We are thrilled to introduce the first of of three...Read More
ADF HOUSING INVESTMENT PROPERTY: SUCCESS STORY #77
This success story is another amazing example of what ‘time in the market’ can do for your property portfolio.
We first met R&K in Aug 2020. They wanted to secure their financial future using property. Posted to Wagga (R was an RI at Kapooka and K was a civvie Dental Assistant), after a series of coaching sessions, we implemented a plan and strategy for them to acquire IP#1. That $457K property was built without any issues in 2021. Happy days, a good start for R&K.
As soon as IP#1 was complete and tenants paying the mortgage, R&K provided direction to me to commence the planning for IP#2. The value of IP#1 had grown enough for the mortgage broker to access equity to form the deposit and costs for IP#2.
𝗖𝗵𝗲𝗰𝗸 𝗼𝘂𝘁 𝘁𝗵𝗲𝘀𝗲 𝘀𝘁𝗮𝘁𝘀 𝗳𝗼𝗿 𝗜𝗣#𝟮:
* 𝗣𝘂𝗿𝗰𝗵𝗮𝘀𝗲 𝗽𝗿𝗶𝗰𝗲: $𝟲𝟬𝟰𝗞 (𝟯𝟱𝟬𝗺𝟮 𝗯𝗹𝗼𝗰𝗸 𝗮𝗻𝗱 𝟮𝟬𝟮𝗺𝟮 𝗵𝗼𝘂𝘀𝗲, 𝗳𝘂𝗹𝗹 𝘁𝘂𝗿𝗻-𝗸𝗲𝘆)
* 𝗟𝗮𝗻𝗱 𝘀𝗲𝘁𝘁𝗹𝗲𝗺𝗲𝗻𝘁: 𝗝𝘂𝗻𝗲 𝟮𝟬𝟮𝟮
* 𝗞𝗲𝘆 𝗛𝗮𝗻𝗱𝗼𝘃𝗲𝗿: 𝗝𝘂𝗹𝘆 𝟮𝟬𝟮𝟯 (𝗶𝗻𝗰𝗹𝘂𝗱𝗶𝗻𝗴 𝟯𝟬 𝗱𝗮𝘆𝘀 𝗼𝗳 𝗯𝘂𝗶𝗹𝗱 𝗱𝗲𝗹𝗮𝘆𝘀)
* 𝗥𝗲𝗻𝘁𝗮𝗹 𝗶𝗻𝗰𝗼𝗺𝗲: $𝟲𝟯𝟬𝗽𝘄
* 𝗩𝗮𝗹𝘂𝗲 𝗻𝗼𝘄: ~$𝟳𝟯𝟬𝗞!!
Even though there were delays in the build, the $125K of capital growth over that period has certainly made the wait time worthwhile!
The property is located in a massive master-planned community in SEQLD. The whole area has many years left of low-risk capital growth and ongoing rental demand. The peace of mind that R&K have with this property is significant.
Fast forward to now: R&K have relocated to Darwin. I have suggested they take a break from the property for a while and consolidate things. Effectively, they have been decisively engaged in building their portfolio for over 3 years, so a tactical pause is more than appropriate.
The final piece of good news is that IP#1 is now valued at approx. $650K. With the growth of both properties, R&K are approx. $325K ahead of where they started 3 years ago.
After our recent end-of-build coaching session, we received this message from R&K:
𝘏𝘦𝘺 𝘮𝘢𝘵𝘦, 𝘸𝘦 𝘴𝘵𝘪𝘭𝘭 𝘤𝘢𝘯’𝘵 𝘵𝘩𝘢𝘯𝘬 𝘺𝘰𝘶 𝘦𝘯𝘰𝘶𝘨𝘩 𝘧𝘰𝘳 𝘦𝘷𝘦𝘳𝘺𝘵𝘩𝘪𝘯𝘨 𝘺𝘰𝘶 𝘢𝘯𝘥 𝘺𝘰𝘶𝘳 𝘵𝘦𝘢𝘮 𝘩𝘢𝘷𝘦 𝘥𝘰𝘯𝘦 𝘧𝘰𝘳 𝘶𝘴 𝘪𝘯 𝘵𝘩𝘦 𝘱𝘢𝘴𝘵 𝘧𝘦𝘸 𝘮𝘰𝘯𝘵𝘩𝘴, 𝘵𝘩𝘦𝘳𝘦 𝘢𝘳𝘦 𝘯𝘰 𝘸𝘰𝘳𝘥𝘴 𝘧𝘰𝘳 𝘩𝘰𝘸 𝘨𝘳𝘢𝘵𝘦𝘧𝘶𝘭 𝘸𝘦 𝘢𝘳𝘦 𝘧𝘰𝘳 𝘦𝘷𝘦𝘳𝘺𝘵𝘩𝘪𝘯𝘨.
𝘠𝘰𝘶𝘳 𝘵𝘦𝘢𝘮 𝘪𝘴 𝘩𝘰𝘯𝘦𝘴𝘵𝘭𝘺 𝘢𝘮𝘢𝘻𝘪𝘯𝘨 𝘸𝘪𝘵𝘩 𝘵𝘩𝘦 𝘰𝘯𝘨𝘰𝘪𝘯𝘨 𝘴𝘶𝘱𝘱𝘰𝘳𝘵, 𝘸𝘪𝘵𝘩 𝘬𝘦𝘦𝘱𝘪𝘯𝘨 𝘤𝘰𝘮𝘮𝘶𝘯𝘪𝘤𝘢𝘵𝘪𝘰𝘯 𝘸𝘪𝘵𝘩 𝘵𝘩𝘦 𝘳𝘦𝘢𝘭 𝘦𝘴𝘵𝘢𝘵𝘦, 𝘦𝘷𝘦𝘳𝘺𝘵𝘩𝘪𝘯𝘨, 𝘒𝘦𝘦𝘱 𝘥𝘰𝘪𝘯𝘨 𝘸𝘩𝘢𝘵 𝘺𝘰𝘶’𝘳𝘦 𝘥𝘰𝘪𝘯𝘨 – 𝘺𝘰𝘶 𝘢𝘳𝘦 𝘥𝘰𝘪𝘯𝘨 𝘢𝘮𝘢𝘻𝘪𝘯𝘨, 𝘢𝘯𝘥 𝘸𝘦 𝘢𝘳𝘦 𝘴𝘰 𝘵𝘩𝘢𝘯𝘬𝘧𝘶𝘭 𝘸𝘦 𝘥𝘰 𝘯𝘰𝘵 𝘩𝘢𝘷𝘦 𝘵𝘰 𝘴𝘵𝘳𝘦𝘴𝘴 𝘸𝘪𝘵𝘩 𝘵𝘩𝘪𝘴 𝘱𝘢𝘳𝘵 𝘰𝘯 𝘵𝘩𝘦 𝘰𝘵𝘩𝘦𝘳 𝘦𝘯𝘥. 𝘠𝘰𝘶’𝘳𝘦 𝘢𝘮𝘢𝘻𝘪𝘯𝘨.