Has existing equity and starting a family soon!

Matt’s story is the next story I’m going to tell. Matt Skehan is another one of our Buyers Agents out of our Melbourne office. His Story Behind The Numbers, relates to a couple who are in their early 30s, they’re based down in Geelong. They timed their owner-occupied purchase really well down in Geelong, where they’ve seen some incredible growth over the course of the last couple of years. What has that allowed them to do? It’s released a lot of equity for them. They have a young child, as well.

What happens when you start to have family, you start to think about all the important things. You start to get a little bit more serious about life. You want to start to think like a grown up does. What they do is think, How am I going to provide for my family over the future? They decided that property investment was going to be their thing. Matt had a brief of around $550,000 dollars. We were looking for growth targets around that 6.5% with a yield story of around 4%.

Where did we go shopping? We went shopping in this particular case, up in Brisbane, in a suburb called Aspley. Now, this is a very interesting story. I always love some of the unique sort of back stories of the vendors. A good Buyers Agent is always going to get a lot of the back story, the motivator of the vendor, why are they selling, what’s the story.

Here’s how this story plays out. The vendor is 96 years old. Her husband, who had passed, actually built this double story brick home himself. Beautifully built home, pristinely-presented property, but in original condition. We are talking about the bathrooms being sort of 70s bathrooms, kitchens, but spotless. Absolutely beautifully presented property, which when it came to market, considering the meeting in Aspley. Sitting in around $600,000 dollars, we bought this property under competition. How much competition are you thinking? Well, here it was…

There were 18 offers on this property. 18 offers!

We were able to secure it for our client with a view that we were going to do some little touch ups on the property. We set aside a budget of between, $15,000 – $17,000 dollars. We’re going to take up the old carpets because underneath are beautiful hardwood floors. We’re going to polish those floors up. We’re going to give a spruce up. We’re not going to change the bathroom. Everything was so well maintained, that instead of ripping up the old bathroom, we’re going to put that special coat of paint on it — that just freshens it up. It’s going to make the bathroom look nice, clean and white. It doesn’t necessarily mean ripping out the old tiles, the old bathtub.

Everything is in good working order. Couple of new taps, and we’re away. That is a really, really good story. How did we win the property? It’s always down to great negotiating and best terms. We think we got in there because we had a cash offer. No clauses. We’d lined up our lending through Sarah King in our Mortgage Broking team. That allowed us to strike when other people might have said, subject to finance, or some other conditions around that. That property settles this month. We’re doing those renovation works, and we’ll get a tenant into that property. That property, given when it was built, will be standing well beyond my years, and will allow the couple to be able to get some great tenants into that property. Beautiful, good sized block of land, a fantastic property sitting on that.

Check it out in the photos below. You can see what I mean about in original condition. Just look at how spotless it was! Just an incredible property. Well done Matt! Great buy. I’m sure those clients will be thrilled to put that property into their property portfolio.

 

 

 

 

 

 

 

 

 

See all of the Stories of The Month here

There’s obviously a lot more activity that’s happening. We bought 25 properties this month. We did 47 plans. There’s a lot more buying that’s going to go on in marketplaces when other people are fearful. If this is of interest to you, and you want to learn more about the services that we offer here, please feel free. We do an initial free consultation with no obligation at all. You can learn about our services and how we can help you get on the property ladder, but most importantly make sure that you retire wealthier tomorrow.