Wealth creator vs financial advisor

Discussion in 'Financial Planning' started by Mjay81, 10th Feb, 2020.

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  1. Mjay81

    Mjay81 Member

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    Hi forum
    First time post so hoping for any thoughts or advice please. We attended a seminar (I know insert chuckles here!!) by unlock your financial future which from what I gathered is a “collective of brands” from xyz finance to eclipse accounting headed by a head company. I’m a first time want to be investor in property hence my attendance and interest in their seminar. After having the “free home visit” I am not so sure about the arrangements and whether UYFF is doing anything different as a service than my regular mortgage broker and accountant. They seem to all work as a collective but only spoke about new properties to invest in (in places I’ve never heard of) and wanted to lock in a 2nd more formal meeting in a few days literally! Anyone used them or know what they are affiliated with in terms of developers they appear to be getting kick backs from? Also sorry long post but their social media is lacking with little to no engagement and this day and age that’s sort of important .. I think.
     
  2. Ross Forrester

    Ross Forrester Well-Known Member

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    Your advisors should be friendly but not friends.

    If your lawyer, mortgage broker, tax advisor, accountant, business coach and investment advisor are the same firm (or the same collective sharing revenue) you can end up in a bad spot.
     
    Last edited: 11th Feb, 2020
  3. Peter_Tersteeg

    Peter_Tersteeg Well-Known Member Business Member

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    They're probably making quite a lot of money by taking huge commissions from the developers because you're paying too much for the property.

    At no point in the process are you getting independent advice. That should set of a HUGE alarm bell.
     
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  4. Sackie

    Sackie Well-Known Member Premium Member

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    Don't walk, RUN away.

    Ignore this advice at your own peril.
     
  5. Mjay81

    Mjay81 Member

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    Thanks my immediate hunch was simply “why only offer such specific niche properties like dual occs and a quick skim of their socials shows very similar property style obviously from the one possibly two developers from what I can google! Thank you and yes the prices seemed inflated for what they are and in random places. So much to learn
     
  6. Mjay81

    Mjay81 Member

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    Thank you muchly so much to learn still and yes I am very conservative in my approaches and shocked they wanted to meet so quickly! I need more than a few days to just research and compare rates and brokers in my area alone. Cheers
     
  7. Mjay81

    Mjay81 Member

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    Thank you and agree with this one seems too much of a bad spot.
     
  8. Lindsay_W

    Lindsay_W Well-Known Member

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    Anyone can be a Wealth Creator - because it's not a real title and you need zero qualifications to call yourself one, they're not offering you 'financial advice' - they're simply spruiking brand new property to you so they can get the big commissions from builders/developers while calling it an "Investment Strategy".
    UYFF website is the typical spiel, get you to buy brand new property, if you can't afford it they will take your superannuation and turn it into SMSF so you can buy one of their affiliated properties, many have come and gone before this company. Would not go anywhere near them.
     
    Last edited: 11th Feb, 2020
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  9. See Change

    See Change Well-Known Member

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    The carrot of a dual occ is Higher returns .

    Most people here make their money from capital gains .

    With a dual occ you are severely limiting who might buy , hence low capital gains.

    as above , if you don't have some , get a pair of reeboks or Nike's

    Cliff
     
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  10. Mjay81

    Mjay81 Member

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    Thanks! Yes I was bemused by why on earth are they trying to also sell the add on strategy of SMSF as a bit of plan b c or d if things go south... so I’d lose all my super worst case! Geez this is seriously eye opening.
     
  11. Mjay81

    Mjay81 Member

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    I have spent hours looking at dual occ pros and cons but the flag went up for me when I compared their “house prices they advertise” against the median house price in specific areas. Eg they promote “560k for one of their properties in day “bellmere Qld” when the market avg is $350???!!! Seems a bit too high end and risky plus the long vacancy and or days on market.
    Really appreciate the thread replies
     
  12. Trainee

    Trainee Well-Known Member

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    because they will have their lawyers and accountants setup, audit and manage the smsf for you, charging fees every step of the way.
     
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  13. Mjay81

    Mjay81 Member

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    I am now getting the picture of one big happy family all working for the same company and getting kick backs along the way. We did ask if we could simply use our current and trusted mortgage broker and super specialist we know but that was shot down immediately. Thank you
     
  14. Sackie

    Sackie Well-Known Member Premium Member

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    Haha .... These guys are more crukerd than the yellow brick road.
     
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  15. Mjay81

    Mjay81 Member

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    For those following I am so intrigued by this and very appreciative of any advice.
    Some comparisons I have noted regarding Their promo around pricing offer for investment (what we would pay) versus actual data on the median prices ...still not sure If this factor alone is a bad thing but still seems high risk
    Dual occ their price 560 bellmere
    Actual median 355

    Gunnedah their price 564 - 580
    Actual median 315.... hello red flag?

    Burpengary north Brisbane theirs 570 ish
    Actual median 340500

    Cable beach wa theirs 475
    Average ... can’t find direct but around 555

    I will share more once I find more but is this still a good strategy given yield returns they sell are at 6%?
     
  16. Mjay81

    Mjay81 Member

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    Oh no! Just a strange strange set up that is for sure. So much research to do!
     
  17. Sackie

    Sackie Well-Known Member Premium Member

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    It's actually a common setup. I can't speak specifically about this company but there are so many companies operating with massive conflicts of interest and unethical practises. You'd be surprised how many ppl get sucked in and buy mostly crap investments. These companies prey on the ignorance and innocence of most of their clients/victims.
     
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  18. Trainee

    Trainee Well-Known Member

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    Stop researching these guys and do it yourself, independently and properly. Why continue up the garden path when you know its a garden path?
     
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  19. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Ahh the one stop shop.

    They arent all bad, but needs further investigation for sure

    ta
    rolf
     
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  20. Brady

    Brady Well-Known Member

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    Sound like a no go. Wouldn't bother wasting your time.
    Run from anyone that won't allow you to get independent advise
    Also median house prices, pretty useless... especially when looking at two completely different products.
     
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