Becoming A Borderless Investor

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In this episode of Real Estate Talk, Kevin Turner interviews Bryce Holdaway about how investors should invest in the current property market. He believes professional investors need to focus on becoming borderless investors. He talks about what you need to do to prepare.

Here’s the transcript:

 

Kevin: Bryce Holdaway from Location Location Location Australia on Foxtel joins me once again. He’s also a partner in EmpowerWealth.com.au.

Bryce, talking specifically about the Sydney market, do you think it’s too late to be getting into the Sydney market because it’s so hot?

Bryce: For anyone in particular who is thinking about being a first-time investor under the fear of missing out, I’d certainly suggest Sydney isn’t the place for them to be dipping their toe in the water. They’ve had double-digit growth, above-average annual growth, for the last couple of years, and with over 80% clearance rates, I think there’s a challenge in that it might be well and truly getting to the top end of the cycle.

Back in the boom of 2001 and 2003, Sydney did something similar, but then from 2004 to 2007 it tracked sideways for quite some time. I think that would have been a challenge for the people who were holding real estate that time period.

Kevin: Is Sydney unique in that?

Bryce: No. I guess Australia is not one big marketplace. Perth in particular is in for a bit of a tough time, but it has been going great over the last couple of years. I think if as an investor, you see Australia as not being just one big marketplace but made up of hundreds of submarkets, if you’re prepared to be a borderless investor and move your money around the cities and states that have the best chance of being in the right part of the cycle, over a period of ten years, you can give yourself the best chance of getting the maximum out of the market rather than just staying in your own backyard and waiting for time to just be your friend.