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Discussion in 'Introductions' started by bobbyj, 22nd Jun, 2015.

  1. bobbyj

    bobbyj Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    195
    Location:
    Sydney
    Hey all,

    I've been a long time lurker and occasional poster. Also known as bobby85 from the SS forum.

    I would say I started off as an accidental investor.

    Currently 30 years old. $2.7mil+ portfolio spread over 5 IPs in Sydney. I've been buying 1 property each year.
    I have been focussed on my career up to now but have decided to focus more on property as it's what I enjoy!

    Bought my first property with $0.

    It was an accidental investment property. I wanted to live out of home, but my mother advised me to buy rather than rent.
    Bought with a 5% deposit bond, used parents home as the guarantee, no stamp duty required for first home buyers and the government gave me $7000 which I used to renovate the place with my dad.

    Moved out a year later and rented it at 7% yield. This was a 1 bedroom unit in the inner west. The formula seemed to work for me so I repeated it 3 more times.

    I must have done all the wrong things though.
    I went to the bank directly without a broker.
    They sold me products and gimmicks.
    They advised I stay on P+I. I did that up to IP4 until I read in propertymags and SS that IO is the way to go! Serviceability was tight until I made it IO! I was completely ignorant to the IO option until recently. Knowledge is truly power.

    I didn't tap out any equity from any of my properties until last year either. Over 5 years into the property game!
    I definitely didn't maximise my position in those years. I always wondered how those people on low incomes could accumulate a $10mill+ portfolio on low incomes!

    Anyway, I strongly believe in getting skin in the game and taking risks. Keen to meet like minded people and continue this exciting journey with everyone here =)
     
    blackenator, Mavis, Beachy and 2 others like this.
  2. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

    Joined:
    18th Jun, 2015
    Posts:
    2,458
    Location:
    Sydney & Gold Coast
    Congratulations on the progress Bobby. Excellent portfolio at age 30. Most people don't own one by then!

    Good thing you started refinancing last year as doing so at the moment has become very much more difficult.

    What suburbs are you holding in and where are you looking for the next one, two or three?
     
  3. bobbyj

    bobbyj Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    195
    Location:
    Sydney
    Thanks Steven.

    Properties are in Strathfield, Lilyfield, Canterbury, Liverpool.
    Keeping a close eye for bargains in Sydney (good luck to me) and will be dipping into the SE QLD pool shortly.

    There's a bit of a buzz going on re: Qld on the forum lately.
     
  4. MsAli

    MsAli Well-Known Member Premium Member

    Joined:
    18th Jun, 2015
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    Location:
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    Good to see there are so many here around 28/29/30....great to see people starting early :)
     
    bobbyj likes this.
  5. York

    York Finance Broker Business Member

    Joined:
    24th Jun, 2015
    Posts:
    1,623
    Location:
    Sydney
    Well I suppose there are a few us that realise that if we use our brains and work smart (and learn as much as we can from this excellent community) we can hopefully have a comfortable future. We all know that very few of us are ever going to have a decent retirement from our saving money in the bank (unless you're on a huge salary for many years). Property for me is the ticket to financial freedom. I should add that I love anything property related...maybe that helps. .....o_Oo_Oo_O
     
  6. WinDyz.

    WinDyz. Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    155
    Location:
    Hidden Leaf
    WOW nice portfolio :)
     
    bobbyj likes this.
  7. Rixter

    Rixter Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    572
    Location:
    Portfolio Perth Brisbane Sydney Melbourne
    Great work Bobby....Like Steven has said most people at 30 dont own one..... I only bought my 1st ppor at 30 and didnt buy again until another 7 years later..well done!
     
    bobbyj likes this.
  8. Lollie

    Lollie Active Member

    Joined:
    23rd Jun, 2015
    Posts:
    40
    Location:
    NSW
    Congratulations! An amazing achievement at your age, you are obviously very focused. Are they 1 bed or 2 bed units? Which has been your best performing?
     
  9. Sashatheman

    Sashatheman Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    133
    Location:
    Sydney (West), Australia
    Yep, nice portfolio indeed.
     
  10. Azazel

    Azazel Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    8,113
    Location:
    Brisbane
    Good work Bobby, where to next?
    Have seen the fitness thread here already?
     
    bobbyj likes this.
  11. bobbyj

    bobbyj Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    195
    Location:
    Sydney
    Thanks
    They are 3x1bdroom units all positive geared

    Best buy:
    3/2/2 in Liverpool in 2014. 10 year old build for $385,000. Early this year a unit on the same floor sold for $520,000 or so.
    Best capital gain, it's got good depreciation and it's been positive geared from almost day 1.

    It was a good buy because the initial buyer bargained it down from $420,000 but their finance fell through. I snapped it up the first day it hit the market again (I was going to make an offer earlier but it went 'under offer' before I could make my move).

    At the time most 3 bedroom units near new we're going for $420-440,000
     
    Lollie likes this.
  12. bobbyj

    bobbyj Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    195
    Location:
    Sydney
    I haven't seen the fitness thread actually. Ace in the Hole mentioned it to be earlier!

    To be honest: I want to get back into Liverpool. I've lived there. I've gymmed there. People talk of over supply but I'm looking 20 years down the track. It's one of the fastest growing places in Sydney.
    Looking at SEQld right now.
     
  13. Azazel

    Azazel Well-Known Member

    Joined:
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    Posts:
    8,113
    Location:
    Brisbane
    Oh boy, isn't everybody? ;)
    What suburbs - or if you would prefer to keep it under your hat for now, which areas?
     
  14. teg499

    teg499 Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    69
    Location:
    Sydney
    Liverpool++ for me too.

    It's where I bought my first property, and added a few more liverpool gems since then.

    It is still an affordable Sydney area with massive potential for growth in the future (badgery's creek airport, major hospital, M5, lots of new developments, etc).

    After Parramatta, I see Liverpool as the next major centre for growth.
     
  15. bobbyj

    bobbyj Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    195
    Location:
    Sydney
    Just an update in the past year for my record keeping on PC and for anyone with interest I am now:

    At 8IPs valued at about $4.7-4.8million with an LVR just under 80%.

    I've also ventured into the SE Qld market (Moreton Bay) as a first time interstate investor and thoroughly enjoyed the experience.

    Also had a tenant in Kippa-Ring destroy the front yard and not pay rent for 2 months (my first naughty tenant). Funnily enough I'm not phased at all by it and see the humour in it.

    Still doing residential buy and hold mainly.

    It seems to work well for me. Why change something that works?

    Goal is $10million net equity by 2025. Haven't worked on a 5 year goal yet. Just 10 year milestones (30yo, 40yo, 50yo).
     
    Mavis and MsAli like this.
  16. bobbyj

    bobbyj Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    195
    Location:
    Sydney
    Not sure where to buy next but thinking QLD still.
    I'm keen to capitalise on the Parramatta to Strathfield Lightrail development in 2018-2019.
    Buy land or units along that line with expectation added infrastructure over next 5-10 years will add plenty of equity.
     
  17. blackenator

    blackenator Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    96
    Location:
    sydney
    Wow awesome portfolio bobbyj keep up the good work. I also agree with your thoughts on liverpool although I think for the current short and meduim term I think their might be an oversupply in the Liverpool region so many units coming on board.