Comparing one property with another – the thinking process When comparing one property with the next, you need to weigh up all the pro’s and con’s. Property investment is ultimately a numbers game. If you crunch the numbers carefully you should be able to get a...
Ownership of the Property You can trace back the ownership of a particular property to see how it has increased over past years. When was it first sold and for how much? How many times has it been sold subsequently and trace the history of that...
Contingency Factor for Growth On top of your opportunity cost ROI what you would then add is a contingency factor for growth. How much is this property in your estimation going to give you for growth over the long term, or the short term? You might...
Increasing Your Return Have a look at what else you can do with your existing properties. How else can you bring in more income? Can you do something with the beaten up old shed at the back? Can you turn it into a laundry? Can you...
Other Strategies to Get a Cash Positive You should be open to the possibility of alternative ways of investing here. Subdividing Subdividing is a growth strategy. However it can be used to make a multiple income streamed property. Dual Income Dual income properties are ones such as upstairs, downstairs, granny...
Creative Management and Creative Contracts Creative management and creative contracts are where you use your thinking-outside-the-box kind of mentality to bring things into the deal at contract stage Creative management can be through things like being able to economise on the regular rental of the property; things...
Equity Down Strategy This strategy is the most common strategy because for decades this is the only strategy investors ever contemplated. What I mean by ‘equity down’ is investors would typically save up a substantial deposit and buy a property, usually not too far from where they...
Manufactured Cash Positive in the Leasehold Living Market ‘Leasehold living’ is where you buy a larger vacant block of land, normally close to a town, not way out but, on the edge of town somewhere. You create an environment or ambience and put factory built transportable...
Creating or Manufacturing a Cash Positive Now that we understand what a cash Positive is and that they really do exist, it is important to realise that sometimes cash Positives come in disguise and you might have to modify them to turn what might at first...
Leasing and Sub-Leasing This is a strategy that is only suited to someone who is prepared to take a risk and someone who has the ability to negotiate a deal and really knows their market. This strategy entails negotiating a primary lease with a landlord and then...