Anyone used Property Education program by PK Gupta?

Discussion in 'Property Experts' started by DanUM, 21st Sep, 2020.

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  1. AndyPandy

    AndyPandy Well-Known Member

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  2. Sackie

    Sackie Well-Known Member

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    Read some and not surprised. The reality is, there are a ton of losers out there. They want to knock down others to hide their own lack of progress in life.

    They don't register at all in my world.
     
  3. ShowMeTheGrowth

    ShowMeTheGrowth Member

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    @PK Gupta mate, I remember watching your video about Brissie may be an year ago where in you explained why Brissie wouldn't boom as the stock on market was about 1.5% in Brissie compared to about 1% or less for the rest of the nation. I can't find the video now. Would you care to explain what part of the data analysis went wrong and if you've taken any measures to fix it?
    I'm not trying to put you down here. I'm genuinely interested in an explanation for my own understanding as the reasons you stated for Brissie to not boom (the main one being stock on market) made sense to me.
     
  4. PK Gupta

    PK Gupta Well-Known Member

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    Markets work on supply & demand. When you see a significantly amount of supply on the market now, and in the pipeline for the future, that acts a headwind for property price growth. Brisbane was in that position both from a stock on market perspective and new building approvals perspective in late 2020 (although not as bad as previous years).

    What shocked me, and probably most people, was how quickly demand surged last year (record levels in 50 years). I did not expect Brisbane to boom last year in the way it did (same can be said for all of Australia, probably by almost everyone). So once Sydney became out of reach in terms of price, it was in a large part Sydney investors which triggered a surge in prices in Brisbane - which then shook locals out of their slumber and into action (note this phenomenon was the opposite in Adelaide and other locations). I half expected Brisbane to boom this year (2022) at the start of last year but not so much in 2021, but the surge in investors overflowing from inter-state drove up prices in Brisbane mostly in the last quarter of 2021 (I was off by a whole quarter in my estimation at the start of 2021). Also note, the SOM relative levels you mentioned perfectly predicted the fact that place like Sydney would boom before Brisbane.

    So Brisbane demand unexpectedly increased beyond my estimation and overcompensated for the supply, much of which never came to market due to timber shortages and building cost rises (once again record unpredictable supply shock inflation). It will be interesting to see whether some of the areas in Brisbane with poorer fundamentals will maintain their price levels into 2023/2024 when many of the building approvals finally get out of the ground combined with rising interest rates which traditionally hits fringe parts of cities the hardest due lower relative income and largest proportion of first home owners with largest LVR's.

    Also note that in a rapidly changing market (i.e. 2021) forecasts need to updated frequently and so many of us actually started to buy in Brisbane around mid to late last year when we saw the supply/demand dynamic changing but the ideal buying window is now passed for most areas in Brisbane and surrounds.

    Of course, no one can predict the future exactly, and there's plenty of "not fully 100% accurate" estimations on my YouTube channel - such is the price to pay for producing this type of content.

    It's an interesting discussion to be taken into future years to see how it plays out. One thing to note is that there are always markets within market and in my experience it's actually easier to estimate future suburb performance rather than whole city performance because there are fewer factors at play.
     
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  5. ShowMeTheGrowth

    ShowMeTheGrowth Member

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    Appreciate your response, @PK Gupta. Metrics like - SOM, DOM, Avg. Vendor discounting, OSI, etc. are, in my opinion, the symptoms. Using these metrics you can only catch the tide after it has started rising. More and more people are using these to catch the tide now compared to a few years ago which is making the tide sharper compared to a smoother tide that was the norm before. Also, a sharper tide means a competitive market which makes it harder to buy.

    Do you look at data metrics that can actually let you catch the tide before it starts? Do you teach that in the course? If so, I'm joining! This would give me the competitive edge where in I can buy in a cooler market to then just watch the tide break and rise!
     
  6. PK Gupta

    PK Gupta Well-Known Member

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    We sure do. The metrics above I talk about all the time in my videos on YT, they are good but part of the bigger picture, and various metrics together with their trends, thresholds and weightings allow us to paint the bigger picture. I must admit, data is often symptomatic. But data is all we can read while being objective.
     
  7. aj01

    aj01 Member

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    I could be wrong but I think this is a part what your paying the fee for?
     
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  8. Max33

    Max33 Well-Known Member

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    PK a big theme I’m seeing with your videos seems to be getting a PM to inspect your potential IP purchase instead of paying for a BA if you live interstate, with the potential to save on BA fees. I’m buying in Perth, PMs seem to be absolutely flat out at the moment with surging demand from land lords/ tenants, I just haven’t found it feasible to find a property manager with the time to go around looking for properties for me with the booming rental market at the moment. I can see how this might work when things are slow for PMs but getting them to do free work for you in this current market feels like a bit of a stretch?
     
  9. PK Gupta

    PK Gupta Well-Known Member

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    Yes that's a method we deploy. Not all PM's do it but we can always find ones that do a great job for both property due diligence (before getting the formal Building & Pest Inspection done) and also giving us local intel so we can make the right intra-suburb location decisions couple with data. There are dozens of PM's that service different areas, and more coming up. I think clients are buying a property every few days in Perth right now. National BA's most often use this same method (I know because our PM's tell us who they are working with too). Our approach is just to cut the "middle man".

    But I agree, Perth is hot right now, probably the capital city market most resistant to interest rate rises right now.

    Actually now that you bring it up, it's a similar story in Brisbane in terms of market heat and there's always amazing PM's like Jackie here happy to do inspections etc for inter-state folks. We must have bought over 100 properties in Brissie too with the help of down to earth honest PM's like Jackie.

     
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  10. Boom&Bubble

    Boom&Bubble Member

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    Hi PK, still on the fence whether to enrol in your course. I just signed up on PC to ask you a question.

    I have watched some of your free content on YouTube. They are very helpful for self education. I have a DSR pro subscription. You can correct me if I am wrong, but I noticed that most of the data points you mention in your videos that are part of your system are provided by DSR data especially Statistical Reliability, OSI, Market Cycle Timing, Ripple effect etc. I think the weights, thresholds and trends that you mention are covered in the DSR how-to-use guide. Sometimes the phrases you use for eg supply is the enemy of growth reminds me of articles that I receive as part of the subscription. Do you and the founder of DSR work together for building your system or is it just that you and your clients purchase data from the company that produces this data?

    Please continue producing awesome content on Youtube.
     
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  11. PK Gupta

    PK Gupta Well-Known Member

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    Thank you. Yes we use *some* underlying metrics which overlap and are powerful, however we take the interpretation many steps further, Eg how to find an “up and coming suburb”.

    Having said that, there are many other factors, both quantitative and qualitative to consider when selecting suburbs, that we go into step by step in a practical manner, e.g. if you followed DSR alone you may have bought into many suburbs in Sydney at the top of the last boom in 2017.

    I might add that all this is only one part of the course, although very important. Suburb selection is clearly critical and the core of the course. But it’s less than 25% of the course. Strategy development, intra-suburb location selection, property selection, due diligence, how to buy inter-state, buy off market, under-market value, how to negotiate, how to renovate, legal and tax structures, how to build and be given a team… etc etc make up the balance. Plus the mentoring.

    Of course most people on public forums just want to know “where” to buy, but the execution of “how” to buy successfully and achieve long term wealth outcomes is where people fall over. Hence the need for the other parts of the course.

    I always say, if you already know all this and are confident, then keep your money in your own pocket :)

    The course isn’t designed for someone who already knows all this. Value is always relative to who’s looking. As they say, beauty is in the eye of the beholder.
     
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  12. Boom&Bubble

    Boom&Bubble Member

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    Thanks for taking time to reply and the clarification.

    So, you and your clients do use the DSR data then. Get that no system is 100% accurate. Good to know that I am on the right path . It works out for people like me on a very tight budget to shortlist suburbs.


    Cheers!
     
  13. BuyersAgent

    BuyersAgent Well-Known Member Business Member

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    For what it is worth many of the most reputable BA's don't employ this method (I don't). Some do of course. A number of very experienced BA's I know have expressed concern at the widespread marketing of this method when most buyers would be unaware that PM professional indemnity does not cover the client for BA activities or losses incurred by purchase recommendations. I am not 100% sure students of courses advocating (or the clients of those cut price BA's) using PM's directly fully understand the difference. Perhaps a few PM's might have BA specific insurance but it would be a tiny minority. If buyers want to cut corners or do things themselves to save costs that is of course their right but they should understand it is not apples being compared with apples when comparing a PM and and a BA.

    We all started with tight budgets. If you spend a few hundred hours reading wide spread posts on this forum and then use a combo of DSR, SQM, Pricefinder, Rp Data and compare yeilds, stock levels, vacancies, then do a broader demographic and infastructure study on your shortlisted towns etc you can get a handle on the market and what to measure. Have fun :)
     
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  14. Boom&Bubble

    Boom&Bubble Member

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    Lol…that sounds more like a dig than advice! All good either ways.

    PK suggests investors to get educated and cut the middleman (BA) so that you don’t need to spend $15k. I am thinking let me cut PK too and save some money for my deposit instead ;) . Of course being fully aware of ending up buying a lemon if things go wrong thereby making a costly mistake!!
     
    Last edited by a moderator: 12th May, 2022
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  15. Sackie

    Sackie Well-Known Member

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    The cutter got cut! :oops:

    Jokes aside, make sure you don't try and cut the absolutely essential folks, eg solicitor, BnP inspector etc
     
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  16. PK Gupta

    PK Gupta Well-Known Member

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    It a classic BA move to make it sound harder than it is. There’s no argument here as we’ve proven over the last 6 years with over 600 members that incredible results can be achieved without BA’s.

    My own journey over the last 12 years is testament to it: https://www.news.com.au/finance/rea...ws-story/a927037357eb2589bae606f60795510a?amp

    In fact, investors have proved over the last 40 years that incredible results can be achieved without both BA’s and courses.

    Intelligent investors will see through the marketing of both courses and BA’s and realise it’s not rocket science.

    I’m an advocate of cutting as many middle men as possible, if you can safely.

    ps. But I have nothing against BA’s, having trained over 75 now. If people really don’t have 3-5 hours a week over 1-2 months or zero passion for property I’ll be the first to happily refer you to one of my BA clients.
     
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  17. BuyersAgent

    BuyersAgent Well-Known Member Business Member

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    No dig. This forum is the ultimate place for free education. If you want to cut as many costs as possible and DYI everything all the knowledge is here on the forum. The forum has all the info from the equivalent of multiple courses. The cost is the time of reading and digesting it all.

    As a BA I am a middleman and do charge a fee for that, which suits some people and not others. The challenge for us middlemen (whether a BA or a course) is to add more value than we take away.
     
    Last edited: 12th May, 2022
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  18. skater

    skater Well-Known Member

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    100%

    No courses, or middlemen required, however I do see value in a BA that has specific knowledge of a specific area. Nothing beats local knowledge.
     
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  19. MTR

    MTR Well-Known Member

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    Cant beat local knowledge with out a doubt

    However, met up with a local BA for coffee yesterday, blown away by his off market deals. These were properties that if hit the market there would be a massive bidding war. Its also about who you know in the re industry. Some will work with you:) happy days
     
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  20. Scott No Mates

    Scott No Mates Well-Known Member

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    No BA who specialises in SMH area is going to say that you shouldn't buy in an area that they are knowledgeable nor is an agent going to say don't sell in a cold market, they both depend on transactions to keep the lights on.

    That said, they can add value, provide clarity or sound reasons to buy X instead of Y.
     
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