Who's achieved 50+ properties in their time on earth?

Discussion in 'Innovative Techniques' started by Andrew L, 29th Jul, 2009.

  1. matto_

    matto_ Member

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    Its great to see some of the old posts (talking about similar topics that seem new now).

    I am with you will - would be great to hear how the folks in this thread are doing......
     
  2. Bigtone

    Bigtone Member

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    Haha this is an old thread.

    To update since then i have done the big upgrade in bayside melb , tried to time bottom of market. Been waiting for ages and very happy with the result, deposit was more than my first ppor 10 years b4.

    Also bought a unit in Mosmon and a cashflow/creative finance play in Melb for a bit of an experiment.

    Have sold off a property in Frankston and decided to keep the old PPOR and have rented that out.

    Only place i would be buying now is Perth but i am currently working on some of my current properties (not working personally but organizing) I have lots of old places on big blocks, unit blocks etc, starting to think about maximizing their potential rather than buy more property.

    I have also used the equity to start up 3 new business's that i have an ownership in but don't work in, one was featured in 'deal or no deal thread'. Just creating passive cash flow to fund the portfolio.

    That's it for now!
     
    redwing likes this.
  3. willair

    willair xx

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    Thanks for the up-date,..
     
  4. handyandy

    handyandy Member

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    It certainly is a blast from the past!!!

    For us it's basically been business as usual, except we have over the last 15 months purchased 11 properties in Atlanta, Georgia and are currently working on our 12th one.

    Some of the properties we have purchased. It seems necessary to show people the pics otherwise they get the wrong idea as to what the US proprieties look like. They are all large homes over 220sqm and generally in the Lithonia to Covington area.

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    In Australia we continue to upgrade our properties and as such are currently renovating 5 more units.

    I am currently trying to decide our direction from 2013 onwards and to this end attended Developers course over the last weekend to really see wheyther we want to become developers/ builders or only property developers. At this stage I am leaning towards only doing the developing part as this seems to have the rewards without the ongoing headaches.

    Cheers
     
    redwing and Player like this.
  5. Bigtone

    Bigtone Member

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    well done!!!!!!!1
     
  6. soyabean

    soyabean Member

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    Hi Andy,
    May I ask if these IPs are positively geared ? Did you buy cash or via a loan ? Do you have to do much to manage them ?
    Thanks,
    Soy.
     
  7. handyandy

    handyandy Member

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    Hi Soy

    Yes, all these properties are +ve cashflow. The gross returns on them is about the 21% mark. We have some that are up to 28% and down to 18% gross return.

    Even allowing for all the expenses I expect that the net return should be around 12%. but time will tell.

    The market has now moved with more people jumping on the band wagon and as such these %'s are now down and as such I have stopped buying as it's a lot of effort if the returns aren't super normal.

    I have them all with the same property manager and so far so good.

    The tenants are way more demanding than our tenants with properties specked much higher than we would ever dream of supplying here in Aust. For instance we have to provide Fridge, dishwasher, aircons / gas heating ducted, fans in all bedrooms near new carpet and immaculate presentation.

    A friend recently had 3 tenants go bad in a very short time frame after just having spent $15k+ per property. The are now looking at spending another $2k+ per property to bring the properties back to standard. This is within 5 month. This doesn't include the lost rent nor the placement fee for a new tenant which can be up to a months rent.

    Personally I have had one tenant from hell who has complained incessantly from the day they moved in. In this case this coincides with a less than perfect renovation with many of the small problems not attended to.

    In addition the problem with the house is that it is 3 stories with the bottom story partly in the ground. This generates a mildew smell through the house and the tenant has been on a witch hunt to understand where the smell originates and is picking every little thing and demanding a fix. It's been a long year but they are finally in the wind up.

    With the cost of all the fixes I have made no money on this particular property.

    We had to use funds from Australia. You can now get finance up to 50% but this is generally via the resellers of the properties and generally reflects the margin that they have bumped the price of the property up by.

    Cheers
     
    redwing likes this.
  8. A'PEXi

    A'PEXi Member

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    Quick question for those who have made it or are close to the goal. Where did you initially start looking for the properties you used to kick start your portfolio? Was it the usual websites. etc or through buyers agents? :)