Your Property Success Mentor Call September 28-09-2018

Okay. Hey, everyone. Sorry, we didn't know we were quite on yet. We're all good to go by the sounds of things. So just before we start, we just need to do our mandatory disclaimer. It's important for you understand that you need to take care and applying what you hear on this call and apply it to your own personal circumstances. Everyone's situation is different. All the information in today's call is based on our personal experiences and opinions and is not intended to be specific to your circumstances. We're not real estate agents, financial planners, lawyers, or accountants not liable for any loss, damage, or misunderstanding caused by reliance on any of the information provided or inferred. Now, also just need to be aware that we're recording this mentor call. So by participating in the call, you are acknowledging this, and you'll get to see the call in the Facebook page almost immediately after we finish. And also within the your property success club membership page. And so with all that, Jane, over to you. What's moving? Yeah, it's really great, isn't it? And it's interesting. We've just. I know. I'm going to break news early here, Jane. We've got a newsletter that's in production that we've been meaning to come back to. We used to do a newsletter called the Toolbox years ago, but we're returning to that now with a newsletter. And one of the sections we've got a newsletter is welcoming all the new members. So I've seen all of the new faces just in the last couple of days of all the new members that have come in the last month. There's been a big influx. So welcome to everyone. And, yeah, ask questions. Don't be shy. Make sure you, you know, participate and. And everyone else, please welcome our new members. Yeah. And of course, if you don't want to be on camera, you don't have to be. You can always just type them in the Facebook chat as well. So either. Either. Yeah. Remind me what happened, Jane. I know.

There.

Good. Yeah.

You.

Yeah, it. It has accelerated the process for us. And I know we've said over and over again over the years that it's. It's the manual process of, you know, choosing the. The increment and the color and sticking it on the map. Mind you, we have done a lot of those ourselves, Jane, to be fair, before we got to the digital dot map. But with our process, it's because we're doing it for clients week in, week out now, finding suburbs for people. It's. We had to come up with a digital map. So we could work through that process quite quickly and look for that 2 increment rule in 10 year capital growth between, you know, one suburb and another as an indicator of that pricing pressure coming through. And so it's good. And actually what I thought of as you were saying that Jane, is if there's any developers out there or people that do kind of geospatual stuff, which is way above our heads and you're in the community and you love this kind of stuff, contact us. Either you can shoot me an email John, your property success.com because we'd love to hear from you. We're now thinking about taking what we're learning in our done for you service and then applying that back into Location Masterclass and the Ultimate Guide to Renovation. So if you're technical and that way inclined, shoot me an email and let me know.

It.

Yeah, Yeah, Well that's it. Talk about a fast track. And we talk about that idea of paying for a shortcut and obviously we understand it's not for everyone, but there's kind of different stages along the journey where you can do that and pay for a shortcut. One of them is you've already done by getting into your property success club and you know, Location Masterclass Ultimate Guide otherwise is like the expert reports, you know, whereas instead of doing a lot of that manual work yourself, just paying for an expert report for the, for the, just a pure ROI version of that step up from that is getting us to do the research on your behalf. Again understand it's not for everyone but if you're, if you've, you know, got five grand and you're willing to speed up the process and you really haven't got that many hours to spare each week to do this and we're talking to guys and typically this is taking them, you know, 100 plus hours to do this research themselves and they're doing that, you know, in the background of work and kids and soccer and all the rest of us. Sometimes it's just worth paying a little bit money to get, get there a bit faster. And in this case, I'll tell you what I love about this Jane is apart from the fact that we get to see properties now in our, apart from just suburbs in our weekly and I'm really excited about a couple of these properties in particular. We're not going to give away the suburb because you know, it's a lot of time and effort and money has gone into finding it. Yeah, but it's, yeah, it's exciting to see professionals working on the ground in these areas. And we're trying to hook, you know, add people to our team of professionals as. As everyone should have a team of professionals that are very high quality. And this buyer's out in particular, very high quality. Got some great relationships on the ground. And we're not starting from the wrong end of things. You know, most people go to a buyer's agent, and they say, you know, where should I buy an investment property? And they go, well, I work in XX and X. You know, you should buy it in these three suburbs. Whereas we're starting the other way around, and we're saying, okay, where's the. For your budget? Let's say it's $600,000. Where's the best possible place that you can invest in Australia? Ideally, we have some clients that are coming to us and saying, no, it's only New South Wales or Tony Queensland. But ideally, they come to us and they say, all right, tell me, Jane, where to park this 600 grand for the best possible return over 10 to 15 years? And we say, okay, we'll run the numbers on that with the criteria, and back comes a short list of suburbs. And then it's just a playoff between those until we get down to three to five suburbs, the very best, with the most ticks and the most boxes. And then we say, okay, where's a buyer's agent in one of those areas? One of those three to five areas. So not starting from the wrong end and saying, buyer's agent, tell me where to buy, you know, great investment properties in your suburbs. We're going, where's the best areas? Where's the buyer's agent? Where's the best property?

Great process. It.

Wow. It's a good measure. It's. It's nice to have the measure, isn't it? It's, you know, you're diligently doing the work week in, week out, but it actually just shows you how many investors you've worked with, because you've been working with investors this whole time, too. It's not like you, you know, been all over the. Yeah, all over the place.

That. It?

Yeah. Sorry to interrupt. Can I just ask you. Is your camera. I'm just looking at the Facebook page. All right, we can't see you. It seems to be just me on the Facebook page. You might. Yeah, people can't see you. Type in if you can see Jane. Now. It's been stuck on that the whole time. It doesn't seem to have been switching for you. You might even need to turn it on and off, but see how you go. But I just wanted to, as you were telling people that they could see. Yep. Can you hear Jane? Just type in if you can hear her. And it might be the case that you can't see her either. Sure. Well, what we talk about. Oh, let me talk about the digital dot map. So basically what we've done is we've taken the. We've hired a person who can do this geospatual stuff and basically what happens is they get our data from SQM research and then they overlay that onto a map. And so what we're thinking about doing now is how could we. Because obviously we've got the suburb selector software, so we're looking for ideas of how we could marry all of that together. So if you imagine you start on step one of the suburb selector software and you put your state in and your budget of, you know, your median price and so on, how could you then go from that step through to the digital dot map or perhaps the digital dot maps, the first step of that and then going through to the suburbs and the suburb selector software? So these are the ideas that are running around. It's kind of in the industry they would call this user interface ui, but we're not, we're not experts, but I guess a lot of it just really comes down to usability and how would you like to use it? So any ideas that way? We'd love to hear from you because this is probably where we're going next year is doing more of an integration of digital map and a version 2 of the suburb selector software and all that kind of stuff. So there you go. Jane, it looks like you're back. I can see you.

Oh, good. Everyone see me. Excellent. So now I think we have. Nicole has joined us. So I'm just waiting for Nicole maybe to put her camera on. Nicole, I'm going to put you into the broadcast. We might be able to hear you so you can ask your question. But anyhow, I was just going to summarize if anyone has heard. I did win this amazing award. Very excited. And the highlights have definitely been helping a lot of people that were in unusual situations getting to their properties. But also there's so many families that we've affected. Incredible change and it's been lovely to actually look after the mums and dads and then the kids as well. So incredible journey and thank you very much for everyone who's been so supportive. So John, we might see if we can have a chat to Nicole. Yes, she's back. Oh, that's good. I'm back. Okay. All right, so let's see if I can hear. Nicole? Nicole, are you there? Hello? Nicole, we've got. Nicole's clicked the link now. Nicole, if you've clicked the link, we just need you to potentially put in your. I'm going to take it out again. Put in your web cam and your audio. But John, we do have a question. So I'm going. Very long question. So I'm going to try to show all of it up there. Do you want to read it?

Yeah, sure. Hi, Jane and John. After going through the dot map and the suburb selector software, I've come across a suburb called Linwood in WA that fits my price range. The strategy that I'd like to apply is a renovate and flip based on your buying reno criteria. This suburb does not meet your numbers sold criteria. So just to explain, we would typically say what, 70 to 100. Jane number sold in a suburb. But then I think what she's saying, there is a lot of Perth suburbs don't. Can this be an exception or should I look further? So why don't we start off with there and then we'll go to the second part of the question which is about percentage of renters. Jane.

Okay, absolutely. So let me just hide the current comment and put this.

So I guess when numbers sold, when you, when you want to see a good turnaround of sales, when does it not apply to some areas and instead of others?

I guess the thing is that one of the reasons that we talk about actually having the number of sold being a criteria is really around convenience in the first instance. So for instance, we're looking here at Linwood, 29 sold in the year when we start looking at this. Now what this tells me is that if I was going to come up with three to five suburbs that I was going to spend some time and effort on spending every weekend in, I want to make sure that there's enough sales for me to be able to justify my time to be in that suburb. Now, 29 sales a year, that's essentially like two properties a month that are selling. So this is my concern. But the other thing is I talk to some of my gold and diamond mortgage clients I do deal reviews for. So I actually see the properties that they're looking at and I can help them make some assessment when we're actually looking at those properties and they've actually already found a property that they want to buy within an area that may have a limited number of Sales. So it actually kind of came up with the golden goose already. So that wouldn't be the fact that they would then say, no, I'm not going to be in that area because it's too hard to find properties because I've already found one.

Right.

So I think that the important thing here is when we're looking at these suburbs and how we assess it that percentage sales is around convenience. Now that's for a typical buy and hold. But John, what has me more concerned here is that there's a strategy about buy, renovate and sell. So now we're talking about flipping. So then it becomes a little bit more of a question around the what is the demand in that area? And the fact that the property is only, there's only 29 selling is because there's only a smaller number of properties within the suburb or is it really tightly held? So if I jump over to location masterclass, John, we can actually look at that here. So we're just getting a bit of a feel of what's happening in the area. Good rental yield. Now the days on market in the last 12 months to three months is coming down. So it potentially could indicate a little bit more of a interest in the area. But there's 23% more properties that have actually come onto the market as well. So if we have a look at this in particular, you know, we get to know it's a three bedroom house, relatively young people lemon ks the city. Now there's 1200 properties in 1200 houses in this suburb. So 29, it's actually a small suburb. So this kind of gives us a feel for what that whole kind of suburb looks like as well. We have got a high vacancy rate now. 3.7% would normally be kind of a walk away concern problem that we would consider. But what we've found in perfect Perth at the moment is that the vacancy rates are quite high and we do know that we're regularly getting people that are, you know, we're talking to and doing deal reviews for that, you know, are saying, you know, we haven't been able to rent our property in Perth out for, you know, two or three months. So it is a concern. We know that vacancy rates have been high but they have been up to 5% there. So you know, it's a, it's a really good question. But coming back to the whole period.

There, Jane, I missed if you said that or not. Sorry, did you say the average hold period? Could you see that there? Have we got that?

I can't remember so we don't have the average hold here.

No, that's right. Yep.

So you can get that in the bank.

Yeah, that's right. Yip has got that, hasn't it? That's where we get that. Yep.

So now, Christy, I hope that has answered your question. I can see that you're. You're there, but I think that, you know, what you're actually asking about there is, you know, based on the number of sold criteria, it doesn't match it. It's okay if you've already found a property there, but my concern would be that your issue is more around the fact that it's a small suburb and would there be the demand if you're going to sell it? So I would probably jump over to something like where would it go? Suburbview.com and I would look. Oh, I see Lynn has joined us as well. We're about to jump over and have a chat to you. Let me think. Linwood.

Well, you pull up that we found a suburb that was great on paper. It had a. The capital growth was really good. It looked like it had a really good spread of values between unrenovated and renovated houses. When we looked at the spread of values on the street and it turned out it had a whole period of 13 years. And this was Ivanhoe east in Melbourne. And when we went to have a look on the ground to try and secure a property, it was just the length of time between the auctions. There was so much demand in the suburb that each time a new property would come on the market, it'd be quite a jump in median price. And so that's what the capital growth was, just because there was such restriction on supply. So. And we wasted a lot of time because we were camping out there, as Jane was saying, and there was no, we're getting, you know, outbid at every. Every auction. So it was frustrating. And it also explained why that capital growth had been good because there was just a fundamental limit of supply and lots of demand.

Look, I'm just looking at this. The map's not coming up, but there's actually 22 houses at the moment that are on the market there. So they only sold 29 last year. So it would indicate that there's people who are potentially up for some negotiation. I would suggest that you could probably negotiate with. But. But yeah, for me, I think that the concern would be that if you do buy in an area like that, then you know the.

And it's going the other way.

The issues are bigger. Now, you also mentioned something around the percentage of renters. If you've got a buy and sell strategy, you're actually targeting the owner occupiers. So please don't consider the percentages renters as being a factor that you have to take into account. And 27.5% if you were going to buy and hold is okay for the suburb, because we know when we get into potential, there's going to be some areas that are actually higher than that. So it's indicative. So I'd be happy to go down to 27. In actual fact, when I do my initial search every single month over the eight and a half thousand suburbs, I always start with around about 24% because I do know that when I want to pull some suburbs out, I'll go into them in more depth. So, yes, what you're saying is fair. We do need to look at the factors and the kind of guides that we've given you. But the other thing is you need to apply it to your particular strategy, which is really important because in case.

It would be a high percentage of homeowners. Right, because is your flipping strategy.

Yeah. So let's have a chat. We've got Lynn here. We're going to bring Lind up. Hi, Lind, how are you? Can you hear us? We see your picture. Hello, Lind, can you hear us? She's looking very perplexed, John.

There she is.

Hey, Lind, can you see yourself? Say hello.

Doesn't look like she can. Jane.

I'm just going to.

Might want to remove her camera and. Yep.

Oh, look, she's laughing at herself now. Let's try her again maybe. Hey, Lind. Hello. Oh, we might have lost. Oh, I might need you to type your question in. Lyn, we're having trouble with your sound. Lindsay, I might get you to type your question in if you wouldn't mind. Typing your question or maybe reconnect your webcam. And we'll come back to you. Now. And once again, guys, let us know that you're there and your questions that you have and tell us if you've got any questions. We didn't get anyone sending through questions this month, so just Kristy, so. Which is going to make it a lot easier for us. But John, I do have something that I want to share with you and it is a little video.

Okay. And you know what? We missed a little. We can come back to Christy because we missed the last bit of her question too. So we'll come back because you'll be thinking you missed a lot. You left missed the Last bit.

I've got Lind, he's sending me written messages. She says, how, how do I leave you a message? We're going to give her one more try. Hi, Lind, can you hear me? She wrote in her book, I'm just gonna tell her to go. Go to the Facebook club where we are broadcasting. And type your question there. You do everything on the fly here. John, how are you? Hey, Lind, how you going? We can see you.

Yeah, maybe. I'm not sure the maybe take down our camera. She might not be aware that she's on film.

Okay. She was actually putting up a notebook and saying, how should I do this?

Bob Dylan film clip style.

Yeah. Okay. I've got a bit of a fun video to run for everyone. Now, this isn't a video about awareness. Now let me know, John, if you can hear this. But essentially what I want people to do is, is I want you to count how many times the people in the white shirts pass the ball. Okay? So I really want you to concentrate. This is a bit of a, you know, awareness test. So how many times the people in the white shirt pass the ball. Okay, ready?

This is an awareness test. How many passes does the team in white make? The answer is 13. But did you see the moon walking bear?

Okay, so what do you think about that? It was a bit of fun.

It was a little bit choppy. I couldn't really tell, but I assumed that there was something silly in the background. Was there, was there a bear in the background?

So what happens when you watch it the second time? There's actually a person dressed as a bear who moonwalks across the entire play. And what this really brought home to me was that kind of question about location and awareness, that of when we're actually looking for properties. So often what happens is when we're looking for a property, I'm just going to get rid of this. When we're looking for a property, we get geographically blinded. So we get into an area and we think, okay, this is the suburb that I'm going to buy. And John, you and I've had this conversation about this happening to you in the past as well, and you've shared something just recently, but you get in something like, okay, I'm going to make it work, I'm going to make this work. And then all of a sudden there might be some information that comes along that makes you think, no, this is not quite right, but you still really want to make it work. And I think I talk to people quite regularly. I think, did you say it was Essendon previously, that it had happened to you in as well.

No, no, it was, it was Ivanhoe, the one I was just talking about then.

So I speak to people often where they say, you know, I'm just having so much trouble in buying in this area and they may have taken a long time to do the research and then decide on the area and then, you know, find the properties and the market's gone up and it's outside their price range and they're still hanging on tightly, you know, to that location. Or there might be some indicators that come up and you think there's something a little bit wrong here, but it's okay, I'll just let it slip. And it's funny because I had a conversation with someone just this week and I was doing a deal review for one of our diamond clients, mortgage clients, and we were looking at this property and so I was looking at a property within a certain area and, and I went through and I did an analysis of all the recent sales in the area. So I had looked at the last 6 months and 12 month sales and as you can see here, I'm just looking at RP data and I started looking at the sales and I could see that those sales were actually in line with what this property looked like. The property was the typical three bedroom property. And we started going through some of the data and I did a quick analysis using the Location Masterclass on this suburb and it came up with a 3.3% vacancy rate, which is unusual outside of Perth at the moment. And so this really had me thinking, you know, there's something a little bit different here. Now if you've done all this research, you've done your dot map, you've done Location masterclass, you've been through the workbook, you've done the suburb selection, you, you've been through the pockets of potential, you've looked at the typical property, you're starting to do this comparison of properties and you go, you know what, this is actually going to work. Then you're invested, you are invested and it's hard to let go, you know, and I mean, we've talked about this before, John, you have to go through sometimes a grieving period that might mean that this is no longer the area that you have to consider. So in this case, and these people were looking at this property as a home. So arguably the vacancy rates and the rentability is not important, but there was a possibility of this property being a rental property in the future. So what I did is I Just started scaling out a little bit further, a little bit further going, what is the risk in this area if there was this vacancy rate? And all of a sudden I came up on all of these developments in the same suburb. So all of these developments are in the process of, all this land is in the process of being developed. All these little blocks are coming onto the market. So, you know, and I think this is when we have to sometimes scale out and have a look at the big picture where we like, you know, this little property here in context of, you know, the information and the comparable sales is okay, but the reality is there is, I don't even know thousands, hundreds of properties that are going to be coming onto the market in this area. And I think, you know, that, that really reinforced to me that, you know, you really have to be aware of the bigger environment when you're just concentrating on I want to buy a house. And I found this suburb like in that awareness. You do. And you know, and I think that can be really dangerous for people because, you know, we speak to people regularly who have kind of got caught in a bit of a loop of where they're looking and they're, the market's moved on and they're not prepared to move on. So I think that a little awareness video, which I'll put the link in for you, but I just wanted to share, I guess one of these deal reviews that I was doing this week and it was like, you have to ask that little bit extra question which is, well, what does that mean and how can that affect me and my investment decision in the future? So that property was to become an investment. Arguably there's a bit of risk there involved in looking at this area because there's already high vacancy rates and there's about to be a truckload of new properties come on the market.

Yep, yep, it's good. It's hard, you get invested in that research process. It's hard to be able to then go, ah, bugger, I've got to change and change direction at this stage. But it, it, I guess it's a lot of those things you do if you're looking for them, you can find out in the early part when you're still playing one on one suburb off against the other and you're really just, you know, trying to be as hands off and objective as possible because those, that's the time you want to find out that kind of stuff. You definitely want to try and find out before you get boots on the ground because then you are invested, you're investing time and weekends and family time into that search. So the sooner you can find out those bad things, the better. You need to know them as quickly as possible.

Absolutely. And I think the other thing around that is that we talk about this all the time. Location is Keith. And we, we know that getting the location right is really important, but we know the amount of research and work that goes in. And I mean, you mentioned hundreds of hours before. We've had people do their dot maps that have taken them years. So we know how long that process can take. And you know, obviously you can skip that time frame and have a solution done for you, but the reality is that I think, you know, a lot of. I liked doing it myself and knowing how to do it, but you need to be aware of what's happening in the big area. So I just. One of my big messages I'm going to send to you all this month is being aware of the locations you're looking at and making sure you're not missing something.

Yeah, I just thought as you're speaking there, the biggest tunnel vision of all, I think is your own suburb is that thing which is always comes up as the I know my suburb. And I've even had people at this stage because I know you've been saying it for so long, Jane, as in, but do you really know your own suburb? What was the percentage of renters? What was the sales, you know, what's the demographic? And I had someone recently who said that my own suburb. And she goes, but I know, I've heard Jane say, you know, you don't. You have to treat it like investment, not your own suburb. But I do know my suburb. So I said the same thing. Okay, so what were the sales last year? What's the median price? What's the percentage of renters? And they didn't know, so they still, they'd even heard you say it and they were still locked into the, the own suburb, but. And thought they knew it, but they didn't really because they didn't have that data, you know, didn't understand that data. So it just goes to show how strong that that bias can be. And it's not, you know, if you don't know those numbers, you're not making the decision based on the evidence, you're making it based on something else. But it's not evidence.

Exactly. Well, I think we've got a couple of questions actually within the club. So how about we have a chat today? We've got some interesting posts that people have done this Month as well. And you know, if you haven't jumped in there, there's. We'll be linking it into what we're calling is the Journal because it's a much bigger than a newsletter, isn't it, John? Coming out Sunday night.

It gets bigger minute by minute.

And so this is a question from Wilma. She says, just wanting some opinions. After a wild storm, a tree fell onto my investment property's front fence and did a lot of damage. See the before and after photos. I have a quote to fix it for $1,475 due to the fact that it needs the wrought iron work done as well as the bricks. I wonder if it's worth just removing the fence and putting in a new white picket fence. What are your thoughts? So it's nice to see the community has jumped in here. Charlene said, hey, are you uncovered by insurance? And Wilma's gone. Huh. Didn't even think about that. Great idea. So I guess this kind of comes back, John, to what is typical for the area. Now if I was going to buy a property like this and renovate it, I might consider at that time a renovation, whether the fence needed to go or stay. But one of the things that I do and what I encourage you, Wilma, if you've got access to RP data, is put this property in. You probably know the property in here. Put the property in and then just have a bit of a look around about what the other properties actually look like as well. Because if a brick fence with wrought iron is kind of the typical type of fence and the picket fence isn't, then I'd be thinking it's probably going to cost you at least that to do, you know, rip this out demolition, get the stuff off the site and then go and do the get the picket fence done and then painted, which is always a pain for picket fences. It's probably going to cost more than that. So first and foremost, great suggestion, Charlene. Thank you for that and going through and checking insurance. But I reckon that they should possibly just see if the cost of the white picket fence is comparable and also check out what's the actual typical type of property for the area. So that's my thoughts. What have you got some thoughts on that job?

No, I would say the same thing. Also just get a few quotes for the repair too. It. It's a little hard to tell from the pictures how extensive it is, but it looks like the kind of thing a bricklayer could fix in a couple of hours using the, the bricks that are already there, you know. Yeah, it's. Yeah, it's hard to tell, but yeah, the repair might be. But yeah, I agree. Renovating up to what's in the neighbourhood. I wonder where this is. It reminds me of. There's a lot of houses in Coburg that look like this, which are a post war and they're a little bit hard to love with the big gable at the front, but you can do some stuff with them to pretty it up if there's value to be added. You're looking at the renovated properties in the street and you can see that there's a gap between what the current value is and what the value is of the renovated properties. But yeah, also comes down to what the council allows.

Lars, he's having a bit of difficulty finding your investment magazine. So it's your property investment magazine that you're after, Lars. It is at most newsagents and Kitty reckons that she's seen at Coles as well. So interesting, interesting stuff there and I think. What did I see here now? Nicole Oates. I spoke to Nicole last week. She built a deck within a week. So good job, Nicole. They're finishing off the property that they had bought up in Port Quarry, so. And catching up, John, with. Who was it Jamie, I think. So they're. They've had a bit. Their own little. Here we go, Jamie. Bit of a meet up going on and Jamie's just joined the. The group as well and she's been doing some renovations. So they bought this property in 2009 for 310,000, lived in it for four years, rented it out for 375 for another four years and pre Renault had it valued at 500, put 80 grand into it and sold it for 662 and a half in June. So great little story here and some great pictures as well, you know, looking at what's being done to the property and what she started with. So great to see people posting up their renovations. So do. This looks beautiful. You know, great little Post Renault story and yeah, great job. Congratulations. Now I recognize this mirror. John, do you recognize this mirror?

Let me have a look.

I think we had. Kirsten had a mirror like that.

Yeah, I actually watched the block last week and there was one there too. It was very similar to Kirsten's motivations. Clearly she's on the. On the front foot there with all her style tips.

Yeah, looks pretty good. So congratulations on that, Jamie. And we just love celebrating people. So what we're going to do is we're going to Put a star on the wall for you. So we love celebrating success of our students. So Jamie, star on the wall for Jamie this month. And we want to add a whole lot more people into that as well. So guys, you know, please jump into the club, see what people are doing. As you can see here, you know, there's recommendations for people buying. What have we got air conditioners here. If you are in the ultimate guide to renovation and you got that 12 months rental save card, then then please contact Viv and get onto Harvey Norman commercial because I've just got saved thousands with a lot of the white goods that I have used there as well. And Seconds World is another recommendation that's come through. So some really interesting conversations now, John, I guess the big elephant in the room this month has been this whole conversation about 60 minutes and bricks and slaughter. What's your thoughts on it all?

I don't often watch 60 Minutes, but it was one of those programs where I found myself yelling at the television just from it was kind of apples and oranges sometimes that they would say one thing. You know, they were talking about a falling market and then they were talking about housing stress. And so often there was no correlation between like repayment stress. There was no correlation between the two. So even if that was true, that the market was falling by 40% as they seem to be saying that somehow and then cutting to a person that was in mortgage stress, that there was a correlation between the two. So there was a lot of stuff like that that just didn't. It was just the only thing they seemed to have in common, that they were bad news, you know. So, yeah, I thought it was alarmist and overly simplistic. And it seemed to be that the only experts that they had on that were worth their salt, they were using one snippet and trying to marry it to a whole bunch of other stuff. But the premise of it, that they were saying that the market, you know, you're going to lose 40% of your house value, which is what they opened with, which was based on Louis saying that in some areas, some areas of Sydney and Melbourne are overpriced by up to 40%. Yeah, I thought that whole thing was a stretch. So it was a pretty shaky premise to start with. Bit of a beat up, really.

I think so. And there's been a huge backlash to it. So Louis came out and said he was misquoted. 45 minutes worth of interview and 1 minute worth of content they shared of his. And so did the statistician as well who came out four scenarios on what could happen to the market and the last doom and gloom one of a 40% drop was the only one that they actually went live with. So you know, I think you have to put these things in context. I was reading an article recently actually I might share it with you even. But just this around what's happening at the moment with you know we've got some wage growth, it's not extraordinary but you know we're around 2% on average. We've got you know the lowest unemployment we've had for ages 5.3% and the best thing about that unemployment is that it's actually full time jobs. We're not talking about part time jobs. So we've got you know, some stabilization. We know that the changes in the bank regulations and policies in APRA and asset cash taken a lot of the heat out of the market and a lot of investors are having trouble in getting finance and the amount of investor finance has dropped. And I know that if I just talk from the point of view of investors choice mortgages we're still talking to a lot of people who are taking opportunity buying in this market because there is that uncertainty. So those investors who actually do have the capacity to borrow are getting their foundation set up right. Maybe extending their interest only loans so they don't run into future issues or even substituting one property under the loan they currently have for another property and upgrading the properties that they have so that they set and forget. I guess one of the biggest things that we have seen though on the finance site landscape in the last couple of weeks is pretty much every major and amp have less the same left the self managed super fund market. So self managed super funds have been one of those things where you know there has been an extraordinary opportunity for people who've reached that glass ceiling of serviceability to continue borrowing.

There's still coming. You've been saying that for quite a while.

Yeah, I hate being right, you know, but it's, it's changed. There are still banks doing it and lending self funds and I assume that we're probably going to say very quickly someone come in and take that market by storm because there's still a need. It's just the changing regulations, et cetera have just made it so difficult. But anyhow, are we headed for a recession? The answer is no we aren't. According to the experts, Bricks and Slaughter was a beat up on the property market and I can only but hope that but that people haven't rushed out and put their properties on the market because of it.

Yeah, that's, that's what I mean. That's what I took away from it. Because we don't, the way we're talking about investing with 10 or 15 year time frames, there's going to be two or three cycles in that timeframe. So it's not like we're against talking about a market correction or even a downturn. Like that's just a natural part of the process. It's just the idea that people will be spooked out or, and not invest at all or sell or get themselves into a crazy position because of a beat up. Essentially. That's the part that I find disturbing about that.

Yeah, absolutely. So anyhow, if that's you, do not be scared. There are opportunities in the market and I'm talking to investors every single day that are taking them up. And your investment property magazine for the month, John, We've got a great story.

In there on another one of our communities in there.

I know we love celebrating the thing.

So if you've got one and you'd like, if you want to be in next month or the month after, contact us because we're just. We've got so many success stories in your property success club that the magazines come to us now, Jane.

I know. So here's a beautiful story from Tracy McMillan about her bathroom and a gorgeous bathroom renovation that she did for little over $8,000. Total spend 7. Sorry, a little under 8,000. Total spend about 8,100. And the value she added was $20,000. So, you know, kicking goals. I've got some tips in there about what you can do with your bathrooms. We're just finishing off the next article on kitchens as well. Well, so we'll be, I think bedrooms and then outdoors. So love to hear your stories, love to share your stories. And John, could do you want to just leak, see if anyone would be interested in talking to us maybe on a podcast coming up too?

Yeah, absolutely. So we're relaunching the podcast in the next couple of months. We're starting to record next month. So we're going to get probably at least a month's worth in, in the can as they say, before we start releasing them. But we're completely changing the format. So what we're doing is more of a one on one and just helping someone through wherever they are at the moment. So that could be someone starting out and just what do they need to do first and talking them through that situation. Or it might be that you're starting a renovation or maybe it might be that you're trying to find the right location or it might be that that's finance. So more, less of the expert interview because I think we've done. We've got a really good set of expert interviews that are there and we talk to who a lot of our heroes, Jane in, in. Yeah, those first kind of episodes that are there. John Edwards and Jan Summers and all those guys. And then. Yeah, so this is going to be more community focused on, you know, helping one person out perhaps episode and. And then obviously the takeaways that come for that for, for everyone else. So if you'd like to. If you'd like Jane to help you out in particular, if it's a renovation case study, I'll come along as well. But if it's finance or it's location and you'd like Jane to do one on one with you and you're happy to share it with the community, please make contact with us. You can post it in the page here. PM me on Facebook or preferably would be John at your property. Success.com. please, please. And yeah, that'll be great. We'll start recording those in the next couple of weeks.

I don't know about you, John, but I get an email nearly every week saying, when are you starting the podcast again?

Yeah, that's right. That's right. We. And just to explain in case I, I know some people will know this and some people won't and I think probably what we'll do, Jane, is when we do the first episode back as we'll just give this explanation as to why we stopped. But we had a. Staff members, a lot of you been with us a long time will remember. His name is Ray Belcher and he was a. Essentially a video producer. He's a director, you know, very well known in television circles and he was a absolute pleasure to work with. He unfortunately passed away and had an untimely accident on the operating table where he had a. An anaphylactic shock to the anesthetic and passed away. And we had a lot of accidents, episodes that Ray had worked with us to produce in the can and what we found that with just the two of us, Jane and myself working on it, we couldn't keep up with that and all of our other responsibilities to the community and with your property success. So we made the decision that we were going to have to put that on hold until we got in a position where we do it again. Yeah, we're that stage now. Yeah.

Yep. So we're back so very exciting times ahead. I don't think we have any more questions. And please next month, you know, get your webcam and your microphone going because we really do want to bring you up. Sorry Lind, we had some issues in getting you on earlier. Please type your questions in or send us an email. We do do these calls in the last Thursday month at 12:30 and we we're here to answer your questions. If you would like to have that one on one strategy session with me and be recorded for the podcast, please send John an email because I'd love to have a chat to you. I love getting people over any roadblocks or helping them see their vision. And as John said, if there's a renovation question, you get the both of us to help you out. So a big win win and obviously share your experience with other people as well. Or a finance question, obviously I can assist you with that as well. So lots of exciting things happen and just John, we are all once a year we really do that real concentrated launch for opening enrollments for the Alton Guide to Renovation. So that's coming along soon too. So there are lots of exciting things that we're doing. And yeah, hopefully you love our newsletter which is now called a journal because it's so big.

Sunday night. Keep an eye out on Sunday night. Yep. First newsletter on Sunday night. Let us know what you think. If you've any suggestions, please let us know. We're open to suggestions and changing it up but it's going to be a lot of featuring success stories from the community is going to be the main focus. So it'd be great to hear your feedback.

Absolutely. Give us some ideas too where we're looking for some ideas on some cash flow type of ideas that you have to help improve your cash flow. And also we are really proud to announced so far the donations are over $5,000 for for the foundation and we committed to raising a $10,000 for them. And we're really excited since we made that decision in January that we've had so many new members of your property success club that have made a decision to join us and make that donation. So thank you so very much as well.

Yep, that's awesome.

Anything else that you would like to add?

No, nothing from me. Any famous last words from you?

I don't think so. I've added in that article so people can check it out. I'll add in that Moonwalking bear as well video.

I saw the other one you posted about the when the landlord won't allow you to have pets. I thought that was very funny too.

Yes, that. Just dress up your dog as a teddy bear. I think we should get that one for you first of all. So anyhow, guys, I think that's all from us for this month. And please watch out, don't watch 60 Minutes on Sunday night. Read your journal from us instead. It'll be packed with so much more interesting information.

That's right, Releasing the news.

Exactly. Anyhow, that's all for us this month. Thank you so much for your questions. Once again, get into the Facebook. Welcome to all of our new members into the Facebook club. And we are there regularly answering your questions. But please stay tuned for next month and we will be back with the monthly Q and A questions where we answer all your questions. So as always, here is to your property success.

See ya.

Bye.