Your Property Success Mentor Call July 27-07-2017

Hey, guys. Welcome, everyone. We're at the top of the hour, so we'll make a start.

As soon.

As I can see my screen here. So, sounds like we're coming through loud and clear, which is great. So just before we start, it's important for you to understand that you need to take care in applying what you'll hear on this call to your personal circumstances. Everyone's situation is different and all the information on today's call is based on our personal experience and opinions and is not intended to be specific to your circumstances. We're not real estate agents, financial planners, lawyers, or accountants and are not liable for any loss, damage or misunderstanding caused by. I always need to take a breath here, Jane. Reliance on any of the information provided or inferred. Now, we also routinely record these mentor calls and reserve the right to share the content down the track. Now, if you'd like to not be included in the recording, please contact our office on 1300-963-646. And we can edit you out of the call. But by participating in this call, you're acknowledging this. And with all of that out of the way, I'll hand over to Jane Sike Smith.

Hello, everyone, and welcome to the July mentor call for 2017. Oh, my gosh, Halfway through the year. Well, it's wonderful to be here tonight and especially nice to be underway again with our ultimate guide to renovation students who are about to hit module six tonight. So they've all been very busy with their quick calculator last week. And try saying that with the bottle of wine in you. Lucky I haven't been drinking. And look, there's so much buzz inside the private Facebook group with the your property success club. It is so exciting to see everyone getting in there, interacting. And oh, there was a renovation porn reference this week where someone said, I've got some Renault porn for you. And I gotta say, I was a bit worried. I thought we're gonna have to step in and do that adjudication thing that we only had to do once, I think in the last four years. But it turn turned out to be a. Okay, so we had some tips on tiling and spray painting. Oh, there was like the. The hub of the shower. There was a lot of questions around that dot map questions. And I've had a fantastic time getting to know you all through the finance and strategy calls that we've been doing as well. So, yeah, it's been. It's been fantastic. So look, so this is for many of you, ultimate guide to renovation students. This is the first of your three mentor calls. So make sure you get involved and ask some questions. And as a big welcome to you, if this is the first time on the call, please do not be shy, speak up and say hello and ask me a question. And as always to all of those inside the club, please introduce yourself too, say hi, make sure you get your questions answered because we want you to take full advantage of this opportunity to ask us anything. Because we do this in the last Thursday of every month. And it's exclusive for my mentoring students, the students of the ultimate guide of Renovation, the your Property Success Club, the mentor subscribers, and of course my investors Choice Mortgages diamond clients. So these calls do happen the last Thursday, 8pm and of the month and usually within 24 hours. They're in the membership area so that you can listen to them. And if you get a little bit bored, you've got four years of calls there to go back to. And it's funny how many people tell me that they go back and listen to them all before they have the.

Often on the drive to work.

Yeah.

But they have the guts to ask a question themselves. So we're all, we're all happy and friends here. So don't be shy, ask a question. Because if you are thinking it, I'm pretty sure that we've thought it ourselves and someone else here probably is as well. But before we get into the questions, you've probably heard that voice beside me and I'm going to introduce him formally. It is co creator of the ultimate guide to renovation, your Property Success Club and your property Success podcast and Renault Fest. John. The list goes on.

I like that.

John Hubbard.

Hello, Hello, Hello. Yes. I feel like a co created Renault Fest today. We've been working very hard coming up on Saturday so you know, just type.

In for us guys, who is coming to Renault Fest, who is on the call tonight and if you're not, get.

In there quick because it's going to be so Yay, Mark.

We are. Oh my gosh, John, you tell them. Oh, oh, Kristen's coming too. Okay. Kylie.

Huge, huge, huge. Lots of things just coming together in the last couple of days. So Mirin, Linda, we can, we've got amazing, amazing stuff happening.

And in actual fact, John, give the, give the, the big kahuna. What's happening?

The big Kahuna.

Yeah, give them a big kahuna. $19,000 worth of giveaways on the day.

Yep, that's huge, isn't it? We've got all sponsors and show bags and panels of, you know, the community panel and expert panel and the decorators are coming along.

Any of you guys hear the webinar last Thursday night that we did? We had Nicole from Little Liberty on just telling us a little bit about what she's going to be talking about at Reno Fest. Now she's been in touch with Dulux, she's a Dulux ambassador and she's got some design trends. She can't actually get the ones that are being released next month, but she's got a good indication and she shared some with us yesterday. Pretty exciting.

Yeah, really good. And the two ladies from the real estate stylist.

Yeah, Sarah and Amy.

Sarah and Amy. So they style houses for sale week in, week out. 500 plus a year they do. And yeah, their work is just top notch. So they're going to tell us exactly how you add value to a property with a lick of paint and a few seats.

Yeah, and a few cushions I reckon is. And if Sarah's successful, she will be coming to the that panel as a property owner herself, having gone to her first auction 11 o' clock that day. So look, it's, it amazes me what.

Those guys do, like how much of that is, you know, just the perception is everything in those. And sometimes the house sells for an extraordinary amount because they're using the right stager.

And you know, we've, we've spoken to like Kieran Claire, who was a valuer for many years and obviously a API editor, magazine editor and good guy. He's. He's a good guy. He told us that. Nut. You can't sway a valuer's opinion, but maybe you can a little bit if the place looks really nice and they'd like to be sitting in that corner in that comfy chair with a glass of wine in front of the fire. So we know it makes a big difference, don't we?

It does, yeah.

What else have you been up to this month, John?

No, that's it.

Renault Fest.

Just Renault Fest.

And, and we've been working pretty hard behind the scenes as well with. Have you had a bike trip? Surely you've, you've headed off mountain biking or motorbiking?

No, not really. I mean, just a couple of. I've got out just to like, you know, stretch my legs and get out the office and did a two hour loop and came back, but that's, that's all I can think of. I can't think of anything.

We did let him out of the office once this month, guys, so there you go.

But yeah, not a whole Lot going on. But post Renault Fest got big plans.

Okay, well, we might have to get one of these, these people coming to Reno Fest to give you a bit of a massage. Yeah, massage person, I think, I think.

That'S, that's the only thing we're missing.

I think it's a massage person. I can't tell you who, but someone's gonna be turning up with energy drinks at morning afternoon tea as well. We got it all going on. In actual fact, I don't even think I'm the binds of secrecy until tomorrow, but there is about to be a significant product launch of a dairy. A dairy product that you're not bringing a cow to Reno that has, has namings that is very similar to a property renovating strategy. Anyone, Anyone there have a, a clue of what that could be called?

It's tough.

I don't know what kind of property renovating strategies are there? Oh, oh, try to. Wouldn't that be nice? We might just have to have a chat. Oh well, hang out guys. Check out the media. It's all going live on Monday but our Renault Fest people are going to get a bit of a heads up. So all very exciting. Can't say anymore, especially because the person who's been very generous donator is probably listening on the call right now because I know he tunes in. But look.

Yeah, what have you been at? You've been Suburb select, the software.

Goodness.

I've been buried in Renault Fest and you've been buried. Well, you've been buried in Renault Fest too, but you've been just absolutely working around the clock.

I reckon I was determined to make sure that our software was the first in Australia and the, the one that had been triple checked the inch of its life with all the 2016 census data. And I can say that as of midnight last night, we now have median age in there, we now have public housing, the typical property. We have percentages of university and couples with children, couples without children and the number. And here's the thing that happens regularly is you get the number of dwellings, houses and the number of dwellings, units that comes out. And I know RP data and Residex always got asked. So where do semis and townhouses fit in? Well, I had the ability to download the 2016 data and I've actually separated them all out. So now we've got houses, semis and units. So if you haven't been into. So we've selected software in the last 24 hours, jump in. It is all happening.

Yeah.

And yeah, just, just, it's Worth just.

Noting how important that up to date software is. Like if you're looking at, you know, say a family market and you can see that, you know, where, where I live around Brunswick, that's got a very young family market. But then you'll get into, you know, if the data is four years old, suddenly those kids are approaching high school. A totally different family market.

Absolutely.

Maybe on the second property or the third property.

And even some of the conversations we had with Nicole last week about the cause, she concentrates, she's actually specialist in children's bedrooms and family homes. We talked to her in context of selling your property as a flipper to own occupiers and families or preparing that home for family to want to rent. And so it kind of, for those who haven't been through the videos and understand the depth of what this is about, understanding the median age and then, you know, it seems I guess a little bit silly that there's like percentage of university people there. Why do we have that? Well, if there is a, you know, it gives you an indication there's a university in the area and you know, it gives you an indication there's an opportunity for that kind of shared house experience and even gives you an opportunity to understand whether it's a furnished room that you can do to add the value. And then, you know, percentage of couples with kids and without kids, they're the predominant demographic. So it gives you just an indication of, you know, what is happening in that area, whether they're going to have to have, you know, those with kids are looking for, you know, probably a bit of security. They're looking for fences to keep the kids in the back. They're looking at maybe views from the, the kitchen out the back to watch the kids. And you know, Nicole talked about the fact with young families they want to have the family groups kind of integrated so that the parents can have the kids nearby, whereas when the kids are teenagers, let's face it, no one wants to be near them. So, you know, out the bat, you want to ret. Retreat cranny flat in the same way.

That an army retreats, you want to retreat.

So yeah, it's really, I guess it's really interesting just watching, looking at those demographics and that's why that information is there. And for those that haven't been through the video education, just what's this mean? But it's all there for a purpose. Now. We did have things in there like crime rate and look, I've pulled that out and I'm pretty ruthless when it comes to numbers, if they're not right, I'm not interested. And the crime information was coming individually from different state organizations and some of it was just too old and out of date. And until I can get it verified and up to date, we won't have it in there. We'll pull it in a bit later. But you know, I want you to make know that, you know, this is, this is a hands on passion project and we're delivering.

It's hard to even fathom how much is in the back end of this thing because I mean just to pull up your whatever five suburbs, you've got to take all of the data from.

All of the suburbs In Australia, basically 16,420.

There you go.

I've been through that 333,462 line spreadsheet a thousand times and yep, so. And the other thing is, you know, the, there was just information around Bendigo and Ballarat just wasn't consistent enough. Geelong was good. It's in there. Bendigo and Ballarat I'm looking to add in the next three weeks. Newcastle's in there. So all those happy people in Newcastle can do their analysis. I'm going to give you a little bit now just for those people who are on this webinar, a little bit of a treat. And that is we say Newcastle and if you actually have, you know, I want to buy Newcastle, $500,000, 40% below. So you know, all the way down to, you know, maybe what's that, 300,000 and you know, 20% above. So you've got a range between you know, 300 and 600,000 up to, let's say not 25ks but 200ks. You actually get Maitland Central Coast. Okay, so from a quirk of data at the moment, we can actually, as it stands right now, right now on this date, July 2017, a little bit of a quirk that gives people a little bit of extra information. So we're playing with that at the moment and thank you so much.

No worries, Kylie. All of you guys have been requesting it for a long time. So.

And look, Wollongong's in there too. We know that. If you've hear my commentary, Wollongong and Newcastle are the places that again have some sustained growth while Sydney slows down a little. And, and, and another thing that I've just done. The 2017 Real Estate Guide for Money magazine is out on the shelves. It's out for the next four months. And you see my smiling face on the COVID I walked past myself myself at Woolies the other night going, who is that person? I didn't recognize myself.

I noticed you're just leaving around the office.

In actual fact, I've got 15 copies.

I just flick them around, strategically putting them around.

Yeah, so, yeah. So anyhow, I got my copy at Woolies. I don't know where people find them but now I actually was given the challenge there of finding out how, where to buy somewhere that's affordable, that wasn't Capital City and was not going to cost the earth. So I might, might even do a webinar for something special for the club members at some stage, a bit of a live and go through those numbers in the future. So hang out there. And Lorraine, breaking news, breaking news, breaking news. We've got someone in the chat. Lorraine.

Lorraine has just put an offer on her house tonight in Newcastle. Fingers crossed.

Lorraine, you're going to have to tell us all about it on the Renault Fest. Lorraine, is Lorraine joining us on the panel?

She probably should, shouldn't she?

I reckon we should ask her. Lorraine, we're going to put it, put you on the spot. Come join us. So we've got, we've got Lorraine. You've even unmuted your microphone.

Yeah, let's see.

No, does she have a microphone?

She's too wise for us tonight.

Well, she's putting in office. She's probably doing deals. Right, well, for you people out there, you're in for a treat if we can get Lorraine up there on stage and. Yeah, so it's going to be pretty cool. And for those of us who are parents out there, ah, sigh of relief. The kids have come back to school. Life as we know it is a little bit normal, but yeah, so two or three week holidays and as much as we love them, it's so good for their brains to be expanded by others in a more disciplined way. And if anyone is a Overwatch expert out there, I'm now a proud owner on my computer. That's not facilitating Overwatch. So. Yeah, computer games.

Good.

Yeah. Okay, so let's move on. I want to hear more about what you guys are doing and your questions this evening. So let's do some quick housekeeping.

I think I might have this the wrong way around, but if you can't make a call. Yeah, call that number.

1376 Triple 1 9. I think it was Lorraine who called two years ago on that. I need to test.

All right, there we go.

And look.

Oh, there's Renault Fest. Oh, we missed Renault Fest. All right, there we Go. We're up to the right spot now.

Okay, cool. You better be better at this than on Saturday. I know you're in brain drain. You've had like two hours sleep, but come on. Look, if you're on the computer and you are having problems hearing we. And you can't hear the questions, well, you probably just missed the last 10 minutes. But there is an option to call in by the telephone. The telephone number can be found in the sidebar under the audio options drop down menu. And we've had people call in on phones and iPads driving backwards and forwards from Geelong underneath houses.

Yeah, the advantage, I mean, obviously it's not tonight, but maybe next time if it happens to you, you can find that number and you call in and you can listen to the audio on the phone and still watch the screen.

Yeah, it's really cool. In actual fact, should we confess a webinar that we did a few weeks ago where you were away?

Oh yeah, Yep. There was one where we did that. I was sitting in the car in Dalsford. Yep. And there was another one we did.

New sitting in a hospital bed after a hip operation. There you go. We've had a busy month. But look, if you can't make the call or you are having any difficulty, try to call in from your landline, mobile or Skype account like I do. And when you do have a question, all you need to do is raise your little hand. Now I know it's a little small, but it is there in the icon bar and that gives me an idea that you've got a question and I'll unmute your line. Have your microphone ready, just be ready to unmute and you can ask your question. Now I do give preference to the spoken question because we can get into a bit more depth and answer your questions. But if you can't, you know, don't have a microphone, then type in what you are up to and your question and we will get to those as well. And remember, do not be shy. And this, there is no such thing as a silly question and I really encourage you to get in and have a chat with us. And look guys, this is not really a tech support call and nor is the club, so it's always best to get into these slides tonight at your property, success.com.

Actually, my mind's at Renault first, so I might just leave that.

Yeah, just do that. Okay, so supportourpropertysuccess.com if you have a technical issue with any course material, etc. Now John and I tried vigilantly to get into Facebook every couple of days. There's hundreds of people can help you there. But if you've got a technical issue, it's probably not the place to put it because it won't be seen quickly. So jump onto the website and either live chat us during work hours or send a email to our customer Happiness Manager, Diana supportourpropertysuccess.com and if you're coming to Reno Fest, make sure you say hi to her. And always up for a chat. She is up for a chat and she just loves helping people. So, you know, now that's it. Let's. Let's hand it over to you guys. Put your hand up if you got a question, we'd love to take it. I can see a lot of you are here and it's so nice to have so many on the call. And I'm seeing a lot of people I've spoken to in the last couple of weeks. And there's Viv. Gift's coming all the way down from Queensland as well with a special Renault save package.

She's been traveling all over the countryside lately. Didn't you. I think I saw her in your.

Yeah, I was going to say she was doing boot scooting. Boot scooting in. In country and western town. Okay. Anyone got a question? Oh, my gosh, John. We get to go work more on rent.

Delirious ranting.

Okay, well, delirious ranting. I'm gonna. I'm gonna get a question. Wilma. Hello. Where's that name? She was first off the cab tonight ranked tonight. Yes. Do you have a microphone? I'm gonna unmute your line because you asked a really interesting question in the Facebook page and I want to help you out. I understand that you're a bit confused about where to buy and your suburb selection. Is that correct? Yes. Can you hear me? Yeah, we got you loud and clear. Hey, I've got the three kids up.

They've got Disney Channel on. I'm trying to multitask here. They're not wanting to go to bed. Hopefully they won't interrupt.

That's okay. We're used to that now. Tell us now. I saw that you had a bit of a. Oh, my gosh, I'm having some troubles. And everyone jumped in and said it's okay. Everyone feels like that some stage. And I hope you felt really supported by the community with your dilemmas. What's happening with you?

I think it's just that indecision and trying to find the perfect set of Criteria and from, you know, I'm not experienced at this so how do I know what to tweak? What do I compromise on? Is it, you know, is it yield, is it the percentage of renters in the suburb? Do you know what I mean? Because you think, oh, it's not all adding up. So I keep, it keeps pushing me out west, west, west, which is fine. And then I think, oh, you know, it's, I still have more to play in my budget. So do you know what I mean? I'm second guessing myself.

Sure.

So I'm thinking do I, do I just compromise and go for, spend less and just go for the suburb where I think it's probably not, doesn't have all that X factor that you sort of talk about where it's really nice suburb and it's gentrified and it's, it's doing that. But maybe long term it may be.

Yep, absolutely. And I think so. No, no, no, absolutely. Because if there's one question that I am asked so often is like Jane, can you just find me the suburb? And it's, it's kind of like, you know, I've been through your process, I get it, I trust you. But God, you know, how do I, how do I tell the difference between, you know, the demographic stuff and exactly what you're talking about? And I think, I think the thing is that to some degree there is a process that we follow and the process is there really to protect you. And it's really that low risk matrix that we're applying on top of the suburbs. And we start with. Well, I can show you. Basically let me pull up the suburbs selector software. But just tell me a little bit about yourself, Wilma. Have you purchased property before?

So just our own home.

Okay. And that's in Sydney?

That's in Sydney, yeah.

And what kind of purchase price are you looking for in, in your investment?

So we have a budget of 900,000.

Okay. Yep.

Okay.

So. Yep. So we've got a bit of equity.

We had a house, we bought our first home like you know, 10 years ago. We sold that late last year and bought, you know, upgraded.

So we had, we still have a.

Bit of equity and we kept some money aside in the offset so it's not all, didn't come all off the principal. So we've got some buffer there.

Yep. And, and tell me, so this property, is this one of a number that you want to build by in the future or is this the, the first one? Is this one and done. If you use the 900,000. Have you got capacity? Yep. Okay. To do more. Fabulous. So at the moment, $900,000, you know, we know that a million dollars gets you to about the 20k range out of Sydney at the moment. So you know that that is going to take you a bit further out. And you know, what I've done here is I've said, so give me an idea, you know what 900 buys me in these areas. So you can start looking at how far you're going out. So we're looking anywhere from like 16Ks at Auburn at around that 950. So I've gone up, I've said, you know, go up to 10% above and then I've just said 30% below. So we can take this, you know, a little bit, make this a little bit cleaner because we know that you're around that 8, 900 mark. So you know, we, we can start looking at these areas. So 16 km seems to be about the closest that we're getting to the area. And you know, what would we be looking at here is we're trying to get a feel for what is available in your price range and then once again having a comparison to how far do you really have to go out to, you know, maybe start getting all the criteria we want. So you know, let's choose a couple here and just, I'll show you, I guess a bit of a comparison of, you know, so we're getting under 20ks here. So let's just choose three of these and take them through just because two of them in Rs. So you know, what you kind of get here is you get a bit of a feel for what the surrounding suburbs are. So this is almost like the digital dot map. So you're getting a feel for, you know, I would expect to see suburbs that were closer to the CBD to have a higher price point. And I would expect to see. So you know, we're kind of getting that to some degree here. Now this is, this is kind of surprising where we've all of a sudden got, you know, this drop here in this one area. So you know, there might be some significant issue that's been going on. Now this information comes from SQM research and someone who might be looking at this previously. We were previously getting this information from an alternative source that was actually accumulating the data. And I had a conversation with someone this week who said, you know, for instance, the example would be, you know, you're saying that the three year growth is 11%, but I'm looking In the back of your investment property magazine and it says 30%. Yeah. And so what that would be is they actually add up what the total growth has been in the last three years. So for instance, you've probably heard people say since 2012 there's been 75% growth in Sydney. So it's not 75% per year. You know, it's like being 8% per year.

Often what catches people out with the 10 year growth, they literally think it's 10 year growth. But you know, that would be 70 odd percent, you know, typically. So it's, it's its 10 year growth figure that's normally quoted is annualized. So it's averaged over 10 years.

So it's interesting to see what's happened here. And for this area I go, oh, that's a bit of an abnormal, what's that word? Abnormality. Abnormality. And so we're kind of looking at, yeah, there's been some really consistent growth in this area. And we start looking down, here we go, wow, this is interesting here as well. There's been this significant change. So there may have been a time where there'd been maybe some great growth and it's come back, it might just be that. And this is for houses by the way. So it's not like it's been skewed by units. It might be that there was development done in the area during the time and the development had a spike in the growth and now it's come back to the majority of the sales are back to the older style property. So it's kind of interesting information just to get an idea of what's been happening. But you know, consistently we've got some good information here. But what I usually do, this is just an indicator, you know, not until you get into your real suburb due diligence do I really, really start looking at this data. The information that I'm interested in is this percentage of renters and getting a feel for what the area kind of looks like. So 64% renters, that's a really high percentage of renters. So that to me is something.

It's the same suburb too, is it?

Yeah. So that to me is like something that I'd be looking at and going, goodness, what's the vacancy rate there? And we'll be able to just have a look at that and go through it. But I also then look at the number sold per year. So I don't want to be in a suburb that has like, you know, less than 5 or 6, 7, 8 sold. So I usually try to look at around 100 to 120 is the number of sold. So you can see how you can be a little bit flexible on this.

But it's got quite a few sales.

Yeah.

So there's definitely some kind of development or multi.

Something's going on. And there's this 3.8% which is a really good rental yield for Sydney. So you know, there's something here that peaks my interest. So I would have a look at that. And then up here, you know the suburbs that we were looking at here, 28.8%. Now you can be firm around that 30% mark or you can give or take a percent or two. So 10% difference, you might go down to 27%. I always say that 30% of the renters is what I look for as a minimum. Now what we know is when we get into the pockets, potential analysis within the suburb, there are areas where you've got a 30% general percentage of renters that it goes down to. It will go up to 45% in some parts of the one suburb and maybe down to 20%. So we know this is a bit of a range anyhow. So you can don't throw it all out and lose your confidence just because it's 29, not 30. So once again, it's got the percentage of rentals I want, it's got the number of sold that I want. There's a rental yield here of 2.67%. Now I normally, when I'm doing this for the one day hotspotting workshops, I normally look at what the median for the city is and say I don't want to be below that, I don't want to be less than the median. Right, but, but you might have done your numbers and said look, this is such a growth strategy. We have a really great cash flow. We can afford to spend 200 bucks a week and paying the difference, we're happy to get down to 2.3%. So you might create your own number there. So let's just have a look at this. So we'll take these two suburbs through and we'll start to do this analysis. So the one thing that I was keen to look at arose here was that vacancy rate. So you know, I guess it's a kind of an interesting story here. We've got this huge amount of renters in the area, but still that vacancy is less than 3%. So there's still more people looking to rent than there are properties on the market. So it doesn't tell me that the market is washed out. And I'm also looking at the fact that we've got that nice kind of rental yield. We've got a bit of vendor discounting here. So it means that you might be able to buy the property for just a little bit less than what it's on the market for. Now we've seen this vendor discounting as a negative, which means that they're selling for above what they're asking for. And here we have the number of dwellings. Now look at this. This is now telling us the story. Not many houses, 284 houses, 149 semi townhouses and 1200 units. So, you know, the 1200 units is telling us that this is predominantly a unit area. So we've only got a small number of houses that are actually the number of dwellings there. So when we're looking at this sold data, this sold data is not representative of all the information. So, you know, we kind of have to look at the information in context of trying to read it. So we're looking here, 14% of people at uni. So it's got a young median age. So there's actually quite a few uni. So anyone do you know Rose Hill at all? Does it have a university or TAFE or something nearby? It's got a. So this is a young median age, lots of units. The two bedroom flat is the typical property. Now we do have, you know, a good healthy group of couples with and without children, but this is actually, you know, this is pushing up above that 9% which tells me that, you know, that combined with the age and the typical property is probably that, you know, near a university and has a kind of market. So when I'm looking at the number of houses, not enough houses for me to feel confident that I'm actually going to be able to buy a property there or a house there to do any, anything. So you can see how I can read that data. Yep. And so when I'm kind of looking then at old Guildford, we can have a look at the same and you know, we're looking at, okay, three bedroom house, couple family without kids, 18%, couple family with kids, 62. So we can now start film getting an idea of what the typical kind of, you know, household looks like. You know, some at uni. But look at that median age, it's quite young as well. So this tells me that this is a lot of young kids that are bringing this median age down. So this is probably a nice push where you've seen that affordability issue that push people out further and further. We've had a nice consistent growth, 10% year on year for the last 10 years. This area would have been nice. Yeah. Now, so once again, you know, we go through here, we've got a vacancy that's low, which is quite good. The average income here, you know, 700 is lower. I wouldn't say lower socioeconomic, but you know, eight, nine, $1,000 a week tells me that you're kind of in an area that has almost pushed over that gentrification kind of mark this to me.

Can you repeat that? How much do you say?

So, you know, when I've seen quite bit a. When I've been looking at these average weekly incomes, they're 800, 900, $1,000 over $1,000 is pushed over the gentrification.

Yep.

7, 8, 8, 900 is kind of telling me that they're, they're approaching it and 700 and below is kind of like, you know, not doing that well.

Yeah.

Or hasn't really moved. The suburb hasn't really moved to that kind of income growth. And we're looking at.

Do you think that would extend past metro areas or is that a more of a metro, I guess, rule of thumb, do you think?

Yeah, I'd say it'd be more of a metro rule of thumb because in regional areas there's such a disparity as well. But, you know, and so we're kind of getting a feel here. Not a lot. So still, you know, small, small area. But we know that the house is the predominant type. You wouldn't be buying a unit in this area. So, you know, there's, I guess the information that you're looking at here is trying to get a feel for, you know, is that what kind of value can you get? And you know, if you wanted to come down here and say I want to. I can be geographically agnostic and you know, I really want to be within a certain range of a city and, you know, 15.15ks is really kind of pushing it for me. After 15ks, I'm going to start thinking that, you know, I'm getting into those western suburbs. I'm feeling a bit insecure about it. You can now start seeing, you know, we've got all these suburbs in Adelaide that are pulling up within your. Your price point. We start going down and we start pulling up lots in Adelaide, Brisbane. So, you know, I think that's spelled wrong Carina Heights. Now, John, we did the. We've got a workshop coming one day. Workshop coming up in Brisbane next month. But, but Inaugura and Cooroo and have come up on our radar a few times. Holland park as well. So we might look at those. Kedron definitely has. So you know that might be an area that you look at and then we can move down. We've got Canberra. So you might start looking at Canberra and go okay Ainslie, you know three case in the cbd. Let's start looking at some of these areas as well. There's a few here in Geelong, one in Darwin which I still, you know, you might say well we're here for the next 20 years. We're happy that it hasn't done anything for a while. We still hasn't turned the corner. Perth has I reckon we're going to see reported in the, in the papers probably in three months time that Perth has returned the corner. But the Geelong, we've got some areas around Geelong, the Gold coast start coming up. So you start pulling out some of these areas and you might go, you know Melbourne is really, you know, it's not as expensive as Sydney. It has more population predictions. Melbourne is really where I'm thinking, you know things are going to be and you know, 10k's out gets me to Bellfield. We might pull that up. Braybrooke was something that came up for us in one of the workshops two years ago I think Coburg, you know our favorite. So you might start pulling up some of these and if you can be you know, geographically. So Newcastle is coming up so you might go, you know, Hamilton's pretty, pretty cool. Let's check out Hamilton and Perth. You might just say look I really need to have some proof that things have happened. You might come down to Wollongong and go who knew Wollongong, $900,000 I'd be buying all the way down there. So you could start then, you know, doing your analysis using the suburbs like the software and start then going through and going okay, so so of all those areas that I just pulled up, why don't I check out what's happening in Belfield for instance. So percentage of renters tick number sold tick rental yield. Yep. That's okay. So this is how you could then just start going through. Well I don't know anything about Melbourne. What's happening? It's a three bedroom house. Family with kids 36. So maybe more late primary high school kids university or university 14% so there's something going on there. Pay for something happening. There's a good proportion of houses I wouldn't be buying a unit Vendor discounting means the property's now a negative, so it's going 3% over what they're asking for it. So you're expecting to pay a bit more than what this median is being reported. Vacancy is really low and you've got that bit of higher income. So this, you know, to me, it looks interesting. Don't be worried when you look at Melbourne properties with this number of public housing, because it is higher, because pretty much every suburb of Melbourne has public housing. Where in most cities there, it just.

Isn'T generally not considered as big a deal in Victoria.

Yeah, just be aware of where it is and you can do that very quickly. In the census data, I did a quick video for people and put it up into the private Facebook group and into the ultimate guide to renovation on how to use the new table builder to be able to actually create that map yourself. So, you know, I think the thing is, if you can't come up with a suburb and you are struggling with it, then, you know, it's. It's around. Okay, if I took everything off the table and said, I want what is. What is exactly what I want? Well, I know my purchase price. I know that I want to have a certain amount of renters, I want to not waste my time so on a certain amount of sales in the area, I want to be able to have a certain yield for me to achieve the cash flow that I want. And then I want to look at this suburb and go, hey, does this deserve the next level of intense analysis? And I'd be pushing this one through and going, yeah, tick. I'd have a look at this. It's around, just getting those criteria and then bringing it back and going, where do I start? Does that help at all? Yeah, I hope so, because you wait.

For a long time.

Sorry. I was wondering if I was going to run out of things to say at Renault first, but, hey.

No, like, yes, it has helped so much and.

I just need to. Yeah, I just need to get out.

Of my own head and, you know, don't be too caught up on the numbers. And like you said, okay, there's some things that I can compromise on.

And.

Just know that I've got. We've got the capacity to.

Exactly.

When I say Jane, do this exercise in the workshops, she is just ruthless with the numbers and just discards suburbs. Even. So there's no, you know, no emotional attachment whatsoever. And the people in the workshops are just horrified.

What?

It's only 29.9% now.

And look, you know, I just Went quickly through there. And what have I got? I've got like, you know, this many suburbs. I've got like eight suburbs. That's on the list that I'd go. That warrants some more intense consideration. And I think that's the thing, is that there is 16,420 suburbs in Australia. And I know this part of the process can hurt. In actual fact, at the Renault Fest, we're going to be talking about a little service for people that we're going to offer to the people there to help them out with this because we know this is the stumbling block. We're just going to.

And there's kind of nowhere else we can do this process. And actually, you know, yeah, we'll come.

Up with some confidence about being able to justify. When you're sitting around the Christmas dinner and they go, you're bored. In Belfield, I had a taxi driver once from Belfield. What are you, what are you thinking? You're like, by the way, it had, you know, 1% vacancy, 33% rental yield. Sorry, 33% renters. It had a low public housing and majority of the property is three bedroom houses on 600 square mini blocks. And guess what? I bought and it's never been vacant. And it's gone up in value by.

100,000 doll three years, it's gone up by 30%. And they'll say, gee, you got lucky there.

Yeah, exactly. So. So they're the kind of conversations we want your family to have with you. Yeah. Which is, oh God, they just got lucky. And you, and you go, yeah, yeah, you're right.

I think the hard thing is when you're, when you're looking in the place where you live, you always have these misconceptions about, or preconceptions about the suburb and, you know, and that makes it hard, but when you take that away and look everywhere, I guess that's where I've got to, you know, just take that, take that emotion out.

Exactly. And I think you're right. You know, Sydney 900 is nothing to be sneezed at. And, you know, there's a lot of people I speak to every, every week that would like half of that amount to be able to, you know, get them down to where they are. So you've got a fabulous opportunity to, you know, use the equity that you've already built in a good, you know, a property that you've already made money out of and to build on that as foundational to get to the next property. And I think that your ability to do that is priceless here. And you now have the opportunity to go. Disney's come to an end, but you get the opportunity now to go. You know, it's okay. Sydney may not be where I buy and there's look, I think Melbourne has a lot of fundamentals and if you're worried about, you know, managing renovations and things, you can obviously talk about that later. But you know, maybe look at Newcastle, Wollongong, Shell Harbour, Central coast and get into the private Facebook group, have a chat to Lorraine because are you coming to the Renault Fest, Wilma? No, I can't. I know three children. It's okay, I understand. I'm bringing. I can understand completely. Well, getting to the private Facebook group, the people in there who are buying in Newcastle, looking in Central coast and have a look at the case study from Gabrielle. Gabrielle bought in Wollongong and we took him whole process. But two years ago we took Gabrielle through this process where he had put an offer on a property and went, what do you think? And by the end of a very similar conversation like this, he's like, oh my God, I'm pulling out tomorrow.

So it was lucky put a conditional offering which was taken. Taken the advice of the course with that too.

Yeah. So this is what we're here for. So yeah, when you are feeling and for others who are in the exact same position as you because you are not alone. And thank you for sharing that on.

I want to read this comment before Wilma goes. Sonia just said thanks Jane. You just analyzed two of the subur I'm interested in now. Just brought something up though. But if you've got suburbs that you're interested in and this, this goes for you, Wilma or anyone Sonia, bring them to the calls and then we can go through them here and we can also pull up some reports as well. So if you've got a short list and you don't mind them sharing with the community, the chances are there's, you know, not going to be another someone else is going to cut your lunch anyway. But bring them along and we can do the analysis and look and that's.

What we found in the Facebook group. People posting their dot maps please bring your dot mattress maps to the Renault Fest. Guys, I think I've got Newcastle and Melbourne already on its way. But sharing that information, not everyone can buy now with the $900,000 if they were in the same price point. They may actually be wanting a renovator or they may want something with subdivision or they may specifically need to be buying in Brisbane So your criteria, although it feels like if you share, you might be stealing, you know, someone might steal your stuff. You can see I give away everything pretty much abundantly and it all comes back in spades, so, you know, the.

World will pay you back.

Well, thank you for your question. I'm sorry I forced you into asking. Thank you so much. Pleasure.

All right, another hand up here, Jane. Let's have a quick look.

Well, that's good, Sonia. I'm glad we could help you out.

Janet, I'll unmute your line. Hello, Janet.

Hello.

Hi, how are you? Good, thank you.

Just wondering how, like, where the market cycles of each city fit into determining a place.

Yep.

Because I'm looking at. I haven't even narrowed down the city to buy in at this stage. So I'm just kind of stumbling around thinking, Sydney's reaching the peak of the market. The Todd Heron report was saying Newcastle's at the peak of the market. So how much. Where do you fit all that in?

Yeah, look.

Or does it matter?

Exactly. And I think the question is often, does it matter? So, you know, you referred to the Heron Todd White report.

Speaking her language.

Fast fingers, Janet. Here it is like we rehearsed this, isn't it, what Janet's talking about? If you head all the way down to the bottom of the report, we can start seeing here. When you don't need bifocals like me, you can start seeing here a little bit about what's happening in the market. So, you know, this is where it's saying here, you know, so we've got stage of the market approaching the peak in Sydney, approaching a peak in Melbourne, start a recovery. So if we look at the clock being 12 o' clock peak, this is around 6,7 o', clock, rising market 7,8 o', clock, approaching the bond market. 4 to 5 is Perth rising market, Hobart, bottom of the market. So this blue indicates that there's been a change to a lower rating. So this has kind of gone backwards. So there must have been a spike of interest with a rising market in Darwin. It's gone back and Canberra is rising. So if we just jump down to these regional areas. So we should have units here that should be offices. So we've got Canberra rising Central coast peak, Coffs Harbour Peak, Lismore rising, approaching the peak Mid north coast. So that must be like Port Macquarie coffee kind of stuff. Newcastle Peak, approaching the peak peak Southeast New South Wales, Sydney Peak, Dubbo Hub of the west, where I grew up, Peak Mudgi Mudgi, where I solidified my career in mining, great area, nice wines and Tamworth, where my sister was born, you know, so these, these great regional New South Wales areas. So it's, it's, it's an interesting question because we look at this and we read the market's peaking and, and I did this article for Money magazine two months ago and it's being published now. I did an article for your investment property, Investment Property magazine, it's coming out next month that I wrote three months ago about where's booming. So by the time you start reading about this booming and not they have moved and you can see here and the reason why I really like the Heron Todd White report. And for those of you who don't know what this is, you can get onto the website and subscribe. They are valuers. They've got thousands of valuers around country every single day. And you know, they're looking at the market in context of what's happening right now, what happened last month. So, you know, they're saying, you know, Darwin kind of went down a bit this month. They're actually putting the valuations into the bank. And when we talk to Tristan on the podcast, I hope you're all listening to the youe Property Success podcast.

Andrew Tristan, the buyer's agent.

Yeah, he and Kieran, they both. Kieran, sorry, the valuers, they were saying that about 70%, 60. 70% of the properties that they value are for banks, for refinances, et cetera, that are not actually sales. So these guys are seeing properties that are not actually, you know, coming through as sale data that we're seeing in domain and real estate reporting as sale data or SQM research. So. But I have to say I have just, I've been completely negligent of trying to pick the market. I've never, you know, I do like the numbers, I do like the data and you know, don't challenge me, but I could probably model, model where the next area could be so you could predict where to go. But I don't think you need to be that fancy with your, with your analysis. I think it's around the fact that that. Do the numbers stack up? Does it fit what you can afford? Do they have the fundamentals of population growth and of income growth? And you know, we've got what, six and a half thousand properties for sale in Melbourne right at the moment in the last 28 days and 6000 in Sydney. And I'm reading the papers and they're going, you know, this is significant. All these people are selling up their properties, you know, the properties, the property market is awash with properties and it's all these people who maybe delayed putting their property in the market, get a little bit more equity. They're like, oh, maybe the market's turning, I can't wait for spring. I'm going to put it on now. But six and a half thousand people are not going to sell their homes and then go and live under a bridge. You know, they're going to buy the next home. So there's a movement and exchange of properties that is going on. Yes, there's been a heightened amount, but we're still talking about really good clearance rates. So you kind of have to put all of this kind of noise in perspective of what is your goals, what's your long term goals? If your long term goals is the next 10, 15, 20 years, the fact that there's going to be a three to four year or five year, you know, time where the market is not going to be super growing but is going to be back at, you know, 2, 3, 4, 5, 6% is what we're seeing capital, you know, it's okay, the properties are still going up. You've got the fundamentals right. And I think, you know, as much as, as you can get all this information and try to get what's happening right here in the market. The thing is, I can look there at the Sydney market and we can see quite clearly that the Sydney market is at the peak, approaching the peak of the market and the Melbourne market. But does that mean that there's not going to be any more growth in some particular suburbs? And the answer is no. So there's not all markets.

And how much, you know, I'm always wary of just placing all of the, all of your eggs in one basket in terms of data. Like this is one. I mean how much would you, you know, would you do put all of your investing strategy on the line just because of this one source?

Yeah, I know and I, and I think the funny thing is that, you know, we've, we've got really intimately, you know, neck deep in data. When we've been developing the suburbselector software, we.

Yep.

And you know, every time we turn around we're like, really? This is where you get the data from. We've been watching your data for years thinking that you've got some kind of.

It'S like came on tablets from, you know, Mount Sinai or something, little pixie.

Dust going on the background going, oh, we're getting it from these sites because the valuer general who should have all the data takes two years to get the data out in Victoria, so we can't use that.

So you've got to cross. You've got to cross check all of it. But what I like, Jane, I heard you say this lots of times, and I just think it's a nice way of thinking about it. It's just you've said that I've bought the best possible property that I could afford, when I could afford it.

Yep. In the best possible location. I just did the fundamentals. I stuck to my guns, applied the Trident strategy, had the fallback position in place. You know, if the market did slow down, I could manufacture my own equity by renovating, pushing the rent up, and improving my cash flow. So, you know, I think just getting back. Don't be scared, Janet, of asking the questions and looking at the data, but understand that all the data is collected differently. And, you know, for those people, and you probably have heard me, you know, use the example of the lady that I spoke to 10 years ago in Sydney. She had $600,000. It was a median price at the time. She was waiting for the market to crash. She's still waiting to crash. She went from being able to buy in Newtown to buying in Mount Druitt, which is $600,000 median price today. So, you know, if you're waiting to kind of out time the market, I think you can outsmart yourself.

Yeah.

Okay.

Does that help or not really?

Yeah, no, it does help. I guess I just imagine that if you buy in the wrong market, you end up with a property that's really growing in value very, very slowly, and then it's not getting you to the next purchase kind of quickly enough.

Yeah, and I think there's. There's a lot to be said. Like, you know, we can see that the Perth market's actually gone back in the last few years, and I'm talking to people nearly every week of like, you know, they've bought at a certain amount and the property's now worth less. And I mean, that's heartbreaking, but that's kind of fundamental of the economic state of that market. And I think that's why it's important to be geographically diversified with your investments and also with your strategies. You might have, you know, properties within your portfolio that have more of a cash flow and accepting less of a, A, a growth. But you do have those growth properties and that have a lower cash flow. So they're both complementing each other in your total portfolio. And, you know, arguably you could buy now in Sydney and maybe get 6% growth this year and 3% growth next year and having 2 to 3% in the next two to three years and then bounce back up to another 10%.

Yeah. And is that going to be better.

Than 4% in Dubbo?

A bit of a way wave that occurs somewhere else in Perth or you know, Darwin or whatever and then it goes back to a lower period of growth over time.

So you look at the economies that are driven by one substantial industry, the mining industry. Queensland and Brisbane in particular didn't respond like it normally has through those cycles of, you know what we've seen Sydney, Melbourne, Brisbane take off. Brisbane then had an overlay of the fact that they had the mining industry come back. So they didn't have the growth growth that was expected. But you know, there's no reason that Sydney, Melbourne and their satellite cities won't have that going on. We look at Hobart, Hobart's got an insane median price. It's got a fantastic yield. But I'm just not convinced. You know, when they turn, they close a paper mill and all of a sudden half of half of the towns are out of, you know, work and that can. And that's. They're so intimately involved with the capital cities. Those, those regional decisions actually affect the capital city economy quite significantly. So that concerns me. There is a small growth period I reckon, you know, in the Hobart and Adelaide's a smaller market. We know buyer's agents we talk to all the time moved from Melbourne and they started buying in Adelaide. They're looking at Perth. They're back here at Bendigo Ballarat. They're going to go to Perth the end of the year. You know the numbers. They're following the numbers rather than following and usually playing a longer game ahead.

Of it, playing a short game. So they can good for their clients.

And they're leaving. Yeah. And they're leaving out those, those areas that have the. If you were going to choose the best place to buy and you had cities that were iffy in their economic stability going forward, would you choose one of those and take a bet on it or would you come back to a fundamental that had potentially the growth opportunities?

Yep.

Well.

And I guess looking at growth because when I dotted out Sydney and Newcastle for example, the growth was certainly stronger in Sydney, which makes me think, okay, well it seems smarter to buy something in Sydney than to buy something in Newcastle because I'm more likely to get it right.

You're talking about the dot map the past 10 year growth.

Yeah, the dot map.

Yeah, the 10 years it's interesting, when we launched the ultimate guide in 2013, that was. Sydney was sitting around, I think the range was about, about 3 to 5%. Most of them were four from memory, green and blue. Everyone's dots were just the one color across Sydney. And they were devastated because the Melbourne map that we used in the videos showed all nice pretty colors and a spread of values. But the. Yeah, but it's interesting. It didn't take long for that map to start to change. It was only each year we saw that change pretty rapidly.

And I think the dot map exercise is important in the context of you've decided to buy in Sydney and you look at the area and you go, so what's the ripple effect telling me about Sydney? Where's the next suburbs that might have a flow on effect due to affordability but has, you know, the population infrastructure to support it. So you look at that in isolation. You can't with those suburbs. And then you go to Newcastle, you're not comparing Sydney to Newcastle. You then go to Newcastle and you go dot mat Newcastle and you go so where due to the ripple effect are we looking that the suburbs, suburbs may be the next to take off. And you know, so you, you're looking at Newcastle and you're choosing those suburbs. Then you can play the suburbs off against each other. You're not playing the cities. The dot maps get you to the suburbs and the suburbs, you play off against each other. Yeah, suburbs, death match deathmatch, that's what you call it. And I mean, and you know, I've talked to, I talked to, you know, often about, you know, the, well I invented the term the growth sandwich, you know, so in Melbourne for instance, you've got that ripple effect going out in the western suburbs and you've got this huge population corridor growth happening in Melton and Tarnet where there's large developments. Those people are going to be aspirational in the next five to 10 years. They're going to get better jobs. The husbands are going to say to wives and wives are going to say to husbands, let's move closer. And you've got the sandwich. But they push in on each other. And I think you're probably going to see the same in the central coast with Newcastle and Sydney. And you know, I know Sydney's coming back in the growth. I think Newcastle, my, my feel is that Newcastle is probably going to keep going with some more longevity. It may not ever have those incredible stellar. I've got properties in Sydney that did 22% last year and 26% growth. I don't think you're going to see that in Newcastle but I think you're going to have some more sustainable higher growth for the next three to four years in Newcastle and Wollongong and those satellites and the Geelongs et cetera those satellites cities then you will have in the capital cities. That's my thoughts.

How do you first.

How do you first. Yeah let's just hope I'm not around in five years time when my co. Hey we did do 26% in Newcastle so But I hope that helps Dennis, It's a really good question.

Yes it does.

Yes. Thank you.

So yeah right now, there we go. All right so I've got another hand up a few. Let me find it again. Kylie.

Hey Kylie. I think Kylie said he's coming. Oh thank you so much for Newcastle.

Hey Kylie, you're on.

We can hear you. She's typing.

You can?

Yeah.

Can you hear me?

Yep.

Okay.

My question is at the moment in Newcastle in the areas that I'm looking for and my numbers work for the prices are just going crazy and all the properties are going well above asking price. My question is whether I should stick it out in this area and try and find something like all the renovations that I would need to do the cost of them, the equity isn't there. Once you do the renovation do I go out a bit further where the prices are like $100,000 less but the potential isn't. The numbers don't look as good. Does that make sense?

Yep. So I think there's two things at play here and this can often happen where you can get confused, used and that is that the numbers don't stack up. So and I've seen this happen in a bit of a twist to this as well so the numbers don't stack up. I can't afford a property anymore in Red Hill so I'm going to buy. I can't afford a house in Red Hill so I'm going to find buy a unit there instead. Now all the research and numbers and everything that you've done and validated that suburb has been based on the houses and you go and you kind of forget that because you've spent your head down trying to find a property and looking for it and go well I can't find the houses anymore, I'm going to buy a unit and to some degree it's very similar to the well I can't afford the house there anymore. I'm going to go to Lake Macquarie because it's cheaper but the fundamental about if it's renovations your strategy was that pricing disparity that you're trying to find. So the pricing disparity can be missed because. Because you might look at a. So give me some numbers of the suburbs that you're talking about. So the suburb that's being priced out.

Of you have to medians.

Yep, yep.

Oh damn. I don't have all my numbers out.

It's okay, make them up. I'll nod.

I'm looking at like Edgeworth, Barnsley, West Wallsend.

Yep.

And then it Wolsend. Yeah. So the median I think is like 4:30.

Okay. So Edgeworth. Yep. And Wallsend.

West Wallsend.

When I got south Wallsend. Why would this be 4:30 maybe west wall then my property because I'm not that far below it.

And then 15 minutes up the freeway is Curry where the. I know currency way low.

Yeah.

And the price disparity is heaps larger there.

Oh okay, interesting. So yeah so it comes down to. So if we've got these three, these areas for instance. So I know Curry as an explosives engineer I spend a lot of time driving from Sydney to Curry every week. So we've got Curry here, we've got these surrounding suburbs. So 510 we're looking at the long term growth has been you know, 3%. So we're going to dot map this. It's not going to be looking pretty, let's face it, 73%. So we've got some interesting. This had some growth in the last time frame. We've got Curry here a lot cheaper. Its growth is around that 3% still nice yield, 5% here and we've got West Wallsend so it's had a bit better growth overall. And if we go over here to my key criteria. So 25% renters 34.6 and 19. So I'd be getting rid of West Walls then without any hesitation. It just would not counter into any consideration. There's not enough renters there. It's gone. I'd be including Curry and I would be pretty much knocking this one out here at 25% as well. And then if I move over here and look at number sold. Oh just clicks in at 100 and that yields fine. So that's how I would ruthlessly get out of those areas. But just getting back to your point, you might have got into one suburb being is it Edgeworth, the first one. Yep, yep. Might gone into this because you're like okay, it's in the price range that I'm looking at. I've done the dot map. You know, I can see the closest suburbs have had higher growth. There's affordability push. You know, there's all these things and characteristics that are indicating to me that, you know, I should be, I should be looking in this area. And then you do your analysis and let's just assume you're doing a buy and hold. You know, you might be going, well, you know, I can buy for 510. I'm looking at a typical renovation, cost me 40, $50,000. And I'm adding, you know, $100,000 of value. I'm getting up to 620 with my cost. 630. I'm seeing renovated properties worth 630 to 650 on the market. I can see that I can get that buy and hold. So I'm not factoring in structural renerations or capital gains tax or anything. So I'm looking at 510 purchase with a 10% deposit. I can get up to 626.30. I can see that pricing disparity. And then all of a sudden you're like, oh my God, I mean, price down the market. All the properties that are really selling for like 600,000. So I've been squeezed out of the pricing disparity because the renovated properties aren't selling yet. They haven't come up $90,000. They've only go up 40, 50. So then you, you kind of fall down and go, well, how about I go out even further? You know, we're talking 18Ks or 15K to 30K. So huge jump. How about we go out even further? And let's face it, Curry's not a suburb of Newcastle. Curry's a country town. So you know, you've actually gone from this regional metropolis to a country town analysis. And you're going, well, 345 with a 10% deposit, $30,000. You know, I'm adding, can I add $2 for every $1 and make, you know, a bit of a profit as well. So, so all of a sudden you're saying, okay, am I seeing 345 unrenovated properties? And I'm seeing 4, 4 10, 420 renovated properties. Is that pricing graph there? So if you're seeing that and we're talking like for like, then it might be, gee, you know, this area has some real fundamentals now. Let's just go through the analysis and you go, yeah, well, it's got percentage number of renters that I'm after as well. So you know, does it have the yield? It's got the yield I'm after, I've got the sale so let's take it through further but if it's not doesn't have the pricing disparity and you've just moved to that suburb because of affordability it's kind of like going I can't for the houses I'm going to buy a unit. You've forgotten again that pricing disparity so the fact that you've done that is good but you need to I guess then make sure that they stack up and this is the same thing with and I only look at this kind of growth information to go yeah, yeah I can kind of, kind of get a bit of feel at what's been happening there but this is not what I'm really doing in this step. What I'm doing in this step is I'm saying what's the percentage of renters? How easy is it going to be for me to buy this property, find a property, find this property. So number of sold 50. This is like too hard. So I'd be leaving personally West Walls End out of the equation and looking at what Curry can do for you. The problem with Curry as opposed to a Newcastle area is that we now are going regional so it is actually a different type of market. So you have the risks associated with the, you know is it too far out to be considered an affordability? We're counting on Sydney's affordability play generating issues creating opportunity in Newcastle and now we're talking about Newcastle supportability issues affecting Curry. Are we going to one step too far and are we out in the area where it isn't a multi a large region, you know fourth biggest city in Australia. It isn't a large regional town anymore it's a country town that has some flow on effects.

There's Newcastle the fourth biggest city.

Yeah it's fourth or fifth or sixth or something. It's just insane. So and we look at these you know lots of houses so we can, you can see here three bedroom house is pretty big. Not a lot of people at uni so so that's more regional town, bit of an older population. We've got couples with kids and we get down here and we've got you know vacancy which is really good characteristic as well. So if you're looking for a regional town so we've got you know quite a, quite a decent average weekly income so this has probably been propped up by some of the people working at the mines et cetera. So surprising four and a half public housing and not a lot of units, some semis. So, you know, this, this kind of. It would concern me that you're giving up on Newcastle and moving that far regional. Does that make sense? Because I think it's a different type of analysis that you're doing. So you could almost best be going. Okay, so what was that? It was 14Ks out. So you might go. I'm only prepared to go 20Ks out because I really want to be within the. The influence of Newcastle itself. And then you start playing these suburbs against each other. Okay, cool. Does that help?

Yep. Yep, definitely.

Cool. Excellent. Thank you. Okay, my pleasure. All the best.

See you, colleague.

Bye.

Okay, so Raymond Terrace.

I designed a blast at Raymond Terrace bypass for the road that there in my earlier years.

Last for bypass went through like a hill or something.

Yeah. So we just designed a blast to get through, get rid of the hill.

Yeah, some of those. Remember which was the town that they. Oh, was it Coober Pedy or something like that where the locals got together with all their like heavy machinery and just built a bypass around the town in one weekend.

That is a good story.

It's true.

It's a good story. I. I would believe people out there.

It was one of those. It was one of those mining places.

A bit time of time in.

I didn't mean Kalgoorlie, actually. Kalgoorlie, Boulder. Twin town.

Like Aubrey Wodonga.

Yep.

Has anyone else got a question? Hey, Mark. Oh, his microphone's not working.

Oh, there we go.

Hey, Mark, how you going?

Good, thanks. How are you guys?

Good. Have you got a burning question we can help you with?

Yeah. Well, it's actually my dad who got me into property. Is coming to the age where he wants to sort of start to sell some properties he'd be about. He's in his mid to late 70s and so they're in the phasing down phase of their property portfolio. So he's asked me to go to the auction. They've got a house on the market at the moment. And so I guess I've got a bit of an auction strategy type question because I'm going to be there helping my dad and talking to the agent and working out what's the reserve and what should we be expecting and things like that.

Which state are you in, Mark?

Any tips?

Sorry if I missed it.

I could actually send you if you want.

Are you happy to share that publicly?

Yep.

You never know, we could justify the Southwest. That'd be great. Okay, tell me, put into the chat or send Me the address so we can have a look.

Yeah, just send it in there. I just sent a question through.

Great.

So it's in Melt Waverley.

Yep.

Which is a pretty popular suburb. Melbourne.

Yep. And. And tell me if you've been through. Oh, can you do that?

Yeah, she'll be able to do it.

All right, I'm loving that.

So it's just gone on the market in the last few days and auctions in a few weeks.

Yep.

See, my dad had the same strategy as me. He actually learned his idea. He got his ideas from Jan Summers.

Oh, we love.

Many of us have followed Jan Summers. And so he's been a buy hold person.

Yeah, great. And so he's actually wanting to sell and successfully. Can I just get that copied there for me?

Yeah, it's already.

Yes, it was just. That was. I need to organize. It's not to power.

Yep, that one there.

Yep.

Did you get that link? Yep. I've got it, I've got it, I've got it. Okay, so let me share my screen with everyone.

He got it staged. I chatted to him about should I stage it or should I not. I talked him into getting it staged. It was about $2,300 to get the two bedroom unit staged. He got three quotes.

Nice, good job. You followed. Now you're in the ultimate guide to renovation, aren't you, Mark?

Yep.

Yeah. Great. Okay. So have you been back and had a look at that auction negotiation module? So this looks great. And this is, I mean $2,300 for a unit. And you can just imagine what this would look empty. People go in and they don't connect with it as opposed to. Yeah, this is fabulous. And it's like, it looks really nice. The, the kitchen looks clean and tidy. They've created. See you have a property that's not staged and they walk into this room, they go, no room for a dining room room. And then all of a sudden you've got this little room here stage and.

They'Re creating that rooms that's way smaller without furniture in them. It's a very strange thing because you always look at. I look at the bedrooms in a finished Renault or the developments and I go, how's the bed going to fit in there? That's way too small. And then you put the bed in and it looks spacious.

Did you say it was a two bedroom unit or house?

It's a, it's a villa. Like a part of a blocker.

Okay, cool.

Six on us here.

To give a reserve in advance or are you Going to do that on the day?

No, the agent hasn't asked about that. Yeah, they're thinking around about 660 to 700.

Yes.

Sort of the ballpark.

And so this is coming up for auction when. How far are you off now?

It's like the 26th I think of August.

Okay. Sophie away.

Okay.

Okay.

It's just the start of the campaign.

Yep. Sanctuary of low maintenance style and space in the mwsc. So you wouldn't want to be an investor who's looking from Brisbane to buy down here because MWF WSE doesn't mean a lot, does it? So Mount. What's, what does this mean? Convenience.

Mount Waverley. Yeah, it's a Mount Waverley Secondary College, which is a fairly popular school in that area.

So. So if I was going to rewrite this ad to try to capture interest and you know, and we'll have a look at, you know, who your market might be in a moment but you know it's spell it, get them to spell it out, you know, stylish, within prestige, school catchment, MWSC or something. So you, because you're not going to often you're going to get people who are from out of the sub suburb to look in now you might actually get people from out of the suburb who are going there because of the school.

Yeah. Mark, correct me if I'm wrong, but from memory that school's really popular with Asian first generation foreign investors, all that kind of.

Yeah, it's definitely the Glen Waverley. Mount Waverly is definitely Asian investors. So yeah, there'll be a lot of Asian families who are interested.

Okay, so let's just have a look here. I've gone two bedroom unit so we can do a comparable on that. What was that address again? Just pulled up and lost it. So Waverley Road. So is this on a busy road? No, not completely. Just good access. So it's near the freeway, busy and what I want to do is I want to have a look at other kind of villa type properties so that have sold recently. So what I would do is just grab this one and it's on the market at the moment, isn't it? Gh, this is it. So it's on 140 square meters. Two one, one. So let's just have a look at what some of the comparable sales are. So this one doesn't say how big? 238. So it's bigger. So 715. 238 bigger. Sold a few months ago. 193 in April. Sold a few Months ago. We've got an 89, so quite small, just sold for 686, 296, 200 173. So this one seems to be a recent sale but quite a lot cheaper which is a bit of a worry. So we'd have a look at that, would check the zoning to make sure it's the same to 140. We've got no price indicated. We've got 145, 660 and we've got quite a bit bigger. Quite a bit bigger, quite a bit bigger. So you know we kind of where did that property. So, so what we could possibly do is we could go and refine this a little bit more and just have a look at you know, areas that are only around that 100 to 200 square meters. So we're actually comparing just like with like and we can get a feel for you know, since the maybe the beginning of the year or even later maybe May if you wanted and we could refine this a bit further and just see. Okay, so what has been.

You've done that from May just because it's been a pretty fast moving market.

Yeah, just because we know that it's moved. So if we knew it was a slower market we might go from say January and May sales. You know it might just be that the sale date, it might have had a six week campaign or whatever beforehand. So it could have been on the market for a long time before that. So we've got a couple of properties here and so we'd want to have a look at this and just see how they compare. So let's just have a look at this one and just see. You know, this was in March. I don't know how that got into my May criteria. So we have a look at this. So you know, it's not as renovated, not as nice, not as high quality, you know, with the flooring, etc. Bathroom similar. Much of that's similar. So you know it's got a quite a nice little area here. So we can see here that it sold for 665 and had transacted before that. So it wasn't the same name that bought it which would be an on market kind of family thing. So you know we could have a look at this and we could start pulling up I guess some comparables that you know, you could, you could have a look at and go well how does this actually compare to you know what, what we've got and is there price point that the agent's talking about a price point. So once again this is a bit older style. It doesn't seem to have the, you know, the kind of fit out bathroom's kind of probably similar but kind of fit out that we saw with that kitchen and the nice flooring. So you know, you start looking through this information you go, well you know, know we want to put on a realistic valuation. And John, just from tactics from selling properties, talking to the agents and I'm just going to save this report so I can send it to you.

Yeah, yeah. The reason I was asking those couple of questions before is often what happens now with the laws in Victoria of what is it under quoting overquoting. It's been a long day basically when the house sells and it comes back within a range that is way more than they've quoted for the agencies and there hasn't been that many cases of this but the agencies can be prosecuted or fined. So the way they get around that is they don't get your reserve until sometimes during the auction and typically what they'll do is they'll take the gauge of the market during the campaign and then in the last couple of of days in the, you know, probably on the Tuesday, Wednesday leading up to the Saturday auction they'll give you a report and give you. Because they've, they've had their good three, four week campaign. They've gauged every single party that has come through that house. They've got all, they've gathered all their intelligence and if it's a good agent they're passing that on to you each week and saying we had you know, five parties through. These are the got. This is a young family. We know that they're living in here. We think that they're probably coming from a house of about this value. So you know, and we know they've looked at these other properties and then they'll tell you about this party and you know, whatever their downsides or whatever it is. So you start to get that intelligence over the course of the campaign and that's what a good agent will do for you. A bad agent will probably give you none of that. So I think it's they are, it is worth paying for a good agent. So you get that feedback which also informs your decision. Often I guess if I was to think of the things you've got to watch for if the market, if the agent's not confident in getting the price and this often happens when an agent's bought the listing. So what they've done is they've Overquoted on the property, they said, yep, Mark, this is brilliant property. I reckon we can get, you know, 800 for this and then come the second, third open for inspection, they say, oh, actually, the market's not telling us 800. It's actually telling us it's around the 710 mark. And they start then conditioning you down to a lower sale. So that's worse, that's worst case scenario. But often they'll do this anyway just to set your expectation. Just though even though if they're quietly confident that they're going to get the number they've been tossing about out, they'll still lower your expectations in the week leading up. Just so when you get the good result, it's, you know, happy days. But if you don't get the result, you're not necessarily disappointed and you're more likely to agree to the. The sale. Yeah. The highest offer on the day.

Yeah.

So those are a couple of things to look out for, I would think. The main thing is that the rule that we have is that we agree on our two prices, so we agree on the price that we'll pass it in it and we agree on the price that we'll absolutely let it go for. So that's what that means is if it doesn't get our. Our pro. It's actually three numbers we normally toss about. It's not two, it's. It's what will we pass it in at and then what will we let it go for on the day? So, and that might be, you know, for us, because in the developments, which we've done recently, that might be, you know, you know, 300 grand above what it owes us or something like that, and it's taken a year and a half to build or something like that. So that might be the lowest we'd go for on the day and then anything after that we'll negotiate afterwards, but then that we'll have another number that says if it, if it reaches this, it's on the market and we'll take anything, anything, anything over that and let it go. We won't pass it in, we'll just let the market keep the momentum up and hopefully there's a frenzy and you get two people fight it out. And what auctioneers try and do is they try and build up that excitement and get all the adrenaline going and get people competing against each other. And what they hate is people coming along and slowing the auction down, which is what we always do when we're buying. So if you can keep that mo if you can be really realistic about and don't be swayed by what's going on out the window, just stick to your number that you, you know, if you're willing to let it go for that price in the morning before all the commotion started, then, you know, stick to that and be willing to do it as, as well. And that way you can, you can be pretty cold and calculating about, you know, what's going on out in the street and if it starts running, you can let it go, let it, let it run and hopefully you'll get a bidding war and get a good price.

Let us just do a valuation report for you as well, just to get an indicative. I'll send you these reports so that you've got them. But you know, just looking at the one on the market at the moment, it's, it's interesting that it's got an auction this weekend but it's under offer. So. Okay, so you know, there's, there's something good that's happening.

I always think we do that initial number at the start too. So we say what if, what would we take it off for if we had an offer and it normally the same price that we wouldn't pass in at. So if you get. Because I think you've got to be prepared in those, particularly when you're going to auction. The good offers nearly always come in early because it's the educated buyers and we do the same thing when we put in early offers, we'll put in a really strong offer up the front and if it doesn't go, we'll take our chances at auction. So yeah, often you get really good offers really soon and I think again, if you can work out your numbers really well at the start and, and agree on what you'd be happy to walk away with, then you shouldn't be against taking offers early.

I mean, we can look at this here, this is a valuation report and give you an idea. That FSD forecast standard deviation number, if that's less than 10%, that usually means the banks will accept any of these numbers here. If the loan to value ratio is 80%. So they'll go, they'll do a desktop valuation go. Oh, if the offer or the contractor sale is 780. Yeah, that's within that range. If it's a 9% at 10%, they might actually then go and do evaluation. So that gives you an idea of how confident this range is when you're looking at these numbers. So they're talking around 7:12 here and that kind of range. So that's quite a lot of upside. I mean, obviously, you know, in the last 17 years dad's done well out of it. But if there's 40 or 50 grand to be had, you don't want to, you don't want to lose it. So you know they're looking at some of these comparables now this is sold date 2014, so way outside of date. But it just goes to show that, you know, they're pulling from that kind of level. They're talking about, you know, unit sales, number of sales within the area, they're talking about, you know, the growth. So it's had some really nice sustained growth just in the last three years, years itself. So I think that, you know, just as John said, going through all those strategies, setting the price that is acceptable for you, that's fair and you know, this is, this is maybe an extra year or two of dad and mum living it up. So you know, you want to make sure that you're getting the right price. But I'll send you these reports. Just put your email into the chat box and I'll send you those comparable sales of recent sales as well. So you've got a few more numbers now. You know, I know it's kind of. My grandmother passed away earlier this year, ripe old age of 93 and her home came up to sell. She'd had it for a very long period of time. You know, everyone's always emotional about these things at this stage and it was, you know, a good mate's real estate agent was going to put the property on the market and the good mate's brother through had a really good price to put in and all of these things I just put this just did exactly the same for, for you as I did for my family and just pulled those comparable sale information and, and, and looked at the information of, you know, same kind of little villas like this in the same kind of area and what they'd sold for and it was 30 grand more than what the agent was talking about and you know, we went back with another with that number and it sold within the next couple of weeks. So, so it's no point kind of giving up with something as simple as this 10 minute exercise. It validates the numbers and it's the numbers that dictate the price. And if the market hasn't changed that significantly either up or down, this helps you come up with the number as John said, which is your reserve and what we need to get out of this and is it worth if you father's got other properties or other money, or he can wait a while. He won't be selling for a fire sale. And what strategic investors out there like ourselves would be doing is that we'd be looking at this report and we'd be going, geez, he's had it for a while. And we'd be looking down here and we'd see. If we went down and had a look at the actual property itself, we'd probably say that it's been rented it and we see rental history and we go, happy days. This is someone who's not going to give so much attention to detail or has an investor son who's going to help him out. Let me put into an offer. And he's going to go, wow.

The hope is, yeah, he's only going to think about the difference between what he paid for it and what it's worth now.

$650,000. Oh, my God. That's amazing. I only bought it for 126. Yeah, so.

Hey, Mark, I just wanted to add something just to the thing about early off offers. From a seller's perspective, I would certainly definitely consider early offers, but the only thing you want to do with that is try them. Try and drag them into the campaign as long as you can. Like, try and drag them into, like, if it's a really good. If you've done all your comparable sales like we've just done in this exercise here. If it's a really strong offer, definitely consider it. But try and drag them out for a week or two just so you can get more of that intelligence in and enough people through the opens, at least, I would say two weekends. That gives you a good gauge of the market. Getting two full Saturdays of people through and then you've got enough people that you can shop that offer to. If it comes in. Because what you always do is you shop the offer around before you actually accept the price. So that's the only caveat I would put on what I said earlier about accepting that early offer.

Sounds good.

Yeah.

I hope that helps.

Yeah. Thanks for that time.

Absolute pleasure. I'll get you those reports now. Yep.

Fantastic. Thanks so much.

Okay, Mark, let us know how you go as well.

Yeah, yeah, for sure.

Okay. All the best.

Thanks a lot. See you guys.

All right.

I think Sonja's got a hand up.

Well, you got good eyes because I can't see that.

No, I was looking earlier. I cheated.

So she is. Hello? Sonia.

Hi. Can you hear me?

Yeah, loud and clear.

Excellent. Well, good evening and thanks for the Very informed discussion. I just, just wanted to get your thoughts on what do you think about the Canberra market at the moment? I have been monitoring it for about two years and it has quite a good growth in the last few years. However, if you look at the fundamentals, it is not as strong as Sydney, of course and if you look at the long term trends over the last 20 years, it is probably half or less than the growth you've seen in Sydney. So I'm kind of tossing between investing in Sydney and investing in Canberra at the moment. Obviously in Canberra it's slightly more affordable. Yeah. If you want to get into the good areas, it is pretty much comparable to Sydney probably. Yeah. So what's your experience with that market? What? What did you say?

I've got to be honest with you, I, I haven't got a of lot of exposure to the Canberra market. I do have a number of mortgage clients that are based there and have done very, very well. I know that anecdotally there has been an oversupply of units there and the latest RP data report that CoreLogic did and you can watch on YouTube essentially alluded to the fact that there might be a bit of a recovery in that market and we can have a quick little look here and see what they think is happening.

I wouldn't consider unity, absolutely no unit. It's really buying a house here because, well, if you can't afford it in Canberra, you can't do it anywhere else.

Yeah, exactly. And I think the thing about Canberra is one of those it's a really weird market. So this. And the reason it's a weird market. Well, this is how this is. This is my personal opinion. Don't anyone record this and play it for prosperity or anything but Canberra. When I look at low risk investing personally, I try to look at economies that I can predict. So I'm looking at ripple effects, I'm looking at population growth, I'm looking at multi industries, I'm looking at consistency, those multi industries. I'm looking at all of those aspects and then we have Canberra. Canberra has outperformed most capital cities other than Sydney and Melbourne. If you had looked at them over the last 10 and 20 years consistently. So it consistently outperformed capital growth long period of time. But it did go through periods where, you know, the Liberal government gets in and they employ all these consultants and employees and then the labor government gets in, they sack everyone and then they go, well we can't do it. So then they put consultants in and all these consultants and so I have clients that are consultants in Sydney, Melbourne and Brisbane who go, whoa, labor government's in. They'll sack everyone in a year's time. They realize they can't do it, they can't put the people back on. So. Because they promised to, I mean, you know, better than me, the government. My sister used to be a chief of staff for one of the senators there. And there's some hierarchy in your D level or D3 level and people at parties say you're a D33 and they know exactly your wage. You know, it's just a weird industry. And so all of these consultants go there and they make a motzer of money and the government pays them more than what they would have paid Staff. The staff. But they've got some. I can't predict that market. I can never predicted the Liberal labor is going to. For me personally, I can't deal with it because I can't predict it. But I know people within the market and so within that market of Canberra, you know, there's a lot of things going on and I know there has, there's some conversation about, you know, Canberra hasn't had such a great play and it has been oversupplied of units and in actual fact from an affordability play, Goulburn looks great. Which is very similar to the conversation we had was, well, Newcastle look great because then all of a sudden Curry looks great. So it's kind of like, okay, Canberra is this whole entity and then they don't pay, you pay your stamp duty but you get it back in the first year. And so I have to be honest with you, I'm not across the market and I probably have through smoke and mirrors giving you some indication I have some exposure to it. But it is a market that I've got over 12 years as a mortgage broker, I've probably had five clients buy there as opposed to hundreds and hundreds in every other capital city of Australia. So it's not a market that you look at Sydney and you go, I know the fundamentals of Sydney. And as you said, you look, look at Canberra and you know, in Canberra you start looking around and you are talking about million dollar suburbs, you know, so yes, the price, right, the price, yeah, look at this. It's insane. The price point. So you can kind of looking at the same price point and then you're going okay, similar price point. So you know, five. We are talking closer to town but you know, still 7 10k is a out. We're still looking around $900,000 and you you look at that and you go, you know, really? Is. Should I. Could I be spending $900,000 in a market that I can predict better? And that's, that's the kind of thinking that I would have. So I don't want to talk anyone out of. Out of. Yeah, it's. I'm sorry.

No, no, it's really great because I've been having exactly the same thoughts and I've been monitoring it and I just can't justify doing it here. So I'm like, yeah, probably not now.

Are you coming? Are you coming down to the Reno Fest?

Yeah, I am.

I'm excited. Excellent, excellent. Well, if you've got that dot map for Canberra, put it in your bag.

Yeah, I've done the Sydney one.

Oh, that's Bring Sydney. We want to see Sydney too. Okay, that would be fabulous. And we'll put it up on the wall and just put your name on it so everyone, everyone can see. Done by Sonia.

Otherwise someone's wipe it.

Yeah, they can swipe it.

We're not a community of dot map thieves.

We will shamelessly take photos of it. Yeah, yeah, put it on the. Put it in the private Facebook group. But look, I think, I think the thing is, you know, all of these questions about where do you buy, how do I find my location? And, you know, we've talked about this a lot tonight. It's really around.

And.

What are the fundamentals of growth and success factors in the past? Income growth, population growth. And we had a chat to a gentleman today, didn't we, John? And we were talking about where is the only place that there's been population decline? And it was like Japan went from 130 million to 110 million. So it's not like we're losing population. Everyone has to live somewhere. And from an affordability point of view, I think we're going to see some really, really innovative ways that people will be able to buy properties in the future. And I don't think they've even been invented yet, but, you know, there's going to be a way forward that people can keep purchasing. We're trying to work with some of those at the moment. But, you know, I just think that if you can't predict what's happening in a market unless you're in that market and, you know, that market, I just, I'd be. If you can't afford Sydney, I'd be going to one of those satellite cities that we talked about around Sydney then, as opposed to, I'm up stumps and off To Canberra. Yeah. Yeah.

All right, well thanks for that Jane. That, that's really good thing.

Okay. I'm glad I could help.

Yeah.

See ya. Bye.

We'll see you Saturday.

Great. Lots of people coming on today.

Neil has got a question about camera follow up.

If you look at, just on camera, if you look at the data on the screen, the data is the same for several suburbs.

Ie Curtin and Hugh, you might notice here we have the same suburb postcode. So the same data is for the postcode here. So when we're actually looking at this past kind of information that's coming through for the same suburbs. So 606606, 605605 it's actually the data for the postcode and that's why I kind of set, you know, for me this, you know, this is part of the analysis tool where we go, how much can we afford? Let's get to, you know, geez, you think I've used this before, wouldn't you? Let's get to a suburb that we can look at. And I'm interested here on looking at the, the actual surrounding suburbs and just seeing from the price point of view, you know, for the, from the different postcodes, what's happening and then coming over here for the individual information that actually is coming through for the individual suburbs. So at the moment this data here is actually based on postcode and so we're working with SQM research and in the next, I think three weeks we will be down to the suburb level for that first bit of information.

But just some of them are going to stay the same though because some of them are standard. Like vacancy rates for instance, is always postcode.

Yeah, vacancy rates is always postcode. But this here, you know, this income is per suburb and you know, when we're looking at the types of dwellings. Well, this one's not a very good example, Jane. But you know, when we're looking at this type of information, then we're actually looking at, you know, the suburb data. When we get down to the demographics, as I said, you know, the suburb data is the data that's been pulled for the 2016 census.

That's great.

So that's what we've got going on here.

Oh good. Well, I reckon that might be us, Jane.

Look at this average weekly income just goes to show you what they're earning in Canberra. 1900 dollars. Yara Lumber. That's, that's the, where the governor, not the governor, Prime Minister's house is, isn't it?

Yolumba?

There you go. Three bedroom house.

Hello, if you're listening.

Median age, pretty old at 49. Mind you, I shouldn't say that. I'm there soon. So There we go. 860 houses in Yara Lumber. One of them our prime minister lives in. Not a lot of units. Okay, guys, well from, I guess from us.

Yep, that's.

That's it.

That's it.

We're done. Unless anyone, you know, screams out in the next 10 seconds.

Yara Lumber. Thanks guys. Thanks, Dan. Hope to see you. Oh, interesting. Gerhard's come up with the flip flop being the name of the new dairy product. You are so close. Oh, is it midnight yet? Can I tell you? I know, Viv, we will definitely see you Saturday. Viv tells us that she's picking up T shirts to bring down for everyone.

Oh, cool.

Oh, Wilma, what a great call. Well, look guys, I am so glad that we could help you out and I'm really glad that as you know, we are here for you. And this is what these calls are all about, is answering your questions and, and trying to I guess get you over those humps. So in the, in the time between the. These calls that are coming out monthly once again, jump in that private Facebook group. There is so much going on there and the community is awesome. We're, we're in there regularly as well answering questions. We can't answer all the questions and there's people with more knowledge than us. I know it's a shock and surprising but we, we run into it every day and we just accept it and we learn from them. So you know, get in there, ask the questions, introduce yourself, don't be afraid. And you know, that's it from us. And for all of those people coming to Reno Fest and at this stage I think we've got close to 200 people, 150 people or something coming.

Still time. Still time. Find one of those many emails we've sent you them.

Don't tell them that I gave final catering numbers today. We just don't. We waste won't feed you. I'm just joking. I'm happy to give you my sandwiches.

And you can take, you can take my mail.

But all the best, guys. And till next month, here is to your property success.

So yeah.

Sam.