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That property in Orange where they don't like you coming in "because you're a white fella", how do you do the inspections? Had to chuckle when the neighbour started yelling at you, not sure I would be able to sleep at night knowing this was the sort of tenant living in a property I owned.

Do you self manage all your properties or go via an agent?

Anyway interesting videos, keep them coming :)
 
Thanks guys,

Nah I didnt get out a) lazy b) I had a run in with 3 locals which destroyed that house across road, and came into mine and tried to roll me (they were 6 yeasr ol but 3 and had HIV).

I dont self manage, all go through agents. All my pms, earn their keep.
 
Nathan, you need an old ford when you go and inspect those IP,s in Orange and the neighbours will come out and offer you a beer.:D
 
Nathan, just a question about valuations, resale value and exit strategies.

Country towns with high indigenous populations often have divides more stark than capital cities, with housing commission areas that the property managers won't touch or will warn you from buying.

So assuming the valuer is a whitefella and the local bank manager, won't he mark houses in that pocket low?

That might be fine for you if you can obtain finance from elsewhere, but could it be a deal breaker for whoever's going to buy the house from you if they don't have your ability to source finance?

Then there is who will buy the house?

If you say that the area is no go for whitefellas, that limits the market. Even if the low price makes it affordable to the Coles check out chick, i reckon she'd rather live with the oldies or share-rent in a nicer area than buy in this area.

That leaves several possibilities:

1. Immigrants

2. Members of the local indigenous community who have got work/qualified for loans/wish to buy a place.

3. Investors. Probably from the big smoke who gets excited at the 7-8% yield you'll be able to sell the place to them for.

How likely are each of these?

1. Unlikely - fruitpickers or labourers are itinerant/seasonal while the Indian brought in to ease the town's doctor shortage will have a good income and want to live on the good side of the tracks.

2. Maybe this is possible. But note the low rate of indigenous home ownership - 28% vs 70% for non-indigenous. http://www.anz.com/Documents/AU/values/AN5324HMIAV13online.pdf In other words far more aborigines rent than non-aborigines.

3. I think this is most plausible. But we get back to property management and finance issues. But if you were to find solutions to this and onsell to clients (eg through your own buyers agency), then you might be able to sell, make a profit for yourself and offload the ongoing management issues to others.

Otherwise it might be better to hold on and enjoy the high returns (but also likely high costs), hoping that your tenant was OK.

My question then is to what extent is having a buyers agency important to provide a market for the property? And given the likely higher risks with tenants, do you think the high return would outweight this if you were to opt to hold?
 
I got an old truck aswell I take out sometimes :)

Spiderman,

Thanks for the questions.

There is a strong demand there, as for who will buy, prices etc... these things are getting snapped up like coke cans at the eastershow at present, if it was in a not so rough part of town then it would be a $200k type property.

Never have maintainance issues, havent done anything since renting it, and tenants pay rent on time. I also hold in other parts of australia similar sort of housing which have had no problems. This is not run of the mill stuff most my holdings are sydney and metro properties.

Holding costs are no more then usual.

And with buyers agency, the properties that soruce are 95% of the time within 40kms of sydney cbd and are a mix of house, units villas all purchased from vendors via realestate agents below market value with the yields.

This is of my own portfolio, and whatever is discussed on here is my own personal portfolio never anyone elses, as other investors have a disclosure level I could brag about those deals all day on here.

That day I inspected another property for someone "on the way" which was about $80-110k under market value and with mainly retirees there which also had subdivision potential of 2 villas out the back. The properties on the orange video would only ever be suited for someone whom has extensive experience in property investing or low capital base to start from.

If that property in the Orange video was to sell today it would walk out the door at $120k, with heaps of inquiry from the loal agent, which is still double of what it was purchased for a year ago.

Finance was 95% + LMI.

Thanks for your questions.
 
Oh final note, This property is one I will be holding for the long term and not selling. It is currently cashflow positive by $80pw, inluding all reno costs land tax rates etc.
 
Thanks for the feedback Jamie.

Heaps of time goes into making them actually just editing them I am not fancy with the editing just cold hard facts, so appolgies for them not being flashy or anything. :)
 
Heaps of time goes into making them actually just editing them I am not fancy with the editing just cold hard facts, so appolgies for them not being flashy or anything. :)
I thought they were Spielberg quality and you could be in line for a logie ;)

Great work mate.

Regards
Marty
 
They are great Nathan. I found the comment on the ABC show interesting where your Mum thinks you are mad for "getting in to debt" etc. It is wonderful that at your age you are not influenced by that and can make your own decisions on what you know is the right thing to do.

I am an admirer!!
 
They are great Nathan. I found the comment on the ABC show interesting where your Mum thinks you are mad for "getting in to debt" etc. It is wonderful that at your age you are not influenced by that and can make your own decisions on what you know is the right thing to do.

I am an admirer!!

Thanks Petal.

That was a few years ago, now days my mother which is almost 70, has come around and she only says each deal when I see her that " I hope you know what your doing" and I feel she is now aboard the belief train after seeing results.

People do do it out there so with my advice I get give I always look around and take from those whom have done what I am looking at doing. But mothers input is always a good leveler to get a negative look see otherwise if your too positive you end up having troubles from being arrogant to the negatives.

Nathan.
 
Only just spotted these, love it all, great stuff Nathan.:)

I do believe I have spotted a very similar featured guy (as you), at auctions here in Vic at times. Maybe not.

I like this idea, film/talk/property investing/figure juggling/ideas, congratulations on innovative and creative + doing=product and profit. This is all part of fun, (to me), as well as what you say about the end results....

Love it. Safe travels for you.
 
Thanks OO :)

Really appreciate the feedback, I am trying to leverage my time to help others be innovative with free educational tutorials.

I shall make more along the way,next wednesday I will post my new $8500 deal up :)
 
Yes.

As (many) people learn by "doing"...Nathan is showing us by the doing.

It may not be the only way and type of investing ...but it's another way.

This is really interesting about people and how they go about leading/teaching/giving and sharing information. You speak well too, it's like I can hear the brain ticking over about the whole concept and finding words to describe what you are thinking about.

...and the calculator rattling along ....figures and calculations and sizing up the deals. This is wonderful.
 
Good stuff Nathan.

Presume the strategy behind the country purchases is to increase your serviceability for more metro properties.

Great idea to do the movies on the go. Travel time is such dead time.

Love the idea of trucking in tradies, tools and materials.
 
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