Your Property Success Mentor Call November 26-11-2020

Hello everyone, it is Jane and it is November 2020. Oh my goodness, how fast the year has flown. And welcome to the your property success monthly Q and A call. Now I am joined by my trusty sidekick today, John. Hey, John, how you going?

I'm very well, thanks, Sam. Well, better than you anyway. Why don't you tell the audience what's wrong with you today? Well, it's not covered.

Let's say it's. Well, you know what? I can absolutely say it's not covered because I just got the result at 8 o' clock this morning to say it's not Covid but. And as you probably can see, I was celebrating the Festival of 50 on the weekend with my little family because we weren't allowed to have many other people over and wake up Sunday with a terrible cold that I was going to die last night with a sore cough. But I mean, yeah, so we had a few. Kind of been to the doctor this morning. They said don't talk much. I went, oh well, I have promised I'll talk about dot map. So I've got water. I'm going to last as long as I can because as you know, we, we try not to stop. So I just want to see if anyone can see or hear us. Are we coming through loud and strong? Where are we at the moment, guys? It says two people are watching. Hopefully more. I didn't send out the reminder just in case I did have to cut it at the last minute. Give us a thumbs up, say hi.

Well, while we're waiting for those responses to come through, why don't I do our disclaimer, Jane, just to get that out of the way. So it's important for you to take care and applying what you'll hear on this training. Everyone's situation is different. What we do is we go to great lengths to ensure that every. Everything we share is accurate. But what you're about to hear is based on our personal experiences and opinions and not intended to be specific to your circumstances. So in order for us to share this information openly in the way that we do, we just need to make the following disclaimer that we're not real estate agents, financial planners, lawyers or accountants and are liable for any loss, damage or misunderstanding caused by reliance on any of the information provided or inferred.

And we have to add to that too, John, that we had a bit of a confusion last month. After eight years of doing these and recording, someone thought that if they came on and asked a question they wouldn't be recorded. So I Have removed their face from last month's recording. Took a bit. But if you do come on and ask a question, please know that you will be recorded and I can't do that in the future. It's great to see some of you there. Sam. I did get your question, so looking forward to it. I love you, balloons. Thank you so much. Okay, so big month. Oh my goodness. And I know I can just feel my voice. It's not going to last. So I want to get into these mats. But, but John, you know, New South Wales and Victorian budget. We just had a quick little chat about it. What are your thoughts on what happens when there's a bit of a stimulus, especially towards first home buyers? What have you seen in the past?

Well, it's great, isn't it, to be in a position where, I mean, particularly in Victoria, there's a real kind of optimism at the moment because we've opened up after so long and to be honest, a sense of pride too, that we kind of stared the big dark demon in the face and came through the other side of it when so many other, you know, whole countries were at the same rate that we were, you know, 8, 800 cases at the same time and have raced off and we've managed to bring it back down to, you know, I think it's 15 days worth of zero cases or something now, Jane. So terrific, terrific to be on the other side of it. It wasn't nice, wasn't pleasant for anyone. And now, of course governments or the state government in Victoria in particular is turning around and going, okay, well how do we get this economy kick started again? And one of the areas that they're doing is pumping money into subsidies for people to get into the housing market. But it was interesting and I know you haven't had a chance to look at the detail of it yet, but it's interesting that this has been. Having watched the property market over 20 plus years, it's been a reoccurring theme. And I just reflected to you how every time it happens, it tends to have the opposite effect of what it's intended to try and make housing more affordable for people getting into the market. But because they're pumping money into the market, essentially that the market goes up and ultimately it makes it less affordable. And I can remember years ago when the Howard government, I think, was the first really big one to do it in the early 2000s and late 90s and then so on, you know, interesting to see how it plays out.

And I think, you know, some of the Things announced in the Victorian budget, just off the top of my head, it does seem to be for new properties, so it might actually push people into new properties. There's, I think, a 25% discount on stamp duty for older style properties, established properties, but as a first home buyer, that could be very attractive and it might move people in the new builds, which means that the established market, there might still be some opportunity for us to all jump in there without it going mad. And I think what I've seen from the New South Wales budget is that it's going to take a while for all these things to kick in, so there might be some cooling of the market. So, as you know, I've been monitoring the market very, very closely and watching what's happened in China and, and Italy and UK and US and trying to monitor how far, how long it takes the market to rebound once, you know, lockdowns are removed. And I had all of my mentoring clients in hibernation through, you know, May, June, July, August, September. The green shoots were showing and we all kind of got active in the last week. Three of them have bought properties at very good prices, but it's very competitive. And two more actively are getting in the market in the next month. And I think, you know, normally as soon as the Christmas parties start, late November, Australians kind of check out to early February, but I don't think that's going to happen this year in the property market.

It's a weird cycle this year, isn't it, because you've got so pent up kind of stock coming on, then stock running out and then flooded buyers coming on, there's all sorts of stuff going on.

So it's pretty exciting. But. And you know, it was funny because we finally got to go back to our offices and check them out a couple of weeks ago and that's. I found some boxes of books. And as some of you may have seen, I did a bit of a festival of 50, you know, got 120 books to send away. I was overwhelmed by how many people took up that offer. So thank you for that. And I've been back to the publisher and said, I need more books, so the rest of them are on their way. So. So. But what I have seen, and I know there's been a bit of a frustration over the last month and I even spoke to a mentoring applicant yesterday who said he spent, you know, hours trying to find the Australian Property Investor magazine and then the Urine Property Investor magazine in the news, agents and everywhere, only to be told it wasn't published. And he said, I should have just read down a little further because you said there's no longer in print. This is how I can help you. But he's been. He was dotting like crazy seeing the potential of the market. And I was overwhelmed by how many people took up my offer for the digital dot mat, which I started last year just for my mentoring students. And I was hoping today to get through a full tutorial for you on it.

Why don't you give some context of where the how the dot mat came about, Jane? Just some people that might not be.

Save my voice, Don. You feel you've been there?

I was thinking. So the dot map originally came, was invented by a lady called Medine Simmons, who's a friend of ours from way back and a friend of yours from back even further, Jane. And she used it as a method of tracking 10 year average capital growth. The idea being with a longer period of 10 year capital growth, that it irons out some of the kinks and, and can show where pricing pressure is appearing. So you get one suburb or a group of suburbs coming out from the CBD or out from a freeway or a piece of infrastructure, and you get that growth that's coming up and then that growth spills onto the next suburbs and then they in turn start to grow. So you have that ripple effect happening. So it's really just a System of labeling 10 year average capital growth with different colored dots. And the process would typically take a couple of nights or at least know, two to four hours, I would say. And you get the back of the magazine, you'd have all of the data there listing out the capital growth for the individual suburbs. And you would assign a red dot to, you know, 6 to 7% capital growth. You go and stick that on the suburb basically on the map, and then you'd repeat the process until you'd completely filled up that metropolitan area with dots. So it was something that is a terrific exercise and there was a lot of benefit in actually physically sticking those things on the map and seeing those suburbs and getting a feel for it and remembering the names and all of that kind of stuff. But it was a bit of a handbrake for a lot of people, wasn't it, Jane? A lot of people didn't get past that stage, didn't get their dot map completed or did it partially or didn't quite do it the way that it's intended to be done. So henceforth, the digital dot map.

Absolutely. The funny thing about the digital dot map is that it does exactly what the main map does. And we've had people over the years going, oh, I've managed to do it digitally. Can I sell this? And we're like, yeah, go for whatever you want. It's like, I think it's all too hard. And keeping up to date. And we spend thousands. I've just paid my latest installment, SQM Research. We spend thousands of dollars every month buying the data to make sure you've got the up to date. Let me just take you through it and show you the DOT map because as John said, we do love the concept of you actually doing it yourself because you do get a full appreciation of where suburbs are. And it makes you think. You're like, oh, is that where Warrigal is? Oh, I didn't really know that. Oh, okay, well. Oh, isn't it interesting? All these, you know, growth areas are following the train line or the main freeways, like hubs on a spoke on a wheel. And you get to kind of get that familiarity and spending three to five hours dotting. And we know people who turned up to our workshop sometimes, John, they're taking three years to dot. We know it takes a long time to do it. And that's why I made this available as just an option for the people who were buying the book. And I have heard your feedback. I know that people who have the book also want the DOT maps. So I do have actually, I could even put it on the screen. I was going to get all fancy. I do have a link that you guys can go to to get your DOT maps. Now, I want to make it very clear if you are a member of my Location Masterclass or Ultimate Guide to Renovation course, it's an extra special price for you. So. And you just have to make sure you use the same email address that you use to join up for Location Masterclass or the Ultimate Guided Renovation. So we can track you and give you the right offer. But we're making it available for $97 for three months and an extra special price for those who are in the Ultimate Guide to Renovation and Location Masterclass. And for the first time ever, John, I am going to fall for the Black Friday sale phenomenon. So watch your emails tomorrow because I am going to be offering the Ultimate Guide to Renovation course. A thousand dollars off and I'm going to throw in 12 months access to the dot maps. So you have been waiting and waiting for big launches and watching it all come out. Wait no longer because we're not going to do that anymore.

I don't think We've ever done a sale on the ultimate large renovation before.

Never discounted it. Yes, big deal. So I'll put these in the header later. But just know that if you're so keen and it's for you to jump in and like my mentoring students, you know, this is definitely the time the prices are going a little crazy and you know the analysis I've been doing with them on the properties that they've been purchasing in Sydney and Melbourne has been. Has been really exciting. But you know, just doing the negotiation and the offer plans has been incredible. Watching the comparable sale data just get blown out of the water time and time. So if it's time for you to consider buying property, get your hands on at least the dot map because it's going to kind of give you a little bit of the context. So I'll be looking over my other screen so please forgive me when I do, but I'm going to be sharing my screen with you. Okay, so you can see the club over there which could make it really weird but just hide our screen so I can make this kind of clear. Myself. Very small. Make me small. Okay, so this is the digital dot map that you can see here. Now what I've done here is I've actually gone through and the 22nd of every single month you are going to get the new data comes in from SQM research. And what I do is I go through and I pull that data out After I configured it, hopefully you guys can hear me again. Now after I've configured it you can see here that the different states and territories are here. What I do is I really just want you to get familiar with how the dot net works. Now just as a little extra piece of information here, I know that it's kind of frustrating to go. The capital growth has changed a little bit since COVID They've had low supply, the markets closed down. Is the capital growth figures now really what they are or what they should be? And the answer is possibly not. So if you thinking like me going, I wish I knew what it looked like in April with the March figures before all this happened. Well, you're in a good spot because I feel the same way. And so I've given you access to the art and April ones as well. So if you come up here and you open these up so let's go to Tasmania, what you're going to do is you're going to be dumped into the. Just going to make sure. I'm just going to stop my video but you should be able to hear me still. And I'm going to stop John's video, but I'm going to show him the screen too, so you can hear him too. So, you know, this is Hobart, for instance. This is the information, what's really important that I want you to see. And we've discussed this many times. If you go to your Property Success Facebook page and you have a look in that, you'll actually see that when you get over into the unit section and if you go into the unit section, there's a whole section in there on the digital dot map. And all the questions that people ask, where do I get the data from? How do I choose my increment choices? And this is really important. Just as a extra comment, here's all the monthly calls for the last eight years pretty much in here too. So let's just jump into having a look at some of these. Now. Sam actually asked a question which I thought we could actually answer for her as well. But the reason I just want to show you what these different dot maps look like is that you can see here there's a lot of areas in Sydney that have had over 10% capital growth over the last 10 years. And we go from 0 to 10. However, there's other areas that are not performing as well. So for instance, if we have a look at Queensland and look at the Queensland dot map, you know, it is actually had a lot of growth, but there's nothing really over 6%. And you know, we look at Brisbane as a whole, it's unusual for Brisbane. Over the last 10 years, their average capital growth has been about 2.5%. So when we're looking at Sydney and Victoria and Melbourne, we're up at these kind of really higher legends. And what we found, John, it was Sydney, wasn't it? When we did Sydney a few years ago, it was all blue because it was all very small. We had to go and change our increments to get a picture of how the market was moving.

Yes, 2013. And it looked, for all intents and purposes, like the dot map didn't work because it was all one color. There's two colors. I'm exaggerating a little bit, but so we changed the five so it'd show us a variation. And that happens from time to time as though.

So what I'm going to do is I'm going to. So what I want to do here is I'm going to answer Sam's question specifically about an area that she's looking at. And I realize that some of this might be a bit blurry, guys. So I'm going to, you know, when my voice is better and so I can really serve you a bit better and give you a full tutorial. All of those that purchase the Ultimate Guide of Renovation or Location Masterclass or, you know, the dot map through the book special, I'll be recording something for you, but I just want you to see, you know, here's Perth. There was nothing very few suburbs that actually did over 4%. And so, but there was a lot of suburbs that did negative numbers. So you can see how it was really important that we had different legends for different areas. But just as an example of, you know, how would we use this? So for instance, as you recall, what we do is we've got the dot map exercise and then we use the experts reports and then we go. Once we have those suburbs, we then go and put them into the suburbs like the software in the price points we can afford so that we can actually then start interrogating the suburbs that have pricing pressure on them from the ripple effect that is the dot map. And they also have our low risk filters on them. And they also have some kind of indication from the experts out there that these are areas to watch. Okay, so people are saying that the sounds cutting in and out might just be my voice. So I'm just going to persist just a little bit longer. But what I want you to see is what we ask you to do is look at suburbs that have got pricing pressure on them. So for instance, this suburb here, if I look at this, it's pink. And if I look at this pink suburb here, you know, it's got a red, red, red. So we've got Sydney here. And as we move out from Sydney and we have these ripples that come out, people start buying in these suburbs and when they can't afford to afford to buy here, they buy in the next suburb, Campsie, for instance. Now if we look at the Pink, pink is 9%. We look at the light green, it's 5%, there's a 4% difference. And what we do is we try to find either a 1% or a 2% difference. So that. And we have a list of suburbs that have a difference of capital growth between 2% or 1%. So here's, you know, one of the examples that we would do. Now the interesting thing about Sydney is Parramatta is also a second cbd. So often what we do is we actually have this ripple effect coming out from here as well. So we're having all these Red, red, oranges, pressing onto a yellow and pressing onto a green. So it's interesting here where you actually get this overview of or this overlap of what's happening in Sydney. So there's a lot of these suburbs that have actually got pricing pressure, pressure that are happening, you know, for instance, Regent's park from both directions. And this just kind of gives you a little bit of a context to look at those. I remember, John, when we were doing Brisbane once, we were looking at Brisbane and we're seeing all of these suburbs that were kind of like heading up this freeway that were leading the pack on the suburbs that were kind of in between the main roadways. And it was like, you know, as the access to the city, city improved, people could actually commute from where they could afford. So it's a really interesting way that, you know, if you kind of.

That I remember from that. I'm thinking of the. The hot spotting workshop that we had in Brisbane. And we did the exercise with the DOT map and it was south. It was spreading along the arterial road south of the river. And the one that we predicted was Wyndham west at that time. And I can remember one of the guys in the group saying, how can you be sure? Because it's only had. I think it was 3% average growth. But the ones before it were showing a pattern of growth. And sure enough, when we came back and did the workshop the following year in Brisbane, we pulled up the results from the previous workshop and it had done. I think it had done nine. No, I think it currently was nine or 11, Jane. But it was exceptionally high when the overall Brisbane average capital growth at the time was something like 4.5% or 4.8% somewhere in. Around there.

But.

So it was validation that. Yep, pricing pressure is a thing. And validation of the DOT map process. You might be muted there, Jane.

I'm having coughing attack mutes going on here. Now I've had a question from Sam who said. Hey, Jane, super grateful for your book. Thanks in advance for generosity. My husband and I have two teenage sons. We're looking to buy our home in the Warrigal area. We've had a home before. Sold it. We're moving. How regional. So I'm trying to make sense of the DOT map I did for my area. Our three main areas. We are thinking of purchasing a Warrigal Juan and Newer South. I'll add some information I've been working through. So when we have a look here, where. Here's Warrigal Durham and Nerum South. Now the information that we get from SQM research as for the capital cities and the major regionals. So a lot of this doesn't go all the way out, but it's a really interesting exercise to look at because it's very similar to what happens when we have a look at the central coast in New South Wales. So what we have is that we have pricing pressure for other regions and reasons. And it's really. Although the DOT map is a fantastic tool to give you some insight, to start putting together your short list of analysis, when it comes to some of the regional areas, there's not enough data. So it is really built for the capital cities. People are staying in the capital cities and they can't afford to be where they want to work and live. They may be a little further out. So my answer to you, Sami's, you probably don't want to waste too much time on this because what we've got is probably just the main freeway. And it's like what we saw when they built the freeway or access road over the Blue Mountains. All of a sudden the next town would go up in value and then the next town would go up in value. We saw that the difference between the 2006 and 2011 census showed the biggest capital growth city in Australia was Mount Barker in South Australia, because they built a freeway that allowed people to commute rather than just be tree changes on the weekend. So the DOT map is probably not going to give you as much benefit. But then it just comes back to, well, what are the things that drive growth? Well, employment. So I'd be looking at the unemployment rates, infrastructure plans, the council plans. Is the country getting any good information at any good information incentives from the latest budget? So I'd be doing a little bit of research around that because those are the types of things that are going to drive the growth. And that will probably give you an opportunity to see what's happening in the area and make your decisions. You might find that there's the freeway. The access way to a major area is always good to be part of as opposed to, you know, on the kind of side roads. Unless there's like a huge tourism or, you know, local attraction. Maybe the Bunyip State park has. Is that where they do tobogganing? Something like that.

There's some nice little in those towns, like near them south and up that way. Can't quite read the map there, but there's some interesting little towns that have got, you know, boutique breweries and all that kind of thing, you know, organics and stuff like that. Population wise, I would say the central coast is quite, quite a lot larger too.

Yeah. So. And when we look at the. Because I spoke to someone about this the other day, the central coast, they're like, well, we know there's pricing pressure coming up from Sydney. There's some pricing pressure coming down from Sydney. So I find it very frustrating to try to do something like the ripple effect in areas like this that have different drivers. And a lot of these are lifestyle drivers. So I would be sticking to the capital cities. We have a question someone's asked. It says, why don't you look at differences over 2%? We definitely look at differences over 2%. We have a list for 1% and then we have a list for 2%. So the list for 1%, 2% and above. Yeah, 1% and above. So 1% to 2% is one list and then 2% and above is the other list. So, yeah, don't think that we don't like proper suburbs that have been more the better. Yeah. So that's, you know, I just wanted to give you a quick little idea of how this information works. You know, we can't forget old South Australia here as well. You know, you just have to make sure that you've got the right legend. As you can see down here, I go down to minus 3 and growth over 4% looks great. So don't get really excited when you jump in here and go, oh, my God, the red here. This is fantastic. Well, it's not so much. It's just like they've done 4%.

Scales moved right down.

Yeah. So you've had to move the scales to be able to pick up the patterns. But, you know, you might pick up the pattern here and you might be looking into these areas and go, wow, you know, Fullerton's done 3% and Glenside's done 2%, and this has done 12%, and this has done 2% and this has done 9%. Well, what's happening in this suburb, St. George's well, the median price is 1.1, but it's had no growth. And what about here? Your median price is over one again, but still no growth. So, you know, you're looking at these kind of areas and going, okay, so these guys have had growth, you know, 4%, 2%. What's happened here? You know, this is only $674,000, but you've got all of these suburbs that are from the Adelaide CBD are pushing out, and that's where you coming up with your list and you're writing down your list of well, there's 1% growth differences between the orange and the pinks. So this would be like a 1% and you're putting down the suburb that's away from the CBD. So there's a red suburb here greater than 4% and you've got a suburb here that's between the 2 and 3%. So that's a 2% graph. So this suburb being Fullerton would go on the 2% list. So when you then get back into doing your like suburb selector software, you've got a list of suburbs that already have pricing pressure on them. So you're looking at the pricing pressure and you've already got suburbs that have. Might have come up in the Terry Rider hotspotting report. It's really seeing a. Having problems. Interesting. Just jump in and have a look at anything there I missed on dot. Max. John.

No, I thought that was, I thought it was good information. It was good. A couple of examples too.

But it kind of gives you an idea of some of the biggest things we get told the legends. Everything's blue. Unfortunately I had to tell someone about three weeks ago that you're going to have to probably go and change the legends because everything is blue.

Always look, always have a look first at what the range is before you do it. Got a question there. All right. Just wondering, have you tried a map average long with longer term capital growth that is 20 or 40 years. 40 years would be nice.

Oh, we love it. We would actually love to have 20 year capital growth figures. And every time I nearly, I got John Edwards and Residex to start printing them and so that we could actually look over the longer term. And then when CoreLogic bought Residex they got rid of all the Residex kind of products. Unfortunately they pulled all the 20 year growth out. So unless I specifically write to them and say I'm doing an article on this, can you send me the 20 year growth on a particular suburb? It's almost impossible to get, but I would love.

Great question. And just for those who are going why would you possibly want 40 year growth or 20 year growth instead of 1 year growth to see what's happening right now? Well, the problem with one year growth and what's happening right now is there's lots and lots of things that can really skew that data. So one development opening up like an infill development in a suburb can really skew that data and won't actually give you any indication of pricing pressure. It'll just give you an indication that there's been a ton of sales come onto the market. So more sales and it'll affect the medium price and then the capital growth. So by having the longer term or the longer period of average capital growth. So it's not saying here's the accumulative capital growth over the last 10 years, it's saying here's the 12 month capital growth average 10 times. And so what that does is it just irons out all those kinks and those irregular kind of blips that will skew that data.

I'm trying to make this easier for you to see, but I think I might just have to make it solo. The digital dot map, I've designed that and made that available for now. People who bought the course got one month of it. If they want to have another three months, they can have another three months later at that special price. That location masterclass and ultimate guided renovation students get, you get three months access. I update the data from SQM research about the 22nd of every single month so that you can see the data coming through. And I have had some feedback to say that mapworks based in Essendon have not been diligent in sending their maps to to people. And then someone had had to go to Perth to get a map during COVID these little couples. So I'm not too sure if I hope they're okay. But the alternative to the digital dot map is buying the 30, 40, 50, $60 hammer map, spending five to ten dollars on the dots, spending five, three to five hours dotting it. But you can get your kids to do it. It's kind of fun. And you know this in the location masterclass course, you know, we obviously teach you how to do this but you know, get the dots, do the maps and explain it all out, blah blah blah. Put down your list of suburbs between 1 and 2 increments. So this is your suburbs 1 increments. This is suburbs 2 increments. So you know all that information is there and, and then once you have that, and if you buy reports or you see that, you know Peter Wargent said something on a podcast or Peter Kalesis did, or Ben Kingsley or Simon Presley or whoever those people are, you go through and you would then, you know, put in your suburb, put in your price point. So putting this town, putting a price point, happy to go 20% below and you might say, you know, 15Ks in CBD is your limit. Or you might go 100Ks in CBD. Heads up. And I've shared this tip before if you're trying to do central coast just go to Newcastle and do like 115 CBD and you're going to get it. And so you might have on your list of 2% suburbs Broadmeadows and you might have Brooklyn as a 1%. And Terry Rider might have said check out Fawkner. And that's when you go through into the location masterclass data. Suburbs like software data. We obviously teach you this in the location masterclass and ultimate guide to renovation. Look at the filters that we've applied to. So you know there's the different filters around things like rental yield, sales, sales data, rent percentage of renters and you might just you know choose one of these suburbs and go, you know there's only, there's 41% renters here, 48% renters. These two suburbs are great. They're in my price point. You know the growth is been very good and consistent. The yield's over 3%. There's 125 sold a year. Fantastic. Only 37. Oh do I want to waste my time there? Maybe not. And then you might look at the next suburb and you come down here and go wow, 40. No, that was the last one. 28, 29% renters. Oh this is the data from 2016 wise. Okay, that's tolerable. 70. How many sold? 165 soldiers. We've got 3% yield, 10 year growth. Fantastic. So you might take these two suburbs through. So you've got, you're whittling down the suburbs and coming up with this short list. So we've started with, so we've gone, okay, you know these suburbs here have got some pressure points on them. You know we look into you know the reds and oranges pushing up here on the greens. This might be the suburbs that we've chosen. We then go on to the next step. We've got thrown in some of the experts data. I've then collated this so that you can do runnish suburbs. What do you say John? You call it a competition?

Oh them off against each other.

Yeah, off against each other. So we got the census data here that three bedroom houses, you know mum dads with kids are the most prominent. We've got the information about the capital growth information. We've got the sold per year, how many houses to units which can affect vacancy rates. So we've got all this kind of data coming through and then we have a look at say the rental information. So what's the vacancy rate? Straight from SQM research. What's the yield, what's the average income, what's the percentage of public housing? So you can then start doing your analysis. And obviously, with the location masterclass course dot maps and things, you get into so much more detail. But that just gives you an idea of, you know, how this is all put together so that, you know, you start with the ripple effect, you start with the dot map, you get your. Your areas that have got pricing pressure on them, you know, and you're having a look at those, and you're going, wow, all these reds, what's happening out here? I want to have a look at a green, you know, so you start, you're starting to look at these trends and you're pulling the things together. So that's essentially how that works. As I said, the dot maps are available. If you want to be able to get the digital dot maps, then a couple of ways to do it. You can buy the book, which I'm sure most people have seen that at the moment, or you can go through and you can get the ultimate guide on renovation course, and it's going to come with a year's worth of dot maps next tomorrow. You should get the information or if you want to see it sooner, you can get it sooner. And, you know, so it's really, I guess we just want to make sure that you've got all of the tools that you can use to get you in the place that you need to make the right decisions. Because, as I said, you know, I've had my mentoring students in quarantine up until late September. October is real. Go, go, go. November is buy, buy, buy. And, you know, they're getting in and the prices are moving so quickly, and it's a great opportunity to get in and do some things. So, as I said, we're doing a Black Friday special tomorrow for the ultimate guide renovation. We've got the dot apps going on. It's too much fun controlling the screen. So exciting, John.

And.

All these little things moving.

So a few. First, you've got you giving away your book for free. Pay for the postage and shipping.

Voice does finally go on me. Just so very close to. I just want to. I don't even know. Check it out. We will. Okay, let's see if that works. Okay. Jameslagsmith.com Book Special all right, now, guys, I get lots and lots of questions, and I try to answer them all. It's not always possible for me to answer everyone's questions when they want them in a timely manner. And that's really why we have you know, made available to you. The club. There's thousands of people in the club and so many experienced people as well. That's why we do these calls, so that you can ask questions. And I've got some questions coming through here. Are you mentoring students or buying in the city they live in? No, no, we've got people buying in different cities. They're following the growth, basically opportunities. So people in Newcastle buying in Melbourne, people in. I spoke to someone in Western Australia, somebody looking at Brisbane. We've got people in Sydney buying in Sydney. Got people on the Gold coast buying in Brisbane. So not everyone does that. Is the masterclass the same as module 2 in the ultimate Guide to Renovation? Yeah, Masterclass is module 2 and 3 in the ultimate Guide to Renovation. You do not need both. It's kind of like all in putting there and. Yeah, okay. So lots of people ask me questions. I try to get to them. I made people upset. Sometimes you say, I've just got one question. And I go like. I do get five or six emails a day saying, I've just got one question. It takes me hours. So I actually came back last week, John, it was quite funny and said, I thought you were smart enough to be able to answer my question quick enough for this, not to take up too much your time. You disappoint me. I'm like, oh my God, I'm not worthy. But I did get this question during the week, during the months, and once again, I've disappointed someone because I haven't answered all the questions in their emails. But here's all the questions that I've got on and he's come back and said he's very confused. So doing the location masterclass, there's a lot of questions in here and I've said that I'll get onto this and answer it in this call. But they're confused about what drives the suburbs. So just so you know, hoping if I can recap the location Masterclass course. And they're going through all of these different things of what they need to do, where do you get the best data from, etc. Etc. So I've answered pretty much all those questions, but apparently I missed out this information about building approvals that really wanted to be addressed and that was, there's a lot of websites out there. How do we. How much research actually needs to be done? What are we looking for, especially around these things? Look, I. I feel quite strongly around positive population growth. I think, you know, if you start losing your youth, like Ireland and Tasmania and New Zealand, you start, start losing the people who are going to be taxpayers, money makers basically. I think school information is really important as well because I think that there's a lot of people that are attracted to the really good schools. And just a heads up, if you have RP data, go to the app because the app will actually show you the local schools and the app will bring data through daily for you, whereas if you sign up for watch list it will only go through once a week. So the app, if you've got access to RP data, make sure you have the app as well. The school zones and enrollment policies. I don't think you need to know about the enrollment policies but the catchment areas, that's what you're referring to. Very important infrastructure, transport, shopping centres. The amount of time and effort the economists who own Costco and Audi and Bunning is put into, whether they should be putting an area of development or infrastructure or asset into an area is quite extensive. So if you start seeing these pop up, I definitely would be taking notice. I'd definitely be looking at the council plans. The Gold coast came out in the last week, I think with their plans of infrastructure. So I'm always keeping across that. It's really hard to find it all. So I just subscribe to Terry Ryder and get his reports to see what's happening with infrastructure. And if you're in any of our courses, just go the resource section. I've just updated the latest discount code there so you get 10% off his stuff. But building approvals, look, I don't track building approvals and I think I track a lot of stuff and I. And it's probably one of the nice to haves. It does indicate what's happening into an area, especially between censuses. And I think, you know, we're going to, we see a lot of the suburbs that turn into, you know, three bedroom houses on 600 to 800 square meters turn into duplexes and townhouses within a four year period. So building approvals are important. When you get down to that really granular level of looking at a suburb and you know, in particular when you get down to looking at a property, make sure there's no building approvals around you. There are some tools that you can use to have a look at building approvals. I had a guest a month's access to Archistar recently and it is a really clever design tool and it kind of backhanded into some of the planning works that showed you where the building approvals are. There's some other Sites that allow you to look at building approvals as well. We've used in the past six maps by the New South Wales government that I found really, really handy. But you know, if you're finding them, Land Checker is another one that I've used in the past and Queensland Globe. So there's a couple of areas that you can go to. You know, it's, it's important that you can have a look at some of these as well. But it's really, when you're getting down to that, that real niche end and.

That'S the same, just go overall. I just read his summary there or her summary. I don't know who it is, but often what this comes down to is you've got two or three suburbs and you're looking at them side by side and playing them off against one another and you're using your discretion like it's not often it's not a directly quantifiable thing where you have to have this many building approvals or anything like that. You're having to use your discretion. And you also, you're doing this stuff after you've done a bunch of other research like we talked about earlier, around the capital growth and pricing pressure and percentage of renters and vacancy rates and all that stuff. So you're down to a short list already often when you're making these calls between suburbs. So it's easy to think if you don't understand the way to weight some of that information, that you have to do this for every single suburb. You look at it and you don't. It's really part of that refining process as you get further through.

Yeah, and I mean, as you can see, there's a lot of questions here and because we do cover a lot of things that, you know, in the Location Masterclass to really help you refine all of the ways for you to actually get down to, you know, you know, get the suburbs, get your buying criteria reports, fill this in, go the suburbs. Like software, like, you know, and it's weighted.

It's the way it's, it's quite laid out in a linear order with. And it's weighted towards the most important things at the suburb selection stage too.

So, so yeah, so, you know, I think that, you know, pressing question around building approvals and how important they are in how far back to go, what you should look at, you know, yes, it's, it is interesting to look at that information and there is a lot of information out there and you can go to different areas and you Know, try to find the information on it. And a lot of the, the sites that I've seen, they actually have just really good data that allows you to just see with a graph, not graph, what do you call it? A map of where the developments are. And what I find more interesting is actually going through them and having a look at what kind of developments they are. So for instance, I was looking at one the other day and I was like, I think it was in Reservoir in Melbourne and it was like go to. There was child care centers going you. Which means that there's a lot of people who think that there's going to be young kids there. Right. So you know, there was a lot of kind of information that was coming up and that by just looking at what the developments were. So I found that kind of interesting as well. So you know, just, you know, check it out, have a look. There's a lot of sites out there. We would love to know if you've got, you know, if you've come up with something that teaches us different things because you know, I think that's really clever. So. And there's many sites coming in. I've got maybe two or three at the moment, different companies that are starting prop techs and, and going through and you're really trying to make a curated research platform so people can get the information that they want. Not going like where I say go to this website and they go to this website and go to this website all in one place. Would make it a whole lot easier, wouldn't it John? Do us out of business. But hey, you know, greater good and all.

Yeah, well there's a danger there too. There's lots of shiny objects in the property software space too. So I would say if you find yourself, you're still at this, doing this stage in a month's time, you're in the weeds, zoom out of it.

For those people who are looking to do like specific developments, for instance Aki Star is, you know, I think They've got a $97 Mums and Dads kind of development option but they then normal price is like 970 and that's for the, the big boys who are doing you know, 30 units kind of stuff but it actually designs the units and does the cost and feasibility first pass for you. So there's some really clever things out there. But as I said, some of the sites that I use six maps which I'll put in the up above for you so you can find it again. And I also use Land Checker and They're free sites that I go to. So, yeah, there you go. Lots of fun. Keep us all busy. Hey, I think that might be it for questions that I can see coming through. Just a reminder, if you want the doc maps, go to janeslagsmith.com.maps and grab your dot maps. And yeah, we're here to answer your questions, obviously, every single month. We appreciate you sending us questions. Just be a little bit lenient on some of the timing of getting back to you, but yeah, I think I might be ready to hit bed again. John.

Just to confirm too, Jane, that this is the forum for the questions rather than email, even the, the, you know, apart from the mentoring clients, that this is the forum, we do it. And if you're open to sharing, then you get the value obviously of the answer, but the rest of the community gets to benefit from it too.

We have a question. Thanks. Just curious, given your students are buying interstate from where they live, are they giving buyer's agent their brief or doing the search and negotiate themselves and buying sideline saying, hope you had a lovely birthday. Thank you. Well, the easy answer to that is they're doing a bit of both normally, what happens? So, for instance, in the beginning of March and April, one of our mentoring students was buying in Geelong and with her son and she's based in Sydney, and they did all the research and they were, you know, putting properties past me and, you know, we're looking at the properties and coming up with negotiation plans and, and all of these different plans, etc. But then they closed the borders and they couldn't come and look at one of the properties. So I engaged a buyer's agent I know to drive to Geelong and do a inspection for them as if they were a buyer's agent doing an inspection for someone. To buyers, I think it's like $250 driving from Melbourne to Geelong and doing the inspection for them. And then they felt uncomfortable with their negotiations. So I introduced them to negotiator that I have part of our professional team. And he went in and negotiated, I think, $10,000 off the purchase price. And they were very happy with the purchase price. So, you know, they were elated to get some money off others that have been buying in Sydney. They've done it by themselves. People who are instantly buying in Melbourne, they. We've just had, I have a Wednesday afternoon drop in. Not like Gladys who had the COVID test and then left her door open. I did a. Jane, I had the COVID test yesterday and I had an open Door, but it was via Zoom, so couldn't get me in trouble. But I had the open door between four and five and a couple of the mentoring students just talk about using a buyer's agent and they had been vetting the buyer's agents to use. So we went through and talked about that, how to engage them, the questions they asked, their expertise. So some. And the reason that they're engaging advisers, agents is because the market's moving so quickly that they need to have access to people who can get in quickly as soon as the property hits the ground, get organized and inspection and start negotiating and the negotiations. So one of actually another mentoring student bought this week too, and they've just bought here in Melbourne and they live in Melbourne and they knew that area and they bought by themselves. So I think it does help to have someone on the team to either do the inspections obviously or do the negotiation or be a buyer's agent and do the whole thing. So that helps. Many thanks. Is mentoring still available at the moment? Seems I think I've got three. Three ticked off the list. I only work with a small group at a time, so the application are available. You'll just. You can check out more about the mentoring on the JaneSlagsmith.com page where everything is and yeah, but at the moment, actually I spoke with someone yesterday who wanted to join the mentoring and as much as he had the right mindset and would be so good for the group dynamic, I felt that his genius lay in other areas rather than in the buy and hold area and reflect referred him to someone else who I thought who could take him to his end goals. So if we do get through into a process of having a chat about how we could work together, know that I'll have your interests at heart and if it's not going to be me, I can refer you to someone who I think will be working, could work with you and help you out. So there you go. So it looks like that's it for questions. As I said, you know, it's been a big month. Had my 50th and survived. Had the COVID test and survived. My son was thinking that he was going to have the terrible stigma of being the child of his mother who shut down Victoria and he's now happy that he's not so. And, and yeah, so lots of really exciting things ahead. You know, the state governments, as John mentioned, the budgets. You watch and see. Will it pull people out of the market? Will it stimulate the market? Who knows? But know that the market is moving as soon as they opened up Melbourne after the lockdown, prices jumped 7 to 10% within the first week. So, you know, it is well and truly back and it will be back for a long time. And we're not going to see interest rates go up for a long time. And yeah, we're definitely all open for business. It's all good.

Awesome.

So, all the best, Johnny and from John and I, and I hope this little dot map tutorial has given you some insight of what to look for and how to do it. And if you haven't, if you don't get the digital dot map, never fear, you know, you understand the process now. Just get the data a little bit difficult. Magazines hopefully will come back and start publishing soon. Get your maps, get your dots, get your kids involved. Go Dottie and have some fun. But it gives you an idea of the ripple effect and we have had some strange markets recently. So if you do have the digital drop map, that's why I've put the April market in there, because I think it's indicative, more indicative of what's happening. But it's interesting to have a look at what's happening now as well because things are moving again. So it's all good. Okay, guys, that's it from us. As always, here's to your property success. Stay safe, wash your hands, wear a mask if you can. Bye for now.

See ya.