land value component, albeit with less (or no) building depreciation.
The comments re land component are also valid for new vs established units, with only the depreciation advantaging the newer unit.
Peter
I don’t mind the Investors Club whether it be a Club or not (from memory their cut is around 6%... though a search of the Forum should yield results that give figures).
The club has probably got a lot of people into property that may not have taken the first step; it also gives people a support network of like minded investors.
I’ve been to a few meetings but have never purchased an IP through them, it’s a great place to network with other Property Investors; they provide some great software regarding retirement, LOE, research etc (not that I've ever got my hot little hands on it)
Not for everyone, but worth a look for some people IMHO
The club has probably got a lot of people into property that may not have taken the first step; it also gives people a support network of like minded investors.
I’ve been to a few meetings but have never purchased an IP through them, it’s a great place to network with other Property Investors; they provide some great software regarding retirement, LOE, research etc (not that I've ever got my hot little hands on it)
Not for everyone, but worth a look for some people IMHO
Got my first IP through the club because I needed a bit of moral support and had been tracking them for a while. They helped provide the momentum to get me going, I wouldn't buy through them again because I have the confidence to do it myself now.
They have their place, just do your due diligence as you should on any deal.
They have their place, just do your due diligence as you should on any deal.
... and watch their research... check up on it... dont take it for granted that the train is x meters away and a school y meters away... some of the time their research is just pure fiction.
i too went to the meetings, i did sign the dreaded form and had them breathing down my neck, but i got some knowledge from them, and if i had purchased from them the first day i visited them, i mean if i had bought any damn property off them 5yrs ago when i first walked up to their stall at the local show... i would be MUCH better off.
if they get you going, and you do your research to make sure you are not being ripped off... if thats what it takes to get you started... do it i say.
but you can do better by yourself... easy for me to say... but i think its true.
i too went to the meetings, i did sign the dreaded form and had them breathing down my neck, but i got some knowledge from them, and if i had purchased from them the first day i visited them, i mean if i had bought any damn property off them 5yrs ago when i first walked up to their stall at the local show... i would be MUCH better off.
if they get you going, and you do your research to make sure you are not being ripped off... if thats what it takes to get you started... do it i say.
but you can do better by yourself... easy for me to say... but i think its true.
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