Whom to work with, besides NDISP?

My first post to this forum/ website.

I’m eager to explore NDIS SDA investing and have been reading/ talking to lot of people in this space. Understand from this forum that NDISP/ RPI is very good. Besides there posts are tremendously insightful.

However my interactions with NDISP indicate that there pricing is on the higher side, probably for the premium experience they provide. Wondering if this group has come across any other worthwhile players like NDISP to explore with.

regards,
VG

 

The pricing is what you need to spend as a minimum. It's not our pricing it's the build. If you don't do that you will have no tenants. Invest in something else.

Or do Improved Liveability, or Fully accessible. Or 2 bedroom not 3.

I just got back from having champagne with tenants who moved into one of ours from someone else's fully approved HPS SDA. We do that so often.

There is no pricing cheap stuff. But there are heaps of providers out there that will sell you stuff cause all they care about is commissions.

One QLD provider who sells a lot has 47 houses, 50 empty and none full.

I know a builder in Qld who has done over. A hundred houses, you could pay us any amount of money in the world to manage their places. They, are long with a heap of.dodgy sales people will get sued for the misrepresentation.

You simply won't get tenants if you don't spend enough. Short term maybe. But the real rent will be a normal rental.

I'd you want to get $40k a room then you need to spend the money.

While we don't need your investment, what we don't want is more bad SDA stories because people build cheap rubbish.

 

Thanks RPI.
Please don’t get me wrong. I don’t intend to complain about your pricing & I can appreciate it’s for good reasons.

My main question from the community here is to understand who are top 2/3 SDA providers in Australia in terms of outcomes for participants (and not pricing, number of projects, time to build etc.). I understand one of the top 2/3 is NDISP, but who else? It will help form a perspective of what are the options for investors to be long terms successful, than waste time with players with dodgy track record.

Cheers,
VG

 

The table below is for enrolled dwellings. We have dwellings that have not been enrolled from the old system for 8 months, and in the new system for as much as 3. So while the numbers are low, I'd assume the vacancy vs occupied percentages are correct.

You would also discount 3 of these that are care organisations and only do their own clients (which is unlawful but being tolerated to give people transition time)

 

Thanks RPI. This is really insightful and hit’s the bulls eye as far as my query was concerned.
Can I ask for the source/ time stamp of this chart?

Regards.

 

To me it just seemed like lots of nice smelling sizzle and just a little weiner beneath the smoke.
Could'nt see the value in it.

 

It was from the NDIS data on enrolled properties at.end of.last quarter.

 

Dear RPI,
Could you share the link or name of the report that contains this chart? I would love to read it in detail. I tried really hard to look for it online but haven’t been successful so far.
thanks much!

 

Id probably disagree .

one SDA house is generating an income above what most people retire on .

just going through the design process for a block of units .

I’ve been looking at this space for around three years . Only come across one provider outside ndisp who impressed me as knowing what they’re doing , and they had a source of funds from a consortium of high net worth investors so weren’t looking for investors .

talked to several people who didn’t really appear to know what they’re doing

if your looking for cheap , NDIS isn’t the way to go . If anything I’d be up specing properties as a defensive move to future proof them .

We’re planning in a pool with out next one . Could save ourselves a bit if we didn’t .

cliff

 

You won't find it online. It's taken from enrolled properties, vs vacancies. Couple of different ndis documents fed into spreadsheet and charts printed out.

 

And yet I'm not the only one who got a run around and confusing statements others have posted as well.

For eg ndisp website:
"By purchasing an NDISP Platinum Plus home you help provide a suitable purpose built home for up to 4 disabled Australians. In return, the generous NDIS SDA scheme will pay you returns that exceed 10.5% net depending on the location and exact property type."

Now try ringing them up and saying, sure I'll buy one and see what happens.
RPI posts about "turnkey" building, try asking for that and see what replies you get.
They tell location has to be xyz, then post videos and properties in locations that don't meet the criteria told to others.

From my POV it's not worth the drama and hassle of dealing with people that can't give a straight answer.
I'm doing much better investing elsewhere.

There is also an interesting item on the leasing contract which seems like a cash incentive or kickback to renters for signing up that is then charged to the property owners.

 

Its not a kickback. It's helping people who are living in poverty.

 

Well from my POV you are offering a cash bonus for a tenant to sign up with your company.
Said cash bonus is not an option for the property owner and nicely worded in the contract.
You get the credit, owners pay.

And where to people go to purchase the home advertised at 10.5% net return?

 

@Piston_Broke
Thanks for the straight talk. What other investing you are referring to here, if you don’t mind sharing? Would love to learn.

 

noted. Makes sense. Thanks.

 

I invested in some industrial property, currently negotiating a sale a almost double. I posted a bit about it in the RE selldown thread.
As always you need to do your own research in these matters and I'm sure there are others very happy this type of investment.
As I get older my style is more like those guys in shark tank, after a couple non clear answers I'm out.

 

@Piston_Broke

You remind me of someone who got kicked of the forum a while ago . Always going on about their commercial deals and knocking everyone else who didn't have their experience and funds available ... For someone who chose not to invest in this field , you seem to spend a bit of time around here making negative comments .

To me it sounds like you wanted all the hard work done for you and you have no idea of the complexities involved in providing appropirate disabled housing. I'm not aware of any property that's going to provide > 12 % net return with guaranteed indexation for 20 years ( that's what we're getting ) without the investor putting in some hard yards and taking some risks .

If you'd done your due dilligence you'd know that @RPI worked in the charity field long before NDIS came along , so any suggestion that there are "cash backs " to sign is quite insulting to someone like RPI who has been working with charities for years .

Have you been doing that ?

There is no " cash back " to sign but as clearly stated NDISP does provide funds to the tenants on an ongoing basis . . No one else is doing that and given the lack of suitable properties avaialable , there would have been no commercial pressure to do that to gain a competitive advantage but because , ( IMHO ) @RPI is one of the good guys, he decided to do that .

Reality is that the tenants are severely disabled people who are living on a pension and they have to contribute 25 % of that to their rent .

If you don't want to invest in that , fine , but we're glad we did as not only are we getting a return on one property that's higher than the vast majority of Australians make in retirement , we also know that we're helping people who are significantly disadvantaged in life .

For me that's a genuine WIN WIN ....

Cliff

 

Straight talk ? From a somewhat cynical someone you don't know who has frequently posted negative comments about NDIS / NDISP vs someone with a documented back ground and involvement in the forum for well over ten years. Thats where DD starts . Who you take advice from .

I've never know anyone to post a list of their competitors on any post on PC so that should tell you a lot about the person who's providing that info at no cost to you ....

Reality is IMHO NDIS is for sophisticated investors who are able to do their own research . Sadly there aren't always that many people like that on PC . Just people who want to have a " Quick look " at our plans ( copywrite propiatory info which took experience and time and $$$ to develop ) and people who are looking for cheaper options ...

NDIS ? , if you go cheaper , you'll end up getting your fingers burnt as you'll either end up with a substandard location or a poor design .


Cliff

 

I've been banned a few times and no I ain't Daz.

I was replying to the OP with my concerns and did not quote or tag anyone.

If I see a product advertised and promoted and make contact with the intent of buying only to be given vague answers and no product available, then in imo they are full of hot air.

I don't know or care who RPI is or what he does, I did read the contract. Did you read the lease contract?
Read it carefully and then come back and comment.
To me it's the same as a PM saying "your tenants are poor, your lease agreement has a compulsory gift" that they use to get tenants while saying everyone else is rubbish.
Still it's not the dealbreaker, it just adds to the rest.

He has no net 12% (or 10%) properties available nor can refer to any even though his website has a property for sale page.

Plenty people like being in an echo chamber with no different or opposing opinions and many find different opinions offensive. I don't so it's not a problem for me.

 

We are building one SDA through work with NDISP now, and have had none of the problems you are quoting.

Nothing but straight answers.

I've known Daryl through work for quite some time, and he has been nothing but honest and trustworthy.

He is in it to help people in need, and so are we. SDA just happens to also provide a good investment returns if you provide the right product.