Every asset class comes with its own set of advantages and disadvantages, and property investment is no exception. I often highlight the many benefits of investing in property and offer strategies to become a successful property investor. However, it’s equally crucial to recognise the downsides that come with property investment and think about how to…
Typically, you need a budget of circa $1.5 million to purchase an investment-grade house (investment property) in Melbourne, less in Brisbane, and a lot more than $1.5 million in Sydney. Of course, not everyone can afford this budget, so I wanted to discuss how to buy the highest quality property possible within your budget. This…
In November 2018, I hosted an investment briefing where I presented what I thought to be a compelling thesis on why the Brisbane property market was poised for significant growth. Brisbane’s median house price has since surged by an impressive average annual rate of 9.96% over the 5 years from 2019 to 2023. Consequently, the median house…
The very first article that I wrote for a magazine was published 21 years ago! No wonder I feel old. The article was called ‘Unlimited finance…’. My thesis was that investing in high-yield properties doesn’t magically extend ones borrowing capacity allowing them to invest a lot more. Some investors believe targeting high rental-yielding investment properties will…
The cost-of-living crisis has been well documented. It’s clear that prices for various goods and services have risen sharply over the past four years since the pandemic started. Firstly, if you’re spending more on day-to-day expenses, it’s likely you have less to put towards investments, especially if your income hasn’t increased much during this time….
I received a question from a reader asking what would make a superior investment. An apartment in a blue-chip location, or a house for the same price albeit not in a blue-chip suburb. Will houses always deliver better returns? In general, houses often prove to be superior investments, mainly due to their higher land value…
Have you ever met a tradesman that has many unfinished projects at home? They have all the knowledge, experience, and tools to do this work themselves but fail to do so. Isn’t it ironic how these tradesmen will make improvements to a customer’s home but not their own? Why is it they put their customers…
It is generally an accepted investment principle that diversification can reduce your risk and improve investment returns. The common vernacular is, to spread your eggs amongst various baskets. I would agree with this principle, so long as it doesn’t result in the deterioration of investment asset quality. Sometimes property investors should not diversify. That’s because…
It’s quite common for one spouse to assume the primary responsibility for managing household finances. Naturally, if one partner possesses a natural inclination or proficiency in financial matters, it’s logical for them to take charge. While it may seem convenient for one spouse to handle these affairs, it remains crucial for the other spouse to…
Regular readers of this blog would be aware of my unwavering commitment to adopting a long-term perspective when it comes to making financial decisions. While I firmly believe in this approach, I also recognise that there are occasions when short-term decision-making can offer advantages. Nevertheless, it’s important to note that such instances are infrequent and…
