Podcast appearances and mentions of peter koulizos

What's happening with Adelaide's property market? Is the incredible boom we've been seeing finally coming to an end? In this episode, we're joined by Peter Koulizos, the property professor, to take a closer look at what's going on in this fascinating market. Adelaide's median house price has now overtaken Melbourne's—for the first time in 40 years! And all this while having a population of less than 1.5 million compared to Melbourne's 5.5 million. It's been a remarkable run of price growth since mid-2020, but is the boom about to fizzle out? Peter dives into what's been driving this surge in Adelaide, looking beyond just affordability to unpack the underlying factors. Is this market still a hidden gem, or are we finally seeing the first signs of it slowing down? If Adelaide's meteoric rise has caught your eye, this conversation is one you'll want to hear. Peter's insights might just change the way you see this city's property market and where it's heading. Episode Highlights: 00:00 - Introduction 01:18 - Who is Peter Koulizos? 02:21 - Did the property boom in Adelaide go as planned or unexpectedly? 04:26 - Is the property boom in Adelaide losing momentum or still going strong? 05:39 - Is remote work still allowing people to live thousands of kilometres away? 08:42 - Can Adelaide locals sustain rising property prices amid economic concerns? 12:20 - What kind of growth are Adelaide's quintessential homes seeing? 13:42 - Key differences/similarities between Adelaide, Perth, and Brisbane's property markets 17:58 - Peter's thoughts on Adelaide's headwinds of low growth and high property supply 24:52 - Can stamp duty exemptions for baby boomers help better utilise our housing stock? 26:54 - Is housing supply really different from the supply of other commodities? 30:19 - What is actually driving the property market in Adelaide? 34:30 - The impact of the mining industry, and the Olympic Dam, on Adelaide 36:03 - Will the return of people to Brisbane and Adelaide impact local economies and wages? 41:01 - Is it concerning that buyers agents can operate interstate without local licensing? 46:47 - Which Adelaide suburbs are poised for long-term growth beyond COVID trends? 51:03 - Is the rental shortage in Adelaide increasing demand for home purchases? 53:22 - Peter Koulizos' property dumbo About Our Guest: Peter "The Property Professor" Koulizos, a real estate expert with nearly 30 years of teaching experience, recently retired as the Program Director of the Master of Property at Adelaide University, though he continues to teach. In addition to his academic role, Peter is an active property investor and developer, holding several properties. He researches property markets across Australia to identify top investment suburbs in each capital city and has authored three books: The Property Professor's Top Australian Suburbs, Property vs Shares, and The Diary of a Small Developer. Connect with Peter Koulizos: Website https://www.peterkoulizospc.com.au/ Resources: Visit our website https://www.theelephantintheroom.com.au If you have any questions or would like to be featured on our show, contact us at: The Elephant in the Room Property Podcast questions@theelephantintheroom.com.au Looking for a Sydney Buyers Agent? https://www.gooddeeds.com.au Work with Veronica: https://www.veronicamorgan.com.au Looking for a Mortgage Broker? https://www.flintgroup.au Work with Chris: chrisbates@flintgroup.au Enjoyed the podcast? Don't miss out on what's yet to come! Hit that subscription button, spread the word and join us for more insightful discussions in real estate. Your journey starts now! Subscribe on YouTube: https://www.youtube.com/@theelephantintheroom-podcast Subscribe on Apple Podcasts: https://podcasts.apple.com/ph/podcast/the-elephant-in-the-room-property-podcast/id1384822719 Subscribe on Spotify: https://open.spotify.com/show/3Ge1626dgnmK0RyKPcXjP0?si=26cde394fa854765  See omnystudio.com/listener for privacy information.

Tom Rehn, Casey Treloar, Mylee Hogan, Stephen Rowe, Stacey Lee, Mike Baker, Breaking at 8 with Peter Koulizos, Joe Puntureri, Michelle & Tim McCranor and Matthew Pantelis. See omnystudio.com/listener for privacy information.

Matthew Pantelis speaks with Peter Koulizos, Property expert at University of Adelaide to discuss Adelaide's property prices skyrocketing. Listen live on the FIVEAA Player. Follow us on Facebook, Twitter and Instagram.See omnystudio.com/listener for privacy information.

Got a question for the trio? https://forms.zohopublic.com/propertyplanningaustralia/form/GotaquestionforthePropertyTrio/formperma/zYCQAxzE_24CVlDafP1ozyzwtmB-8m1iCNtCTgDvHXMPete joins us in the studio! Mike kicks off the Trio's predictions for 2023 and he runs through their January predictions, holding each accountable for their forecasts. What will the market do? Cate admits she was quite bullish on this question, while Dave thought prices would drop 5-8%. It was the Property Professor who got this prediction right. Which capital cities will be the top performers? According to Mike, the Trio all got this one right in identifying Perth as a top performer. Cate concedes though that Melbourne demonstrated resilience, as opposed to a bounce-back, and she points out that none of them picked Brisbane. And Pete sheds light on some fundamental reasons why Perth was so popular for eastern states investors. How will the regions perform? With hybrid office working environments, things are changing now, but what will the larger regions do in the short term? Who got it right? And what is in store for office spaces? ...Tune in to find out.Investor numbers: What did the Trio underestimate? How has credit policy played a role? And how did tax legislation changes impact investor activity? The Trio ponder.What government intervention could impact the property market? Each of the Trio had a good point, but who got it the 'most' right?Developers and building - what did the Trio think would be in store for 2023? Why could we see private builders ease their pricing? Does Cate have a valid theory? And Mike sheds some light on the challenges today for volume builders... and it's insightful. Pete adds his insights on the current building pipeline and Dave discusses supply chain woes. Dave was determined the deserved winner of this prediction. Where will interest rates land at the end of 2023? The Trio concede defeat!Rents and vacancy rates - where would they end up at the end of 2023? Cate and Pete took out top marks for this prediction: "Record increase in asking rents for 2023. It will shadow 2022, we're not getting more stock, we're getting more people. With interest rate increases, some people who were looking at purchasing might be looking at renting instead."Where did the Trio peg listing and sales volumes by year end 2023? Full marks to Dave! "We'll see it around the 5 year average this year, first 6 months will be flat, but pick up in the back half of the year.And what risks did they anticipate could impact the market? From recession to higher unemployment, war/invasion and share market corrections, the Trio canvas some of the possibilities.Lastly....where did the Trio think inflation would head? Pete speaks candidly about the practicality of reading inflation charts. But did Dave and Cate get it right? Or were they one year too early with their predictions? ....And our gold nuggets! Peter Koulizos's gold nugget: Borrow as much as you can to buy as much as you can, and hold on for as long as you can!Cate Bakos's gold nugget: The differences of opinion between the Trio is what makes the show interesting, but it also sheds light on the importance of noting different economists' points of view. We pride ourselves on being fiercely independent. Shoe notes: https://www.propertytrio.com.au/2024/01/22/2023-predictions-unpacked/

Peter Koulizos is a property professor with a program director in Master of Property at the University of Adelaide. Peter highly evaluates the current property market with his occupation, making him a mastery individual in this field. With the opportunity to speak to Peter in this episode, he shares with us the influence of his father's career and the transformative development he has had in combining his interests in teaching and property, allowing him to become a property investment genius. Hop onto this episode to emerge yourself into his iconic journey! Hosted on Acast. See acast.com/privacy for more information.

Peter Koulizos is a property professor with a program director in Master of Property at the University of Adelaide. Peter highly evaluates the current property market with his occupation, making him a mastery individual in this field. With the opportunity to speak to Peter in this episode, he shares with us the influence of his father's career and the transformative development he has had in combining his interests in teaching and property, allowing him to become a property investment genius. Hop onto this episode to emerge yourself into his iconic journey! Hosted on Acast. See acast.com/privacy for more information.

Welcome to another exciting episode of the Brisbane Property Podcast! In this episode, we have the pleasure of sitting down with Professor Peter Koulizos, a renowned property expert who combines years of academic property research with extensive practical experience in property investment and development. Professor Peter Koulizos is a treasure trove of knowledge when it comes to the real estate market. He's made it his mission to help investors make informed decisions, and in this episode, he shares his invaluable insights on two key aspects of property investment: identifying gentrifying suburbs and understanding the selection criteria for high-growth locations. Ever wondered how to spot a suburb on the rise before it takes off? Peter's expertise allows him to dissect the telltale signs of gentrification, providing listeners with the tools to predict property value growth like a seasoned pro. He discusses the critical indicators to look out for, enabling you to stay ahead of the curve in the ever-evolving property market. But that's not all! Peter also delves into his selection criteria for high-growth locations. He reveals the secrets to identifying areas with the potential for significant appreciation in property value, making this episode a must-listen for both seasoned investors and newcomers to the game. If you're passionate about property investment and want to take your knowledge to the next level, this is the episode for you. Don't miss this opportunity to learn from one of the industry's brightest minds. Tune in, gain the knowledge you need, and elevate your property investment game. Like, share, and subscribe to the Brisbane Property Podcast to stay updated on all things related to the Brisbane real estate market. And remember, your financial future starts with informed decisions, so let's dive in with Professor Peter Koulizos! Connect with Us: Subscribe on Youtube https://www.youtube.com/channel/UCW30uBCnHQ2YllnwGKHNfxg Listen on Spotify https://open.spotify.com/show/5tODCtY54iQrxadNqqmevs Streamline Property Buyers Website https://streamlineproperty.com.au/ Ready to work with us directly? https://streamlineproperty.com.au/contact/   If you liked this episode, please don't forget to subscribe, tune in, and share this podcast with others you know will benefit from the information we share!

Do you know the pros and cons of timing the property market, or are you ready to master the art of "time in the market" for your financial success?Have you ever wondered how to seamlessly navigate the intricate details of property pricing and strata reports?Welcome to the Australian Property Investment Podcast. In each episode, we ask guest experts to share their key insights for aspiring investors to make confident property choices.In this week's episode, Peter Koulizos, Program Director of the Master of Property at Adelaide University, discusses the pros and cons of timing the market vs. time in the market, revealing the secrets to long-term wealth accumulation in the property world.Discover Peter's philosophy and learn why trying to time the market can be risky. Get the inside scoop on gentrification indicators, and find out how to identify areas on the brink of transformation.If you're ready to unlock the secrets of property investment and accumulate wealth over the long term, then make sure to tune in to this episode!Time Stamps:00:00 - Intro02:01 - Peter's 3Ps03:32 - Peter's Investment Property Journey08:48 - Breaking Down the Complexities of Gentrification15:04 - The Balance of Timing the Market vs. Time in the Market19:09 - Property vs Shares by Peter Koulizos22:20 - Property Development Insights from a Seasoned Expert24:35 - BOOK GIVEAWAY24:49 - Peter's Portfolio Endgame28:07 - Final Thoughts and OutroAbout Our Host:Aaron-Christie David founded Atelier Wealth, a Mortgage & Finance Association of Australia (MFAA) approved Mortgage Broker. Aaron's focus is clear – supporting property investors to make confident decisions to build their property portfolio. He has been recognised in the MPA Top 100 Broker rankings for the last three years. With over 10 years of financial services experience, with a career spanning Wizard Home Loans and Commonwealth Bank, Aaron's decision to become a broker was to help more Australians fearlessly buy investment properties to achieve intergenerational wealth.Connect with Aaron:Visit the website: https://atelierwealth.com.au/   Follow the Australian Investment Property Podcast's Official Instagram account: https://www.instagram.com/aupropertyinvestmentpodcast/  Follow Aaron on Facebook: https://www.facebook.com/aaronchristiedavid    Follow Aaron on LinkedIn: https://www.linkedin.com/in/aaron-christie-david-a7482a21/   Subscribe to Atelier Wealth's YouTube Channel: https://www.youtube.com/channel/UCKdm2ssEHel1kyQLAHGvNPQ Connect with Peter:Visit the Property Professor website: http://www.thepropertyprofessor.com.au/ Join the Property Professor Facebook group: https://www.facebook.com/groups/186153897464/ Follow Peter on LinkedIn: https://www.linkedin.com/in/peter-koulizos-37933522?originalSubdomain=au Follow Peter on X (formerly Twitter): https://twitter.com/PeterKoulizos Have you got questions from an episode of our podcast? We'd love to chat, and if you have the motivation, we can help with the execution of your property aspirations. Ready to level up? Click this link to make an appointment

A few weeks ago property investors from around Australia and New Zealand gathered to swap ideas, network, and listen to some very knowledgeable speakers share their experiences at the inaugural PIPA Conference.  One of those keynote speakers was the previous Property Investment Professionals of Australia or PIPA Chair and continuing board member Peter Koulizos - also known as the Property Professor - who took everyone on a property and location masterclass. Our own Bushy Martin was the emcee at the event and was so impressed with the information Peter went through that he invited Peter to join him in a full Realty Talk show and today is the day.  So get your note paper and pen out because you are about to hear some very powerful insights. NEW – Join the Property Hub community on Substack! Sign up to get Australian property news, opinion, and episodes in your inbox: https://propertyhubau.substack.com/ Subscribe to RealtyTalk on the Property Hub channel: Apple Podcasts | Spotify | Google Podcasts | Email Property Hub is a collaboration between Bushy Martin from KnowHow Property, Kevin Turner from Realty, Andrew Montesi from Apiro Marketing and Apiro Media, and Australia's largest independent podcast network DM Media. Business and partnership enquiries: antony@dm.org.auSee omnystudio.com/listener for privacy information.

When it comes to investing in property, one question tops the list: Where should you put your money? It's a query that has spurred an entire industry, one ready to provide answers in exchange for your investment. But amidst the vast sea of predictions and expert advice, how can you truly trust their methodology? How many of these experts have endured the test of time, and how many are willing to be held accountable for their past forecasts? In this episode, we travel back in time and revisit property predictions made 15 years ago. This retrospective analysis will scrutinise which ones hit the mark and what veered off course in the original research. Join us as we unravel the fascinating dynamics of the property market, exploring how our understanding has evolved over the years, all against the backdrop of a rapidly changing real estate landscape. With us today is the Property Professor himself, Peter Koulizos, and he's willing to be held to account. Walk with us through the maze of property investment insights, uncovering valuable lessons from both successes and missteps of the past. Don't miss this opportunity to gain a deeper understanding of the dynamics of property investment and how they can work in your favour. Episode Highlights: 00:00 - Introduction 01:12 - Who is Peter Koulizos? 05:23 - Work-from-home trends and their impact on real estate 10:26 - Peter's analysis of the locations he chose for his research 13:37 - Real estate investing in Perth 23:16 - Real estate investing and market distortion 31:34 - Property market trends and investment strategies 37:08 - Property market trends in Sydney and Melbourne 42:36 - Property investment strategies and local knowledge. 48:52 - Property investment growth and sustainability 53:06 - Australian housing market trends and supply 59:05 - Housing market trends and renovation vs. moving decisions 1:02:42 - Property investment strategies and valuation 1:03:32 - Peter Koulizos' property dumbo About Our Guest: Peter “The Property Professor” Koulizos has recently retired from the position of Program Director of the Master of Property at Adelaide University but continues to teach in the program. He has been teaching in real estate and investment for over 25 years. Peter also personally invests/develops property and currently holds several properties. Peter researches property markets around the nation, looking for the best suburbs to invest in each capital city. He has published three books; “The Property Professor's Top Australian Suburbs” and “Property vs Shares” and most recently “The Diary of a Small Developer”, with Margaret Lomas. Connect with Peter Koulizos: Follow Peter on LinkedIn: https://www.linkedin.com/in/peter-koulizos-37933522/ Visit The Property Professor's website: https://thepropertyprofessor.net.au/ Join Peter's Facebook Group (The Property Professor): https://www.facebook.com/groups/186153897464/ Visit Peter Koulizos Property Investing: https://www.peterkoulizospc.com.au/ Resources mentioned in the episode: Visit the PIPA website: https://www.pipa.asn.au/ Resources: Visit our website https://www.theelephantintheroom.com.au If you have any questions or would like to be featured on our show, contact us at: The Elephant in the Room Property Podcast questions@theelephantintheroom.com.au Looking for a Sydney Buyers Agent? https://www.gooddeeds.com.au Work with Veronica: https://www.veronicamorgan.com.au Looking for a Mortgage Broker? https://www.blusk.au Work with Chris: hello@blusk.au Enjoyed the podcast? Don't miss out on what's yet to come! Hit that subscription button, spread the word and join us for more insightful discussions in real estate. Your journey starts now! Subscribe on YouTube: https://www.youtube.com/@theelephantintheroom-podcast Subscribe on Apple Podcasts: https://podcasts.apple.com/ph/podcast/the-elephant-in-the-room-property-podcast/id1384822719 Subscribe on Spotify: https://open.spotify.com/show/3Ge1626dgnmK0RyKPcXjP0?si=26cde394fa854765 See omnystudio.com/listener for privacy information.

It can be hard enough to track down reliable information from the mouth of an experienced investor or data analyst but with the internet, there are thousands more tunnels to navigate.   Thankfully, we have just the man for you. Both experienced and reliable, we are thrilled to welcome: Author, Lecturer and Property Investor Extraordinaire, Mr. Peter Koulizos. In this episode, Peter discusses his Top 5 picks of where to invest and how you could set yourself up for the decades to come. He shares some truly insightful pieces of information that he has gained over many years building his impressive property portfolio and he explains why now might be the perfect time to begin investing. What suburbs are worth the risk? How interest rates really affect property prices. How the 2017 APRA changes have caused today's rental crisis. Where should you steer clear of? Learn all this and more in today's episode.     ENTER OUR 200th EPISODE COMPETITION

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/ In this week's episode, Dave, Cate and Pete return to deliver part two of acronyms and terms. They will take you through: Standard variable rate (SVR), Rate lock fees, P&I, I/O, Owner-occupier lending and EFT. Dave talks us through these terms and highlights a few key points of interest. Expressions of interest (EOI), ECOS, and period homes - Cate and Pete delve into these terms - Pete compares the differences between private treaty, EOI and auction campaigns. Cate sheds light on what an executed contract of sale really means. Pete details the different period and character homes and leans on Cate for some Victorian styles that are still prominent in the inner ring suburbs of Melbourne and some of our provincial regions.OTP.... not the trio's favourite type of property, but Cate shares a surprising twist -  Off the plan doesn't just refer to a brand new dwelling. For a subdivided older house, an 'off the plan' contract can still apply. How?... tune in to find out.FHOG... not what you suffer after a big night.  Dave shares with our listeners a fantastic offering posed by our States and Territories. The first home owner's grant varies from state to state and any eligible purchasers owe it to themselves to research this valuable opportunity.FHLDS. This great initiative supports those with insufficient deposit savings on hand, and Dave and his team have been able to assist many clients over recent years due to the first home owner's low deposit scheme.DHA and NRAS: Pete doesn't listen too hard to the negative rhetoric about defence housing. He emphasises that it's important to focus on the location, the returns and the term of the arrangement. OFI's, cooling off periods: Cate talks about cooling off periods, the ramifications of doing so, and the financial cost of deciding to cool off. Not for the feint-hearted.Auction quotes - how do buyers approach it? is there a 'rule of thumb' way of deciphering the real price? or is there another method? Cate explains. Pete throws cat among the pigeons when he asks about rental price quoting also, and Cate talks about the occasions when cooling off in the state of Victoria is not an option.Rental yield and terms contract - Cate talks through what these both mean, and how rental yield is calculated.Deposit bonds... not common and often misunderstood. What are they? When are they often used and how do they work? Cate and Dave canvas this unusual deposit method.EBITDA... earnings before interest, taxes, depreciation and amortisation. Dave walks our listeners through how this measure is calculated....and our gold nuggets! Peter Koulizos, the 'Property Professor's Gold Nugget: Pete recommends that buyers get some good advice on what all of these acronyms mean before they sign a contract. David Johnston, the 'Property Planner's Gold Nugget: And Dave implores borrowers to challenge their strategic mortgage brokers and advisors to explain any unknown acronyms. While they are exciting to ponder, these are industry terms that shouldn't be used for clients. https://propertyplanning.com.au/common-terms-and-acronyms-part-2-from-eois-to-deposit-bonds-we-unpack-them-all-ep-187-2/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaI https://propertyplanning.com.au/propertyplannerbuyerprofessor/ In this week's episode, Dave, Cate and Pete take you through: The difference between ROI (return on investment) and ROE (return on equity). Pete explains this critical differential and he and Dave highlight the sheer power of leveraging with a simple example. Our Property Professor shares some valuable formulae to consider in relation to the time value of money, including net present value (NPV). Gross lease vs net lease. Pete compares the differences and explains the critical things that commercial property landlords need to be familiar with when it comes to calculating and forecasting their rental returns. Finance terms: LVR, LMI, AML, VOI, valuation types (short form, long form, desktop, curbside, AVM, as if complete). Dave takes our listeners through each of these terms, some of which may be very familiar for our listeners but he has some twists and turns to shed light on for some of the lesser known acronyms and he expands on some of the detail behind many of these concepts. Valuation vs appraisal: why is this critical to understand? Even if the techniques are the the same, one is libel and one is just an opinion. Pete explores this important discretion. AIP (approval in principle), partial and full drawdowns, LOO. Dave covers these acronyms for our listeners and shares some great detail on construction lending; something particularly detailed for strategic mortgage brokers and banks, but a concept that many wouldn't necessarily know. COC and FTC : A certificate of currency (COC) is a requirement for every newly purchased property, and it's easy to arrange but often prompts a lot of questions. Funds to complete (FTC) is one of the most stressful last minute conversations when it's unexpected and raising a question around shortfall funds. Cate and Dave shed light on some of the causes of this so that our listeners can provision for the unexpected headache at settlement time. ...and our gold nuggets! "Don't change your job while you're going for a loan or awaiting settlement!" Peter Koulizos, the 'Property Professor's Gold Nugget: Pete suggests that any borrowers who find themselves confused about acronyms in their loan documentation or correspondence, they should ask their strategic mortgage broker or banker to explain it all. The team wish our listeners a happy 2023 with a special message each from the Property Planner, the Property Buyer and the Property Professor. Visit the show notes: https://propertyplanning.com.au/common-terms-and-acronyms-part-1-from-roi-to-voi-we-unpack-them-all-ep-186/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaI https://propertyplanning.com.au/propertyplannerbuyerprofessor/ In this week's episode, Dave, Cate and Pete take you through: Pet stats! Legislation confusion? The trio uncover legislation around pets and rental properties, and just how dramatically the states and territories differ. What is our biggest fear? Pete leads the taskforce with an overview of the top reasons why so many landlords fear pets in rental properties. Illegal dog training When saying yes to pets presents an advantage to a landlord Pet rental application cover letters? You bet! “Ohhh, THIS cat? It's my friends cat and it's just staying this weekend”. The trio talk about this old chestnut and focus on why some renters adopt this ploy How expensive is it to clean up after a bad pet-experience? What pet situations ring alarm bells? Pets pose a grave concern for a landlord, (or worse still, some pets and activities are illegal). How do property owners tackle a surprise pet in an investment property? Cate and Pete share their best tips Cate Bakos, the ‘Property Buyer's Gold Nugget: Cate reminds listeners that the risks of scaring a tenant into driving pet ownership underground can end in tears. Cate's approach is to be open about being open to pets so that pets are actually disclosed on the application. She also recommends capturing the age, breed and behaviours of a pet when asking tenants for pet bio's. Peter Koulizos, the ‘Property Professor's' Gold Nugget: Pete adds that by encouraging pet owners, landlords also widen their market. Dave also asks for some good advice on managing an unwelcome neighbour's cat…. Visit the show notes: https://propertyplanning.com.au/182-pets-and-rentals/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. How do rents stack up against inflationPeter shares his research on rental returns over the last 10 years, which increased nationally by 11% for all dwellings. Compared with inflation, which increased by 25.6%, it's a good reminder of the benefits of capital growth focused investment properties. Check out our show notes for the growth rates of rents for each capital city.2. Closing in on the neutral cash rateWhilst opinions on where the neutral cash rate sits are many and varied, Cate reminds our listeners that we must be getting pretty close. Although economists don't have a crystal ball, no one is expecting the cash rate to reach 5% and the RBA is trying to reach the point of equilibrium quickly. Once the RBA slows down on rate movements, it's like that buyers and particularly those who have put their purchasing plans on hold to wait out the uncertainty, will jump back into the fray. Nothing encourages opportunistic buyers like a slow-down in rate increases.3. Economists revise down their predictions on the neutral cash rateDavid shares the early signs of economic inflection which could suggest that the neutral cash rate is may likely eventuate at 2-2.5%. As little as two months ago, money markets were predicting the cash rate would reach as high as 4.5%, however most bank economists now think that it will rise to 3%, with CBA being the most conservative at 2.6%. Money markets have also spiked in July by 5-6%, which brings positive news. Whilst the US is in a technical recession, an argument could be made that they are not actually in a recession due to the very low unemployment rate and other factors. It is also important to note that our technical definition of what constitutes a recession varies from that of the US.The extra mile buyers should go when shortlisting a property1. Listener Question: “A glass half full question … as we transition into a Buyer's market, what steps can investors take to be positioned to take advantage of an opportunity that might present itself”The trio start the episode by answering a question from a podcast listener and share their tips on how to get purchase ready, to strike when the iron is hot! Property is a long game and we do need to sometimes remind ourselves of this.2. What are some of the things we can check online before we even book an inspection?The trio share their hot tips on how to make the most of your internet searches when doing your online research.3. What things should you be looking out for immediately when inspecting in person?Cate shares with our listeners what to look out for when you visit an open house. Take note, listeners should use more than just their eyes when inspecting the dwelling! Pete shares the aspects of the land to keep an eye out for and why you should stick around for the whole inspection.4. How to assess a ‘workable' floorplan vs a complete overhaul floorplanAn illogical floorplan can be a huge pain, not to mention the financial commitment if you want to make adjustments. The trio discuss how to assess the floorplan, which could save you thousands on a planned renovation. However, the floorplan is not everything. For listeners who want to get into a particular location, especially first-time buyers, dealing with a less than ideal floorplan or a more run-down house could be the trade off to get into the best location.5. What kind of renovation are you planning? What is the difference between cosmetic work, work that requires tradies and work that needs a planning permit? It's important to be clear on what type of renovation you're going to be doing. And just as importantly, when you are inspecting a property, what work has been done? …and should there be certificates of compliance included in the contract of sale? If you do notice that renovations have been completed, bring them to the attention of your solicitor or conveyancer as they may have been done illegally!6. What you can find out from council about the land or dwellingThe trio discuss the information that you can find out from the council, and the encumbrances that could have a significant impact on your intended use of the land. Pete shares a hot tip on how you can stay abreast of any planned development in the area.7. Obtaining insurance quotesDo a quote online on the property you intend to purchase. Although it's not considered to be thorough research, the quote will give you a good indication of whether there could be a problem with the location in terms of flood or fire if the quote comes back higher than normal.Visit the show notes - https://propertyplanning.com.au/the-extra-mile-buyers-should-go-when-shortlisting-a-property-inspecting-like-an-expert-how-to-spot-red-flags-all-you-can-discover-for-free-online-assessing-a-floorplan-finding-nearby-de/

The incredible story behind how Peter has earned his reputable title as Australia's "Property Professor" and more. The power of combining your personal and professional passions into a fruitful career.Peter holds a teaching degree, Graduate Diploma in Property, Masters of Business (Property) and Master of Urban and Regional Planning. He has been teaching in real estate and investment for over 20 years. Peter also personally develops/invests in property and currently owns several properties.Peter has the ability to combine the theory of property investment with the practical aspects so as to teach people how to make money for themselves from investing in property, whether they be buying, selling, renting, renovating or developing property.He is a regular contributor to numerous newspapers/ magazines/websites and appears on Channel 7's Today Tonight, Channel 9 News and Sky Business Your Money Your Call for his research and comments on the property market.Peter researches property markets around the nation, looking for the best suburbs to invest in each capital city. In 2008, he published a book titled “The Property Professor's Top Australian Suburbs”. In 2013, Peter completed his second book “Property v Shares” with co-author Zac Zacharia. Peter has recently completed his third book , "The Diary of a Small Developer", co-authored with Margaret Lomas.So whether you have interests in property investment or development, a career in property OR you want to combine your loves into your life by design... I believe you'll find Peter's journey very informative. A man who is happily in a position he has worked hard his adult life to be in, it's always valuable to learn a lesson from the wise.Enjoy this episode with Peter Koulizos!

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Weekly Market Updates1. Adelaide market losing steamPete reports that there are not as many people at auction and less offers coming in prior to auction. Whilst the Adelaide market is still on the rise, it isn't increasing at the same rate as a month and a year ago. CoreLogic figures released this week show 0.4% increase over July.2. Rental squeezeCate shares an interesting article that she read on the weekend, highlighting the Victorian rental reforms to be a failure and go too far. With the pool of rentals eroding, vacancy rates reducing and rents on the upward trend, are the reforms pushing investors out of the market with their onerous requirements?3. Where is the neutral cash rate?Dave shares his updated predictions on where the neutral cash rate could lie (2-2.5%). The current cash rate of 1.35% is above the level of June 2019 and almost double the pre-pandemic level. With a 0.5% rise expected today, the new 1.85% cash rate will be the highest since July 2016. This sparks concern that the RBA is going too hard and too fast. Inflation is a concern, but not at the expense of household wealth and jobs. Figures from Westpac show that while 29% of borrowers are a year ahead of repayments, 50% are less than one month ahead.Visit the show notes - https://propertyplanning.com.au/analysing-regional-locations-what-investment-principles-can-be-gleaned-from-the-highest-performing-regions-in-each-state-comparing-capital-city-vs-regional-performance-from-2003-b/

https://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. Pick your advisors wisely!Cate shares a recent experience of working as a Buyer's Advocate for a friend. The moral of the story? When you're working with a professional, if you know their work and you trust them, you can get a great outcome, because speed and swift decision making is everything.2. How will the unemployment rate impact rate rises?The latest figures from the ABS show that unemployment has dropped to 3.5%. This has caused quite the stir, with economists now expecting rates to rise by 0.50% next month, maybe even 0.75%. David cautions that the RBA shouldn't move too hard too fast on rate increases, but it is looking increasingly unlikely that the RBA will move by 25 basis points only. It will be interesting to see what actually occurs next week…3. Rents playing catch upIncreasing rents have been the talk of the town, with rents recently going up significantly. Pete shares some interesting data which highlights that in the last 10 years, rents have not kept up with inflation despite the dramatic increases. How will this inform future policy decisions from the Minister for Housing? We will have to wait and see.Updated predictions for 20221. A look in the rear view mirror at the first half of 2022The trio revisit the predictions they made at the beginning of the year. Were they on the money or did they miss the mark? Tune in to find out!2. What will the property market do in 2022?What capital growth rates can we expect around the nation this year? The trio review their predictions and lay their predictions down for the rest of 2022.3. Which capital cities will be the top performers?The trio look into the crystal ball, pour over the data and explain which capitals are expected to top the charts this year. But remember, property is not an asset class that lends itself to short-term investing. The important thing is to plan and strategise for the long-term.4. How will regional locations fare?Regional locations have again outperformed capital cities in the first half of 2022. But will that continue?5. Will investors jump back into the marketInvestors have shown strong increases in activity over 2021 but only a slight increase in the first 5 months of 2022. Is this trend likely to continue? The trio share their insights.6. Will APRA intervene in the property market?The RBA has done all the heavy lifting with increasing interest rates, meaning that APRA hasn't had to intervene to temper the market. But will the government search for ways to intervene to keep rental prices lower and tempt first home buyers back into the market?7. Developers and buildingResidential construction costs continue to climb and builders are flat out with projects, exacerbated by labour shortages, materials shortage and supply chain delays. How long will costs continue to remain high and what impact will this have on the property market?8. The outlook for interest rates?The trio share their predictions for future cash rate rises by the RBA and at what point they each think will the rate rises end.9. Rental market forecastsRents have continued to climb and vacancy rates have tightened. The trio discuss the outlook for rental markets for the rest of 2022.10. Sales volumesAfter a record breaking year in 2021, sales volumes have lost pace and have trended back towards the five-year average. What does the future have in store? Tune in to find out!11. Risks which could impact the property marketThe trio discuss potential risks on the horizon which could impact the property market this year.12. Where is inflation heading?When will inflation peak and what will cause the slow down? The trio discuss and lay their predictions down.Visit the show notes - https://propertyplanning.com.au/predictions-for-2022-revisited-which-predictions-are-on-track-where-we-went-wrong-revised-expectations-forecasts-half-yearly-report-on-capital-cities-regional-locations-the/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:1. Markets across Australia dip further over JuneFor capital cities already in retraction, the rate of decline has increased over June, while those still experiencing value growth have seen a definitive slow-down in the rate of price increases. Sydney in particular has made the headlines, with a median dwelling price drop of 1.6% over June, the largest monthly fall since 1989. The trio discuss the fact that these circumstances are not unusual after a period of rapid price growth.2. Upper quartile feeling the pinchAs is typical of rising and falling markets, the upper quartile is leading the price declines and feeling the pinch more than the lower quartile. This has a significant impact on median values, as statistically, the bigger numbers are removed from the data pool. However, it's important to note that quality property is still in high demand, particularly if it sits within the median price range and buyers should not expect a bargain. A key example is entry level family homes where there is simplynot enough stock to cover the demand.3. How capital cities have fared over the last 40 yearsCate shares some interesting data collected from the REIA showing annual value growth for each capital city since 1980. Whilst a 1% differential in annual growth compounded over 40 years will make a significant difference to the end result, it's important to remember that there are many facets to consider when investing, such as vacancy rates, insurances, maintenance costs and rental returns. Although one capital city may have performed better than another over the long-term, price points are significant and could mean that it's better to purchase a high-quality asset in a lower performing city vs a low-quality asset in a high-performing city.4. Market cycle trendsThe trio discuss the trends in market peaks, which cities were the first to move and how these moves correlate with population size for the corresponding cities.5. Taking a critical eye to data and median valuesThe trio discuss data and differences between the nation's data houses: REIA, ABS and CoreLogic. As an interesting note, Brisbane is gaining on Melbourne in median values for all dwellings, but a closer look at the data shows that it's not all that it seems...6. Rollercoaster rentsThe trio discuss the case of Darwin which has had large swings in annualised rents over the last year, resembling one of the scariest roller coasters in the theme park. Melbourne units lead the charge for rental increases, which suggests that people are migrating back to the city and a supply-side issue could be brewing. To add to the pressure cooker, vacancy rates tighten further across most capitals. How will this impact the property market and who are the buyers likely to jump into the fray? Stay tuned to find out.7. Listings follow the annual trend and dwelling sales return to normalcyFollowing the usual seasonal winter trajectory, listings have dropped in Melbourne, Sydney, Adelaide and Canberra. The trio discuss the curious case of Hobart, which has seen a very large increase in listings year on year. Although being a smaller city, it doesn't take many transactions to register some serious numbers. In terms of dwelling sales, the figures are tracking back towards the 5-year average, after a spike in activity last year following an uptake in lifestyle decisions that were put on hold during covid.8. Consumer sentiment bodes well for inflationThe trio discuss the latest data on consumer sentiment, which shows a reluctance on the part of consumers to buy major household items. This indicates that the RBA 125 basis point rate movement is taking effect and consumers are now watching the hip-pocket and cutting back on spending. Could this also be attributed to the increased cost of living though? The time to buy a dwelling index has reached a new low post the GFC and the trio discuss an increasing chasm in sentiment between male and female purchasers.9. Will the RBA oversteer the ship again on inflation?David explains why the Australian economy is particularly sensitive to interest rate changes, compared with other countries. This means that any rate changes are likely to have a big and fast impact, as is already showing in the consumer sentiment data, with willingness to spend dropping significantly. Ideally the RBA will not raise rates more than 0.25% next month or even, dare we say it, take a break. The trio discuss a significant hurdle and structural weakness with inflation data, it is simply too old! By the time the RBA knows what's happening with inflation, it's too late.10. Lending indicators and the three-year bond yieldNot much has changed over May, although we expect to see a shift towards investors in the coming months as home purchasers elect to wait and see. The three-year bond yield peaked on 20th of June and has started to drop slightly since, which indicates that the market is starting to draw back predictions on how high rates will rise.Visit the show notes - https://propertyplanning.com.au/market-update-june-22-why-the-rba-needs-to-be-mindful-of-going-too-hard-too-fast-on-rate-increases-top-capital-city-performers-over-the-last-40-years-why-median-values-cant-be-tru/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. Investors making a come backCate discusses the return of the investor. Enticed by less competition, higher rental returns, tight vacancies and longer tenures, investors are coming back into the market and taking advantage of the opportunities.2. RBA lifts ratesDave shares with our listeners that once again the RBA has lifted the cash rate by 50 basis point to a target of 1.35%. This will flow through to the lending market variable rates. Many economists are tipping that the cash rate could climb to as high as 2.0% or possibly more. The move is largely to tackle the current inflationary environment, with inflation forecast to peak later this year and then decline back towards the 2-2% range in 2023.3. Understanding vendor motivationCate shares some hot tips for prospective purchasers on whether you should put in a pre-auction offer and why entry level family homes are still going strong despite the softening market conditions.4. Adelaide is at the top of the charts over the financial yearPete shares some exciting news for his home town Adelaide which has snuck into the top position over the last financial year with 25.7% annual growth over Brisbane's 25.6% annual growth. Can Adelaide do it again over the calendar year? Interestingly, Brisbane may overtake Melbourne in median house price. Watch this space!Case study #41. The conundrumThis case study follows the journey of Jason and Amy, who wanted assistance deciding whether they should purchase a home or investment, before or after they have kids, how their cash flow would change as they start their family, what cash savings buffers they should have in place, and how much they should spend and which location.2. Introducing Jason and AmyDavid shares Jason and Amy's key circumstances and of course, their lifestyle and property goals which are driving their decision. Jason and Amy are a couple in their early 30's, yet to start a family, living in one of Australia's major capital cities. Their long-term plan was to continue living in a capital city, but thought they may move to a regional area in the short-term to be close to family and have some additional support as they start having children.3. Starting a family with your eyes wide openThe trio discuss the importance of understanding (and being comfortable) with the impact that starting a family will have on your cash flow. This could be the difference between holding on to a property and panic selling when savings start to go backwards.4. Modelling the scenarios Two scenarios were modelled for Jason and Amy, one to purchase their home now for $1.1M or an investment that could become the long-term home for $1.5M. The trio discuss the pros and cons of each scenario.5. So, what did they choose to do (and what was the compromise)?Tune in to find out which scenario Jason and Amy went for. Were they successful and what was the compromise?6. The risks of rent-vestingThe trio discuss the dangers of rent-vesting when the desire to get into the long-term family home takes over and some clever ways to work around this proactively.Visit the show notes - https://propertyplanning.com.au/property-planning-case-study-4-do-we-buy-in-the-capital-city-or-regional-centre-we-plan-to-live-in-both-before-or-after-we-have-kids-how-will-parental-leave-impact-our-price-range-should-it-be/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. NSW land tax to put a floor under property pricesLooking at quarterly results, the two major cities with the biggest price falls have been Melbourne with 1.4% decline and Sydney with 2.1%. However, NSW will soon be implementing an optional land tax over stamp duty for first time buyers entering the market, which is likely to encourage some first home purchasers to dip their toe in the water and this in turn could increase demand.2. Pre-auction offersCate shares some hot tips for our listeners in preparation for today's episode on how to manage pre-auction offers in a cooling market and sometimes a better outcome will be achieved if you wait until the auction.3. Inflation may take longer than usual to come back downDavid shares an interesting theory on why rising rates may not be enough to curb inflation. Our lost life experiences over the last two years means that not even rising rates and increased mortgage repayments can curb our desires to go on holidays, see friends and spend extra money on getting social.How to tackle cooling markets1. A question from our listenerSome questions for the pod about how to approach a flat/cooling market.Cate what should you do when you are the only one to show up to an auction and or bid?Peter, how do you approach comparables when prices are falling?How do you take advantage of seller FOMO?I also think a whole pod on climate risk (BAL levels, flooding, future temperatures in capitals) would be good. Keep up the great podcast.2. When you are the only one at the auction, what are the risks that buyer psychology can pose? The trio discuss how buyer psychology can get in the way and cause obstacles for an opportunistic purchase. If the research has been done and the property is a winner, then ignore the white noise in your head that's saying there's something wrong with the property. It may just be your lucky day.3. How to value properties in a cooling marketPete explains how valuers actually assess the market value of a property and how comparable sales are used. More importantly, what adjustments valuers make in a rising market vs a falling one.You might apply some decreased percentage overlays to the historical sale prices. The same applies in a rising market, if dealing with a property that had 1% month on month growth, you will need to overlay this growth.4. Why falling markets are the best time to buyDave touches on market cycles and why in a falling market, you're likely never to get such a good price on a property ever again.5. The fear of over-payingWe can tie ourselves in knots over paying too much for a property. However, if you hold the property for the long-term, this amount will appear to be comparatively miniscule in the end. A reminder to our listeners, to purchase a property, you have to be willing to pay more than anyone else for it!6. Why research is the cure allThe trio discuss the worst-case scenario of purchasing a property and paying more than what a lender thinks it's worth. Cate explains why this is very rare and quite mitigated if the homework and due diligence is done. Now is not the time to cut corners. Roll up the sleeves and get through as many properties as you can.7. What do you do if the vendor's expectation is sky high?Cate shares her best tips on how to manage vendor expectations and how to negotiate in a falling market.8. Where can buyers get good information about current climate change risks associated with their property in question?Although we can't solve climate change in 5 minutes, there are some key considerations and signs to look out for that will indicate whether a property is at risk of fire or flooding. The trio discuss the steps to take and resources to consult to determine the risks associated with the property in question.Visit the show notes - https://propertyplanning.com.au/160-top-tips-for-purchasing-in-a-cooling-market-listener-question-ep-160/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. NSW state budget announces introduction of annual land tax to replace stamp dutyStamp duty has already been abolished in Canberra, but Canberra only has one hundred thousand homes. It will be interesting to see how Sydney fares on a much larger scale with one million dwellings. The introductory measures will be in place for first time buyers only, who can opt to pay land tax annually of $400 + 0.3% of the property value.2. Attitudes towards the property market divergeThe reality is that there is a segmentation in the market currently between those who haven't ever experienced interest rate increases vs those who have. Cate explains how this affords great opportunity for anyone who is willing to take the plunge in certain segments of our market.3. Crypto currencies take a diveIncreasing inflation has led towards large rate hikes in the US, with the most recent 75 basis point increase announced this month, which is the highest rate increase in 29 years. This in turn puts pressure on shares and crypto currencies. Bitcoin has fallen by 70%, whilst some crypto exchanges have ceased the ability for people to access funds and make redemptions, almost like a bank denying withdrawal of funds. This is a sure sign that the crypto currency market is facing some serious headwinds. Dave shares the potential upside that these falls represent for those who own property.The various types of sale methods and reasons why each are adopted1. A question from our listenerHi guys, thank you for such an informative, but entertaining podcast. I've just listened to the episode on “off markets”. I am just wondering if you can offer some insights into how to navigate when a property is “on market” but is listed as EOI (expression of interest), rather than a price range? Why might a vendor do this? Do you put your best price forward and declare all your cards, or is there still an opportunity to negotiate? Is it a case of Pete's rotten apples potentially? Thanks team2. What are the typical methods of sale around our nation?Cate takes our listeners through a brief recap of the various different sale methods used and what factors impact the choice of sale method.3. Best and highest offer - should you show all of your cards or go for baby steps? The trio discuss what happens when the highest offer is actually really low and the vendor isn't happy with the outcome and Cate shares her tips on when you should actually submit your best and highest.4. Why wouldn't you auction a property?The trio discuss the market conditions and reasons why a property is selected to be sold via auction. More importantly, when you should not sell a property via auction.6. As a vendor, what sort of guidance and rationale should you be looking for with your agent when you are considering the various methods of selling?The trio discuss how to field real estate agents and the key questions to ask.7. What does it mean if the price guide changes?Listeners beware! Cate reveals what a reduced price actually means (and it's not more dollars in your pocket).Visit the show notes - https://propertyplanning.com.au/methods-of-sale-and-what-do-they-say-about-the-property-and-or-the-state-of-the-market-ep-159/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. Comparing the history of Australia's property market downturns and increasesPete shares a sneak peak of data that he has collated detailing the extent of Australia's three strongest years of property value growth and declines. Without giving too much away, prices are likely to drop, but there is no need to panic.2. What are the capital growth drivers when interest rates increase?Cate shares her Sunday blog detailing the drivers of capital growth when interest rates are on the rise and predictions for the property market. Check out our show notes to read the blog!3. NSW stamp duty abolition in limboDavid shares news from NSW, where the State Government is looking to abolish stamp duty and transition to land tax. Plans will be announced in the State budget next week, however the Federal Treasurer has confirmed that there are unlikely to be any handouts for tax reform. Watch this space...Interest rate movements and property values1. Do interest rate movements impact the property market?In this episode, the trio sink their teeth into data going back to 1990 to answer the question whether increases or decreases in interest rates have an impact on the property market.2. Floating the Aussie dollar and targeting the cash rateDavid sets the scene with a brief history of why the Australian dollar was floated in 1983 and the benefits this brought to our economy. Seven years later in 1990, the RBA started targeting the cash rate of overnight loans between the banks, which has a powerful influence on other rates in our economy, ie: mortgages.3. Cash rate cycles since 1990Since the RBA began targeting the cash rate, Australian's have lived through five rate lowering cycles, four increasing cycles and we've just started rate increasing cycle five. What can be gleaned from history to inform the future? The trio unpack each cycle and most importantly, what happened to property values and the broader economy.4. Property predictionsDave and Pete stick their neck out and make predictions for the property market: how low will values drop and how long will the current rate increasing cycle last?Visit the show notes -

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. Cash rate rises by 50 basis points, but the sky's not falling inThe RBA raises the cash rate by 50 basis points to 0.85%, with an expectation that rates will increase by the same amount next month as well. However, this is no reason to panic. The cash rate was at 1.50% pre-covid, so there is still some room to move and the reality is that the cash rate was never meant to be as low as 0.10%. This was an extraordinary measure put in place to tackle the challenges that global pandemic brought.2. The wage price spiralThe trio discuss the possibility of a wage price spiral caused by high inflation. If wages increase in line with inflation (5-6%), it embeds inflation further and that's when the probability of job losses is increased, which is a worse outcome than slightly lower wage growth. This is an increased risk if minimum wages are increased, as employment awards and enterprise agreements are raised by the same percentage, effecting a vast amount of wage growth.3. The current state of the economyWhilst many home owners may not like the prospect of increasing interest rates, however the economy is a strong position, which is why the cash rate has been increased. As stated by the RBA, the Australian economy is resilient, growing by 0.8 per cent in the March quarter and 3.3 per cent over the year. Australians are well ahead on their mortgage repayments, with a median of 21 months of repayments in savings, even with a 2% rise in mortgage rates, this would only reduce to 19 months. There is an upswing in business investment underway and a large pipeline of construction work to be completed. The terms of trade are at record highs, the lowest unemployment rate in almost 50 years and jab vacancies at high levels.4. The latest home value index resultsThe trio discuss the index results for May, which show Sydney and Melbourne on the decline, while Canberra went slightly backwards but a negligible amount. Astoundingly, Adelaide is still going strong with 1.8% increase over May. The market is well and truly slowing down for the other capitals and regions alike. As they say, all good things must come to an end, as we enter a period of 6 to 18 months of excellent buying opportunity.5. Rentals and vacanciesRental markets continue to remain tight, with each capital city under 2% for vacancy rates. Those are expected to get tighter with the flow of new migrants to Australia. Builders will not be able to pick up the slack and increase supply to meet the demand, with fixed priced contracts in precarious positions as a few major builders go under. Now that prices are flattening, yields are growing even faster, with Melbourne now leading the charge for units, adding on 10% in the last year for asking prices.6. Listing numbers on the declineTotal listings are down for every capital city and in a change of gear, old listings (listings on the market for longer than 180 days) are increasing. This means that the up-take of the less desirable stock has slowed down for much of the nation, only in Brisbane are buyers still snatching up whatever they can. The upshot is that buyers are taking their time, FOMO has lessened and there is not as much pressure from other competing buyers.7. Consumer sentiment continues to diveThe house price expectations index, which typically lags behind market movements, is catching up with the market and starting to reduce. The time to buy a dwelling index, which peaked in November 2020, is now the lowest it's been since the GFC.8. What do lending indicators tell us about the property marketIn April, the amount of finance fell by 6.4%, coming off a big high. The hardest hit were owner occupiers, which fell 7.3% from the previous month with investors showing more resilience with a drop of 4.8%. This move is largely correlated with property values, which have also seen a decline.Visit the show notes - https://propertyplanning.com.au/market-update-may-22-rba-increases-the-cash-rate-but-its-no-reason-to-panic-what-is-the-wage-price-spiral-why-australians-are-well-ahead-of-their-mortgage-repayments-the/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. First signs appear of inflation slowing down in the USDave shares some promising news from the US about the rate of inflation starting to cool, with the core index rising by only 0.3%. Share markets have picked up the pace with this positive development. Australia is well behind the US inflation cycle, but is also lower on the inflation scale. Watch this space.2. Caution for landlords thinking about rent increasesVacancies have been tightening across Australia and rents have been rapidly increasing, with many cities under stress with tenants scrambling to find a home. Cate shares a hot tip for the nation's rental providers looking to increase their rent. This is an important balancing act for our landlord listeners, as asking rents should be in line with the market rate, but hitting tenants with a substantial increase can cause problems as well. This point is particularly for those who have good tenants and have kept rents below market, but applying fair and consistent increases that don't shock our tenants is really important.Case study #3: Do we purchase a holiday home or an investment property?1. The conundrumThis case study follows the journey of Tom and Linda, who wanted assistance with working through the various pros and cons on how to best achieve their long-term financial and lifestyle goals. In terms of their next purchase, they weren't sure whether they should start building their investment portfolio or purchase a holiday home as they are satisfied that they are living in their long-term home.2. Introducing Tom and LindaDave shares Tom and Linda's key circumstances and of course, their lifestyle and property goals which are driving their decision. Tom and Linda are a couple in their late 30's with two children under 4 years old, living in one of Australia's major capital cities. Their initial plan was to purchase an investment property now, another investment in two years and a holiday home two years after that – very ambitious! However, the desire for a holiday home now to create life-long memories with their two children were holding them back and delaying their decision.3. Modelling the scenariosTwo scenarios were modelled for Tom and Linda, one to purchase their holiday house now at their preferred price-point of $800,000 and the second for one or two investment purchases for a total of $1.8 million. Yes, you read that right, $1.8 million. Can it be done? The trio discuss the pros and cons of each scenario.4. So, what did they choose to do (and what was the compromise)?Tune in to find out which scenario Tom and Linda went for, were they successful and what was the compromise?5. Critical considerations for wistful holiday home purchasersThe trio discuss the pull and longing for many Australian's to have a holiday home all of their own. But before taking the plunge, it's imperative to crunch the numbers and understand the compromises to your bottom line, so you can make the decision with absolute clarity. For further insights, take a listen to episode #81 “Holiday houses – delirium or dream?”Visit the show notes - https://propertyplanning.com.au/property-planning-case-study-3-should-our-next-purchase-be-the-holiday-home-or-an-investment-and-how-do-the-financial-outcomes-marry-up-with-our-short-and-long-term-goals/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market updateMarket update1. Quality properties garner competition despite market cyclesCate shares her experience of bidding on election weekend, which as expected, was quieter than usual as prospective buyers took to the polls and enjoyed a democracy sausage. However, one property in particular which ticked many boxes saw a very competitive auction, which reinforces the basic principle that quality properties will garner interest and competition whether the market is rising or experiencing a lull.2. The results of US cash rate increasesDave shares some surprising data from the US which has gone through 14 cycles of cash rate increases and 11 recessions. Stay tuned for next week's episode, for a comparison with Australia's history of rate increases and how they have impacted the economy.3. Government shared equity schemePete encourages our listeners, whether first time buyers or parents with adult kids, to check out the government's shared equity scheme which is set to be introduced on the 1st of July this year. There will be income caps and property value limits, but for anyone looking to get a foot in the property door, this could be a good initiative.Plotting Australian property market movements1. A look at Australia's price spikesSince the 1950's, Australia has seen 3 periods of stellar growth. The most mind-boggling being 1950, where prices grew 111%! What were the drivers of growth and how have these forces changed over time?2. Disrupting the property marketFast-forward to today's drivers of capital growth, it seems that proximity to the city will continue to be a key factor for desirability, competition and property price growth. With more households sustained by double incomes, convenience and being close to amenities has been more important than ever. The trio discuss what could shake up the status quo.3. Diving into Australia's recessionsThe trio discuss the recessions from 1970's to now, what caused them, what were interest rates doing at this time and how these features compare with our nation's situation today.4. How financial deregulation has impacted the property marketThe trio look back to 1980's which saw an upheaval in banking regulation and how this impacted the economy and property market. After all, Australia held the mantel for the country with the longest period of time without a recession.5. How has population growth impacted capital city prices?Does population growth have a direct correlation to capital growth? The trio dive into the data to answer this question.6. How have capital city prices on the ladder changed over time and which cities displayed more volatility than others?The trio discuss the movements of capital cities from 1970 and how each have performed. Interestingly, Perth has been near the top of the ladder a few times, highlighting the power of employment, natural resources and availability of high-paying jobs. Check out our show notes for a great infographic that shows the growth of capital cities in inflation adjusted dollars.7. Why property is a great asset class to invest inThe trio discuss the history of property prices in relation to inflation and why investing in property is a solid move and a great hedge against inflation.Visit the show notes - https://propertyplanning.com.au/plotting-australian-property-market-movements-from-1970-to-now-the-impacts-of-recessions-inflation-financial-deregulation-population-growth-unemployment-rates-and-analysing-what-could-disrupt-th/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. Properties still hotly contestedCate shares her weekend auction experience at a trendy inner-northern suburb in Melbourne. Despite the looming election, competition was strong and felt like we were back in the throws of September 2021 when the property market was going gangbusters. It goes to show that quality properties are still attracting competition.2. Rents on the riseCapital cities have been posting mammoth increases in rents, with the trend now that rental growth is outpacing the rate of capital growth. High capital growth performing assets may have lower yields, but it's likely that rental growth will outperform in the long-run.3. How do rising interest rates affect the property market?With many prospective investors nervous about investing with interest rate rises on the horizon, Cate shares data on historical property downturns and increases and how this has correlated with interest rate rises and falls. Check out our show notes for the link to Cate's blog.4. Perth recoveryFor the first time in 8 years, the median value of Perth has finally reached a new record price. It's been a long recovery with many investors and owner occupiers wallowing in negative equity, but following the relaxing of covid restrictions, Perth has recovered from previous downturns.Show notes – Listener questions1. A question from our listener - Should I invest in property now or wait until after we have kids?My partner and I are in our late 20s, work full-time and plan on starting a family in the next 3-4 years. We bought our first home in 2019 (Woodcroft Adelaide) which we plan on staying in long term. Since then, with extra repayments and the market we have built up equity (~200k useable). As our incomes will be changing with time off for kids, what advice would you have when weighing up the pros and cons of investing now compared with waiting until our incomes are more more steady (ie kids starting school) and we have paid off more of our mortgage.2. Crunching the numbersThe key question to answer is whether our listener will be financially secure if they purchase an investment property now and then go on to start a family, which comes with reduced incomes and additional living expenses. The trio crunch the numbers and discuss what price point would be viable.3. Buffers and risk toleranceA fundamental point to consider when planning for an investment is risk management and whether the available funds buffer will allow our listeners to have a good night's sleep. Risk tolerance is key here, ask yourself, “would I be comfortable if my net monthly cash flow was very limited, neutral or even going backwards?”. If cash flow will be negative during the period of having children, then maintaining a buffer large enough to support a growing family will be a critical consideration.4. How does the family home fit into your investment decision?Our listener has done well for himself to purchase the long-term family home, which is large enough for a family with 2 children. Staying in the current home makes it much easier to build an investment portfolio. However, those who are considering embarking on the journey of having children and also purchasing an investment property must consider how their needs from a family home may change in the future once the kids come into the picture. If upgrading is on the agenda, this may mean selling an investment to achieve lifestyle goals.5. A question from our listener – How to recover from early investment decisions that were made without a plan?I made a mistake when I began my investing journey in that I did little to no research, had no idea about investing yet decided to jump in head first and buy a couple of properties. I soon learnt there was a touch more to it than just putting your name on a title.I'm wondering if this a common occurrence in your experience, in that people jump into an investment without really having a strategy at all? While they haven't been a disaster, they had no strategy behind them and I'm wondering if they can make a good fit for the portfolio, or if it's better to move them on and target something that's more suited. I suppose my question is something like: How do you recover from early purchases like this, where there is little to no strategy? (Does one 'need' to recover?) Or do you just hang on and wait?6. Assessing the investmentsThe trio analyse the listener's two investment properties for capital growth, yield and quality of investment.7. How does gearing fit into the picture?No doubt having a plan in advance of a purchase and understanding what drives outperformance makes a difference, but (and there is a but), even if the property is not outperforming, there is less of a case to sell once it is positively geared. At this point, the properties are very close to becoming cash flow positive and become a set and forget property.8. Property is a forgiving assetUnless the investment is a total dud, property mistakes are rarely catastrophic. Cate explains the key elements our listener has going for them for a very bright property journey in the future.9. We're all geniuses in hindsightHalf the battle is just getting in and making a decision. Could the property decisions have been better? Yes. But it's not all bad news. For a young couple in their 20's with already two properties under the belt, they are already underway to having a comfortable retirement, far ahead of most people.10. A question from our listener - Capital growth calculations and suburb growth rateIs there a way to calculate the 3 month, 6 month, 1 year and 2 year growth of a Suburb using excel (2007)? I know you can probably "google" the growth rate of a suburb, but I am keen on working all this out. And are there any hard and fast rules regarding the growth rate of a suburb? I often hear some commentators say short term growth should ideally be this and long term growth should be that too?11. Dealing with dataThe trio share with our listeners how they can do their own capital growth calculations, but issue an important warning for calculating capital growth over shorter periods of time as there are many factors which may skew data.Visit the show notes - https://propertyplanning.com.au/listener-questions-how-do-i-recover-from-early-investment-decisions-that-were-made-without-a-plan-we-have-our-home-and-plan-to-start-a-family-should-we-buy-an-investment-property-now-or-wa/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:1. Adelaide top of the popsFor the first time in a long time Adelaide is the highest performing capital city for the quarter, topping the charts with 5.7% growth. Adelaide just surpasses Brisbane's 5.6% recorded quarterly growth.2. Capital city market cycles divergeDue to governemnt stimulus during covid lockdowns, all capital cities were simultaneously growing in value. In a return to normality, capital city property growth trajectories have diverged, with cities now at different phases of the property cycle. Sydney is in slightly negative territory, Melbourne plateauing and Hobart now on a downward trend, the worst performing over the month of April. On the other end of the scale, Adelaide and Brisbane are still flying, while Perth has rebounded and is starting to rise.3. Combined regions continue delivering strong growthRegional areas have continued the run of solid growth, returning (a combined regions measure) of 1.4% value growth over April while capital cities combined only raised by 0.3%. Over the last 12 months, the regions have returned a whopping 28.5% total return. The trio discuss the peak rate of growth, working from home, migration trends and the insights that can be gleaned. But is this a permanent attraction by home buyers towards the regions?4. Rents and vacancy rates likely to entice investors back into the marketNationally, vacancy rates have hit 1%, which represents a very tight rental market considering 2% is the norm. Even the poorest performing cities, Sydney and Melbourne, are below 2%, with all other capitals posting below 1%. This is good news for investors, because rental yields, (which have been at an all-time low for a while), are now expected to move back to historical norms.5. Melbourne and Sydney unit market recoveringA year ago, the Sydney and Melbourne unit market hit rock bottom. In a stellar recovery, unit rents are up by 8% for Melbourne and 9% for Sydney over the last year. This is likely to lead to value growth for units, as investors catch wind of rising rentals, tight vacancy rates and higher rental yields, and jump on the bandwagon.6. Interest rates rise but the sky is not fallingA deterrent for budding investors is the strong likelihood of rising interest rates over the next year. However, market conditions are still incredibly positive. Property values are up, rents are up and interest rates are still historically very low, even if they do rise by 1%. Don't forget, lenders factor in rising interest rates and changing market conditions and they add in a buffer to their affordability assessment accordingly.7. Listings drop, is the election to blame?Nationally, listings volumes have dropped over the last 3 months. People do get nervous with a pending election, even though there are no big ticket property items on the agenda this time around. The trio will be watching this space closely to see what happens with listings post the election and how this imbalance will affect property values.8. Key insights from lending indicatorsThe level of investors entering the market has started to plateau, while first home buyers are on a slight uptick. Comparing with historical figures, the level of investors and first-time buyers are in a balanced position. The trio discuss the private rental market and the key role it plays in housing those who are not able or not ready to purchase.9. What does the 3 year bond yield say about where the cash rate is heading?From 0.1% a year ago, the 3 year bond yield has flown to 3%. Regarding the cash rate, there is much debate about whether 1.5% or 2.5% will be the point of equilibrium in the economy. So, what do bond traders think about where rates are going and how challenging is this to pinpoint?10. Unemployment at a significant long-term lowAlthough not receiving much attention in the election campaign, almost everyone who wants a job, has a job. The unemployment rate has been rounded at 4% and another reason why rates have increased. Rates go up when the economy is strong and people are spending, and the economy is strong because more people are in jobs than the nation has seen in a long time.11. Inflation 101Inflation is the talk of the town and the Property Planner gives our listeners a crash course in why prices are going up. Supply chain difficulties and the war in Ukraine are clear external factors that have caused soaring inflation. But to some extent, inflation has been exacerbated by our government and policy makers. The trio discuss how this has happened and the dangers of stagflation.Visit the show notes - https://propertyplanning.com.au/market-update-april-22-whats-the-story-with-inflation-will-rents-and-vacancy-rates-prop-up-the-market-what-does-the-3-year-bond-yield-say-about-where-interest-rates-are-heading-w/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. RBA lifts the cash rateBreaking news! The cash rate was lifted last week by 0.25%, taking the cash rate to 0.35%. This is a change of tune for the RBA governor, who was predicting that rates wouldn't rise until 2024. The move came as a result of rising inflation pressures, but the inflation Genie might not be that easy to put back in the bottle. Stay tuned to next week's market update episode for more on inflation.2. Riding the market cycle waveProperty prices are certainly slowing and may well start to decline, but this is no cause for panic. Pete shares his research on the property downturns over the last 25 years and in the end, you need to be prepared to take the good with the bad. If you're in it for the long-term, just sit tight and ride out the wave.3. Late bids and auction rulesCate shares a recent auction experience that had hearts stopping and blood pressure rising. It was bad luck for a bidder that jumped in too late, because when the hammer falls, the game is over.Top 10 tips for first time buyers and investors1. Educate yourselfA sure fire way to get started on the property journey is to take the time to educate yourself. The trio take our listeners through the wealth of resources that are available to build a solid foundation of property knowledge.2. Mix with like-minded peopleOr should we say, avoid naysayers? Negative Nancy's can quickly unravel a smart strategy and plant seeds of doubt, causing inaction, which can often be worse than taking half-good action. Mixing with like-minded people provides an environment where ideas are exchanged and much needed support is provided for what can be a stressful decision.3. Set your goalsDave shares with our listeners 10 tips on how to create goals and stick to them. For further insights, take a listen to episode 82, “Goal Setting fundamentals for property success”.4. Select where and what to buyThe trio discuss the critical elements of selecting a location and property to purchase. But don't forget to look ahead and think how the first property could impact future long-term plans.5. Visit your areas and do your researchThe trio share the best data sources for doing research from the comfort of a laptop at home or in the office. However, that does not negate the need to get out and about and take a stroll through the area you're interested in purchasing in, particularly if you haven't lived there before. Yes, property investors, this applies to you too!6. Find out how much you can borrow & if there is any assistanceA critical step here is sorting out a budget, taking into account existing cash flow, desired cash flow and available funds post-purchase. Dave shares with our listeners why the lowest interest rate is in fact not the key to success. Ask yourself – is the property or the rate more important?7. Save money for a deposit, consider shared equity, joint ownershipMoney management! It may seem easy to a first home buyer as often they don't have children, and/or might not be partnered yet with mortgages and credit cards to juggle. But the sooner you can set up an effective money management system, (and get your partner on the same page) the better! The trio discuss the basics of shared equity schemes and joint ownership.8. Crunch the numbersThe trio discuss the fundamentals to factor in when crunching the numbers and how our listeners can shape up to present themselves well to the bank when it's time to apply for the mortgage. Hot tip – you may have to go without Uber Eats for a while.9. Get professional adviceWhy is professional advice so important? The trio discuss their strategies when looking for independent advice and who to trust. If the advice is free, get ready to ask some probing questions.10. Just do it!Much easier said than done. However, procrastination and the search for perfection can derail the best laid plans. Cate shares with our listeners her hot tip on how to overcome inaction.Visit the show notes - https://propertyplanning.com.au/top-10-tips-for-first-time-buyers-and-investors-how-to-get-it-right-first-time-ep-152/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. Thank you for the review!Cate shares a lovely review that we received in the apple podcast app. Not everyone is able to access expert advice, which is why we love putting these episodes together for our listeners. But more so, we really feel a spring in our step when we know we've helped a listener, so please keep them coming. They mean a lot to all three of us.2. Clean energy to bolster national defenceAn interesting article in the Australian Financial Review has shed light on Australia's reserves, with only 18 days of petrol supplies and 22 days of diesel supplies in stock. Part of the reason why the Ukrainian's have been so successful in resisting Russian attacks, is the need for Russians to retreat to re-stock. The low reserves for Australia highlights a weakness in defence and puts the nation at risk is different ways. The good news is that this could be the push and driving force needed for Australia to become self-sufficient and transition towards green energy. We're hoping!3. A round of applause for Adelaide is dueRecent reports from CoreLogic show that Brisbane and Adelaide continue to shine as Australia's best performing capital cities. It's not often that Pete gets to brag about Adelaide, so we'll let him have this one.Property Planning Case Study1. A mixed bag – investment, holiday house and future long-term home. Can we have it all?This case study follows the journey of James and Amanda who had a number of boxes to tick for their next property. They weren't sure if they should purchase a straight-forward investment property or if they could achieve an investment property purchase in a beachside location which could double as a holiday house and maybe even eventually become their long-term future home when it comes time to downsize. Another ingredient to add to the pot was that they didn't want to compromise their current lifestyle and for extra spice, ideally this property would work towards achieving their income goals for retirement.2. Introducing James and Amanda – financial overview and goalsDave shares James and Amanda's key circumstances and of course, their lifestyle and property goals which are driving their decision. With two teenagers in private school and very little surplus cash flow, the key conundrum to unravel was how to complete the next purchase without compromising their current lifestyle and saving enough cash to have family adventures. Their initial preferred price point was initially determined to sit around $1.2M, however James and Amanda realised that they would be hard-pressed to find a property they would enjoy as a holiday house and a long-term future home.3. Modelling the scenariosTwo scenarios were modelled for James and Amanda, one at their preferred purchase price-point of $1.2M and the second for their revised, (and more realistic) price point of $1.4M. Dave explains how, (with some clever mortgage strategy and borrowing capacity finesse), the $1.4M price point was achievable, despite their tight cash flow.4. So, what did they choose to do, (and what was the compromise)?Tune in to find out which scenario James and Amanda went for, were they successful and what was the compromise?5. How will James and Amanda reach their retirement income goal?James and Amanda had a retirement income goal of $60,000 p/a through property rents. With their preferred scenario chosen, Dave explains the next steps and viable options available to James and Amanda to achieve their retirement income goal.6. How to give your kids a leg upLike many parents, James and Amanda were keen to help their children purchase property when the time is right. The trio discuss the methods they could use and for further insights, take a listen to episode #95 “Security guarantees, co-borrowing, gifts and more - Helping your kids buy their first property”Visit the show notes - https://propertyplanning.com.au/property-planning-case-study-2-can-we-have-it-all-purchase-a-part-time-investment-airbnb-to-use-as-a-holiday-home-and-be-our-downsizing-home-oh-and-without-any-impact-on-our-already-str/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. Victorian's snubbed by the Federal Government BudgetLooking at the Federal Budget infrastructure spend, it appears that Victoria has been overlooked to some degree. The budget set aside $208.4 million in new money for Victorian infrastructure which amounts to 5.9% of the Federal Government spending on infrastructure projects, while the percentage of the Australian population living in Victoria is 25.8%. Interestingly, money has been earmarked for the East-West link project that was booted by the Andrews government.2. A closer look at capital cities that have pulled back on capital growthMelbourne and Sydney experienced slightly negative capital growth in the month of March. This is expected to continue into April, with two long weekends and a disproportionate increase in listings. Segmenting the market further, it's evident that the higher end properties in the inner ring and inner east of both cities has taken the hardest hit of late. This is consistent with previous market trends, where the top quartile is often the first to move in a changing market.3. Foreign investment in residential property drops from $10 billion to $6 billionCritical information left out of this headline is that foreign investment in commercial property has doubled from $39 billion to $82 billion, which in part explains why yields for commercial property have lowered. The Australian property market has been seen by foreign investors as a safe haven and yields may very well drop further if commercial property continues to attract interest from overseas buyers. In light of looming interest rate hikes, diminishing yields could be a major concern. The trio discuss the factors and measures which could dampen foreign investment.Migration1. How has COVID affected population growth?For the last 20 years the Australian population has grown consistently at 1-2.2% year on year. However since the beginning of COVID, this figure has plummeted close to 0% due to international border closures. There is more to the data than migrants and new arrivals, however. Overall population figures also include returning expats, births and deaths. The trio discuss how this has impacted employment, universities and capital city markets.2. Melbourne and Sydney the biggest losers in flight to the regionsThere are no surprises that the nations' largest capitals of Sydney and Melbourne were hit the hardest in the great tree and sea change. There are many and varying reasons aside from COVID lockdowns and working from home to explain why this would be the case. A major factor is runaway house prices, which naturally causes migration and investment when housing affordability bites and regional opportunity presents itself as a more cost effective way of life for some households.3. The outlook for MelbourneMelbourne sustained the biggest population losses in 2021, where a total of 32,000 people left for the regions and interstate, while Sydney lost almost 20,000. Prior to this, Melbourne was on the road to overtaking Sydney to be the most populated city in Australia. Dave shares insights from the Centre of Population on the trajectory for Melbourne's population recovery.4. Job vacancies jump in regional AustraliaCate shares the top 5 regions with the biggest increases in job vacancies over the 12 months from February 2022. Job vacancies are putting pressure on businesses in locations and regions that have seen an influx of new arrivals. Interestingly, occupations with the highest demand are professional roles, technicians and trade roles and also clerical and administrative. The trio discuss how this is likely to play out once hybrid work from home models flourish and international migration resumes to pre-COVID levels.5. Our ageing population and high-risk regionsCate shares the regions that have a large population of their work force represented by those aged between 55 and 64. The impending problem for these regions is a decrease in workers as this segment moves into retirement or scaled-back hours. The trio discuss why retiring in a regional location is so attractive, and why state and local governments will have a challenge on their hands to try to encourage mature-aged workers to remain in the workforce for longer.6. Each region is an individual marketFor the last two years, growth in Australia's regions have been the headline story, outstripping capital growth in the nation's capital cities. But is the move to the regions sustainable? As the case of the Gold Coast shows us, regions have a tendency to experience a flatter period of growth after a prolonged period of migration. However, it's evident that some locations will continue to thrive and grow. For any listeners pondering whether to invest in a regional area, it's critical to do your research and home work before taking the plunge.Visit the show notes - https://propertyplanning.com.au/migration-trends-outlook-for-population-growth-will-melbourne-recover-from-population-losses-interstate-and-intrastate-trends-which-regions-face-ageing-population-risks-and-high-job-vacancies-th/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market update1. Could now be the time to buy?Today's market is still a seller's market, although not as crazy as last year. In our two capital cities, many properties are passing in but selling immediately afterwards, and auction clearances rates have lowered but still in the 70's. With global unrest in Ukraine, the federal election looming and chatter of interest rate rises, this might just be the window that you've been waiting for if you're looking to purchase.2. Turning the tables on fixed ratesThe Covid induced measures targeting the 3 year bond yield meant that for much of 2020 and the first half of 2021, fixed rates were the lowest we've ever seen and even lower than variable rates. However, the last 10 or so months have seen fixed rates rise and the lending market switched back to the normal status quo of variable rates being lower than 3 year fixed rates.3. Check out the new CoreLogic websiteCoreLogic have made some improvements to their site, which is a huge positive as it gives the average punter an excellent idea of what's happening in the market.Vendor advocacy and borderless buyer's agents1. Call out to our listeners for questionsIn this week's episode, the trio tackle questions from our listeners on vendor advocates and borderless buyer's agents. Got a burning question? Submit your question to the trio here: https://zfrmz.com/uLtjhyBskV96PY6eJfaI2.Should I use a vendor's advocate?The question from our listener: I am interested to know about vendor advocacy. We are selling a property and have been approached by a known buyer's advocate in our area who has offered to act as our vendor advocate. This isn't the first time we have sold, it's our fourth time and our most important. We haven't been overly happy with our agents in the past and could see the value this person could bring. The thing I can't reconcile is why an agent would do more for us at the request of our advocate when they are getting less commission (advocate getting their share). We are open to a new experience and after two discussions with the advocate we can see the knowledge base is high. We just don't know what to be careful of and if we end up paying a higher commission will it be worth it?3. What is a vendors advocate and can they add value?The trio unpack the difference between a vendor's advocate and a selling agent, plus the benefits and risks of using a vendor's advocate. Cate shares her expertise on working alongside vendors advocates and Dave shares his thoughts based on when his company had buyer's agents and vendor advocates in-house. When done well, vendor advocacy can certainly add value, but there are critical considerations in vendor advocate selection to be aware of.4.When is engaging a vendor's advocate the right move?The trio discuss the circumstances that lend well to using a vendor advocate and Cate shares some critical questions that our listeners should ask vendor advocates when choosing one to work with, and in particular, the experience and the credentials they should have.5. Borderless vs local buyers agents – the pros and consThe question(s) from our listener: How important is it for a BA to have local area expertise? Can a “borderless” BA, overcome lack of localised knowledge with data / analytics? Can you trust borderless BAs to recommend different locations to invest and also have them do the buying? Or should you first know where to invest, and then pick a BA that works in the area? If it's the latter, how would you know where to invest in the first place?6. Can local expertise be overcome by data and analytics?The emphatic consensus from the trio is that local knowledge is critical to a successful purchase. But can a lack of locational expertise be counteracted by diligently trawling through the data and ‘doing your homework'?7. How do you select a city/region to invest in? Dave shares with our listeners his methodology on how to work out which city or region to target for the next purchase.8. Critical considerations around licensingCate reminds our listeners that there is more to being an excellent BA than knowing what makes a top quality investment. There is also the painstaking detail of being across the legislation, which is different across each state and can have negative impacts if a BA is not well versed in the laws (and local planning elements) that impact the purchase.Visit the show notes - https://propertyplanning.com.au/listener-questions-is-it-critical-for-a-ba-to-have-local-expertise-and-can-a-borderless-ba-overcome-this-with-data-should-you-first-know-where-to-invest-then-pick-a-ba-t/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:1. SA council takes matters into its own handsPete shares the measures that the Karoonda East Murray Council in SA are trialing to grow their population. Kudos to them! Rather than waiting for the federal or state governments to come to the party, they are implementing some great initiatives themselves.2. How long does it take each capital city to double in value?Pete shares with our listeners his research for each capital city, starting from March 2022 and working backwards, to distill how long it has taken for property values to double in each capital city. The winner may be a surprise, however the trio warn that some of the performances can be unpredictable. Trying to pick the next hot location is fraught with danger and our listeners are better off sticking to the tried and true principles of selecting quality investments.3. Sydney and Melbourne flatlining while Brisbane and Adelaide continue to shineThe trio take our listeners through the highlights in the March home value index results and the reasons behind the numbers. Plus, not all the numbers can be relied upon. Hobart is such a small market that there may be some anomalies skewing the results.4. Rents turning the tideFor the first time in a long time, national rents are outgrowing housing values. Which also means that yields are increasing, particularly in Melbourne and Sydney which have each had a small degree of negative capital growth. Interestingly, it appears that there is a flock back towards units and inner city living. Sydney now records the strongest lift in unit rents with Melbourne not far behind. How the opening up of borders will impact this further is a story that is still unfolding. Vacancies have also dropped to a fresh 16-year low, putting immense pressure on rental markets.5. How do current listings compare with the 5 year average?Nationally, “total” listings are 30% below the 5 year average. The trio have been saying for months now that there is a deep correlation between the level of listings and capital growth. An example is Brisbane and Adelaide, both of which have experienced the strongest capital growth outcomes in March and also have total listing numbers that remain 40% below the 5 year average. The story is similar for regions, as there are 22% less sales in combined regional areas for this current year so far.6. Consumer sentiment takes a diveThe house price expectations index has fallen by 10.8% to 139 points. This index tends to lag behind actual market movements and the writing has been on the wall in 2022 that growth in the housing market is well and truly slowing down, (for most states). Interestingly, the time to buy a dwelling index has also dropped to 78.3 points, after hovering in the low 80's to high 90's since July 2021. This index is now at its lowest level since February 2008, during the GFC and well below levels seen in the 2017-18 housing market decline. This is not a good harbinger for what's to come, as this index tends to be a forward indicator. The trio discuss the reasons behind the drop in sentiment.7. Turning the tables on fixed ratesWith fixed rates on the rise due to increasing bond yields and swap rates, lenders have started to compete on variable rates. Now that the tide is turning, many variable rates are lower than the fixed rate offering. Pre-covid, this status quo was the norm and it was the RBA measures which drove fixed rates to the lowest they'd ever been.8. Investors back at equilibriumLatest ABS figures for February show that investors now make up 33% of new lending, which is in line with the historical split between owner occupiers and investors. First time buyers have declined to 22% of new owner occupied lending over the last year, which was expected as government initiatives came to a close. However, total borrower numbers are up on previous years and we do need to keep this in perspective when we consider percentages.9. RBA bites back – the forecast for interest ratesThe trio discuss the likelihood of a cash rate rise by the RBA and how soon they each believe it will happen. Although in some argy-bargy between the RBA and economists, the RBA has stated that it will be raising the cash rate based on evidence, not on forecasts... watch this space.10. Federal election jittersA warning to our listeners, the next few months of data may not be a good indicator of what's to come, as many prospective purchasers will sit on their hands until there is certainty around an election date and more clarity on policies to see through the haze. Often the 2 months prior to an election can produce some unreliable data points when it comes to trend-spotting. After all, sentiment counts for a lot, even if it's short-term.Visit the show notes - https://propertyplanning.com.au/market-update-march-22-how-long-does-it-take-each-capital-city-to-double-in-value-which-cities-are-flatlining-vs-flying-and-which-have-changed-trajectory-rental-growth-is-outstripping-capi/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market updates1. Auctioneers call the shotsCate shares her experience attending an online auction where bids whittled down to one dollar increments. After a tense game of property ping pong where 256 one dollar bids were made, the auctioneer called an end to the pain and declared that only bids of $500 or more would be accepted. This serves as a good reminder that the auctioneer has the capacity to change the rules mid-auction and refuse bids as well.2. Smoke signals rising from China Evergrande developmentsProperty development firms in China are experiencing a major delay in auditing, with an increase of 75% in delayed results. Five Chinese auditors have resigned in the last three months, and combined with the delayed results, there are the concerns of what the audits may disclose. This could have an impact on broader money markets, flowing into Australia and around the world. The number of property sales in China has dropped drastically, as well as a raised threat of hidden debts. Chinese companies are due to report their December year-end results in April. Watch this space...Federal budget update1. How does this budget compare with previous budgets?With the federal election looming, no one was expecting to see huge dollars being thrown around in this years' budget, particularly with the large amounts spent on emergency pandemic measures in the last two years. The trio discuss some key points that were missing, namely: housing affordability, the ongoing rental crisis and returning Australia to surplus.2. First Home Guarantee, (formerly known as the First Home Deposit Scheme)Also known as the ‘New Home Guarantee', the First Home Guarantee allows first home buyers to build or purchase a newly built home with a deposit as low as 5%, without having to pay Lenders Mortgage Insurance (LMI), as the government will guarantee the remaining 15% deposit required to avoid LMI. The scheme has been extended from the 10,000 places promised to 35,000 places per annum. The trio discuss the price caps which apply and eligibility requirements. They also ponder the alternatives for first home buyers who are sensitive to the concept of lenders mortgage insurance.3. Family Home Guarantee Like the First Home Guarantee, this scheme allows single parents with dependents to purchase a property with an even lower deposit without paying LMI. However, there are some key differences which make it a great initiative. Single parents need only a 2% deposit, (not 5%) and they are also able to purchase established as well as new properties under the scheme. Places in the scheme have been doubled from 2,500 to 5,000 guarantees per year. The trio discuss the benefits of this initiative for single parents who have little cash on hand, which is common when going through a divorce or separation as well as competing with other households that have double incomes. 4. Regional Home GuaranteeThis guarantee is a new initiative introduced, with 10,000 guarantees on offer over the next 3 years. Similar to the First Home Guarantee, the required deposit is as low as 5% and the guarantee is offered for newly built homes only. A key difference is that this scheme is offered to permanent residents, as well as Australian citizens, which the other guarantees are not. Reading between the lines, it seems that the government is attempting to encourage migrants to move to the regions. However, the trio question whether this level of pressure is appropriate for regions already struggling with stock shortages and whether the hardest hit regions will benefit. Another question posed is whether the scheme could be better targeted to the smaller regional towns, with a population of 5,000 or less that have struggled with migration, although the cost of construction and availability of tradespersons is a key question to ask, also.5. First Home Super Saver SchemeThe existing scheme which allowed first home owners to make voluntary contributions to their Superannuation of $30,000 for the purpose of saving a deposit for their first property has now been increased to $50,000. This is a great initiative, as the voluntary contributions will be taxed at 15% rather than the marginal tax rate. However, those looking to take advantage of the scheme can only withdraw the funds to purchase a property, which means that if they don't purchase, the funds will be inaccessible.6. Crystal balling interest ratesThe forecast for inflation is that it will be under control within the next 12 months. What that means for the fate of interest rates, is that we can expect rates to rise within the next 12 months, but likely not beyond that. The trio discuss their thoughts and predictions on the future of inflation and interest rates. For those listeners concerned about future rate increases, remember that lenders use a bench mark assessment rate to stress test your loan, so there is a buffer there to absorb the impact of rising rates.7. How long has it taken property prices to double Pete shares his research on national property prices and how long it has taken them to double. Tune in to find out!Visit the show notes - https://propertyplanning.com.au/how-the-federal-budget-will-impact-the-australian-property-market-who-it-targets-and-benefits-and-why-ep-147/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market updates1. The 20 most unaffordable cities in the worldPete shares with our listeners a report that states Adelaide and Brisbane are more unaffordable than New York. How can that be? The devil is in the detail when it comes to how affordability is calculated, which in this case, did not take into account interest rates and repayments. The trio discuss how reports can be skewed by the methodology used and the angle that the journalist is instructed to pursue. The trio point out that the debt-to-income ratio is a commonly used measure, however it is fundamentally flawed because interest rate (and cost of servicing the debt) is not always taken into account. They all concur that debt to repayment ratio is a more prudent measure to follow when assessing affordability.2. Number of sales shows long-term trend of declineContinuing on the data theme, Dave shares sales data which indicates that 2021 had the highest number of sales on record with 650,000 property sales recorded. However, upon further examination, this made up just 6% of all properties in Australia. In 2003, although there was a lower volume of sales recorded, the sales for the year accounted for 7.8% of all properties in Australia. The population has been growing since, but the number of people selling has been declining and reached as low as 3.7% in 2018 and 2019, before being bumped up in 2021. This is another reminder that if there are less properties being sold, relative to the total number of properties and population growth, supply is reduced and prices will go up.3. Underquoting - but what are we going to do about it?Cate shares her weekend auction experience, where the agent price guide was set at $800,000-$880,000 and the property sold (as Cate expected), at $1.351M. This was a clear case where the agent underquoted the property despite recent sales supporting a likely selling figure closer to the actual result than the documented quote range suggested. Underquoting reforms are being considered by Victorian Consumer Affairs, and everybody has an opportunity to submit their thoughts.U to Z of Property SuccessU – Unconditional: what does it mean for offers, contracts and mortgage applications?The trio discuss unconditional contracts, when is it appropriate to add conditions and share their hot tips on how to manage the vendor in the event of looming deadlines that are likely to be missed. Dave takes our listeners through the necessary steps before a lender will unconditionally approve a loan application.V – Valuations: how can you get the best outcome?The trio discuss the difference between valuations conducted by a licensed valuer, appraisals conducted by real estate agents and lender valuations arranged as part of the finance approval process. Listen in for the trio's expert insights on how to prepare for a valuation in order to get the best results. For further education on valuations, listen to episode #17 “Valuations 101”.W – Waiver: cooling off periodWhen purchasing a property, the most common right waived by purchasers is the right to a cooling off period. Buyers who are purchasing interstate, beware! Legislation on cooling off differs from state to state and in many states, cooling off does not apply for auctions. For further insights on cooling off periods, listen to episode #132 “Purchasing laws in each state – Part 1”.X – eXtra Careful: when to slow down and take the time to avoid critical mistakesCate takes our listeners through what they should be extra careful about when reading a contract and the other paperwork associated with buying a property. The key is to have an understanding of what you're on the hook for. For lending and pre-approvals, Dave shares the key points that purchasers need to be aware of and why it is imperative to speak with your strategic mortgage broker before bidding at auction or putting in an offer on a property, (even with a valid pre-approval in place). For our listener's who are eyeing off a potential development, Pete outlines the importance of going through zoning restrictions with a fine tooth comb.Y – Yield: how it's calculated and how it can changePete shares with our listeners how yield is calculated and the important differences when calculating yield on a residential vs commercial property. Dave explains how yield changes over time and why growth in yield is largely aligned with capital growth.Z – Zoning: why zoning should not be skipped overThe trio discuss the importance of zoning and how zoning restrictions can rapidly change and how lenders mortgage insurance could throw a spanner in the works.Visit the show notes - https://propertyplanning.com.au/the-u-to-z-of-property-success-unconditional-offers-contracts-finance-applications-obtaining-a-positive-valuation-outcome-waivers-when-to/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market updatesVictor Harbor vs PortseaAs promised, the Property Professor presents his research on why regional towns in South Australia such as Victor Harbor are so much cheaper than regional towns in Victoria, such as Portsea. Pete shares with listeners the key data sets and demographics that, in tandem he believes are determinants for determining the drivers for values and price growth rates in these two holiday destinations.Off markets1. Why do vendors sell off-market?Cate gives a quick summary of the top reasons why a vendor might choose to sell off-market. For further insights listen to episode 85 “Off market properties – everything you need to know”.2. What has made off-market opportunities more mainstream?Off-market sales have become more trendy and sought-after because of the perception that buyers will be getting a great deal with some heavy discounting. But is that actually the case? The trio discuss the role that off-market opportunities play in the real estate game.3. How do market movements impact the quality and number of off-market opportunities?The trio discuss the ebbs and flows of off-market sales during a seller's and buyer's market and what you can expect from a discounting and abundance perspective.4. Why you have to do your researchMany prospective purchasers get excited by an off-market opportunity and the assumption that they'll be taking home a winner at an excellent price. However, that doesn't mean that buyers can take their foot off the comparable sales pedal. Buyers still need to understand the market and the quality of the property to ensure that they are getting a fair price.5. How do you identify a bad off market?Cate takes our listeners through the tell-tale signs of a bad off-market property.6. How can you tell if the off-market is genuine, or is it really a pre-market in disguise?A pre-market is a property which is not yet advertised on the market, but the agents are preparing for a sale campaign and are testing the waters before the property is advertised for sale. This can be really frustrating for buyers if they think they've come across a fantastic off-market opportunity, with the ability to make an offer without stiff competition from other purchasers. Cate gives some hot tips on how to deal with the selling agents to find out if the off-market is genuine.7. How does seasonality change off-market supply?The best off-markets are from vendors who are motivated to sell as they have made a financial commitment (eg: purchased a new home and need to sell) or a distressed landlord with an uncooperative tenant. So, when are these people likely to sell?8. Why are buyers so keen to field off-markets?When listings are thin on the ground, an off-market opportunity can be the break that a buyer has been waiting for. However, there are some misconceptions about off-markets which can steer buyers in the wrong direction.Visit the show notes - https://propertyplanning.com.au/off-market-properties-part-2-how-to-tell-if-the-off-market-is-genuine-identifying-a-bad-off-market-how-market-movements-impact-the-number-and-quality-of-off-market-opportunities-and-more/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market updates1. Declining rate of growth for housing values is proving to be the long-term trendWhile housing values are generally rising, the pace of growth in the national index has trended downwards since April 2021. This is not to say that housing values are going backwards, they are still increasing but have lost steam. Housing values increased 0.6% nationally over the month of February, although the effects on each state have varied greatly. Brisbane continues to perform strongly with 1.8% growth over the month and 29.7% over the year, which could well be a record for the city. However the floods in Brisbane are likely to dampen the property market, at least for the short term.2. Is the property market at an inflection point?With recent events in Ukraine, speculation over rising interest rates, combined with inflation pressures and yields increasing for the first time, we may very well be at a turning point in the property market. …Or are we? Media and speculation count for only so much and we have navigated global challenges before and fared better than predicted.3. Regions continue to perform stronglyTotal return for combined regions is at a whopping 30.5%! ‘Combined regions' is a very vague term and there will be some regions that perform more strongly than others, with annual growth and yields topping this figure. According to CoreLogic, Regional SA is actually the best performing regional market over the last 3 months, which is probably very closely tied to the fact that proportionally it has the lowest number of total listings of any regional area or capital city in the country.The trio ponder why investment in Adelaide's regions lag behind the nation's eastern states, among other data findings. Stay tuned for next week when Pete to shares his research and insights in his market update, where he will try to determine why regional towns in SA such as Victor Harbor are so much cheaper than regional towns in Victoria, such as Portsea.4. Rents and vacancy rates will be the story of the yearCate shares her insights on the rental market in Ballarat, (as one example of a vibrant and changing regional city), and why rents have tightened again in this market. With the opening up of international boarders, vacancy rates are expected to be put under more pressure for capital city and university towns that will see an influx of international students. Vacancy rates are under 1% in every capital city except Melbourne, Sydney and Brisbane, although these cities have seen a significant reduction in vacancies over the last month. 5. Rental yields on the rise?Average rental yield in Melbourne and Sydney is as low as it's ever been. But this is likely to be the bottom of the curve. Melbourne unit growth has now recovered and Melbourne is largely on par with other capital cities in terms of annual change in rents. Increases of 20% in yields with the arrival of a new tenant is not uncommon, where previously landlords would be lucky to see a $10 per week increase in rent. As yields come down in Brisbane and Adelaide due to the stellar capital growth, this may bring investors back to Melbourne and Sydney. But are the Victorian landlord reforms with heightened landlord obligations turning investors away? And Victoria isn't the only state to roll out rental reforms. We are watching this space… 6. How listings impact housing value growthThe clear picture from the data that we're studying is that Brisbane, Adelaide, Hobart and combined regions continue to exhibit recent monthly growth of over 1%, while the other capitals are recording less than 0.5% growth. It is no coincidence that they have also seen the biggest annual reduction in total property advertised for sale. We come back to economics 101 to reiterate that price is often a function of demand vs supply, and supply is continuing to be very low for these locations. 7. Insights from consumer sentiment and the impact on supplyThe house price expectations index has risen again over 150, but this indicator seems to lag behind what's actually occurring in the market. The time to buy a dwelling index is expected to pick up as people start to feel that it's a good time to purchase, and this may coincide with signs that growth wanes. The trio discuss the connection between consumer sentiment and supply. If values are increasing, then why aren't more people putting their homes up for sale? 8. Lending indicators and risks for those looking to purchaseOwner occupiers contributed to an uplift over November and December but is this an ongoing trend? On the ground, the number of purchases and pre-approvals is declining. A major concern for anyone looking to purchase is that borrowing capacities are reducing, with increases to fixed rates and assessment rates. Dave shares a real client example of how borrowing capacity for a client has been impacted over the last two months. 9. The latest unemployment stats with a pinch of saltNationally, unemployment did not change from December 2021 to January 2022, remaining at 4.2%. However, the city of Adelaide, (which was under 4% for unemployment in December) has now jumped to 4.8%. It is inconceivable that unemployment would fluctuate so much in a month, which does indicate that perhaps the data is not so reliable for our smaller states. 10. Wage growth, GDP and government stimulusThe trio share a brief update on what's happening in the world with regards to wage growth, and why our regulator wouldn't poke a stick at GDP and government stimulus to make it easier for first time buyers to get into the market.Visit the show notes - https://propertyplanning.com.au/market-update-february-22-has-the-market-reached-at-a-turning-point-are-yields-in-melbourne-and-sydney-about-to-rise-why-rents-and-vacancies-are-the-talk-of-the-town-lending-risks-for-pro/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market updatesMarket conditions changing as more stock comes onlineWith Easter just around the corner, greater stock on the market is giving buyers more choice and the rate of pass-ins continues to shine a spotlight on slightly eased conditions for buyers. The last weekend of February saw the highest number of auctions ever, since CoreLogic first started recording this data. With a number of public holidays drawing near, we can expect the lead up to April to be just as busy. We've seen significant shifts in the market, but you'll have to tune in to next week's episode to get the full picture.Case study - Do we renovate and invest, sell and upgrade, or keep and upgrade!1. Meet Neil and Amy – the conundrumThis case study revolves around clients Neil and Amy (names have been changed), a professional middle-aged couple who live in one of Australia's major capital cities. Their goal is to achieve a good quality standard of living, both now and into the future. Neil and Amy were stuck on deciding their next move. Do they:Sell the existing home and buy a new home; orKeep the existing home as an investment and purchase a new home; orKeep the existing home, undertake renovations, and purchase an investment?2. Unpacking their goals and financial overviewThe trio discuss Amy and Neil's lifestyle and investment goals, their financial circumstances, the level of funds they have to play with for their next decision and Dave explains how he navigated them through their money goals and he asked questions such as; what available funds did they want up their sleave after the purchase?, and how much can they save each month with their surplus cash flow? Setting smart ‘Money Goals' is a foundational element of effective Property Planning. Money goals are the limit that allows you their clients to rest comfortably at night and these goals are linked heavily to a particular client's appetite for Risk.3. Getting on the same page – risk profile analysisNeil and Amy both shared a conservative attitude toward risk, however with different approaches on how best to manage their risk. Attitude towards risk is a significant piece of the property strategy puzzle. Inaction or delaying decisions between couples is typically due to the inability of the couple to get on the same page. The trio share how to bridge the divide that holds couples back from making successful decisions.4. Reviewing the existing homeIf you are thinking about retaining the current PPOR, there are important questions to ask yourself. If your plan is to turn it into an accidental investment property – have you considered whether the property has investment grade qualities, and are you able to optimise your tax deductions? Or if you think you would be happy living in it for the long-term – are you happy with the location and does the dwelling suit your future needs? Or does it need some work? Being honest about your property is critical to seeing clearly.5. Modelling the scenariosThe trio unpack the pros and cons of the three scenarios that were presented to Neil and Amy for their next decision and each outlines their preferred scenario. Scenario 1 – purchase the long-term home for $1,600,000 and sell the existing home. Scenario 2 – Purchase the long-term home for $1,300,000 using equity in the existing property which is retained as an investment. Scenario 3 – Keep living in the current home and purchase an investment for $800,000. Which would you pick?6. The importance of revising your planSometimes the best laid plans get thrown overboard when there is an unexpected spanner in the works. This is why risk management is critical, via your mortgage strategies, available funds buffer and surplus cash flow. We're often great at thinking about the worst that could happen and having a plan for that. But risk management is also about giving yourself the ability to say yes to the exciting opportunities that come your way. This could range from acquisition opportunities within a business, taking the opportunity to buy a great asset, being able to take time off work to study, extra parental leave, going on holidays or taking a secondment, (to name a few).Visit the show notes - https://propertyplanning.com.au/listener-case-study-whats-our-next-move-renovate-our-home-and-invest-sell-the-home-and-upgrade-or-upgrade-and-convert-the-home-into-an-investment-ep-143/

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market updatesThe power of compound growthDave highlights why time in the market is such a key to success. It seems crazy that it took NSW almost 100 years to reach a total value of $1 trillion and only 7 years to then reach $2 trillion. But if you look at the numbers, the compound growth has actually remained fairly consistent.Why you should be prepared to put your hand up at auctionCate takes you through the current sentiment at the coal face which is causing many nervous buyers to avoid bidding for a property they really want and subsequently missing out. Many properties that have been passed in have been sold within minutes, so make sure you throw your hat in the ring to get first dibs on negotiating with the vendor.Listener questionsWhy has my dwelling gone up in value when the building is a depreciating asset?The trio sink their teeth into this interesting case study posed by one of our listeners who purchased a house and land package in 2020 and was surprised to find that the value of his dwelling had increased in value since then. How is that possible when the land is the appreciating asset and the dwelling is depreciating? Have we been wrong all this time?When should you purchase property in a trust?Trusts can be confusing and complex structures to set up and you may get conflicting advice from various professionals on the matter. So, what should you do? The trio discuss the pros and cons of purchasing property within a trust and how to source the advice you receive from your lawyers, accountants and financial planners. Don't forget to check out our show notes for some more educational material on trusts and property ownership.The impact of the media on the property marketOne of our listeners was keen to open a can of worms and asked the trio “do you think the media is culpable in how they report these days because they impact sentiment, and do you see it as an opportunity to invest because you know your fundamentals and are happy to take advantage of a jittery market?” The trio talk through this ripper of a question and how to vet the media noise that we are bombarded with daily.Visit the show notes - https://propertyplanning.com.au/listener-questions-i-bought-a-house-and-land-package-the-dwelling-has-increased-in-value-ep-142/

Getting property advice is one of the most important steps to take when investing in real estate. However, there is no guarantee that every property advisor in the industry has received the right level of education, which can be pretty risky, especially for investors. What are the dangers inherent in the unregulated nature of real estate? How does this low barrier to entry for buyer's agents affect consumers?  In this episode, Peter Koulizos of PIPA is going to help us understand the educational gap issue and its impact on the real estate market. We'll talk about the absence of regulation governing property investment advisors, accessibility of good advice, the future of the property market in Australia when it comes to education, and more! If you enjoy the show, do like, rate, subscribe, and share us on social media and if you have your own questions you need clarity on, email us at questions@theelephantintheroom.com.au! See you in the episode!   Episode Highlights: What is “property advice”? [02:09] Difference between a property investment advisor and a buyer's agent [04:28] What qualifications are needed to become a property investment advisor? [06:12] Why is there no need for regulation? [10:50] Regulations in property & becoming a property investment advisor [15:10] Overregulation for some professionals in real estate [18:25] Property investment hot-spotting [21:55] Resistance in the property industry [25:41] Paying for good property advice [27:59] Mistakes some people make when purchasing properties [34:10] Yield vs growth: What is more important when it comes to property? [35:46] Capital growth gives you a tax liability (for good) [38:01] Identifying if someone's methodology works [41:01]   Links from the Show: For property investment advice, visit the PIPA website  Episode 207: Suburb Trends December 2021 | Exploring the Dark Side of Property Data Episode 213: Why Do Real Estate Agents Have Such a Bad Reputation? | John Cunningham, Cunninghams Real Estate About Peter: Known as “The Property Professor”, Peter Koulizos holds a teaching degree, Masters of Business (Property) and Master of Urban & Regional Planning. Peter is currently the Program Director of the Master of Property at Adelaide University. Peter has been teaching in real estate and investment for over 25 years. Peter also personally invests/develops property and currently holds several properties. He has published two books; “The Property Professor's Top Australian Suburbs” and “Property vs Shares”. His third book will be out soon.   Connect with Us: Looking for a Sydney Buyers Agent? www.gooddeeds.com.au Work with Veronica: https://linktr.ee/veronicamorgan Looking for a Mortgage Broker? www.wealthful.com.au Work with Chris: hello@wealthful.com.au  Send in your questions to: questions@theelephantintheroom.com.au    Find this episode on our website: https://www.theelephantintheroom.com.au/podcasts/217    If you've enjoyed this episode, don't forget to like, share, rate and subscribe for more! See omnystudio.com/listener for privacy information.

Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market updates1. Similarities between the car market and property marketThe trio discuss their experiences of trying to purchase a car in the last 12 months and how this closely follows the experience of many budding property purchasers. Cate shares a sneak peak of our next episode, which will be addressing a question from our listener, whose brand-new dwelling has gone up in value. They all share one key theme, can you guess what it is?2. Return to the CBDCate shares that for the first time in her career as a buyer's agent, she has a significant number of clients that are looking to purchase inner city property. There has certainly been a shift back to apartment living in the CBD, particularly for those who chose to live regionally during covid lockdowns and wish to retain a city ‘pad', but there are limited quality apartments blocks.3. How does consumer sentiment relate to property price growthDave shares his research on the consumer sentiment index and how the sentiment statistics correlate to national property value growth. Can they give an insight into the future? The results are fascinating. Check out the show notes to take a look at the graphs.The Q to T of Property successQ – Qualifications that property professionals (should) haveThe trio discuss the qualifications required to become a property investment advisor (you may be surprised at the answer!) and how mandatory qualifications apply to other professionals such as buyer's agents, real estate agents, financial planners, mortgage brokers and building and pest inspectors. As a consumer it's important that you choose your trusted advisors wisely and ask them their level of experience before you make a decision on who to partner with. Cate shares a hot tip for our listeners on how to spot the red flags.R – Refinance, when and why should you do itDave shares with you the 12 benefits to refinancing and why you should consider reviewing your mortgage strategy. But refinancing is not the best option for everyone, and the trio discuss when refinancing is a bad idea.S – Sale to Settlement, and everything in betweenSo, you've just purchased, what happens next? Cate takes us through the various moving pieces that need to be organised prior to settlement. A word of warning, if your legal representative or mortgage broker asks you to do something, put that at the top of your priority list. The trio discuss what not to do and why you should always clarify the status of your pre-approval and expected settlement timeframe with your mortgage broker before putting in an offer.T – Tax and why you need a great accountantThe trio discuss how capital gains tax is calculated, land tax, GST and margin schemes. Do any of these apply to you? Some are only related to property development and if you'd like to dip your toe into the development pond, finding a good accountant who knows their way around property tax is step number one. Visit the show notes to access our other episodes where the trio dive into tax in more detail.Visit the show notes - https://propertyplanning.com.au/the-q-to-t-of-property-success-ep-141/

Ask the trio a question - https://zfrmz.com/uLtjhyBskV96PY6eJfaIhttps://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:1. Brisbane and Adelaide show no signs of slowingThe trio discuss the home value index results for January, with Brisbane and Adelaide continuing the trend of above 2% monthly growth, while other capitals are slowing down. January tends to be a distorted month as many agents and vendors shut up shop for the holidays. We await the February results to get a better gauge on the market.2. Rental conditions easingRents have been flying along for the last year, although the quarterly pace of growth has been easing from 3.2% increases in March 2021 quarter to 2% over the three months ending in January 2022. Unsurprisingly, Sydney and Melbourne remain the only capitals in which rental yields are averaged at below 3%. Cate shares some insights on why available rental stock listings in the Melbourne CBD market have plummeted over the last 9 months.3. Listings and the correlation between property growth ratesThe trio discuss the level of old listings, new listings and total listings and how this has a direct correlation with value growth in our capital cities.4. Consumer sentimentConsumer sentiment continues to remain negative when considering whether now is a good time to buy a dwelling. However the house price expectations index fell below 150 points for the first time since January 2021. While expectations on the East Coast dropped, house price expectations took a big upwards swing in Western Australia. The trio discuss the potential drivers of this shift in sentiment.5. Lending indicatorsWhile 2021 was largely the year of the returning investor, lending indicators for December show an increase in owner occupiers greater than that of the measured increase in investors. The trio discuss whether this is an early indicator of the turning of the tide.6. Unemployment drops againKudos to South Australia for achieving the lowest unemployment rate ever recorded at 3.9%. However, the trio note that being one of the smaller states in terms of per capita, the data can be more volatile. Nationally unemployment decreased from 4.6% to 4.3%, which is a good news story for the government heading into an election.7. RBA announcementGovernor Lowe has softened his stance on cash rate increases, saying now that it could be ‘plausible' for cash rates to rise this year. While inflation certainly has picked up, it's too early to conclude that inflation is sustainably within the target band to increase the cash rate and wages growth remains an issue. Most economists expect that any rate rises on the horizon will not come before August.8. InflationThe latest data from the ABS shows CPI has increased 1.3% over the December quarter and 3.5% over the year. However, when making monetary policy decisions, the RBA looks at the trimmed mean, which excludes any outliers that can skew the data, which has increased to 2.6%, the highest since June 2014. The trio discuss the contributing factors driving inflation.9. Will the election announcement have an impact on property prices?The trio discuss the forthcoming federal election and whether we'll see a slow-down in market activity and property price growth in the lead up.Visit the show notes - https://propertyplanning.com.au/market-update-january-22-why-are-brisbane-and-adelaide-flying-election-impact-on-property-prices-are-investors-on-the-way-out-evidence-of-how-listings-numbers-is-driving-capital-growth-is-inflat/

https://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:Market updates1. Two speed market emergesThe latest data for January discloses a two-speed market emerging within our capital cities. Adelaide and Brisbane have continued their outstanding growth, demonstrating 7% and 8% respectively. The other capital cities, while not going backwards in value, are showing a significant slow-down in growth. The trio discuss whether this is transitory and whether can the data be relied upon for determining a trend in to 2022?2. Will interest rates rise?The RBA's stance on the cash rate not seeing a rate hike this year is slowly softening, with Governor Lowe stating that it's plausible we will see a cash rate rise this year. Most economists are forecasting that an interest rate move is unlikely until at least August, when we will have two data sets of quarterly statistics for 2022 for the RBA to use to make a decision. Watch this space.Buying your dream home1. The starting point - how viable is your plan?The trio discuss the two key elements for determining whether your dream is feasible and how to work through these two elements: budget and tenure. If feasibility is an issue, then be prepared with a Plan B, which could require getting clear on compromises or purchasing a stepping-stone home.2. How frequently does your dream-home come up for sale?The trio discuss how to find out if your dream home is a needle in a haystack or a more frequently listed proposition. Understanding this is critical, as it will determine your purchasing and negotiation strategy and how quickly, (and strongly) you will need to act if your dream home has just come on the market.3. Sometimes you don't know what your dream home is until you walk into it. If you have so many intricate things that determine up your dream home, then just build it. You will get exactly what you want, as opposed to searching for a product in a moving market that doesn't exist. We note, however that this is not our advice for investment.4. How fussy is too fussy?If you have a long wish list of intricate things that make up your dream home, then you need to ask yourself how viable and realistic your search actually is. However, when considering buying an established property, you may be chasing a mirage if you can't see any similar properties that have been sold in the last 6 months.5. The risks of chasing a lofty or infrequent dreamThe trio discuss the risks of searching for a unique property and the implication of delayed decisions. It's important to remember that properties are like people, they are never perfect, but you should be able to find one that scores high on your wish list.6. What is it ok to compromise on and what isn't?Compromise, that ugly word! The reality is that you're unlikely to find a home that ticks every single box, so what are you willing to compromise on and is your significant other on the same page? Pete shares a valuable tip on the element that he never suggests compromising on…. Location.7. How do you start documenting your wish list and action plan?Determining your must haves and nice to haves is a great place to start. Removing all properties from your search that don't include your must haves will stop you from wasting precious time. If after searching for comparable sales you find that your brief is not feasible, it may be time to revisit your compromises.8. How do you future-proof a purchase?The trio discuss the critical considerations for ensuring that you live happily for a long time in your home, as the costs of purchasing and selling a property can significantly eat into your wealth over your lifetime.Visit the show notes - https://propertyplanning.com.au/buying-your-dream-home-how-viable-is-your-plan-documenting-your-wish-list-how-fussy-is-too-fussy-the-art-of-compromise-the-risks-of-chasing-a-lofty-dream-and-more-ep-139/

https://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:1. A question from our listenerIn this week's episode we dive into a question received from one of our listeners who was concerned that he may have made an investment mistake and purchased the wrong property. The key question as posed by the listener was “is this a situation we can even recover from?”. In this interesting and insightful case study, the trio unpack the listener's scenario and discuss possible options for his next steps.2. Analysing the investmentThe trio apply a critical eye to the property in question and they also assess the other properties owned by the listener to determine the future growth prospects, projected outgoings and anticipated rental yield.3. Why did the property seem like a good investment?The bells and whistles attached to a property may make it appear to be a good investment that will likely attract tenants. But often these shiny elements can catch your eye and blind you to what's important, like the land to asset ratio, which is the primary driver of capital growth. These bells and whistles can also be a drainer on your cash flow and yield in the long-term. The trio discuss some clever marketing tricks that can deceive investors into going down the wrong path.4. Peeling back the onion and working on long-term goalsWhere many investors trip on their property portfolio journey, is failing to think about their lifestyle goals and long-term home. For most people, getting into the dream home is one of the big rocks that you want to fit in the jar, and this may mean selling one or a number of investment properties to achieve this goal. The trio discuss planning for your home and how this fits into your portfolio strategy, including retirement planning.5. Running the numbersA key component of any investment decision, whether it's to buy or sell, is to get a clear idea on the different paths you can take and whether you can make that step now. This involves doing the maths and modelling scenarios to make an informed decision. The trio crunch the numbers in this listener scenario – can they get into their long-term home now? Or soon?6. Making peace with selling at a lossMany property owners will need to consider selling a property, whether due to upgrading, offloading a poor performing asset or as part of a debt retirement strategy. With the large in and out costs associated with property transactions, this decision can be an emotional challenge, particularly where a property is sold at a loss. The decision to sell a property should be a serious consideration, if it makes financial sense when considering your long-term goals and opportunity cost.Visit the show notes - https://propertyplanning.com.au/listener-questions-i-bought-a-dud-property-can-we-recover-why-rushing-into-an-investment-can-mask-other-problems-is-lack-of-clarity-on-the-future-home-the-true-cause-being-clea/

https://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:1. A look in the rear view mirror at 2021The trio revisit the predictions they made for 2021. Were they on the money or did they miss the mark? Tune in to find out!2. What will the property market do in 2022?What capital growth rates can we expect around the nation this year? The trio lay their predictions down for 2022 and how that compares with other forecaster's.3. Which capital cities will be the top performers?The trio look into the crystal ball and explain which capitals are expected to top the charts this year. But remember, property is not an asset class that lends itself to short-term investing. The important thing is to plan and strategise for the long-term.4. How will regional locations fare?Will regional locations outperform capital cities again or will capital cities continue to reign?5. Investor participationInvestors have shown strong increases in activity over 2021, but is this trend likely to continue? The trio share their insights.6. Will APRA intervene in the property market?The trio discuss their predictions for the regulator's level of intervention and whether or not they feel government policy changes will be prescribed temper the market in 2022.7. The outlook for developers and building startsResidential construction costs have jumped by 7.1% in 2021and builders are flat out with projects, exacerbated by labour shortages. Will this trend continue and what impact will it have on the property market?8. Can we expect a rate increase in 2022?The trio share their predictions for a cash rate rise by the RBA and where fixed rates will go this year.9. Rental market forecasts2021 has been a story of increasing rents and decreasing vacancy rates. The trio discuss the outlook for rental markets in 2022.10. Sales volumes2021 was a record breaking year for sales volumes, but will 2022 keep pace? Tune in to find out!11. Risks which could impact the property marketThe trio discuss potential risks on the horizon which could impact the property market this year.Visit the show notes - https://propertyplanning.com.au/predictions-for-2022-and-a-look-in-the-rear-view-mirror-at-2021-ep-137/

What will the winds of change bring to the property this year? In the concluding show of our special 2 part series, Bushy Martin continues to interview more of the country's leading property commentators to unveil the gold from the recently released 2022 Bricks & Mortar Media Property Market Forecasts report. To kick things off, the Chair of PIPA Peter Koulizos shares his national forecast, followed by Kate Hill from Adviseable's predictions on what is likely to unfold across the country. Then Justin Nickerson with a take on the Brisbane market, complimented by Billy Mitchell from Century 21 Platinum's view of Queensland's Sunshine Coast and surrounds. Ben Plohl rounds out the show with his outlook on the Sydney market.   And if you want to read all of the details from these and other property experts, grab yourself a copy of the full BMM report by clicking on the link on our home page at www.realty.com.au RealtyTalk is your trusted voice in property investment and Australia's most popular online property show.  RealtyTalk is brought to you by Realty, Australia's leading search and social property distribution platform that helps investors like you beat the crowd, giving you the earliest access to property opportunities, listings, and insights. Check out Realty. RealtyTalk is hosted by top property investment expert, author, and founder of KnowHow Property, Bushy Martin. Find out how Bushy's KnowHow team helps investors unlock freedom with finance and property here, and check out Bushy's podcast Get Invested.  RealtyTalk is supported by BMT, a company that helps property investors save thousands of dollars each year by maximizing tax deductions from investment properties. Find out more. See omnystudio.com/listener for privacy information.

https://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:1. Value growth continues to lose steamValues increased nationally 1% over December, which is the lowest level of monthly growth since January 2021. The trio share a sneak peak of some of their predictions for 2022.2. A look at our capital citiesBrisbane and Adelaide were the outperformers for the final month, and each have been gaining pace since October. While Melbourne had a slightly negative month, Sydney growth reduced from prior months to 0.3%, proving again that December can be one of the best times to buy in our two biggest cities.3. How regions have performedFor 2 years in a row, regions have outperformed capital cities, reaching a whopping 25.9% growth over 2021. But is this trend here to stay? The trio share their insights.4. Rental marketsWith vacancy rates continuing to tighten, rental markets in just about every city (metro and regional) will become increasingly competitive. This will place pressure on governments to address rental stock shortage, although investor activity may provide some respite as investor numbers have been steadily increasing over 2021. 5. Investors gain foothold in the marketInvestor lending is now up to 32.1% in November, climbing steadily from 29.11% in July. With an election looming, it will be interesting to see what policies the incumbent government proposes to walk the tight rope between supporting mum and dad investors and championing for first home buyers. The trio watch this space with keen interest. 6. New listings flood the marketNew stock on the market was the highest since 2016, however the total listings in December were still significantly lower than the five-year average. This indicates that buyers are still heavily active in the market, snapping up new and old stock. Will these competitive conditions continue 2022? 7. Consumer sentiment on purchasing a property continue to languish?The ‘Time to Buy a Dwelling Index' shows consumer sentiment dropping to the lowest point at 81.9 over December. However, the house price expectations index is up at 150, indicating that the majority of Australians are optimistic about property prices increasing. This general trend reflects the current state of play, that it's a bad time to purchase a home because prices are soaring. However, buyers will need to harness their reluctance to compete hard, and balance this with the fear of a market outpacing them. 8. Unemployment improves but is inflation here to stay?The unemployment rate has decreased back to 4.6%, back in line with September after increasing to 5.2% in October and is expected to keep reducing. Will the Australian story follow the US, (which is now down to 3.9% unemployment with inflation hitting 5.5%) or is our inflation transitory? The trio discuss the early signs of expected US rate increases and how this could impact the property market.Visit the show notes - https://propertyplanning.com.au/top-capital-cities-of-2021-will-the-stellar-rate-of-growth-continue-in-2022-is-interest-in-regions-here-to-stay-how-rents-and-vacancy-rates-continue-to-entice-investors-the-outlook-for-unemploymen/

https://propertyplanning.com.au/propertyplannerbuyerprofessor/In this week's episode Dave, Cate and Pete take you through:L – Lenders Mortgage Insurance (LMI)LMI is a type of insurance you can expect to pay if you borrow more than 80% of the property value. Although you pay for it, it protects the lender, not the borrower as above 80% lending is seen as higher risk for the lender in the event of mortgage default and subsequent mortgagee sale. The trio discuss how the insurance premium is calculated, what kind of borrower is likely to have to pay this fee and how you can reduce LMI surcharges.M – the critical components of your MortgageThe Property Planner takes you through the top 6 mortgage strategies that can greatly impact your wealth and ability to hold property as you grow your portfolioN - Negative and neutral gearingNegative cashflow simply means that your investment is running at a loss from a cash flow perspective. This is because the rent earnt doesn't cover property costs, such as interest paid and maintenance. Negative gearing relates to the tax benefit applied to reflect the investor's cashflow losses. Although you get a tax deduction, negative gearing is not necessarily a positive thing. It should be considered merely a benefit, as opposed to a reason to invest. Negative gearing means you pay a dollar to get 30 cents or slightly more back from the tax man. The trio discuss the dangers of selecting a property based on tax benefits alone.O - Offset accounts, God's gift to mortgage strategy!The offset account is arguably the banks' greatest invention. Effective use of offset accounts forms the basis of many of the mortgage strategies that can enhance your wealth creation such as money management, optimising tax deductions, risk management and the ability to hold onto your home when you upgrade. Take a listen to episode #48, a whole episode dedicated to the effective use of offset accounts.P - Positive gearingPositive gearing is essentially the opposite of negative gearing. It is where income earnt from your property covers more than the expenses. A positively geared investor will pay additional tax; a nice problem to have. The trio discuss how gearing is not static and can change over time. It is normal for a property to become neutrally and then positively geared over time. Take a listen to find out why.Visit the show notes: https://propertyplanning.com.au/the-l-to-p-of-property-success-lmi-what-is-it-and-how-to-reduce-it-critical-mortgage-strategies-negative-gearing-and-making-it-work-for-you-ef/

The conversation continues with property lecturer and development guru Peter Koulizos on this episode of Property Investory. Riding the rollercoaster of COVID like the rest of us, Koulizos provides insight into capitalising from a surging property market regardless of your situation. He predicts what the next two years will look like based on economic principles and outlines how these basic principles stand the test of time. Koulizos shares the most overlooked development strategies for beginner investors as well as some family wisdom on investing in home improvement. Learn how Peter has grown since taking his first leap of faith into property and why you should too! Join us on this insightful episode of Property Investory. See acast.com/privacy for privacy and opt-out information.

Lifelong educator and property developer Peter Koulizos joins us on this episode of Property Investory. Koulizos guides us through the diverse experiences of his investment journey and how his decisions have been shaped by his love of learning. A specialist in property valuation and program director for the University of Adelaide's Master of Property, not only is Koulizos versed in theory, he also has experienced the realities and challenges of the everyday property investor. Learn how Peter has succeeded and grown in confidence over his property investment journey and how you can too. Join us on this insightful episode of Property Investory. See acast.com/privacy for privacy and opt-out information.