The Property Couch

It’s podcast day, yay! Today we have a special guest on indeed — Pete Wargent! Aside from achieving financial freedom at AGE 33 (yep) through property investing primarily in London and Sydney, Pete is now one of Australia’s leading experts on market trends, co-founder of AllenWargent property buyers, a 4-time published author, a Buyers Agent and a blogger —http://petewargent.blogspot.com.au/   Originally from the UK and now living in Brisbane, Pete has a worldly insight into investing, finance, shares and is our first guest who achieved a passive income with an international property portfolio. So how many properties did it take Pete to retire? Pete and the boys discuss: * How he retired as a multimillionaire in his early 30s (Pete works for fun now) * What he did after he said goodbye to his fulltime job as a Chartered Accountant * When and why he started investing * Why he has never sold a property (Does investing for the long term actually matter?) * Investing in London and the considerations involved * The problems with drawing comparisons with world cities (i.e. Melbourne Vs London) * Pete’s Property Investment Mistakes * The consequence of Brexit on property investors * His thoughts on franking credits * Does he recommend Australians buy in London? * The hard lessons of growing up in a recession * What is the equity target to achieve a passive income? * The important variables to identify a trend to find investment grade markets * Investing in Sydney vs investing in Brisbane (he has now invested in Brisbane) * The importance of taking action * What NOT to do if you’re investing in the stock market * His investment decision on off the plan/high density apartments   Pete’s own books and seminar mentioned: * Get a Financial Grip and The Wealth Way (out in October). * Money for Life : Saturday October 7 , 9am – 5.30pm (Sydney) – And a special 2-for-1 deal just for our podcast listeners: Click here to book your tickets!   Interested to join us on Facebook LIVE next Wednesday, 4th of October at 7:30pm? Register your interest here!    

Alright, folks! Joining us on the couch today is Alan Kohler, the renowned Australian financial and newspaper journalist! Aside from being the founder of The Constant Investor and co-host of The Money Café podcast, Alan has a wealth of knowledge and experience (which started since 1979, mind you) in the financial sector. To give you an idea, Alan was the Editor of The Age and CEO of Australian Independent Business Media Pty Ltd (which published the Eureka Report and Business Spectator). Currently, he’s a Finance Columnist of The Australian, the Financial Reporter for ABC News and the host of ABC Inside Business (for 12 years) AND like us, has his own show on Qantas’s Inflight Radio called Talking Business with Alan Kohler. And this is not even his entire resume! (So you’re in for some SERIOUS learning.)   Alan and the boys discuss: * How did Alan flourish in an industry he once had no interest in or knowledge of? * What was it like to live through the digital change (and how did he leverage off it to lead a successful career)? * What did he do to stop Financial Advisors from operating in a commission based system? * Yesterday’s US Federal Reserve Board Meeting and it’s possible implication to the Australian Economy * What is Donald Trump’s Impact on the economy? * How is the Australian Economy fairing? * Will the demand for Sydney and Melbourne markets continue? * What and why is the difference between total GDP numbers and GDP per capita matter? * How does inflation impact on interest rates and why are the Central Banks of the World care about it so much? * What is the reason for increased asset prices (and does Alan think it’s a good thing)? * Potential risks with asset selection in outer suburbs * Will there be an interest rate rise this year? * How much of an issue is housing affordability in terms of predicting the market?   Oh, and these are the books (aside from his own) Alan mentioned: * Guns, Germs and Steel, Jared Diamond * Competitive Advantage of Nations, Michael E. Porter   And of course, here are the other resources mentioned in the today’s show: * Making Money by Alan Kohler – Find out more here * Free Tickets to Sydney Property Buyer Expo – 20 – 22 October 2017 (Code: PROPERTYCOUCH) – Secure your tickets here * LocationScore’s Webinar on Property Hotspots & How to Find Them – Choose a Session Time here or on the form below:

Spring has sprung! And it’s the selling season, indeed. Properties look more beautiful — the lawn is luscious, the sun’s out, there are flowers all around … these all tickle your emotions, charming a lot of buyers to come out and bid. And pay an emotional price too — a lot more than the property is worth! So how do you make sure you knock out all the competition AND still buy the property at a price you can afford? In this episode, the boys explain the 7 tips to Buying in Spring to make sure you, as a property investor, succeed!   Bryce and Ben discuss: * Why is Spring the selling season? * The importance of a vendor’s motivations and which ones could get you a cheaper price (you can listen to The Four D Words here) * What to look out for before you make an offer * How AND when to make a knockout offer * How to outsmart a real estate agent by not being smart * What do you need to say to a real estate agent? * What type of buyer do you need to be in Spring? * When does the negation actually start and how do you negotiate to win? * What to do (and what to not do) at Open For Inspections * How do you find out what a property is really worth? * The power of having a Plan B and why you need it in a negotiation? * First Home Buyer Tips and how real estate agents use your words against you.   Don’t forget to check out this month’s Money Magazine on Where to Invest $10k! There are tips and advice from 8 Property Experts and TPC Listeners will find one particularly familiar face too.

Well folks, after Awe-Guest, it seems like a long time since our last Q&A! So a lot of you have been writing in to us wanting to know our view on Four Corners’ recent episode on property investment in Australia, Betting on the House. Now, there was a bit of doom-and-gloom in this episode and we want to talk about it. To do this, we’re going to answer YOUR hard questions about property investment — the difficulties, the consequences of poor asset selection, bad property investment advice, the fear of debt and the “1 – 2 property block”.   Note: Ben’s reference to PIPA’s Framework on regulating Property Investment (very, very important stuff) can be found if you click here.   Today’s Questions! Hot Markets & The Overall Economy from David: Hi Team, Wanted your thought on this “bubble” topic and the actions we see from ASIC and APRA with the banks. The way I see it (I am an Australian working in Malaysia, with 1 property investment in WA and 1 being built in NSW Blue mountains) the rate increases are short-sighted and will hurt more than they help. With increasing rates it means more money is pumped into paying debt. This means there is less for discretionary spending (going out, movies, dinners, gifts, holidays). With less mining and less manufacturing, Australia needs these service based industries to grow. With less spending on them, due to rates, they will shrink — this in turn hurts our overall economic situation … almost starts to lead us down the “R” word path and a certain “bubble” correction. Would it not be better to strict things in Sydney and Melbourne markets as a standalone action by: * Restricting bank refinancing and equity accessing for those hot markets – ensure LVR at 70% minimum for a refinance 2. Ensuring all investment purchases in those hot markets have 20 – 25% deposit minimum 3. Assessing loans for investment on 10% interest rate for P&I 4. Limiting foreign investor purchasing in the hot markets? This will mean the wider economy can continue, other markets needing a boost can see a rate cut maybe, and first home buyers in ‘hot markets’ do not get squeezed out. Is it that easy?   Asset Selection (Numbers versus Emotions?) from Anne: Thanks for your fascinating podcast! Just had a quick question regarding looking for investment property. I often hear that the property should have owner/occupier appeal, and yet I also hear that you need to take your emotions out of the equation and just look at the numbers! How do you balance these seemingly conflicting ideals? I am trying to just look at the numbers on an area, which I personally would not live in, and am finding it difficult.   Why Most Investors Stop At One from Andrew: Hi Ben, Bryce and Ivise, My question is about moving onto the 2nd property. I have often heard statistics such as the overwhelming proportion of property investors stop at 1 investment property. I understand that

Andrew Bogut, NBA superstar & Australia’s greatest basketball player, is here! Alright, folks — we promised an international sports star to end our month of Awe-Guest — and we are really excited to announce that he’s here! Yep, let’s not hide it. We are entirely pumped for this show! Because not only is Andrew a basketball legend — he won the NBA championship with the Golden State Warriors in 2014 – 2015, playing with THE biggest names and best athletes in the world, and even represented Australia at two Olympics with the Boomers — but also Andrew is a highly effective investor himself, savvy with his millions AND (we feel very proud about this) is a regular listener of The Property Couch!   The 7ft tall talent gives us insights into the world of NBA (and what it’s literally like to break a leg in his first game with the Cleveland Cavaliers this year), how he set up his investment portfolio and what’s in store after basketball: * Firstly, how on earth did this internationally known sports star end up on The Couch? * What’s life like as an NBA player? * What do the financial future and investment mindset really look like for most NBA players? * His experience with some of the Financial “Snakes” out there * Why is an NBA player interested in suburb development and gentrification? * Investing in supercars and commercial properties * How important are trust funds? * How was money spoken of when Andrew was a kid — did this shape how he sees his future? * Aside from the hype, what does an NBA schedule really look like? * Let’s be rule: who is the best player in the league?   Oh and (we had to ask) … where does Andrew store his Championship ring?   Also, Andrew did a walk through our office … hilarious to see the size difference, even for our tallest members. The Stig (hiding from the spotlight in true Stiggy style) didn’t stand a chance!            

Alright folks: what does the drummer from The Screaming Jets and property investment have in common? Craig “Rosie” Rosevear! That’s right—on The Couch today, the man behind the drums of one of Australia’ legendary bands explains how he used his royalties to break into the property market and transformed his touring days into a growing property portfolio and now, a charismatic, auctioning career! Yep. Aside from being the Founder of Rock Your Future and the owner of Rosie’s School of Rock—where he and his wife, Belinda, motivate and educate young people to be confident in both music and life—Craig is also an auctioneer at Cooley Auctions, winner of the Newcastle Heat of the Real Estate Institute of NSW Auctioneering Competition and a property investor with a knack for DIY renovating!   No stranger to hard work, Craig explains: * Firstly, what life is really like as a rock star! * How invaluable a good work ethic is, and how he managed to maintain it, despite fame and, well, being a rock star * Why he used his royalties to buy his first investment property * What he discovered about investing with equity that changed his way of thinking * How he became a borderless investor in Melbourne, Brisbane and Sydney * Ways to get around Sydney’s Housing Affordability * First Home Buyer mistakes and DIY renovation tips * How he got into auctioneering (it has something to do with Episode 121 with Damien Cooley) * The similarities between being a rock star & an auctioneer (“Rocktioneer”) * Investing in Newcastle, NSW * Things buyers should do at an auction * Business acumen tips from rock band KISS (!)   And (we had to ask), what is Craig’s “go to” rock star story? The unexpected, sneak peek into what Muso life was like … He tells us right at the end—of course he did. What an absolute pleasure!    

Alright folks! Before we get into today’s chat, here’s the link to PIPA Annual Investor Sentiment Survey 2017: Fill in here. Moving on, today we’re in for a special treat with a Government figure—who just so happens to be directly involved with the rules about what we build, planning the future story of housing in Sydney and all of NSW! Yep that’s right. We’ve gone to the top! We have Chris O’Dell—the man from Research and Insights in NSW’s Department of Planning and Environment on the show. Chris manages a very brainy team who provide analysis to support our strategic, OFFICIAL decisions. He absolutely loves his data, is extremely personable and open to the bigger and better plans (which are in the grapevine as we speak) for Sydney and NSW. Solving real world problems, Chris and his team have big plans for Sydney to be a global, game-changing, urban city! Rest assured, there’s some “takeaways” for the future of the Australian Property Market! So the main topics discussed are: * Sydney as a future urban city and what this will like * The current Sydney market compared to the rest of the states (and Territory) * The ever popular housing affordability debate in Sydney * The official data coming out at Government level * What is the Government doing to improve housing affordability in Sydney? * The number of people expected to live in Sydney within 20 years (!) * Will the “Sydney boom” end? * What is Sydney and NSW doing differently that helping with Housing Supply and Demand? * The inevitability of housing types and your future lifestyle * The impact of advanced technology on property and capital cities * What is being discussed at a Government level that just might scare you? * Creative ways to tackle housing affordability and population growth and … * Does the data suggest that there is even a property bubble in Melbourne and Sydney?   And some of the resources mentioned in today’s episode are: * PIPA Annual Investor Sentiment Survey 2017 – Fill in here * DPE population and housing data – Find out more here * Our video on RealEstate.com.au – The other “C” word in property – Watch here   This is an informative, important one guys! So much so that we put our own fingers to the keyboard so you wouldn’t miss out on anything! Now, because Chris is based in Sydney, we’ve had to invest in the ol’ virtual call … and at certain times during this podcast, sadly, Chris is a teeny bit hard to hear. We’re very sorry about this—so we’ve transcribed the ENTIRE podcast ...

We’re very excited to announce that Josh & Jenna—who, let’s face it, ditched their surnames after becoming household names on the 2011 series of The Block—have landed, with their 8 week old bubba, Freddie, on the Couch! The husband and wife duo, also featuring on The Block’s All-Star Series and Reno Rumble, are founders of Melbourne-based interior bicker design. With Josh a qualified plumber and Jenna currently sharing her knowledge and passion at Design School, they are here to chat about all things renovation—and how to make a profit out of it! We’ll cover quite a few things, folks: * What being “the bickering couple on The Block” was really like * How it felt to lose at auction * The most important tips for renovating * How they used the equity in their first home to buy in Melbourne (a city they hadn’t been able to afford until then) * What is the end game of buying and renovating in today’s market? * Their budget formula for renovations * How to invest in Blue Chip areas when you can’t afford it yet * The financial benefits of paying a Stylist to “stage your house” before selling * Tiny House Movement in Australia: What is it and how will it impact asset selection * The future of renovating and what need to know * Investing for Airbnb   Happy listening (you can hear Freddie in this podcast too, naaw)!  

What would you do if you arrived from Fiji to Australia with only $4,500 to your name and little else? Well, that’s exactly what today’s guest, Victor Kumar, Partner at Right Property Group, and his wife did in 1997. And their story is truly extraordinary! Within 1 and a half years in Australia, the radiographers—thanks to reading The Wealthy Barber and Building Wealth Through Investment Property, learning as much as they could about property investment, lots of hard work coupled with a steel determination —had secured their own PPOR as well as 11 investment properties! Here to explain how he did it, the co-host of Investing Insights with Right Property Group podcast, Victor Kumar, explains: * How he chose a mortgage broker to get the loan he was first rejected for * Who to take your advice from (aside from Jan Somers and David Chilton) * The difference between money and mindset, and why goal setting is crucial: “The very first thing is: you’ve got to sort out your goals—why you’re doing it and what are you aiming for—before you start the journey. Most people start the journey and then try and get the GPS up-and-running to say we’re they’re going.” * Victor’s reason “why” he invests in property—and why it is crucial to know your “why” * A simple, easy habit anyone can do to outsmart a spruiker and determine if the property seminar is genuine * His investment strategy, how he accumulated such a ginormous portfolio and if he would do it again * A few of the mistakes and lessons learnt while building his portfolio (and they’re hilarious!) * When to DIY and when to always pay for professional services * What factors to consider if you are investing in the outer suburbs? * His renovation “Life Hack” and why it’s the most important renovation tip to add value * What are the three things that can ruin a property portfolio? * How to manage multiple investment properties and the problems with investing in too many properties * Special: Victor unpacked an amazing tip at the 55-minute mark. So make sure you don’t miss that!   Note: Victor brought enough gold to the couch to create a mining town … let us know if you agree! What to do and what never, ever to do … wooooaaaah, thanks Victor!   Some other resources for our fellow listeners: * Our chat with Steve Waters back in Episode 42 – Listen here * LocationScore’s Launch Offer is expiring this Sunday, 20th August 2017! (Code: TPC20) – Check it out here  

Awe-Guest, for us, is about bringing in experts from all walks of life and we are proud to say that we’ve finally got Rachel Cole on the show! Welcome Rach!! Rach is an accomplished performer, singer and actor and is currently understudying Miss Honey, Mrs Wormwood and Mrs Phelps on Matilda The Musical (yes, that one), after understudying Nessa Rose in the Australasian tour of WICKED. A young property investor, Rach loves property research, spreadsheet and is very savvy with her spending. Rach also has a Bachelor Degree in Psychology, a quick-witted blog, Stage Door Shrink, and a passion for sharing what she knows about property investing, even when her creative work (read: money) isn’t always guaranteed. In today’s podcast, she and the boys unfold: * How to invest as a young, single woman with intermittent paychecks * How a conservative upbringing and 25 cents in pocket money for every year old she was, paid off * What things you should never to get a loan for * Money SMARTS, how to implement a budget for everything and other ways to save money * Why investing in a $100 bike can land you a house deposit * The necessity of sacrifice * Getting her first investment property without a fixed income * How to be a borderless investor and things you need to consider * The costs of renovating and how much is too much * What you should always ask the “the locals” before you buy in their suburb * What research do you need to do to get the best possible returns? * When is the only time to buy off the plan? * How to act now when you’re circumstances “aren’t right”   PLUS you’ll also get to hear an exclusive performance from Rach! Don’t miss out!  

Disclaimer: This is Beyond Mind-blowing.

That’s right guys. Duncan McPherson, Director at Nelson Alexander (also a successful property consultant, auctioneer, founder of Nelson Alexander Charitable Foundation and a property investor himself) started his roots in a small country town as, well, a butcher. Yep—his story is absolutely a white-butcher’s-coat to wealth-building-creation! Duncan is a family man, centred on honest and committed customer service, who has built his riches on sharing what he knows and paying it forward, giving almost $2.5 million dollars to local charities in the process. On the couch to share his wisdom, humbleness and good humour with the boys, Duncan explains: * How he came to Melbourne as a butcher and ended up as highly-successful real estate figure * Why one man in a black BMW, a shiny suit and a bad attitude was likely the catalysis for his career change * How Nelson Alexander, since 1971, has transformed the face of real estate services, especially in the Northern suburbs * How he approaches property investment with 20+ years’ experience * What are his criteria for a successful asset selection? * Which one is a “better” investment: a house or a townhouse? * What “buying land and airspace” means and how you can value from it * What is “The Beef Wellington” to add value to your property? * What to look for in a quality real estate agent and how to outsmart them * How many off-market properties exist without you even knowing they’re For Sale? (Hint: it’s more than you think!) * The inevitability of housing affordability—has it always been tough breaking into the market? * When will he consider buying a property with someone else? * What he looks for in an investment property and what always impresses him * The mentors who have changed and continue to change his life.   We really, really think you’ll benefit from this one guys. It’s one thing to hear tips from the best in the business; but another thing entirely to hear it from someone who made it there from the humblest of beginnings!   PS: Hear your own voice on the podcast by dropping us a Voicemail! Simply click on the long orange button on the right-hand-side of your screen J LocationScore: You can access it here. (And don’t forget to use this code: TPC20. Valid till 19th August 2017)  

Happy AWE-GUEST! Yep, the month of “Awe-guest” — it’s a little bit witty isn’t it

Alright folks! It’s Q & “Accounting” time! Yep, on the couch today we’re talking all things tax! Here to help us wade through the grey area is Frank Azzopardi from our friends (and accountants) at YK Partners. If the name sounds familiar, it’s because Frank joined us back at Episode 48! So, we’ve received a couch-load of questions about tax lately, and quite the few of you have these questions because you’ve “temporarily departed” overseas—you’re Aussie Expats working in another country, but investing in properties back here. And as you know, this can be quite the pickle for tax purposes! (The rest of you simply want to know what you can and can’t claim. Fair enough.) Trying not to number-crunch the neurotransmitters in your brain, here are what B1 & B2 + Frank discuss: * Is there a tax-free threshold when you live overseas? * What is a Double Tax Agreement and what does it mean for you? * How does foreign tax credit work? * How do you offset tax loses? * Tax Talking, What’s the difference between a PPOR and an IP? * Can you claim tax on Lenders Mortgage Insurance (LMI)? * What really constitutes “Repair” or “Capital Improvement”? * Can you negatively gear a property as an expat? * What is the “6 Year Rule” of Capital Gains Tax? * Can you avoid Capital Gains Tax? * What’s the risk of loan in two people’s names (joint ventures)? * What’s the tax cut for your kids when they inherit your property?   Some of the helpful resources mentioned today are: * Income Tax Rates – Find out more here * What are Tax Treaties or Double Tax Agreements (DTA)? – Find out more here * LocationScore Research Tool – Explore it here * Episode 1 of Season 2 with RealEstate.com.au – Watch here   And… The questions discussed are:   From Andrea “First of all I am loving the podcasts. I listen to them over and over. Secondly, as an Australian expat, living overseas long term but preferring to invest my money back home in Australia, are you able to do a podcast directed at Aussie expats wanting to invest back home but are not sure how to go about it? If you could talk about it or bring someone in? If you could talk about things Aussie expats need to be aware of ie—the different rules that apply regarding capital gains; tax depreciation; tax credits; services expats can employ to assist with the fact we can’t make a trip every week to attend viewings and sign papers. Having bought 4 places in the last few years, I have not completed my PIPA education yet—I am nervous about giving too much advice. Thanks and keep up the good work. I’ll be ready to buy again soon so will likely be in touch for assistance in this.”   From Salim: “Hi Guys.

Did we deliver on the gold in PART ONE? Jeremy Sheppard, also the Director of Research at Select Residential Property, definitely has a serious knack for data collection and analysis, doesn’t he? (Side note: he actually calls himself the “property-data Nutcase”. Yep.) Chasing the tail of Part One, PART TWO unpacks the remaining 3 of the 8 fundamental indicators that affect demand and supply. The last 3 are: * Vendor Discount * Rental Yield * Renters versus owner-occupiers   Yep. Did we warn you that this episode could be quite overwhelming? Stay with us. It’s been no secret that we’ve been waiting A LONG TIME to share this episode with you because … LocationScore is finally live!!   So, what is LocationScore? Jeremy met with The Property Couch’s Bryce and Ben back in 2016 and that led to their creation of this online property research tool. All of the indicators you hear mentioned in this episode are exactly what LocationScore’s algorithm measures! They are the tools that sniff out supply and demand levels of all across the country, changing the face of Capital Growth, and investing, forever! So, what if we could tell you the suburbs—right down to the specifics of houses and units—that are saturated in scarcity, landing you the BETTER LOCATIONS to increase your chances of making real returns in the long term? This is what LocationScore, pioneered by Jeremy, Ben and Bryce, has been designed to do for you. These indicators are the wires that power LocationScore. And with over 15,000 suburbs in the Australian market, Jeremy, Ben and Bryce continue to untangle them for you, hoping to fix the headache of finding investment grade suburbs and, in turn, crucial asset selection. Let’s be honest: there’s obviously a lot to tell you. We hope you like this one guys!   Resources mentioned in this podcast: * LocationScore Webinar | Register your interest here * Interested in the LocationScore Advantage? | Check it out here. (Discount Code: TPC20. Valid till 19th August 2017) If you like this podcast: “Everything You Need To Know About Picking The Next Hotspot – Chat with Jeremy Sheppard”, 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: New Topics