The Property Couch

Today’s podcast is a particularly interesting one as it gets a bit more political than usual! From talks about Brexit to the results of the American election last night, Episode 89 delves deep into one of the most talked about general elections in recent years and its potential effects on not only the United States, but on the world economy. Less than 24 hours after the result of the American general election, Bryce and Ben both discuss the potential impact of the new president-elect, Donald Trump and how his presidency could affect the Australian housing market. From discussing whether or not Donald Trump’s approach to his presidency will be pragmatic, these two “property hacks” talk about the effect this will have on stock markets, trade and housing to name a few. The guys will no doubt have enough to keep you interested for the next 30 minutes with their thoughts and predictions of the final result. Start listening to find out more.   If you like this podcast: “What Impact will Donald Trump have on the Australian Property Market?”, don’t forget to rate us on our iTunes channel (The Property Couch Podcast) and our Facebook page. If you have any questions or ideas, feel free to drop us your thoughts here: http://tpcaustralia.wpengine.com/topics/  

Last week’s podcast had been quite an interesting one! We strongly recommend you to listen to it twice to make sure you don’t miss out on Dr Andrew Wilson’s outlook on the Australian Property Market. This week, we are going back to Question and Answer episode and Bryce Holdaway and Ben Kingsley will be discussing:   * Question on a career as a property professional from Hayden: To the Property Couch, I have a couple of career questions to ask but firstly I just wanted to share my investment story so far and why I think what you are doing is so important. If I had your advice earlier, my circumstances would be much different. I am currently 25 years old; I began my investment journey when I was 17. My father suggested using the money I had saved for a car to use it instead to buy a house. This was in 2008 when the Rudd government was handing out the huge first home owner grants, when I had my first meeting with a mortgage broker (not even knowing what a group certificate was) they were suggesting I buy an off the plan unit. So put signed up for one in Frankston, Victoria from a company thinking they were giving me good property advice. This purchase eventually fell through due to the bank evaluation not coming through at the correct price. Then I signed up for another off the plan unit in Langwarrin, and after two years they had not even begun construction because the council was saying there was endangered fish in the creek near by. So I pulled out of that one and tried to purchase one in Carrum Downs 6 months later and this one fell through because the bank wanted 20% of the loan. Friends and family were telling me to give up by this point because of how upset I was getting, but I stuck with it and purchased one in Langwarrin. This time, a 2 bed 1 bath unit. This then turned out to be a very poorly built unit and eventually I received an insurance claim of $20,000 to fix the poorly built unit. After 4 years, this property has not delivered any growth at all and doesn’t look to in the near future either. Then I purchased a 1 bed 1 study 1 bath unit in a high rise in Ipswich, Queensland and this property has a lift, pool, spa, sauna, underground car park and a concierge.Even though I have made nearly every mistake you could make and still haven’t made a cent off property, I’m still obsessed with it and read and listen to every book and podcast and attended any event I can. I want to work in the industry to try to prevent this from happening to someone else but I’m not too sure what exactly I want to do. I was wondering if you would share some in-depth insights into mortgage broking and being a buyers agent. As much detail as you could would be helpful such as their daily tasks; (A) The pros and cons to each and how much they get paid? (B) And your thoughts on mortgage broking franchises or are you better starting off on your own? * Question on new developments from Brad: I realise that you guys are biased towards investing in established homes, usually with a short disclaimer on how you may have invested in new developments at some stage in your lives. In the interest of a more balanced argument, I feel it would be beneficial to offer someone in the industry who focuses on investing in new developments the chance to put their views forward. Just as there are good and bad established homes the same rings true for new or off the plan developments.

If you were at the Sydney Property Buyer Expo last weekend, you probably listened to this episode already but for those of you who weren’t there, Bryce Holdaway and Ben Kingsley recorded a LIVE Podcast with Dr Andrew Wilson on the Future of the Australian Property Market! Dr Andrew Wilson is the Chief Economist for the Domain Group and is an appointed housing market expert and adviser to the Federal Government funded, Australian Urban Research Infrastructure Network. He holds a PhD and Masters by Research in Housing Market Economics and has previously held senior property and construction research positions within industry, academia and government. So for today’s episode, the three of them will be talking about: * Why is he so optimistic about the Australian Property Market? * With Sydney and Melbourne experiencing double-digit growth in recent years, are there any trend or changes to investing in residential property? * How long with Sydney and Melbourne’s property market continue to grow at the current rate? * What is the level of investors’ activity in Melbourne and Sydney and how will this affect these cities in the future? * Is there a housing under-supply issue in the Sydney metropolitan area? * What is the outlook on other states such as Perth, Brisbane and Darwin? * Will there be a different type of property market cycle in the future and where are we heading to? * How will the demographic in metropolitan areas changes and the ratio between tenants and owner occupiers   As mentioned in the podcast, if you would like a copy of Dr Andrew Wilson’s slides (Australian housing markets report; Sydney back to the boom – The rise and rise of investor), just fill in the form below and we’ll send it directly to your email:   If you like this podcast: “What’s the Future of the Australian Property Market? – Chat with Dr Andrew Wilson”, don’t forget to rate us on our iTunes channel (The Property Couch Podcast) and our Facebook page. If you have any questions or ideas, feel free to drop us your thoughts here: http://tpcaustralia.wpengine.com/topics/

Have you heard about the myth that all property double in value every 7 – 10 years? If this is true, it is certainly an irresistible offer! But if it is true, why isn’t everybody investing in property? Unfortunately, based on the report recently released by Core Logic (download link below), this is simply not true. In fact, only three capital cities in Australia had doubled their median house prices in the last ten years and so, for today’s episode, Bryce and Ben will be doing a bit of myth busting.   They will also be answering a question from Stacey: Hi Ben & Bryce, I have a question about the suburb of Cranbourne in Melbourne… I recently went to a property seminar in Melbourne and the presenter was telling us that Cranbourne will be a big growth area in the future, along with Pakenham, Officer and another suburb I cannot recall. Do you think this is true? Only because my partner has a house in Cranbourne he has invested in and is renting out at the moment, and we are not sure whether to hold onto it or not. Many thanks guys and I am loving your podcasts.     Free resources mentioned in this podcast: * How many suburbs have seen median prices double over the past decade? By CoreLogic, October 2016 – Read here * FREE Tickets to the Sydney Property Buyer Expo (Coupon code: PBE16BRYHOL) – Get them here * Salvation Army Moneycare Day – Learn more here   If you like this podcast: “Does All Property Double In Value?”, don’t forget to rate us on our iTunes channel (The Property Couch Podcast) and our Facebook page. If you have any questions or ideas, feel free to drop us your thoughts here: http://tpcaustralia.wpengine.com/topics/  

Are you into economics, numbers, trend lines and the Property reports released by CoreLogic? If you are, this episode is just for you! It can be a bit heavy and we recommend you to download CoreLogic Monthly Housing & Economic Chart Pack for October 2016 to have a full understanding of what Bryce and Ben would be talking today. Their focus is on Page 10 of the report, titled Investor lending is picking up again as owner occupier lending fades a little. Bryce and Ben are also a bit concern about the current market’s movement and if we are heading towards a bubble-like scenario. If so, would now be a good time to invest in property? Tune it to find out more!   PS: They will also be talking about the recent article Ben contributed to Australian Property Investor Magazine regarding Timing vs. Time in the Market and the differences between these investing concepts!   Free resources mentioned in this podcast: * CoreLogic Monthly Housing & Economic Chart Pack, October 2016 – Download here * FREE Tickets to the Sydney Property Buyer Expo (Coupon code: PBE16BRYHOL) – Get them here   If you like this podcast: “Is NOW The Time To Invest In Property?”, don’t forget to rate us on our iTunes channel (The Property Couch Podcast) and our Facebook page. If you have any questions or ideas, feel free to drop us your thoughts here: http://tpcaustralia.wpengine.com/topics/  

Yes, we know it can sound a bit contradictory. This is a property podcast with two of Australia’s top property experts and we even did an episode on why invest in property! So why would we talk about not investing in property? Well, the fact is, investing in property is not the perfect type of investment for everyone. There are certain times in an investor’s journey where it is simply a bad time to start investing. There are also times when investors need to first reflect on their mindset before they start. Property investing is a high-value investment, and you’ve heard us repeatedly saying that it is for the long-term. It’s like following a recipe. If you don’t have all the essential ingredients in place, it’s best if you don’t cook the dish. So if you don’t have everything in line, it may be better for you to stay away from it for the time being. So in today’s episode, Bryce and Ben will be sharing a few reasons on why you shouldn’t invest in property. The first is when you decide to invest purely for tax purposes.   Free resources mentioned in this podcast: * CoreLogic Pain and Gain report – Read here * Money SMART Report – Download here * Webinar with Bryce Holdaway and Jane Slack-Smith on Renovating an Ugly Duckling – Register here * FREE Tickets to the Sydney Property Buyer Expo (Coupon code: PBE16BRYHOL) – Get them here   If you like this podcast: “Why you Shouldn’t Invest in Property?”, don’t forget to rate us on our iTunes channel (The Property Couch Podcast) and our Facebook page. If you have any questions or ideas, feel free to drop us your thoughts here: http://tpcaustralia.wpengine.com/topics/  

If you are new to property investment, don’t you want to know what the sophisticated property investors are doing? Why would you want to reinvent the wheels? It will certainly save you more time and money if you understand the norms and fundamentals from those who have already experienced the journey. So this time on The Property Couch podcast, our hosts will be discussing the practices of a sophisticated property investor. Their discussion will be based on the recently released PIPA Annual Investor Sentiment Survey. It’s the only sentiment survey for property investors in Australia and has a unique sample of Australia’s property investment community. Distributed via PIPA’s extensive investor networks, it provides a rich insight into the views of Australia’s investors. Some of the key findings discussed in this episode are: * What do investors feel about the long-term merits of real estate? * Does negative gearing really matter? * What kind of dwellings are the sophisticated property investor going for? * How much attention are they giving to the property market cycle? * Where do they get their advice from? Tune in to start listening!   Free resources mentioned in this podcast: * 2016 Annual Investor Sentiment Survey – Download here * Webinar with Bryce Holdaway and Jane Slack-Smith on Renovating an Ugly Duckling – Register here * FREE Tickets to the Sydney Property Buyer Expo (Coupon code: PBE16BRYHOL) – Get them here   If you like this podcast: “Do you think like a sophisticated Property Investor?”, don’t forget to rate us on our iTunes channel (The Property Couch Podcast) and our Facebook page. If you have any questions or ideas, feel free to drop us your thoughts here: http://tpcaustralia.wpengine.com/topics/  

It has been 3 weeks since our last Question and Answers episode, so it’s about time for another one! Thank you again for sending in your questions. For today’s podcast, we will be answering these questions: * Question on tenants vs rents from Mark: Is it better to keep a great tenant on a lower rental, than push for a great rental return and gamble with the quality of new tenants (and subsequent vacancy in between.) * Question on exit strategy from Tom: Hi, I would like to hear more about exit strategies when time is not on my side. I have just turned 50, with my youngest child in yr 12 and eldest living in eastern states. My principal place of residence (PPOR) is paid off (value $1.1M) and I have 2 investment properties with a combined value of $1m. But an investment loan of $1.2m. The reason for the negative Equity is that I have been capitalising. The investment interest whilst I directed all rental income into paying off my PPOR. So now I need to know what is next. My goal is to retire or work reduced hours in and on a corporate role by age 55. I am presently in a well-paid job paying about $220k and have about $270k in super, which I am contributing up to the max.$35k pa. I can’t get my headspace around what to do next. any suggestions would be appreciated. * Question on investing in property overseas from Sean: Would be great to hear your thoughts about investing in property overseas as part of a portfolio, particularly NZ. There’s some “wave rider” type activity gaining momentum around Auckland, which has become a heated market it seems. * Question on career in property investing:Hi Ben & Bryce, Firstly I would like to say you guys are doing an awesome job with the podcast. Have been listening from the start and as a born and bread Victorian now living in NSW I love the footy talk!!!!I would also like to congratulate you on your book “The Armchair Guide to Property Investing“. I will be handing it out to numerous friends and family as I believe it is gold when starting out and not knowing which direction to go.So some background on my situation. I started educating myself 2 years ago with every property podcasts/book I could find and now believe I have the foundations for property investing going forward with the right team around me (coach, broker, accountant, solicitor & acquisitions team).We moved to the Hunter Valley to set ourselves up to give us more “choices” in the future. I am currently on a high income of $140k as a coal miner but to be honest, my heart isn’t in it anymore and I don’t enjoy my work (except the pay each fortnight).The reason for reaching out to you guys is because we currently have a 3 year plan (possibly shorter) to move back to the Geelong area to be closer to our family and also closer to Melbourne because we live and breathe AFL. By then we plan to have 2-3 good capital growth properties in our portfolio in major cities utilising the high income (currently in process of acquiring property in Brisbane as I write this email).By the end of 2016 my goal is to complete a Diploma of Finance and Mortgage Broking Management because I believe that everything revolves around finance in creating wealth through property. I am also working towards 1-2 weeks work experience with my property acquisitions team to see how everything operates on the ground. My question to you guys is what else would you recommend I do over the next few years in preparation to help transition into the property investing line of work (educating others to create wealth or something down that path).  

Thank you for coming to our Facebook Live event on 13th of Sept! We received a lot of great questions that night but unfortunately, time ran out and we couldn’t answer all of your questions. We really do appreciate you taking some time away from your busy life to listen to us so that is why we are recording a bonus episode (or as Ben called it Bonusisode) today to answer all the remaining questions!   And for your convenience, here’s the list of questions that we answered in this episode along with the order they are in.

For today’s podcast, we have Stuart Wemyss, owner and Director of ProSolution Private Clients joining us to talk about his property investment journey and his investing philosophies. Coming from an Accounting and Finance background and with more than 19 years of experience in the investment services, Stuart is also a PIPA Member and has authored two books; Smart Borrower’s Handbook and The Property Puzzle. So for today’s episode, the three of them will be talking about: * When did he buy his first property and how did he start investing in property * What are the lessons he learned when building his property portfolio * Why does investing for the long-term matter and the mindset needed for this approach * In his role as a mortgage broker and finance specialist, what are the common mistakes he has seen over the years * What are his tips for listeners when they are choosing an investment advisor * Two questions you need to know the answer for before prior to building an investment portfolio * What he thinks about commission-based financial advice   [alert]Don’t forget to download the Property Investor Sentiment Survey 2016 Report! – Download here[/alert]   And if you are interested to learn more about Stuart’s books, here are some reference points: * Smart Borrower’s Handbook | An Essential Guide for Property, Sharemarket and Superannuation Investors – Buy here * The Property Puzzle | A Simple Guide for Property Investors on How to Develop a Safe Financial Plan – Buy here     If you like this podcast: “Does Investing for the long term actually matter? – Chat with Stuart Wemyss”, don’t forget to rate us on our iTunes channel (The Property Couch Podcast) and our Facebook page. If you have any questions or ideas, feel free to drop us your thoughts here: http://tpcaustralia.wpengine.com/topics/

One of the negotiation tips mentioned in previous episodes is to understand the vendor’s motivation to sell. Once you understood that, you would have a better idea on what to negotiate on and increase your chances of securing that property. But as always, this is easier said than done because how would you know if the real estate agent is clouding the truth? Hence why you need to make sure you are asking the right questions, in the right way and is capable of assessing the agent’s reaction to your questions.   In some cases, some vendors are extra motivated to sell and you can take advantage of this to help you boost your chances. So in today’s episode, Bryce and Ben will be discussing the four ‘D’ words that would indicate a very motivated seller. They will also be sharing some of the questions you need to ask to spot these situations, answers from real estate agents that you should look out for and negotiation tricks that you can use if the vendor’s motivation fall into these 4 categories. Start listening to find out more.   If you like this podcast: “The Four ‘D’ words that equal a motivated seller!”, don’t forget to rate us on our iTunes channel (The Property Couch Podcast) and our Facebook page. If you have any questions or ideas, feel free to drop us your thoughts here: http://tpcaustralia.wpengine.com/topics/  

It’s the first day of Spring and a perfect time for a Question and Answer episode! Bryce and Ben started off with some of their auction stories on underquoting and a general market update.The property market had been rather cold this winter but with that over, what will we be expecting these coming months?   Here are the questions for today’s podcast: * Question on new developments next door from Jesse: My question is regarding to the current development boom that has exploded all over Melbourne as it relates to my property in bayside Melbourne. My wife and I bought a town house in Cheltenham about 8 years ago. It is on a reasonably busy road that goes from Nepean Highway down to the beach in Sandringham. We have been diligently paying it off as quickly as we can in order to give ourselves some freedom (we are both freelance) and now we are looking to buy our first investment property. This week the house next to us and the next seven houses along have all got ‘For Sale’ signs up in front. Our understanding after a brief chat with the next door neighbours is that they have all been approached by a developer who wants to build a large mid level apartment block right next to our house. Our concern is what impact this will have on our property value. We are now planning to move out and ‘rent-vest‘ as we don’t want to stay there through this construction phase. Our main concerns are: (A) How this will impact the value of our property when it comes to us getting a loan for an investment property. (B) The impact this will have on our ability to rent out our townhouse if this new development goes ahead. In light of this are we better off trying to sell now and cut our losses or stick with it as a rental. * Question on cash flow from Sonia: Hi Bryce and Ben, I am a big property fan and have been listening to every single episode of the property couch. I have a few investment properties in the Sydney inner city suburbs. Besides that I also have a decent amount of savings in cash. I just quit my job to study interior design, hoping to set up my own business later on. I am a typical rich in assets and poor in cash flow example. Just wondering what is your investment advice for people like me. Thank you. Sonia * Question on property portfolio fromKhai: * Q1) Is it better to pay off the mortgage or keep buying Investment properties? * Q2) I have forecasted passive income of $60,000 (as a couple) in next 10 years (assuming 5% annual price rise and if I sell down my 6 properties to fully own 3 including PPOR). How do you increase this to 100,000? Keep buying 3-5 more properties in next 5 years. * Q3) How do I fix a severely negative cash flow portfolio (minus $25k annually for 6 properties)? Options I have in mind are: building a granny flat, refinancing to lower interest rates, raising rents, converting car space in townhouse to LUG (costs probably $10,000 per townhouse but increase rents $1k per year), converting car space in townhouse to LUG (costs probably $10,000 per townhouse but increase rents $1k per year) * Question on develop or buy from Adam: I own a positively geared corner propert...

Investing in property is considered as a relatively safe investment class but as with other types of investments, there are some downfalls that you need to be aware of. So in this week’s podcast, Bryce Holdaway and Ben Kingsley will be sharing their ten biggest property investment risks. They will be unpacking this list from a macro point of view such as factors that are beyond an investor’s control down to a micro level. Bryce and Ben will also be discussing some risk mitigation strategy that investors can apply when building their property portfolio. The first macro risk is General Market and Economic Risks. Although each one of us contributes to the country’s performance as a whole, individually, we still can’t influence it much (unless of course, you are a multi-billionaire). So, if a country is performing poorly for example, during the GFC period, some property market would be affected, and this would impose some degree of risk if you are a property investor. Economic activities in a state level also could be a risk because this affects employment rate in the area and hence, your potential tenants as well the value of the investment property. Listen to the podcast to find out the other 9 property investment risks.   Some of the resources mentioned in this podcast: * Webinar Replay with Jane Slack-Smith and Peter Koulizos – Register here * Facebook Live Chat (September 13) – Join here * Vote for us for the Reader’s Choice Award – Vote here * Episode 5 – Asset selection – Listen here * Episode 31 – Checklist to getting a great property manager – Listen here * Episode 53 – The Money SMARTS System – Listen here  

What is the possibility of investing in property with the right strategy, in the right market, at the right time? Well, that depends. Now, we know this sounds really vague but in order to determine that, one need to ask if they have the right understanding in the first place? Because it is very dangerous if the perception of a right strategy or a right market is wrong and you go ahead and build a property portfolio based on your assumptions. For example, if Alex believes that capital growth is the right strategy and buying within 5km radius from Melbourne CBD is the right market, then he would be in a very tricky situation because the supply at the moment is quite low (unless he has a very deep pocket). So in this episode of The Property Couch podcast, Bryce Holdaway and Ben Kingsley focuses on understanding what is considered as “the right market” and why it is important that you take the long view on where the market is going before committing to anything. Bryce and Ben will also be answering Maria’s question on cash flow management and an investor’s mindset. Here’s the question: “Hi guys Love the podcast and the book,  well-deserved success with both. How do you draw the line between good cash flow management and depriving yourself of things you enjoy? My husband and I have always lived within our means and we now have two properties under our belt in Sydney, with plans to buy more. We’re in our thirties. But I’ve found that as we’ve come along the investing journey I’ve become increasingly preoccupied with spending less. I have no issues buying necessities, paying bills, or paying for things that benefit our investing or our health. I don’t blink an eye at spending on insurances, BA fees, etc, because those things are useful and necessary. However, when contemplating discretionary lifestyle purchases, often costing less than $100 (you know, stuff you don’t need, but want) I spend weeks analysing whether to buy, to the extent that I’m spending too much energy on it. I guess I worry that if I spend $100 here and $100 there, I’ll just eat away at our cash buffers. What are your personal real life experiences with discretionary spending while trying to build a property portfolio? Did you and your family buy your toys and vices freely, or did you find yourself analysing every purchase? I want to have the best cash flow position possible, but I want to have occasional frivolous luxuries too. I know I need some sort of mindset shift, but what does that shift look like?”   Some of the resources mentioned in this podcast: * Webinar with Jane Slack-Smith and Peter Koulizos – Register here * Game of Property Investing – Find out more here * Facebook Live Chat (September 13) – Join here * Property Investor Sentiment Survey by PIPA – Find out more here * Episode 53 – The Money SMARTS System – Listen here   PS: And we’ve just achieved half a million downloads on the podcast! Thank you so much for all of your support and feedback. We will continue to provide good quality contents, ‘unpack’ more frameworks and case studies and answer your questi...

  This time on our Special Guest Episode, we’ve got Veronica Morgan on the Couch! Most of you would have known her as the co-hosts of Location Location Location Australia on Foxtel Lifestyle Channel with Bryce but when they aren’t filming, Veronica is the Founder and Principal of Good Deeds Property Buyers. She is also the Vice President of the Real Estate Buyers Agents Association of Australia (REBAA) and an active property investor herself. So for today’s episode, the three of them will be talking about: * What does REBAA do and why did she join it? * Her transition from a selling agent to a buyers agent – why did she switch sides? * How is the regulation in Sydney differs from other states such as the gazumping law? * Her journey as a property investor – what motivated her to start investing? * How did the recent market boom in Sydney affect her role as a buyers agent * What are some of the principals and strategies when it comes to building a property portfolio after the boom * Her asset selection tips to finding an investment grade property * Some of the mistakes and lessons learn in her property investment journey   PS: We hope you enjoy watching the video and we would really like to hear what you think about it! If you like it, let us know and we will produce this more regularly.