Hello from Sydney!

Greeting fellow investors,

My first post here on Propertychat. So please be gentle
I was a regular at Somersoft and had the same handle there.
Basically, I do know most of the old-timers from Somersoft and have met some personally and have also done business. You know who you are peeps... love you all.
Sorry for the long hibernation - was chasing too many good deals out there in the market.

Just a quick intro, been investing in Australia (Sydney, regional VIC, QLD and WA) since 2007 and in the US (Atlanta & Detroit) from 2011. All cash flow positive and residential single-family homes.
Humbly, I would consider myself as a value investor with a keen eye for Cash-flows and be ensuring of synergies within the portfolio.

Have acquired a semi-decent rental portfolio of 70 properties (yes 70 to date, to be exact) on both sides of the continent. (to those inquisitive - happy to share privately, over a coffee perhaps, how it was done on an IT salary plus an Accountant's pay). As we all know, nothing beats the research on the computer and pounding the streets in an SUV to have every street mapped in green or red on a target city.

My partner (wifey) had quit her job in oct 2016 and now tends to the 'business' full time.
She is a great property manager and handles everything from leaking pipes to rent collections - 24 by 7.
Whoever said property investing is passive ei
On the 15th Jan will be closing on our next Reno project in Atlanta.
People who know me say that I am not handy and would not be your best candidate to drive a nail through the wall without making 3 punch holes and having dropped the hammer twice atleast!
I disagree

But yeah, the heaviest thing I carry to a reno is a laptop. Period.

Some of my recent flips (you can see the pics & past prices online on either zillow or trulia):
218 Arthur Dr McDonough
476 Whitewater Trl Stockbridge
175 Grand Oaks Stockbridge


All the best for investing in 2018, investors.
Hope to come here more often and engage. Cheers,

Kind regards,
GC.

 

Hi GC
Welcome back, great to see you again. Your investing style has been awesome.

McDonough is one of the fastest growing suburbs in Atlanta. Looks like a great property.




MTR

PS
Watch those laptops, they can be dangerous

 

Hello Marissa!!!!

Always Great to hear from you
Wishing you & the crew in Atlanta the very best for 2018 !!!

As you said, the prices are rising super fast in Atlanta.
You have done so well acquiring the assets at the time and price you did - including the one near the stadium and the IT park property. Brilliant purchases. I did visit the tech park property and was blown away! Kudos to you and the team!!!

Sub 100,000 with 1000 pm in rents are drying up quicker than a laundry in Sydney with this heat! If you do find them, many are not the types you want - bad neighborhoods with real dubious tenants and even more scrupulous sellers selling on QCDs!

Just got back from the US on Saturday.
The cold snap on the East coast was biting hard
Had a great business-tourism trip over the holidays.

For the numbers,
the flip on 218 Arthur was a 205K buy + 35K reno and just under contract for 289K.
the flip on Whitewater was 130K buy + 70K reno and sold for 290K
I guess the numbers for Grand oaks were something like 73K buy + 25K renos and sold for 125K plus 5K assignment.

ROIs in the US are so much better than Australia but the gap is closing in.
I am working on Detroit exclusively for rentals at the moment where I am buying decent houses in well lit & manicured neighborhoods for 40-70K properties with 700 to 1000 rents per month. Some with Section 8 tenants. They are working well, touch wood. As you know very well, it's all about where you buy in and the team to look after your assets.

So the business model continues - pound the streets and purchase well as always!

Cheers & wishing you the very best,
GC.

P.S - Call me when you got a moment Marissa! Would love to know what's happening in your Big big world

 

Hi! Would definitely be keen to hear your investment story as a newbie around here. Sounds like you've done really well in a decade of investing!

 

welcome back @GentleChief ,

wow, what an achievements.

keen to learn and hear from your investing story.

 

Thank you Peppas,
PM me anytime and let's discuss!

 

Thank you @Eric Wu !!!
Good to be here and back into the online investing community discussions. Somersoft was gold to me as an early stage investor back in mid-2000s, and I believe this as a forum is taking off in the same direction too! I am in Sydney - happy to catch up and discuss over a coffee... PM me when you have a chance. Cheers,

 

Thanks @GentleChief , surely will take the opportunity. Will get in touch with you soon.

 

Thanks @GentleChief will definitely be in touch for a chat

 

I would love to tag along if the catch up is next week.

 

I too would love to hear more about what you have done, especially the US activity, great to have your experience here.

 

great, @larrylarry , would you mind letting me know your availability, then we could both meet with @GentleChief pls?

 

Cheers Bala

The gap is closing for sure....damn inventory so low

 

Hello @Eric Wu, I am available on Monday (15th) or Tuesday (16th) in North Sydney. Travelling to Wellington NZ on business between Wed-Sat. Does that help you?!

 

Peppas, sorry to hear things haven't taken off the way you expected.

I realize the first few investments have to be GREAT for the portfolio to take off.
To gather enough equity (and cash-flow) to move into the next and next and thereafter.
I had invested in mining towns (Karratha & Moranbah) in 2007 - it was the best thing I did back then - the cash flow they created and Equity I had by 2010 was good for me to diversify into 5 Sydney properties. Banks were willing to lend and the portfolio grew. And by 2011 I had 14 properties in Australia.

Investment opportunities seemed to be coming from across the shores, after the '08 recession. And by 2011 August, I read several US investment books and went bargain hunting in the US when the AUD was buying above 1 (at par) and at one time 1.10 USD.
I could not find the best properties in my target locations - Chicago IL, Cincinnati OH, Pheonix AZ. After 3 frustrating trips to the US - I finally went to Atlanta GA and found that this is the place I wanted to invest. Loved the vibe - depressed market with fortune 500 companies showed that this was the next place to boom. Targetting Henry, Clayton and Newton counties in the South of Atlanta. Built up a dedicated team of professionals around my business and quickly reached 20 properties in a matter of 24 months.

By 2014 end Detroit seemed to be turning a corner (after the bankruptcy) and I decided to get into the action as Yields were phenomenal. Good properties in nicer neighborhoods (40K - 70K) properties with 700 - 1000pm in monthly rents. Of course there is a lot more work with US investments, but is well worth the time in my humble opinion. I am an active buyer in these two markets in the US now and continue to keep growing the cash-flow with US investments.
There is no real cash-flow in Aussie properties anymore, unfortunately.

Cheers,
GC

 

What happened to your properties in mining towns? Sold all?

 

Sold 2 of the mining town properties in 2010 - for a significant profit.
And I continue to hold 3 currently in inventory.
The book values have come down - but it still is above or same as what I purchased for in '07.

On hindsight, I should have sold it all in 2010-11.
But that is 20-20. I did not own a crystal ball back then
Still don't

Also if you asked whether it was worth it to invest in risky grey mining towns - 100% yes - without the boost to cash-flows for a good 4 years, it would have been impossible to get far in the investing journey...
as banks love cash-flow for DSR calculations.

 

Thanks for the response.

 

Brilliant

We are currently looking at options for the stadium block, either develop or flick. That precinct has taken off since completion of stadium

Lets chat soon

 

Bala, what mining towns???WA
Seen some spectacular drops in WA market/mining towns