Hi I'm Michael Chan ( Mick C)

Discussion in 'Introductions' started by Mick C, 19th Jun, 2015.

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  1. Mick C

    Mick C Well-Known Member

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    Location:
    Sydney
    Im 29 and single hahah :):p

    My property journey started at a rip young age of 19 ( 10 years ago) with around 14 properties under my belt to date, but my most "rewarding" and most memorable achievement is starting my 2 business.

    - Bband started in 2006 ( a patented Baby monitor technology to help reduce SIDs deaths in NSW and VIC - sold to NSW Gov and a UK health company 7 years ago)
    - Shape Home loans started in 2008 ( Current business that provides mortgage services to investors alike)

    Property journey to date:
    • 2004- 3 bedroom House, Cheltenham, NSW -$720,000 ( Rate was 9%!!) - Currently got DA to build 3 x 4 bedroom townhouse on this site

    • 2009 - 2 bedroom Unit, Chippendale, NSW - $410,000
    • 2013 - 4 x 2 bedroom block of units, Nowra, NSW - $527,000
    • 2013 - 2 bedroom townhouse, Raymond Terrace, NSW - $180,000
    • 2013 - 2 bedroom townhouse, Raymond Terrace, NSW - $170,000
    • 2014 - 4 bedroom house, Campbelltown, NSW - $465,000
    • 2015 - 3 x 2 bedroom block of townhouse, Leumeah, NSW - $965,000
    • 2015 - 2 bedroom unit, Carramar, NSW - $290,000
    • 2015 - 3 bedroom unit, Hillsdale, NSW - $566,000

    My goal for the next 10 years:

    - Apply and operate a full non-bank license that deals exclusively with investors and developers only
    - Develop mini shopping centers and residential units


    Happy investing! :)
     
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  2. Kael

    Kael Well-Known Member

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    Nice to meet you Mick! :)

    How are you finding the banks at the moment with the changes APRA made? Maybe someone should start another thread here on PropertyChat about it so you can contribute :p
     
  3. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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    Excellent looking portfolio. Congrats on the significance in business, too.

    You buying/developing interstate any time?
     
  4. Mick C

    Mick C Well-Known Member

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    The exact same rule ( Reduce servicing and Reduce LVR and higher rate for investors) was applied in 2004...it was relaxed and went back to normal in 2006; So we just have to deal with it...the cycle continues :)

    The smaller banks and credit unions are currently not effected ( their rate tend to be 0.20% higher) so it's just a matter of using the traditional top 9 banks early and finding which ever bank is still " up for business" later down the track.

    But yes overall it's def def a lot hardier, No doubt.



    Thanks mate.
    I been looking at Brisbane for the last 18 month but the numbers seem to never work lol i tried...i tried.
    Im gonna give Briss another shot in July ( Gonna spend 2-3 weeks there) so we shall see...

    Where's Michael X when you need him :p
     
  5. Catalyst

    Catalyst Well-Known Member

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    Well done, Michael! All these achievements at the ripe old age of 29!! Amazing :)

    How did you get started?
     
  6. Azazel

    Azazel Well-Known Member

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    Nice one Michael, keep the info coming!
     
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  7. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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    I was looking at Bris 18 months ago too. Few ares I had my eye on have move heaps but others are still very flat so there are some great buying opportunities at the moment and apart from a couple of pockets, it's not too crazy on the ground–yet.

    We'll probably end up in Bris at the same time I reckon. I'll be up there almost every weekend from now until I have an offer accepted. Any areas in particular of interest?

    Michael, Lord of Logan.
     
  8. WinDyz.

    WinDyz. Well-Known Member

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    Hidden Leaf
    Amazing portfolios
     
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  9. Jamie Moore

    Jamie Moore MORTGAGE BROKER - AUSTRALIA WIDE Business Member

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    Nice write up Mick - looking forward to hearing more about those shopping centers!

    Cheers

    Jamie
     
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  10. RetireRich101

    RetireRich101 Well-Known Member

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    Good to see Raymond Terrace in your portfolio.
    the Chippendale purchase in 2009 would be doubled by now.
     
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  11. Redom

    Redom Finance Strategist Business Plus Member

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    Brilliant work Mick, your achievements and ambition are incredibly inspiring.

    Ps, i love the mention of your relationship status. Let me know if you'd like someone to vet through all the offers that come through following this post. :p

    Love the future ambitions. Why be a banker, when you can be the bank?!

    Cheers,
    Redom
     
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  12. No Probs

    No Probs Well-Known Member

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    Nice to meet you,

    Solid effort purchasing 14 properties before 30. Mini shopping center developments sound interesting, I hope to hear more about that when its in full swing.
     
  13. Mick C

    Mick C Well-Known Member

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    All started with my 1st purchase in 2004.

    I always wanted to marry young ( Yep that didn't go to plan) so i bought my 1st IP close to home ( not the best investment as it was heavy negatively geared and on a income of ~$45,000 i took a bit of a hit) , the plan was to live there once i got married 3-4 years later.

    Worked 2 part time job 7 days a week since i was 16- managed to save up $80,000 in 3 years and i couldn't even afford to buy a car for 6 years ( till i was 25) + My parents let me use their house as security for the other 10% + Stamp duty . Living rent free at home help with the savings lol.

    2006 i started my 1st company in partnership with my University lecturer ( 1st year uni, doing Bachelor of Financial Mathematics) - The idea was patented and sold a few years later; the profit all went into paying down the mortgage ....i had no clue what an offset account was back then ( which i took back out as equity years later...lol ohh the mistakes).

    Even though my parents are property investors as well...It was from my business dealing that i became interested in investment properties and using " other people's ( banks in this case) money to make money", i clearly remembered meeting a competitor ( Founder of one of the biggest wishing well company in Australia) of a competition i was entering - NSW Bizstar; he had retired at the age of 35 with 20+ properties under his belt all in Sydney .. he sold a handful of his property and used the funds to start his new business and he was still living comfortably on a $150,000+ Rent roll after expenses- The idea of investing heavily in property started..
     
  14. Mick C

    Mick C Well-Known Member

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    Logan is out of the question for me....i can go on forever but just not my cup of tea....nothing wrong with the area as per say- plenty of deals and money to be made; but given it's my 1st deal interstate ill like to stick within the CBD.

    Im looking within 8km of Brisbane CBD;
    -Woolloongabba
    Coorparoo
    - Brisbane CBD

    So a unit.

    Lets catch up if we are in brissy at the same time :)
     
  15. Mick C

    Mick C Well-Known Member

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    Raymond terrace one of the best R Yield maker ~ $5,000 positive each after all expenses.
    But it def lacks CG- which i can balance out with my other CG properties.

    Chippendale enough said, it's CG king- Bank val 1 year ago $770,000 :)

    The Chippendale property i actually bought by accident. I was inspecting other property in Redfern and in Haymarket ( never even heard of chippendale!!) - i had some spare time to burn while waiting for my inspections so decide to go to Maccers for a bite, that's where i saw a "open for inspection" sign....had a look ( i was the only one there at the inspection)

    Me: How much?
    Agent: $500
    Me ( Wow that's pricey)...ok that's very pricey ,how long as this been on the market?
    Agent: Today is the 2nd week
    Me: How much is strata?
    Agent: Free, you dont need to pay for strata.
    Me ( WTF!!) ...are you serious ( i thought he was joking)
    Agent: The landlord pays for strata
    Me: Ummm this is for sale right?
    Agent: No, it's for rent...this is an open inspection for rental buddy!

    ( LOL)

    Me: You reckon owner want to sell? it's empty with no rental income and you get to get a cut in the commission from the sale + i will let you mange the rental again.

    A few days later it was a done deal; $410,000.
     
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  16. Mick C

    Mick C Well-Known Member

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    Will create a thread when the deal is up and running. Scary stuff.


    I shall name the bank " Bank of Ex-Somersoft " ;)
     
  17. RetireRich101

    RetireRich101 Well-Known Member

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    Yes, i know the Chippendale area well. I purchased a Redfern 2 bed apartment in 2000 OTP for $325k.. The price didn't go up much when the Sydney boom in 2003. In fact it went sideways and down. We could pick up the same apartment in 2006 for 20% lower than purchase in 2000..
    It was not till 2010 we see it gone back to original price.
    I put my apartment on Auction. in 2011... Highest bidder was 520k. I wanted 550k, so pulled off listing.
    Valuation last year came back 750k last year. So an increase of 200K in 2011-2014 (3 years). Glad I it didn't sell at Auction at that time

    So your purchase in 2009 was a perfect timing for that massive growth..
     
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  18. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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    I'm a wary of oversupply around the CBD.

    I do like the look of Coorparoo, despite the biiig Myer redevelopment bringing a lot of new supply. Actually had my eye on apartments there 2 years ago. I'd be looking for one with most of the following attributes:
    • Small block
    • Massive LUG
    • Two balconies and/or large outdoor area/courtyard/exclusive garden
    • Top floor with views
    • Private
    • Lots of sun/big windows
    • Big internally
    • Open plan layout
    • Not at the bottom of an enormous hill
    • No flood risk
     
  19. Mick C

    Mick C Well-Known Member

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    Steven Ryan- Which suburbs are you looking at ?
     
  20. teg499

    teg499 Well-Known Member

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    Nice list of properties Mick.

    Interesting to see Carramar on the list. I didnt think its a very popular area for investment? Is this purely for cashflow? $290k for a 2 bedder sounds like a great buy!