Buy low + sell high. Agree?

Discussion in 'Investment Strategy' started by Liam, 21st Feb, 2019.

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  1. Beano

    Beano Well-Known Member

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    The next sale will show if you had brought below market value. ..but if there are no more similar sales ..who knows what the market value is ???
     
  2. Sackie

    Sackie Well-Known Member

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    One way is to just compare the next closest comparable properties and add a %age reduction in price for added safety margin depending on the overall value of the deal you think your assessing. Also looking at the median price for the area then trying to decide if your property is above or below based on the specific attributes of the property.
     
  3. MTR

    MTR Well-Known Member

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    Define quality??

    It depends on market conditions, for example Broadmeadows, Melb is in the nose with locals but has been a star performer
    Why? Close to city, affordable, development potential

    Last boom started in Syd Western suburbs, not blue chip? Why because it was affordable and immigrants moving to this area pushed prices through the roof
     
  4. MTR

    MTR Well-Known Member

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    and luck, it could as simple as networking with a lazy realtor
     
  5. Beano

    Beano Well-Known Member

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    Cannot find a comparable property
     

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  6. Sackie

    Sackie Well-Known Member

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    Ok that is a challenging one!
     
  7. Liam

    Liam Member

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    Thanks for sharing your process guys!

    Anyone else care to share how they find "low" priced properties? I'd love to hear :)
     
  8. albanga

    albanga Well-Known Member

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    The BEST way to find a good priced property ;) is to get in before it’s listed. Once it hits the internet then your just another number scrolling through a RE website.
    Their are multiple ways to achieve this.
    Speak to REA agents is the easiest and provide them a property profile. Tell them your only interested in non listed properties.
    Go letterbox droppping or if your game door knocking.

    I know a bunch of developers who focused in on a Melbourne suburb and just worked that area exclusively. A lot of door knocking. People didn’t know they wanted to sell but the developers offered them a good price with favorable developer terms.
    Remember a good deal isn’t always just price. A good deal can also be terms driven.
     
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  9. KinG3o0o

    KinG3o0o Well-Known Member

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    when **** hit the fan, cream rise to the top..
     
  10. MTR

    MTR Well-Known Member

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    Its a fallacy, blue chip is not bullet proof, just review history of corrections in Syd, Melb. etc.

    Currently some blue chips inner city suburbs in Melb are feeling some real pain.

    MTR:)
     
  11. Sackie

    Sackie Well-Known Member

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    +1.
     
  12. KinG3o0o

    KinG3o0o Well-Known Member

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    no.1 **** has not hit the fan

    no.2 in property, inner city subs in mel and even sydney is never really been blue chip..good investment yes ? maybe ? $1m apartments kinda nothing is really not that special. is no where near blue chip.

    if you want to talk blue chip, like asset for assets, commercial are much more blue chips, but sydney are special because of the "eastern" subs are where "everyone" want to be.


    no.3 blue chip also doesnt mean it never falls or fails, it just mean if it have a massive stumbling block it recovers fast, and chances of recovery is higher, there is no such thing as a risk free investment.
     
  13. MTR

    MTR Well-Known Member

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    Disagree
    But we are talking resi riot commercial. No idea what commercial is doing.

    So inner city where land is limited is not blue chip and I am not referring to apartments.

    Hawthorn, Sourth Melb, Prahan, are just some inner city Melb suburbs and they are certainly blue chip

    Property prices in these inner Sydney suburbs are now down 15%-20% annually | Motley Fool Australia

    As I said before review previous cycles
     
  14. KinG3o0o

    KinG3o0o Well-Known Member

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