- Hey guys and girls.
Nathan Birch here from Binvested.
Just out and about looking at some properties, and
talking a bit about why I bought these,
what I bought here,
and how you can make money and
where I'm at with these types of properties.
I'm out in sunny downtown Tragear
in Western Sydney, out near Mount Druitt.
I've got a few townhouses,
not these ones, I've got ones around there
but there's tenants and stuff in the area.
As we can see here,
we'll just have a look around.
You know, it's a decent little complex.
We've got little kids running around in the background.
With this area here,
these owners that initially bought in this complex -
there's nine properties in here,
they all went bank repo -
I think the sales were around $350,000,
that was back in about 2003
that they sold for.
And they were fully renovated.
There were all brand new looking things.
Everyone went bank repossession in 2005, 2006.
I bought a few in here.
I can't remember the prices exactly.
I think they were $125,000 or $130,000, $140,000,
those numbers ring a bell.
I picked up these three bedroom townhouses
that had good depreciation.
They rented at the time for about $230 per week,
so that was like a good 10% yield at the time.
However, nowadays, they're renting for like
$360, $370 per week.
The values of them,
I've got one on the market which is a two bedroom,
a little, tiny one
that's on for $400,000.
I plan on putting on the three bedroom for
about $450,000 in the next couple of months.
And just cashing out on some capital
and using that for nicer properties and stuff like this.
But this here,
these properties here were good foundation
type of properties for one's portfolio.
One could turn their nose up at them,
or whatever the case may be,
but this is where it all sort of started,
like these type of properties.
I'll show you some other ones.
I've shown you my first home heaps of times.
But yeah, with these sort of properties,
good foundation properties for one's portfolio.
If you're looking at a purchase price of $140,000, $130,000
selling them off for $400,000, $450,000 ten years later.
People say there's no money in these type of things,
these things worked for me.
Are they gonna work for you today?
I don't really think so,
at buying them for $450,000 or $500,000 or whatever the case may be.
But there is lots of different opportunities
out there for one to make money in 2017.
It may not necessarily be in Sydney.
A lot of people look at Sydney and say,
"I want to buy in Sydney," or whatever.
Well, when I bought in Sydney,
I didn't necessarily want to buy here either.
I wanted to buy properties that I could afford
that were in Sydney or as close as possible,
and this is what I felt comfortable with.
However, there's areas like this in Brisbane
where you can pick up something like this
for $170,000, $180,000, $190,000.
You wouldn't go build a whole portfolio
with these type of things.
My foundation portfolio consisted of lots of
different types of properties
at that $200,000 to $250,000 price range.
If you need help with building your
foundation property portfolio,
you can call us on 1300 367 925.
We'll catch up soon.
Email us at admin@binvested.com.au
and we'll catch up soon.
Have an awesome day.
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