I have properties in SE Qld (where I live), NSW, Victoria and SA, however I have two preferred areas which I believe leaves the others in its wake. Before I go on I should point out that I am totally independent, I don’t work for any particular builder. My sole aim is to get the best possible deal for my clients in terms of yield and future growth potential. I call this “enlightened self interest”. If you are really happy with your investment you are likely to come back to me for your second and subsequent properties.
As I always say to my clients, “If you can find a better area, please let me know because that’s where I’ll go”.
My research and experience have led me to refer to what I call the GOLDEN TRIANGLES. We started with one Golden Triangle centred around Sydney. Since then the Sunshine State has really started to move after an eight year flat period and many councils are now permitting the construction of secondary dwellings. We can now achieve the same great yields in the Qld Golden Triangle as the one in NSW.
Here is why I call them the Golden Triangles:
- High Yield: In NSW and Qld, the ability to build secondary dwellings and rent them has been a game changer. Gross yields of over 6% are now routine.
- Positive Cash Flow: The high yield listed above means that all my preferred area stock is cash flow positive.
- Close to Capital Cities: The coastal towns in the Golden Triangle are a maximum 3 hours from Sydney. We have dual occupancies in Brisbane.
- Close to Beaches: The vast majority of our properties are close to beaches. One is only 5 mins from a patrolled surf beach.
- Strong Rental Demand: The Golden Triangles have a low vacancy rate. Many new properties are let before hand over.
- Future Growth: No one can predict the future but our NSW Golden Triangle is centred around Sydney the economic powerhouse of Australia. The Qld Golden Triangle takes in the Gold and Sunshine Coasts. SE Qld property values are finally starting to take off. This area is coming off cyclical lows and investors stand to gain by the return to strong growth.
- Self Funding: My investment strategy does not RELY on capital growth to make it work. My recommended properties pay themselves off in 13-15 years. Any capital gain is a bonus.
- Low Property Management Fees: In selected towns in the Golden Triangle, we have negotiated lower property management fees.