Your Property Success Mentor Call July 30-07-2020 (Part 1)

Hi, it's Jane. I just want to check that I am coming through from my home loud and strong. So if you can hear me and see me, please type in and let me know. And I would love to also see your names pop up in the studio that I'm using, which is belive and names don't always come over from Facebook so easily. So go and click that link up in the top of the section so I can see that who I am talking to. So welcome to July 2020. Oh my goodness. There has been so many things that have been happening and as always I usually have John joining me, but unfortunately today he can't quite make it. He is doing many other things at the moment and one of the first times in over 8 years he has begged off. So we are going to manage all this by ourselves. Now as always, the information that I share in these calls are for your benefit and it's so that I can assist you just getting you over any roadblocks or issues that you have, answering the questions that you have. So please type in your questions or just let me know how I can best assist you and I will answer those questions. I do have one question that has come through now as always, we have a disclaimer that says, you know, I am going to do my best to give you as much insight and information for you to then go and make your own decisions. But please engage the proper professionals, real estate agents, financial planners, accountants, mortgage brokers or the like, to assist you in getting to your specific needs. So without further ado, if you have any questions, you know, please let me know how I can be of assistance and how I can assist you. But I thought I'd give you a little bit of an update of where we are. So July 2020, we're at the end of the month and as always, we run these calls on the last Thursday of the month at 12:30. And you know, I'm sitting here in Melbourne. Announcements come out about 20 minutes to go to say that we've gone from 2 to 300 cases a day of COVID 19 to 700 today and unfortunately even more deaths. So, you know, this is obviously getting serious and is affecting a lot of people, their jobs, their families, emotional and mental as well as most of us are working at home. Some of us have got children in other rooms, remote learning as well. Let's just hope they don't bust in on us. But you know, I know that these times are really, you know, of great concern for people and maybe the last thing on Your mind is buying a property or maybe you are one of those people who, like Warren Buffett says, you know, be greedy when others are being fearful and you're jumping out and looking at opportunities. So I know from my mortgage broking business, Investors Choice Mortgage Mortgages, we are back at the number of inquiries that we had in February and obviously March, April, May has not been a great month for mortgage brokers. But it's interesting to see that, you know, at the end of June when a lot of the lockdowns were released, that a lot of people were back in the market. Very much so. The first home buyers. We had a chat last month about the home builder grant and where that lies at the the moment and how people can access it. Well, since then we've also got information that's come out with those who have been looking at buying as a first home buyer in New South Wales. The New South Wales government has come out and said that they're going to increase the exemption on stamp duty for new properties being built and that is up to $800,000 in concessions, up to a million dollars. So I'm expecting to see more and more of these announcements. We know that the extended jobkeeper as well, and in a more diluted form, but still giving people that economic, I guess, confidence. And I know that, you know, whilst you're kind of sitting back and going, my job feels secure, I've got some money in the bank. Should I be investing or should I be getting rid of one of my properties? You know, these are the questions that I've been asked all the time and I know that some people need a little bit more time and assistance than just what we have with these quick little calls once a month. And that's why I introduced the additional Borrow My Brain series that has been going on as well. Now I also mentioned, oh, here we've got. Someone has popped in and say, hi, if you click that link above, I'll know who you are. But I can see you over here that it's Stephen by looking at my second monitor. Hey, Stephen. But you know, the important thing is that we do look to the future and we also look at our current reality and we try to understand how we can get to the future that we want and how we're going to navigate this current reality. And these were two of the questions that we discussed in quite a lot of depth last Sunday when I had my virtual summit for my mentoring students. We spent the whole day together virtually having a. Hey, look, Dean's clicked the link so I can see Dean's name. Hey Dean. But you know, one of the things that we talked about at the mentoring summit was really, you know, what does this mean to us now and what does this mean to us in the future and what we're doing. And it was really important for me to, you know, be very honest with the fact that there are down, there's a downturn that is expected, we're in a recession, people are losing their jobs, the unemployment rate is climbing, the confidence rate is declining. We have anything from 10 to 30% in reduction in property prices being talked about in Melbourne and we also have, you know, I've attended quite a lot of webinars. I'm seeing people throwing up ebooks and commentary around what they think is happening at the moment. But one of the things that I wanted to look at is this, reconnect to the long term and what our long term goals are because most people I speak to are investing for the next 10 to 15. So I invited property professor Peter Kalizas along to my mentoring session and he spent quite a significant amount of time going through where to buy, what opportunities are in the future, looking back in the past and the last recessions, timing the market versus time in the market and all of these kind of conversations. So I've put together a bit of a presentation for you that I just wanted to I guess get on the table whilst you're thinking of your questions that I could answer and before I get to the question that was sent through to me from a first home buyer. But I think it's really important that we do consider where we are at the moment and we do look at the big picture because you know, we are expecting this to pass at some stage in the future if there is no vaccination, there will be a management plan that will allow us to continue. People will continue to need to live somewhere and we are expecting that the property market will be where they are going to turn to when they're going to need somewhere to live. So there will be a property market continuing. I also follow a lot of real estate observers and experts from overseas and it was really interesting to look at one of the discussions that Mike who looks at all of the ibuyers and which are kind of innovative buying solution that they're using in the States and looking at how the uk, the us, Europe has been running and China and also how New Zealand is property market is going as well. And what I found really interesting there, you know, over the last six to seven years, it's Become very obvious to me from a finance point of view. You know, when the Kiwis kind of lower the LVRs for property purchase or they lower the make the servicing requirements higher, we kind of follow about six to eight months later. It's been kind of a trend and a pattern I've been seeing. And so with the fact that New Zealand's, you know, it seems to have COVID 19 under control, I wanted to look to see their property market and to see what's happening there. And the amount of listings and sales in the last month in Auckland are back up to, you know, almost 2019 levels. Which kind of gives me a little confidence is when we have this under control, you know, we should probably see being an island ourselves and potentially being better at people coming into the country, being under lock and key for a while and then being tested before they're released that we are going to be able to minimise the effect in Australia and hence the property market will come back. So I want to share all that information with you. Another really important thing and I appreciate the people in the your property success club who have brought this to my attention is that the. Your investment property magazine, which I always just have quite next to me and lost for a moment, your investment property magazine published their last magazine in May and they've put these magazines on hold for a period of time until things get back to a little bit more normal and let's hope they do come back. But as you know, the dot map is one of the things that we really encourage people to do. Go and buy a Hema map, get some quarter inch transparent dots and then grab a copy of the magazine, look at the annual growth figure which is actually the 10 year past historic growth and start dotting to get a feel for what is happening in the market and checking out the ripple effects. Now I have been obviously buying data from SQM Research for years to put into my suburb selector software that gets updated about the 21st of every single month. And the data that usually comes from the back of the magazines is from RP data. But the fact that you guys cannot get out there dotting at the moment makes me very, very sad. So I have come up with a bit of solution and this is the drumroll big reveal that I have and that is that I'm going to give the location masterclass and the ultimate guide to renovation students under the modules where you will normally see. Let me just pull that up so you can see it. But where you would normally see the lesson on the dot Map I have included in there a link for you. So I'm just going to share my screen so that you can have a look at what I'm seeing here and my entire screen. Okay so you guys should be able to see this. So as you can see here in the Location Masterclass when you jump into this normally what you will see is the dot map exercise. And what I've done is for the July 2020, I've updated a link in there for you and that will take you straight away over here to the sqm July 202010 year growth. Now as you can see, every suburb or postcode in Australia is pretty much covered with the major regionals and the capital cities. So let me just know that you guys can see this. At the moment I'm just not sure if it's coming through or not. But what I want to show you is let me just share this and, and make this. It's kind of weird, I don't know what's happening here. Make this a solo. And so what I've got here is in the Location masterclass so you should be able to see this here under the dot map exercise. I have included this link here that is going to get you access access to a Google sheet. And that Google sheet covers, as I said, nearly all the major regionals and capital cities in Australia. So there's about 5,000 of the 15,655 suburbs that I've included in there for you. You can see that they are listed via the major regional area, the state and the suburb and the postcode and here is the 10 year growth. So there is sometimes, and I left this in here so that you can see the D as well just in case you think that a suburb has been left off. Sometimes we do have these conversations and people are really upset that the magazine hasn't published some data on a suburb. But sometimes it's just not statistically relevant which means that the information is not going to be included because they haven't had enough sales or they haven't had enough information. So you'll see sometimes that that information comes up as not statistic statistically relevant and that is what that SNR means. So I'm going to give you guys access to that. It's really important to me that you know, you guys can keep learning whilst whilst we're in the middle of all of this. And for everyone who would like to have access to that July data, we go to your propertysuccess.com. Capital J for July 2020. I'm going to give access to everyone who's on in the club here today so that you can just grab that information and hopefully that can help you. So I know that there's a lot of people out there who are a little frustrated that they haven't been able to dot away. But you know, it's really important that I can do everything possible to make this as easy as possible for you guys to proceed in doing your analysis. So I'm really glad that you've got that information. Thank you, Jane. It's amazing. Thank you so much. Can't wait to get donning. And the question is, is it also on the Ultimate Guide to Renovation page? And the answer to that is yes. So let me just pull that up for you as well so that we can have a look at that. But if you go into let me just share this screen with you so that you can see it. If you go into the ultimate so this is the as most of you know, if you're in your property success. If you go into the member site, what will come up is your your dashboard and you will see all the things that you have access to. So I've put this into the club as well. Under module one, I've put this into Location Masterclass and if you go into the Ultimate Guide to Renovation course, you will find it under module two so that you've got all of the information there as well. Now for those who are in the so here's your link here. For those who are in Location Masterclass and in the Ultimate Guide to Renovation, I am going to continue updating that for the small foreseeable future until the magazine comes out. So the 21st of every month, I'm going to do that for you because I just don't want you to miss out. And for everyone else who's attending this today and having a look, I hope this helps you. Hey Virginia, thanks for that. I hope this helps you. I will link in July's data for you now and the club has access to July's data as well. Now what I find, which I think is really interesting is that what you will see is that usually you do a dot map every six to 12 months at the moment. In these times where things are changing quite dramatically and there is an expectation that there is a fall in prices that is coming through quite quickly. I think it's really important that you recognize the fact that you probably only need the July data to get things going and you might even come back in in three months time and just recheck the data or look at it again just because you know, it's not relevant for you at this stage to go and redo all of your analysis. But just check to see if there is some major changes in the areas that you've been looking at. Now one of the, that we also had a chat about in the Ultimate Guide to Renovation actually in the club this, this week was around the legends that you need to take for the increments for when you look at the differing states and cities. Now, you know, when we're looking at Melbourne for instance, Melbourne and Sydney have done 5, 6, 7% growth over the last few years. So taking a 1% increment, so you know, 1 to 2% is green, 2 to 3% is yellow, etc. Is fine. But in areas like Darwin and Brisbane and you know, Perth for instance, that is not as relevant. So you know what I've done there is when I'm doing my dot maps, I actually go in and I do a half increments when I'm actually in those areas. So once again, I'm just going to share my screen with you for the moment. But this is kind of what I'm doing when I'm in these, when I'm in say Brisbane for instance, I'm going through and I'm putting half increments in. And that's just giving me enough of a, basically a color distribution so that I can see the areas and I can get a feel for, you know, where's their movement. So we've got all these reds that I use the color code here, which goes from green to red like the traffic light. So I'm looking at the reds and the pinks that are pushing onto a green here. So reds and pinks, 4,5% pushing onto a green. And I'm thinking, okay, so there's more than a 1 to 2% kind of differential happening here. So let me put down green this suburb on my list of a list to look at in the future. And then obviously once you've done your dot map, you then go and do the suburb selector software and once you've done that, you can push on and continue in doing your analysis against your borrowing capacity and all the information we talk about regarding the vacancy rates and percentage renters as well. Hey Morgan, good to see you here as well. Okay guys, so that was my big announcement. I'm going to gift you. You don't have to pay the thousands of dollars a month that I pay for the data, but I'm going to give you Some of the information to help you keep going and hopefully it's a little bit easier for you as well than going in the back of the magazine, which seems to be very, very small. Or maybe it's just my eyes that are going. So what I would love to do now is actually run through a presentation that I put together. Unless you guys have any questions, I'm not seeing anything popping up. So I just want to give you, I guess, a bit of a picture of what I'm seeing in the market at the moment, what I think that we need to be mindful and aware of as we proceed and navigate through a changing property market. I also want to share with you what some of the insights that Peter Kalisa shared with my mentoring students in our summit last Sunday, just so that you've got a little bit of clarity on what is happening going forward. Because I think it's really important we think of the big picture, but we also think of what's happening right now. So we know that, you know, this might affect, it's definitely affect the economy for a number of years. We definitely see that the Macquaries and the Amps, et cetera, are doing all of their analysis and saying that we're going to be out of this by 2022, the end of 2021. And we are also seeing that if we look at the short term and we're getting these weekly updates with the prices and of the market coming down, they can concern us. But let's look long term to what you're trying to achieve over the next 10 to 15 years. So what I've done here is just pulled together a little bit of what's happening with our current reality as well. Now this is actually data that just come through on the 26th, just this week. Now this is the early Market Indicator report. The reason I look at this is that I'm just trying to get a gauge of what is happening in the market. Now one of the things that's really important when we look at the market is that what happens is there's inquiries that start coming through. So people start thinking about putting their property on the market. They're talking to the real estate agents, they're making inquiries and this is what they're measuring here. And then you start seeing properties come onto the markets and then you start seeing settling property settling. Now what I have found over the last 15 years of being a mortgage broker is when the market is starting to move up, what I find is that we start getting the people looking online. First of all, so I've been also following the real estate and domain published data about the number of searches. And Real estate just came out last week and said they had more searches last month than they've ever had. Now if you take into context, they did have a higher amount in April and May. They had that because I think a lot of people are bored at home and just looking. But they really got serious with the searches last month. What then happens is they ring their mortgage broker. Obviously I have a mortgage broking company. Our mortgage inquiries have gone up quite substantially back to the February level, which is when there was no Covid and there was optimism and the markets were moving up. So, so we've seen this, you know, inquiries, mortgages go down and now they're back up here. What happens when people start getting talking to mortgage brokers? They get their borrowing capacity. They're usually six to seven weeks out of having everything lined up and then they start purchasing. As they start purchasing, they start doing open inspections. The real estate agents start going, oh, this is really interesting. There's people who are out there and looking and they start speaking to their potential clients and saying, you should really think about listing. And this is this pre listing activity. So I'm just going to give you a little bit of a heads up that, you know, this kind of online searches on the Internet, then the mortgage broker, then the inspections, then this pre listing, then the advertised and then the sales are actually all positive indicators of what's happening in the market, hence why I'm looking at this. So as you can see here, we're back up here through to, you know, this kind of pre listing activity of 2019 and back to where we were around about February of this year. So this is really, really good. We're still lower down than we have been. So the blue is the sales. We're down from January, February, March, April. So sales are down and this is the fact that we don't have a lot of product on the actual market at the moment. Now if I go to the next slide, this is interesting. This has just come out from CoreLogic this week and this is the withdrawn properties and clearance rates that have come through from Melbourne. So obviously when Melbourne closed their doors and no one can have open houses and attend those and we had a lot of people actually withdraw from the auctions and we've had that again this week. So this is another thing to watch Melbourne's market and let's hope and keep our fingers crossed that Sydney and Queensland will not have to go back into lockdown But Melbourne's market will now be completely out of sync with what's happening in Sydney. Whereas they very closely gather and follow each other usually. So you know, if we just have a look at the clearance rates in Melbourne and Sydney, you know, we kind of got back up to, you know, this kind of 60 from the 70% level that we would normally expect. But obviously these lockdowns have started pulling these through too. So we're going to start seeing a divergent in these markets. We do need to be very mindful of the fact that although we are investing long term, we need to consider the short term and rents are definitely becoming softer and we need to be aware and concerned about that and monitor that going on as well. Now this is, you know, from a personal point of view. I spoke to one of our real estate agents, rental managers yesterday. We were renting a small, not small, it's nice, two bedroom, you know, leafy outlook unit in eastern suburbs, Sydney. Getting about 650 a week. The property went through some major renovations, scaffolding up for over a year. We dropped the rent at that stage to 575. And at the moment the tenants are stuck overseas and now wanting to be released from their tenancy and which we have helping them do. And the rental market is now being quoted around 500. So it's like a hundred and fifty dollars difference that's been expected. So understand that rentals are coming down. But to get a tenant in, I would say it's probably worth taking a hit for the next 12 months until, you know, or six months, make it a six month lease so that you can review the amount at that stage. But be aware that we will be expecting to have these rents reduced. So it's important to see this. You know, we're definitely seeing that there's going to be some areas that are going to have extraordinary rent reductions and those areas are going to be predominantly where we're going. We've got a lot of tourism and short term leases coming onto the market. So inner city Sydney, Melbourne and Hobart are being hit the most with that. So just be aware that these numbers are also being skewed by a lot of extra stock coming onto the market. One of the things I think everyone needs to be really conscious and very aware of is the fact that people who are buying off the plan, a lot of these settlements are happening with valuations that are at least 10% lower than the contract price. So you know, there's a lot of first home buyers that are thinking about using the home Builder grant, they're thinking about using the stamp duty exemptions, they're thinking about using the first home loan deposit scheme, all of these things. And you know, they're being pushed into new properties. I really want you to be aware and mindful of the fact that this is something that could have significant impact for you. And just be aware that if you are negotiating a property at the moment and buying off the plan, these inner city units in particular apartments are coming in. You know, we've got like 23% in Sydney that are coming in over 10% below the purchase price. So if you contracted to buy at 500, you have to buy at 500. The bank does. The valuation comes in at 450. Somehow or other you're going to have to come up with that other $50,000. But you can see here, it's over 50% are actually coming in under, it's over 20% that are coming in under by more than 10%. So this is a bit big thing to watch for and still why I think people need to be very mindful of all of the grants and opportunities that are being thrown at us. But just be aware the fact that this is for the long term and buying one of these properties may not be in your best, best interest. Having said that, just as a quick aside, the. What was that? I have just been putting together a Borrow My Brain series as well, which I will share in the notes above later. But what you'll find is that a lot of people, I just wanted to be able to support people whilst they're going through the decision of whether to buy or not or sell or what's happening in the market or what they can do. And so I've had some wonderful conversations and hopefully everyone had a chance to have a look at the conversation that I had with Adam this week, who put me in a completely uncomfortable zone. He was buying a house and land package and he wanted me to look at the two house designs that decide which one to look at. So that's. It's actually really entertaining. And when you see the difference in the price of what these properties were, I think you'll be as surprised as I was. I tried to hide it, but you tell me if I got away with it or not. Okay, so let's. That rental market is really important, but I also want you to be very mindful of the fact that, that, you know, bad times are followed by good times. So, you know, just know that although things just really seem kind of sad and down at the moment and we are getting all of this information through that is indicating that, you know, we need to be mindful of it. I personally in the last two months have bought two shares. Pathetic. I know I'm not a share person but my, my son sold his Legos, we had a thousand dollars, he got to buy two shares. And I'm daily getting through updates going it's down 1%, it's up 2%, it's down 3% and it's making me really uncomfortable and it's $1,000 worth of shares now if you 10x that or whatever it is to look at my entire property portfolio, my property portfolio could have fallen by half a million dollars in the last three months and I wouldn't even know about it because I'm not selling now. It's not important to me. I don't have that measure. I'm reading in the paper that you know the Sydney market or Melbourne market market or Brisbane markets down 2 to 3% and it doesn't have any material effect on me because I'm investing for the long term but I'm actually getting really anxious. I don't know if you guys are out there share traders but this is, you know, this is from the heart. This is where I am at the moment getting these daily updates going. Oh my God, it went down 1.3% yesterday and it's a share worth $2. I went down like 2 cents. I'm like oh no, I got it wrong. So you know, I just want to push, put in perspective what is happening in the market you're investing for the long term. Consider the long term position that you have. So I was really interested in reading this week Shane Oliver's information from AMP Capital. He's probably one of the most on point economists that I follow and have followed over the years and he is talking about a short term downside. He is talking about the bottom of the market coming mid next year and then it going up in value and then by 2025 we'd be at peak again. So you think about a trough to peak to take four to five years. So you know we're down and up so we're seeing that as well. And it's still going with the 5 to 10% drop in property prices with 10% expected in Sydney and Melbourne. So you know if you think about Sydney and Melbourne they made 13 and 15% last year which kind of got us back to 2016 levels there we're going to lose that. So we'll be back at 2016 levels but we're not talking about, you know, a huge, huge drop that other property experts have been talking about as well. He also talked about, you know, some of the positive things we need to be aware of the fact that, you know it's, we are actually in a really good position. We've spent more money of our GDP on putting funding and support and jobkeeper and home builder and all of these things into place. That is actually going to get us to a better position. The unemployment rate would have been well over 14% if we didn't have those kind of wage subsidies and jobseeker and things in play as well. And if you think about it also we've actually had really low public debt compared to all the other countries. So if you look at this, you know, all the other countries have quite a significant amount of public debt. We don't. We've spent more, most countries spend around 3% of GDP on propping up the economy and we've spent a lot more. So we've gone stronger, faster to try to keep our economy going. And you know, the government, be you like them or not, are actually, you know, right on point on doing some really good things for us. I grabbed this through from the property update. This was just one of those extra figures from Amp that looks at where they were thinking unemployment was in a get to as well. So they're definitely expecting this unemployment rate to increase around about 8% back to 6.9 and back to almost where we are last year at 5.8 by that beginning of 2022. So we know that we had some big inflation information come out yesterday. There's no expectation on interest rates changing. So all ahead. You know, there's a lot of information that indicates that we have some positive news. But we have to be mindful of the fact that obviously a lot of Australia's economy comes from population, from immigrants as well. And they're talking about a significant reduction on the immigration over the next two years. So around about 240, so around about 300,000 less people. Now the interesting thing about this and the population is that most of them are overseas students. And I think as a rescue package we're probably going to see something come through very quickly from the government about assisting the universities. And I think, you know, the government has also put out an offer to making sure that we've got people available to be able to people who at risk. So those at risk areas like Hong Kong have been made aware that they're kind of welcome in Australia. So I think that we'll probably see some immigration come from those countries. But once again, think about it. We're an island and we can control, you know, in theory, better control how, you know, we deal with this and after, you know, people have been looking at where would you move to if you had to move and be safe? Australia and Canada are the two countries that people look to. So I think, you know, once the borders are open and we do have immigration numbers come back, they will be coming back with an absolute flurry. So I think it's really important for us just to be mindful of the fact that there is some short term pain that people are going to go through. And I think the biggest issue that you'll probably see is that issue with our rents going down, pressure on rents, but there's also some real opportunity there as well. So I just want to check. No one's typing in any questions. Shall I proceed with this presentation, everyone getting some value out of this because I want to make sure that we know what we're working on here as we're going forward. Where are your comments? I'm not seeing them. Hopefully this is coming through live and strong. Okay, so let's proceed with this and let me know that you're there and you can hear me and where are you? Let's see, there's, there's people watching live. So I don't see any questions. I'm going to proceed with my presentation then. So where what I've got here is I want to show you the, I guess the what the future could potentially hold as well. Okay. 100%. Okay, good to see that you back. I thought I'd lost everyone. I think the really important thing that we look at is that we consider what's going to happen to the future. So let's have a think about what that future looks like now. Now Peter Kalisa was very generous in sharing his information last week. Where did he go all of the IT thing? He went through 93 sharing the Internet and 1991, 2008, 2009. What he did is he went through all of the markets and he actually had a look to see, you know, what actually happened when we had these great downturns. So as you can see in 1990-91 was probably, you know, where we had some over a, that whole period of time there was, you know, significant downturns. But going forward, five year growth after we've had this kind of recessionary experience, you know, the market's up 16% or in Melbourne it's up 3%. And although over the period of time, you know, Melbourne here had a few years of trouble, there was the pyramid building society and Jeff Kennett doing whatever he was doing there to address those situations. But as you can see, you know, every single city didn't have a long period of time before it kind of bounced back. And what I found really interesting about this was that over five years after every single one of these market shocks, the market has returned and the market has improved. Back in 1973, buy a house for $27,000. It really can show you here what the difference makes when we're looking at that. I then wanted to look at and consider what does that mean about if you were going to look at these markets and say, well, what is the time in the market versus timing the market? Could you looked over a 15 year period actually beat the market and how much extra could you make? So Peter is my little mentoring group from the weekend. Peter, Kate did all this analysis for us which we looked at and you can see there, you know, there was 15 years from 2003 to 2018, he did this analysis. Now there's some assumptions here. The property that was purchased for $400,000, there was a 90% loan to value ratio. So a 10% deposit, mortgage, insurance cost 2%. Because you're buying interstate all the time, you're going to need to have a buyer's agent. So 2.5% of the value of the property to get them to help you buy. Selling cost 3% tax rate of 45%, capital gains tax of 50%. So there's two exercises here. One is you buy in one city and hold for 15 years. And he's then taken all the data of all the Cities over these 15 years to see where could you make your most money with your health for 15 years and did nothing. And the next one is, what about buying, holding for five years, selling, buying in another state, selling after five years and a third state. So this is the 15 year comparison. Now the reason that I think that this is really, really interesting is that what it does is it actually shows us what is happening in the market. So if we're here, we just bought the property and we held it for 15 years and then sold it over that period of time. You know, in Sydney you would have made $340,000. Melbourne $588,000 after paying capital gains tax. Yada, yada yada. Perth, Hobart and Melbourne were definitely the standouts in the growth opportunities. You know, if you had picked that one market. Now, alternatively, what have you got the best case? What if your crystal ball was right on point and you were in the best performing market, which surprisingly was Darwin over those three year periods, then you move to the next investment property 15 years later, sorry, five years later to Sydney, and you got the best capital growth in that period and then you moved to Hobart and had the next lot of growth. Now if you had done that, the best case scenario, buying and selling, buying and selling in and out of the market was a capital gain of $386,000. Now as you can see, there's a couple of suburbs or suburbs, there's a couple of states and cities here that actually perform outperform that. We've got Darwin, we've got Hobart, we've got Perth, you know, we've got Melbourne and others are kind of like almost on par, like Adelaide and even Canberra and Sydney, you know. So arguably, if you were in and out of the market and did the best case scenari, you know, you could outperform a couple of the markets. But the reality is that having time in the market was a much better way of progressing. And just if you're interested, if you jumped into the worst cities over those three time frames, you'd be behind $150,000. So you know, for me, the reason that I really just wanted to share this with you and, and show you what was happening in the market is that I think that there's always something that is happening and it's always important that we consider what's happening in the market and look at what we can do going forward. I know that we're having a few Internet issues here. Thanks guys for letting me know that. It's weird times, but we do what we can do. So.