[THE VAULT] ANOTHER GEM FROM THE BINVESTED PROPERTY VAULT
This example from the Binvested property vault was purchased $35,000 below market value. Three years later it was worth double its purchase price. Do the numbers stack up on this one? Hell, yes!
BACK IN 2012…
We found this Sydney apartment for one of our clients. At the time it was worth around $250,000. We negotiated a purchase price of just $215,000.
THREE YEARS LATER…
Units such as these were selling for around $450,000 to $480,000 a piece.
That’s right – the person who purchased this property made a quarter of a million in just three years.
HOW DID THEY DO IT?
They didn’t worry about whether the area was a trendy place to live. They didn’t worry about the style of the apartment or the complex.
Instead, they looked at the fundamentals and saw how well the numbers stacked up.
WHAT ARE THE FUNDAMENTALS?
1) Located in a good growth area.
2) Purchased below market value.
3) A neutral to positive cash flow.
THIS APARTMENT HAD ALL THREE OF THE ABOVE
The numbers worked, the deal was good and it was the right type of property that was purchased at the right time for our client.
No glossy brochures. No claims of guaranteed rent. No over-inflated purchase price.
JUST A GOOD DEAL, PURE, AND SIMPLE
Have you made money by focusing on the numbers in your investing? Please share your experiences in the comments section below.