Caifu Property

Discussion in 'Development' started by Jmillar, 7th Jan, 2019.

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  1. Jmillar

    Jmillar Well-Known Member

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    Hi all,

    Wondering if anyone has used Caifu Property before?

    They describe themselves as a 'Property Investment Company' who find development opportunities and also project manage the whole process.

    Can't seem to see many reviews online and there are no search results on PropertyChat.

    Thanks
     
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  2. jefn89

    jefn89 Well-Known Member

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    Not personally used them have seen Drew Evans and connected with him before, he's done well personally but doesn't always mean his clients will do well..

    Ultimately you've got to do your own due diligence on any deal you get involved in with any buyers agent/development company etc..

    If you want someone to hand hold you through the process then and get it done "quicker" than what you may be able to yourself, they could be an option however my suggestion is to keep an open mind and thoroughly understand as much of the process as you can.. You're ultimately managing the manager!

    Not sure that helps but hope it does
     
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  3. Frump

    Frump New Member

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    Hi Jmillar,
    did you end up working with Caifu? We are considering it at the moment. Like you, trying to do my research that it is a good idea! Did you get any further insights into the company?
     
  4. Trainee

    Trainee Well-Known Member

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    Property that grows 4-5 times the rate of the suburb. Okay......
     
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  5. Frump

    Frump New Member

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    Yeah I get that Trainee, was interested though at the full management start to finish.... time poor and all that....
     
  6. Frump

    Frump New Member

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    Also, I do get the philosophy of entering in at 1st stage release... would value your thoughts.
     
  7. Trainee

    Trainee Well-Known Member

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    Wheres the risk? If there is none why do they need you?
     
  8. KateSydney

    KateSydney Well-Known Member

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    Wondering about all the people with no surnames who recommend them on their site. I'd be asking to get their details so you can speak with them personally. That wouldn't tell you if any of them have made money yet (probably too soon to tell) but at least you could see if any have lost money yet (if they're honest?)
     
  9. Jmillar

    Jmillar Well-Known Member

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    No I didn't. They were too sales-y for me. Just didn't feel right.
     
  10. TerryS

    TerryS New Member

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    @Jmillar @Frump folks did you move ahead with Caifu? Am also researching them..


     
  11. PeterProperty

    PeterProperty Active Member

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    I'd ask to speak to recent clients. Most reputable (and honest) businesses will allow it. Before I used a buyers agent 3 years ago, I asked to speak to 2 clients l, and they happily agreed
     
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  12. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    BUT.........

    We have no issue with things like this ONCE clients have "committed" to use our services subject to such a review, and are aware of our obvious benefits and warts.

    Early requests for referrals are declinsed, since one cant have existing clients being called for service feedback when 4 out of 5 early enquiries dont qualify.

    Potential clients understand that fully once explained

    ta
    rolf
     
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  13. DEvans

    DEvans Member

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    In relation to speaking to our existing clients, absolutely no worries at all. I am the first person to advocate that you should do as much research and due diligence as required.

    I simply request 2 things:

    Firstly, I will need to ask their permission first, before passing on their details. Some of our clients wish to keep their financial circumstances to themselves, which is totally understandable. Others are more than happy to share their personal circumstances and results etc.

    Secondly, if you become a client of ours, you will be happy to speak to prospective clients about your experience with us etc.

    Cheers
    Drew - Caifu Property
     
  14. brave

    brave New Member

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    I will be very careful to deal with these people bad experience with their regional deals they do. off the plan scenarios they say do won't benefit the naive investors. STAY AWAY..
     
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  15. Mohsin

    Mohsin New Member

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    So this is my two cents. They used to be called automatic equity Upto last year and now have rebranded or renamed themselves as caifu property. The way they add equity is by selling you house and land packages. What they suggest by saying development projects is they sell you these lots in stage1 and then work with their own builders and get commissions from them instead of you.

    ofcourse it is not risk free, strategies like these only work in growth years. This strategy usually means you will have a property which has a big holding cost. The increase in equity is a gamble based on the later stage releases being dearer than the first.

    From my perspective i would never buy an off the plan property. Also why do you need a company to run a house and land package for you which they call a development site. You can get a land and engage a builder yourself anyway. They are potentially seeking commissions on all labours on your build and also when selling you the land. You can surely access ir by urself :).

    People who like them are those who are significantly new in the market and doesnt know how to get hands on these staged land releases and speak to a builder (if you are that lazy in investing you potentially deserve them anyway).
     
  16. Goldy

    Goldy Member

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    What problems did you have with the deal
     
  17. gach2

    gach2 Well-Known Member

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    Just got reminded of this post when I saw an ad on FB

    480k purchase
    16k build frame
    Sale price 540k
    Profit 60k

    Do they think people are that stupid?
    Forgot - stamp duty
    Legal Fees x2 (purchase and sale)
    Loan Fees if any
    Sales fee
    Holding costs (loan/council/land tax/water bill - I believe still payable on registered land)
    GST
    Accountant fees (involving this transaction)
    wont include Income tax as usually all investments include it

    Looks like a possible loss if not breakeven
     
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  18. DEvans

    DEvans Member

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  19. Lindsay_W

    Lindsay_W Well-Known Member

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    Typical sales spiel, leave out the nitty gritty actual numbers, make it look like a fantastic deal - always selling on the "time factor" as in we do everything for you, so you can sit back and enjoy the things that matter etc etc
     
    Last edited: 4th May, 2020
  20. DEvans

    DEvans Member

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    Hi Mohsin,

    Just to clarify, my business has always been called Caifu Property, and still is. The Automatic Equity Program is a program that I run. The same thing with my program Equity Builder and Equity Developer. Thus, in fact, we have not rebranded at all as you suggested.

    The way we add value is by finding opportunties that are under market value that we add value to through small developements etc. (This is based on actual comparable settled sales through RP Data) We are independent of developers, agents, builders etc, but rather represent helping our clients achieve the best results based on their individual finance capacities and personal comfort levels etc.

    The tactic that you referring to is what we call Mechanical Momentum. At no point have I ever said that it is risk free, in fact, if you get it wrong, it is full of risk, and you can loose a lot of money.

    Your last comment about people who like us being significantly new to the market is again not quite right. I work with clients clients that are just starting off, through to clients that are worth $10mil - $20mil plus. Typically our clients are professionals who understand the property market, they simply don't have the time, skills, experience and industry contacts to bring it all together etc.

    Whilst I fully respect your opinion, I also think it is important that there is fact that is portrayed in chats like this.

    As always, I am happy to chat to anyone in more detail on exactly how we work, so that you can make your own informed factual based decision on our business.

    Drew