The Goose That Laid The Golden Egg

Some years ago I purchased a shop with an apartment upstairs in Bondi. Over that time it’s produced awesome cash flow for me. A few years ago, with zoning and planning changes in the area, I was able to build up and adding two apartments above which added to the cash flow considerably. The original leases, of course, had built in rental increases, which, subsequently increased the value of the property over time. But when you start adding on apartments, you not only increase the …

NEGOTIATION STALLED? Here’s how to breathe new life into it.

From time to time when you’re negotiating on a property purchase negotiations can stall. Maybe your offer is too far from what the vendor wants, or maybe you want a “Subject to” clause that they don’t understand or are unwilling to grant. Luckily commercial negotiations can often take quite some time, running over weeks or even months so you may have more time than you are used to, to work through the details of the deal. Here are a few ideas use could use to …

Are We Seeing A New Breed Of Shop Opportunity?

I’ve mentioned that I’ve been upgrading my Bondi property by adding new apartments to it out the back of the existing commercial building. To not disturb the tenants (or at least as little as possible), I opted for a prefabricated modular building design. It means that the buildings are built in a factory and delivered and installed very quickly. It takes the actual on-site construction time from 9 months to 4 weeks or thereabouts. It was the convenient way to build in this instance, but …

How To Get 50% To 100% more Cashflow From Your Residential Investment Properties

It’s clear that most “investors” in Australia go for residential properties. That’s all well and good but what about the cash flow yield… Generally it’s shocking. Eventually the more adventurous find their way to commercial… But transitioning from residential to commercial doesn’t need to be such a huge leap or mean that you need to get rid of your existing portfolio in order to lock in some higher yielding commercial. In this podcast I talk about one of my favourite strategies… It’s a “pseudo-commercial” strategy …

double your cash flow with short term stays

Like any smart investor I have a diversified portfolio. I have both commercial and residential properties on the go. Not only that, I have some residential that is just that… rented out as a family home. I also have residential that I treat as commercial and let on a short term holiday basis. Why? Balance. It means there is a nice balance of capital growth and cash flow. In the long term, this kind of balance provides stability. It means that you become, in a …

An Apples To Apples Comparrison Of Investment Returns

As you probably know, if you’ve been reading my articles, or listening to my podcasts, I’m pretty gung-ho about commercial property. Mostly because of the cash flow. But I wanted to make some direct comparisons to really drive the point home. If you invest in residential property – or don’t invest yet but are thinking about it… consider this: An investor who owns residential property would consider themselves lucky if they could get a rental return of 4% pa on a house and 5% pa …

One Crazy Idea Is Now Set To Make $30k Passive Income.

More than 20 years ago I reached the point in my investing career where I was making so much passive income that I really didn’t need to work anymore.   And that’s exactly what I chose to do…   I packed up my possessions and moved up to Byron Bay where the climate was warm enough to surf every morning (without having to freeze my brass monkeys off) and live a relaxed life.   I’m now doing what I can to help others achieve the …

Why Commercial Beats Every Other Asset Class For Investing

Finance experts reckon more fortunes have been made through land than any other asset class available. and they also say that commercial real estate is one of the most dynamic investment classes in the world. Commercial real estate is the only major asset class that produces high yields, significant equity buildup, can be efficiently leveraged for massive gains, has the security of a hard asset that you can see and touch (intrinsic value regardless of an income stream), and provides some of the best tax …

Quarter Of A Million Passive Income From A Single Deal

I recently did a short interview with one of my students who just completed an amazing deal. I recorded this because I wanted my other students to learn from this. However just so others can see what’s possible if you learn and know your stuff, this is the shorter abridged version of this interview. In this interview Tim talks about how he found this property, the deal he created, the money he had to put into this deal and what he’s going to get out …

What Drunk BBQ Braggers Don’t Tell You (Nor Does The Media)

I was at a dinner party BBQ recently. I was just there to relax and have fun with my friends, but I couldn’t help listening in to a conversation with this guy I’d never met before about his residential property portfolio. I guess there’s always one at every party right… He’s had a few too many drinks, he’s talking too loud, and he’s bragging about how much money he makes… A self-proclaimed expert in all things government policy. He was quoting the former treasurer who …