Property Success Stories Of Christmas Past
Tis the season to be jolly.
Christmas is such a great time of year – the lights, the parties, the property bargains.
This Christmas, several of our clients will be celebrating solid financial growth after pulling the trigger on a property deal last festive season.
It’s enough to make even the Grinch feel merry.
Here are some property success stories from Christmas past.
Sweet Western Sydney bargain.
This client is sure to be singing Hallelujah after a bargain buy in Western Sydney paid off big time.
We purchased a unit for just $260,000 at the bottom of the market. About 24 months earlier, comparable properties were selling for $350,000-$380,000. Now, that’s a big discount.
The best part is that comparable sales are now around the $330,000 mark, which means the client has earned about $70,000 in equity in just 12 months’ time.
Another Sydney success story.
Last year, we purchased a 2-bedroom unit just 13km from the Sydney CBD for $330,000 for one of our investors.
It goes to show that not all areas of Sydney are unaffordable.
With the property’s current value now starting at $400,000, this client has every reason to crack a bottle of bubbly this Christmas.
Brisbane cracker lights up the festive season.
Another client pulled the trigger on an investment property in Brisbane for just $150,000 – that’s less than what it would cost to build.
With a $250 per week rental income, the property now has comparable sales at $200,000.
Ho, ho, ho! That’s a nice $50,000 in equity.
Golden location for a Christmas celebration.
We lined up a unit in the heart of the Gold Coast for $175,000 for our client. The property is in a complex of six, with a land value of more than $250,000. Being in a blue chip location, the unit has plenty of upside while the block has potential for future redevelopment.
Renting at $290 per week, the property also has a strong cashflow – and what better Christmas present than a growing passive income?
Who can benefit this Christmas?
Lots of people can, says Nathan Birch of Binvested.
Depending on the options available to you, and your starting capital, you could take advantage of different deals to put yourself ahead for the next year.
If you can get a loan.
Nathan says if you can get a loan, you may only need a deposit of $20,000.
This is a pretty small amount when you consider the equity earned by our clients over the past year.
Just $20,000 could see you buying a Christmas property bargain that could set you up for more and more purchases down the line.
Now, that’s money well spent!
If you can’t get a loan.
Been told no by the banks? Or, perhaps you left it too late to line up finance. Never mind – you may be able to buy a property outright for about $50,000.
Nathan says there are high yielding properties out there for just $50,000 that can help to improve a client’s servicing position by bringing in passive income.
If you have a property.
There could be a way of tweaking your current position as a property owner in order to build wealth.
Nathan recently had shipping containers put in his backyard for $1,000 each in order to rent them out for $100 per week as storage facilities. That means a $5,000 return each year on a $1,000 investment.
“If you have a property, then you are doing better than all the people who don’t have a property – what can you do to improve that situation?” He says.
If you’ve got a loan, you may be able to better your position by getting a cheaper rate or using equity to fund another purchase.
For those that have retired.
If you’ve left the workforce, you probably won’t be able to get a loan. But, if you have money in your super that you want to invest, then we can find you a property that can supplement your retirement income.
Nathan recently purchased a property for a client that will bring in about $200 a week after expenses. The client had about $300,000 in his super, and was able to use $107,000 to buy the property outright.
The same week it settled, another property in the same block came on the market for $250,000 – which goes to show just how good a bargain this client got.
If you are a first home buyer.
With just $20,000-$30,000 you could do a deal. Forget all those self-limiting beliefs about being locked out of the market, or needing a $200,000 deposit. If you think outside the square, you may be closer to achieving that first property purchase than you think.
How will you be “spending” this Christmas?
Have your friends started asking you this question? The funny thing is, no matter where you are, or what you are doing to celebrate, there will no doubt be plenty of spending involved. So, spending Christmas down the coast, or spending Christmas at home with family will mean spending your hard earned cash.
Why not break this tradition and spend it on something that will help you to create wealth rather than throw it away?
If you want to learn how to optimise your portfolio for 2020, click on the link below.