What type of properties does Real Estate Investor™ recommend?
The key success factors to safer property investing are investing in properties that provide strong cash flows (rent) together with strong potential capital growth. Therefore clients can be assured that our researchers have ‘ticked off’ these criteria prior to the properties being made available to our clients.
All properties sourced nationally by Real Estate Investor are sourced through quality developers and builders. Real Estate Investor is not a developer and therefore we maintain a high level of independence in the properties we source.
What makes Real Estate Investor™ different?
We respect that each client’s current financial position and future needs is different. Therefore, we take the time to get to know your requirements before making any recommendations. Our team then work closely with you throughout the program to ensure you are kept fully informed every step of the way.
What is your research strategy?
At Real Estate Investor™ we believe that thorough research is the key to making a sound investment decision. Every property approved by Real Estate Investor™ has passed our strict 32 point criteria to allow our clients to invest with strong confidence.
The role of our researchers is to continually source suitable property for our clients using Real Estate Investor’s™ strict investment criteria. They liaise and negotiate with developers and builders to ensure Real Estate Investor secures great investment opportunities for clients.
The criteria includes
- Economic and employment growth for the area
- Population growth
- Demographics
- Infrastructure and industry forces
- Supply and demand
- Value for money
- Transport and location to services
- Rent
What is involved in an initial consultation?
Real Estate Investor™ offers a free no-obligation consultation at our premises or we can visit you at a location convenient to you. In this meeting we get to understand your needs and help you set your goals. Once this has been completed we then provide some personalised strategies and recommendations to get you started on the right track.
How do I know if the price I am paying for a property is ‘fair market’ value?
Real Estate Investor™ negotiates heavily with developers and builders to provide investors with the best price possible on each property. To negotiate a suitable price for a property, the Researcher will compare the price given by the vendor with other comparable properties using RP Data and other similar tools.
Most banks will also engage their own independent valuer to verify the property represent good value to the client and the bank for security. Should a property value be less than the proposed purchase price most banks will advise the client accordingly.
What is the difference between positive cash flow, negative cash flow and neutral cash flow?
- Positive cash flow means: that after all expenses of owning and managing your rental property has been met, you will have a cash surplus from your properties BEFORE any tax refunds are taken into consideration. At worst, you will be looking for a break-even situation.
- Negative gearing is where the investor needs to contribute money out of their regular income to support their investments. Since they also need to meet their living and lifestyle expenses out of that regular income, there is clearly a limit to how many properties the negatively geared investor can purchase before the banks say stop!
- Neutral cash flow means: that after all expenses of owning and managing your rental property have been met, you will have a ‘break even’ cash position from your properties BEFORE any tax refunds are taken into consideration.