This document outlines strategies for building wealth through property investment, including buying and holding properties long-term to benefit from rental income, equity growth, and tax deductions. It recommends starting with one investment property and using equity growth each year to purchase additional properties to build a portfolio worth millions over 10 years. Property development is also presented as a way to subdivide existing properties and build additional dwellings to maximize profits. The key is leveraging other people's money through low-deposit loans and using a buy and hold approach to compound growth and retire on over $100,000 passive income within 10 years. Contact details are provided to discuss starting a property portfolio.
This presentation and accompanying guidebook helped Community Development Corporations understand the options for structuring joint ventures with private real estate developers.
This new, educational webinar covers exactly how to get started with profitable property investment.
This webinar covers
> How do you balance buying for cashflow and capital growth?
> How to do a detailed investment property forecast in just 2 minutes.
> Finance: Making sense of LVR’s and DSR’s – what do they mean?
> 7 tips for increasing your borrowing ability.
> How do you work out the maximum you should pay?
> Why it's smart to buy at a $20k - $50k discount and create immediate equity.
> 11 things you can do to boost your rental income by $1,000 to $10,000 per year.
> How to pick properties that generate both positive cash flow and tax refunds.
> Negotiation tips: how to deal with agents and compete with other buyers and save thousands on every purchase.
> Where do you invest first? It’s simpler than you realise to find great investment locations.
> The truth and traps with most “property hotspots”.
> Setting up your team of experts and who to avoid.
> How to find an a-grade property manager in an industry of full of average people.
Webinar: Managing your property manager to maximise financial resultsReal Estate Investar
Whether you are new to property investment, have an existing property portfolio or are a full time property investor, this webinar will help you maximise the financial performance of your portfolio and improve profits.
This interactive masterclass covers:
> 9 tips that will ensure you have tenants queuing up to rent your vacant property.
> How to find an A-grade property manager in an industry of full of average people.
> How to get 5-10 property managers competing for your business on every rental property.
> How to easily compare the costs and services of each property manager.
> 11 things you can do to boost your rental income by $1,000 to $10,000 per year.
> How to select and retain the best possible tenants and achieve 0% vacancy rates.
> How to figure out the best tenancy rental strategy for each property.
> The pros and cons of residential tenancy types: long term residential, boarding houses, short stay and holiday homes.
This presentation and accompanying guidebook helped Community Development Corporations understand the options for structuring joint ventures with private real estate developers.
This new, educational webinar covers exactly how to get started with profitable property investment.
This webinar covers
> How do you balance buying for cashflow and capital growth?
> How to do a detailed investment property forecast in just 2 minutes.
> Finance: Making sense of LVR’s and DSR’s – what do they mean?
> 7 tips for increasing your borrowing ability.
> How do you work out the maximum you should pay?
> Why it's smart to buy at a $20k - $50k discount and create immediate equity.
> 11 things you can do to boost your rental income by $1,000 to $10,000 per year.
> How to pick properties that generate both positive cash flow and tax refunds.
> Negotiation tips: how to deal with agents and compete with other buyers and save thousands on every purchase.
> Where do you invest first? It’s simpler than you realise to find great investment locations.
> The truth and traps with most “property hotspots”.
> Setting up your team of experts and who to avoid.
> How to find an a-grade property manager in an industry of full of average people.
Webinar: Managing your property manager to maximise financial resultsReal Estate Investar
Whether you are new to property investment, have an existing property portfolio or are a full time property investor, this webinar will help you maximise the financial performance of your portfolio and improve profits.
This interactive masterclass covers:
> 9 tips that will ensure you have tenants queuing up to rent your vacant property.
> How to find an A-grade property manager in an industry of full of average people.
> How to get 5-10 property managers competing for your business on every rental property.
> How to easily compare the costs and services of each property manager.
> 11 things you can do to boost your rental income by $1,000 to $10,000 per year.
> How to select and retain the best possible tenants and achieve 0% vacancy rates.
> How to figure out the best tenancy rental strategy for each property.
> The pros and cons of residential tenancy types: long term residential, boarding houses, short stay and holiday homes.
Real Estate presentation for investors that want to joint venture to gain experience in the acquisition of residential and commercial distressed real estate assets.
Property Investment Finance Hints, Tips and StrategieMark Joncheff
Presented by one of Australia's leading financial experts and founder of Connective, Murray Lees will show you how you can potentially save thousands of dollars in interest repayments, minimise risk and ultimately build a successful and sustainable portfolio.
Using Rent to Own as an Alternative Investment StrategyAspireREI
Do you have a property that just doesn't cashflow and you're looking for an alternative strategy? Perhaps you're looking for a shorter term investment with a more defined exit strategy?
Rent to Own (or Lease Options) could be a solution...
This month we will discuss some of the pros and cons of this type of investing along with some examples of how the numbers can work to produce some great deals!
There has been some negative press recently on this type of investment deal - which in some cases was totally justifiable. But done well and with integrity rent-to-own can truly produce some great opportunities for EVERYONE involved in a well-structured deal.
Learn how to do it the RIGHT way!
Making Real Profits from Real Estate Knowledge WebinarDavid Campbell
Professional investor David Campbell shares real life examples of how he turns real estate knowledege into real estate profits by walking you through a multi-tenant retail center deal. You'll be blown away at how many creative investing strategies you'll learn in this ninety minute FREE webinar. Find out how David Campbell uses creativity and his seven essential resources to put together a million dollar real estate transaction. This webinar is appropriate for both new and well seasoned investors.
Flipping4profit is Joint venture business where an individiual joins a real Estate program called fliiping4profit and partake in profit-sharing by investing a from as little as $100 which is pooled into a fund,then when a property is bought renovated and sold and profit percentages shared out to members according to amount invested.
Real Estate presentation for investors that want to joint venture to gain experience in the acquisition of residential and commercial distressed real estate assets.
Property Investment Finance Hints, Tips and StrategieMark Joncheff
Presented by one of Australia's leading financial experts and founder of Connective, Murray Lees will show you how you can potentially save thousands of dollars in interest repayments, minimise risk and ultimately build a successful and sustainable portfolio.
Using Rent to Own as an Alternative Investment StrategyAspireREI
Do you have a property that just doesn't cashflow and you're looking for an alternative strategy? Perhaps you're looking for a shorter term investment with a more defined exit strategy?
Rent to Own (or Lease Options) could be a solution...
This month we will discuss some of the pros and cons of this type of investing along with some examples of how the numbers can work to produce some great deals!
There has been some negative press recently on this type of investment deal - which in some cases was totally justifiable. But done well and with integrity rent-to-own can truly produce some great opportunities for EVERYONE involved in a well-structured deal.
Learn how to do it the RIGHT way!
Making Real Profits from Real Estate Knowledge WebinarDavid Campbell
Professional investor David Campbell shares real life examples of how he turns real estate knowledege into real estate profits by walking you through a multi-tenant retail center deal. You'll be blown away at how many creative investing strategies you'll learn in this ninety minute FREE webinar. Find out how David Campbell uses creativity and his seven essential resources to put together a million dollar real estate transaction. This webinar is appropriate for both new and well seasoned investors.
Flipping4profit is Joint venture business where an individiual joins a real Estate program called fliiping4profit and partake in profit-sharing by investing a from as little as $100 which is pooled into a fund,then when a property is bought renovated and sold and profit percentages shared out to members according to amount invested.
Real Estate Investing: The Key To Long Term WealthTeam Nickerson
You will lean why real estate is such a great investment vehicle, why you want to invest in real estate for the long term, how to analyze a property, how to chose where to invest based on economic fundamentals, and how to be a successful investor.
This presentation helps farmers learn how to make better capital investment decisions by taking into account the time value of money. It explains how to calculate the Net Present Value (NPV) of a stream of cash flows over time, and how to determine the Internal Rate of Return (IRR) from a given investment. If we know the cash required upfront, an estimate of the annual cash flow resulting from the investment, and the remaining value of the investment at a given time in the future, we can calculate the IRR. The presentation includes several "real world" farm examples.
Begin to invest in your future with this residential investment course.
I can help you find the properties that make the most sense. Call to join my investor tour of homes.
The A Team Property Group presents - The Property Accumulator System
1.
2. The 10 Fundamentals to Make YOU a Property Mogul
The Property Accumulator System:
How to retire from property investment in 10 years on $100,000+ per annum
4. How to Pay off Your Home in 10 Years or Less
6% interest rate
$30K per annum in interest
$600 p/m in principal
0 15 years 30 years
$500k
20%
Interest only$150 p/w
Cash flow for investing
IP1 $500K 10 years $1M
IP2 $500K 10 years $1M
Home $500k 10 years $1M
SELL I.P’s TO PAY OUT HOME:
$2M - $1.5M = $500K
CGT = approx $250K
Cash left over = $250K
Own home = debt free
5. #RentVesting VS Owning
#RentVesting: $600 p/w Owning: $1M
$600 p/w X 52 = $31,200 p/a
Cash Flow= $27,800
IP1= $500K/$5000 p/a holding costs
IP2= $500K/$5000 p/a holding costs
IP3= $500K/$5000 p/a holding costs
Cash flow difference=
$27,800-$15,000=$12,800
Portfolio Value=$1.5M
Own 3 properties
$500K more compounding p/a
Saving $12,800 p/a
Significant cash flow to invest and enjoy life
Interest 6% ($900K debt/10% deposit)
$900K x 6%= $54K p/a
Rates,Water,Insurance= $5k p/a (cons)
$59,000-$31,200= $27,800 DIFFERENCE
Cash flow difference=
$27,800-$15,000=$12,800
Portfolio Value =$1M
6. How to use Equity to Invest in Property Without Putting your Home
at Risk
7. How to use Equity to Invest in Property Without
Putting your Home at Risk
9. Monster Tax Returns
1. No I.P Roger earns $100K Tax $27K
2. With I.P Roger earns $100K Rental Income $420 p/w-$21,480 p/a
Total annual income = $100k
+ $21,480
Land $200K =
$121,480 Tax $27k
I.P $400K House $200K
Interest Rate 6% = $24K Interest p/a
Property Costs= $5K p/a (property management, rates, insurance, water)
Total Deductions= $29K
1 Structure: 90% of house costs= .9x200K=$180k@2.5%=$4.5K p/a
Depreciation= 2 Fixtures and Fittings:10% of house costs over 10 years= $4K in first year
= $8,500 in first year
Total Deductions= $37,500 in year 1
Rogers new taxable income: total income - total deductions ($121,480 - $37,500) = $83,980
Tax payable on $83,980 = $20,700 | Tax paid on $100k income = $27k
Tax refund = Old tax paid – new tax payable
$27k - $20,700 = $6,300 Tax return!
10. Why Build New?
Tax and Depreciation = $70 pw
No maintenance = $30 pw
Superior rental returns = $100 pw
Tenancy appeal = no vacancy > lower h/c’s
Minimising stamp duty = less to get in
Adding value to land = equity gain
Creating the developers margin = equity gain
11. Leverage and Duplication
• Property is the only asset class that allows you borrow 10x the amount you have
to contribute yourself
• You should only have to save up for a deposit once. Your future deposits should
be funded by growth through your properties
• The idea is to leverage or borrow as much of other peoples money (the bank) as
possible to make your cash/equity go further
• Once a property grows in value you use that equity growth as a deposit for the
next property. Now you have 2 properties growing in value and after time you’ll
have 2 more deposits available to buy 2 more properties. Continue to repeat this
process
• This is a very powerful & effective
system to build a successful portfolio
13. Diversification
Sydney Melbourne Brisbane Perth
$ $ $ $
Spreads risk by not putting all your eggs in one basket/market
Doesn't’t have you sitting around for 3-5 years for your properties to grow in value
Allows you to ride the capital growth wave year on year
Helps you purchase properties at a faster rate
Minimizes land tax issues
Gives you a tax deduction when you want to holiday Australia wide!
14. Compound Growth Examples
Apple Seed Yr1 Apple Trees Yr2 Apple Orchid
Invest $100 @ 10%= $110
Yr 1
Invest $110 @ 10%= $121
Yr 2
Invest $121 @ 10%= $133.10
Yr 3
Yr1 Yr 3 Yr 5 Yr 10
$450K @7%
= $31.5K
growth Yr 1
$5M @7% =
$350K growth
in Yr 1
15. Mass Wealth
• People think you have to sell your
properties to make money and profit –
this is UNTRUE
• To build a successful portfolio you
need to be accumulating properties
• Buying properties and holding them in
a portfolio for the long term is where
real wealth is created
• Rent continues to rise creating
additional cashflow in day to day life
whilst your portfolio of properties
grows year on year
• Wealth is measured by the assets you
hold not your income
16. Mass Wealth
Mass Wealth Scenario 1
Garth chooses to sell his properties after growth
within 1 year and makes $100k per sale.
He then pays capital gains tax of approximately $37k
based on an income of 100k. Therefore his net result
is $63k profit.
He repeats this process 10 times over 10 years
resulting in $630k cash in his bank account.
Garth after 10 years chooses to purchase 1 of his
properties outright which produces $30k a year in
rental income and 7% growth per year ($630k x 7% =
$44k)
Mass Wealth Scenario 2
Kym also earns $100k a year and chooses to hold her
properties after growth and uses the equity each
year to buy another property.
She repeats this process for 10 years and ends up
with a property portfolio worth $5 Million and with
$3 Million debt.
She has paid no capital gains tax to date.
She also receives $30k a year in tax refunds by
holding property.
Kym also receives rental income of $50k a year
allowing her to choose whether to work or not.
She also receives compound growth on her portfolio
each at 7% per annum meaning she achieves $350k
of equity growth in year 1 that increases 7% every
year.The Conclusion
Kym has over 3x net wealth than Garth ($2million vs $630k)
Kym has over 2 ½ x the rental income than Garth (80k p.a. vs $30k)
Kym receives an average of $20k per year over 10 years in tax refunds ($200k total)
Kym achieves equity growth of 8x more than Garth p.a. increasing year on year ($350k vs
$44k)
Kym’s ‘Buy & Hold’ strategy can be repeated through Superannuation. Garths can’t.
17.
18.
19. Property Development
Existing 3
bedroom house
Driveway Garage
700+m2 block
Subdivide into 3 lots and construct two additional
dwellings and sell on completion or hold
20. Existing 3
bedroom house
Driveway
G1 G2
G3
New Dwelling 2 New Dwelling 3
3 individual titles with full new service
connections and the ability to sell off each
property individually to maximise profits
Property Development
21. Existing 3
bedroom house
Driveway
G1 G2
G3
New Dwelling 2 New Dwelling 3
Original Purchase Price:
$450-$650k
$380k GRV $410k GRV $410k GRV
*figures are estimates only
and vary slightly between
projects. This example is
based on $450k purchase
price.
$350 per week rent $400 per week rent $400 per week rent
Gross Realised Value = $1.16m
Total Debt = $854k
Projected Profit = $306k
Project timeframe: 18 months approximately not
including finance and settlement for initial purchase
Average development has positive cashflow
after all costs by $10k per annum
22. So if you combine…
The 10 fundamentals of the Property Accumulator System Buy and
Hold formula to lay a solid foundation for compound growth
WITH
Property Development Strategy
YOU CAN SEE HOW YOU CAN EASILY RETIRE ON
A bare minimum of $100,000 per annum in the next
10 years!!!
23. So how do we start?
Contact me via the following:
• Email: Sash@theateampg.com.au
• Mobile: 0431 277 853 / 1300 283 267
• Website: www.theateampg.com.au
24. DISCLAIMER
The information contained in this document is not financial, legal or
taxation advice. We encourage you to seek independent advice from a
qualified professional. Should you require an introduction to a qualified
professional we are more than happy to assist.