Hi, I'm Greville Pabst, CEO of WBP Property Group.
Residential property is a popular asset class in Australia, but it is by no means a sure bet. Different property investment strategies produce different results. For example, let's compare John and Susie.
Five years ago, good friends John and Susie worked for the same company. They had similar incomes and ambitions. Both juggled families with young kids and the usual expenses, and each had managed to save a deposit for their first investment property.
John spent months and countless hours analysing the market before purchasing an apartment off the plan. The property he selected had a pool, gym and secure basement parking, plus he had two years until settlement before his first repayment. To John, the off-the-plan savings and a brand new property made the most sense.
On the other hand, Susie wasn't swayed by the fancy add-ons. She had a solid deposit and wanted a property that she knew would rent easily and grow in value over time — and without the hassle of months of research and inspections. After all, Susie's priority was her family and doing the job she loved.
So Susie enlisted the help of a leading independent property advisor at WBP Property. In a few short months, the advisor had identified the top-performing properties, checked contracts, arranged building and pest inspections, and negotiated the purchase price. And just like that, Susie had her first investment property.
Susie's property advisor carefully selected the one in 50 properties that made WBP's strict investment criteria. Susie's two-bedroom had an impressive history of 9% compound capital growth per annum over the last 30 years. This trend was likely to follow the property for life. In just two years, WBP's advice had paid for itself many times over.
Two years after Susie's settlement, John's apartment was complete, but its valuation revealed it was worth 40 grand less than what he paid. After all the effort and delay, it was a disappointing result. As one of 50 in the block, it had a 4% capital growth profile — something that would likely follow this investment property for life.
If, like John or Susie, you'd like to invest in property but are unsure of the best approach, call us today with the code word GROW for your free 45-minute consultation with a WBP Property advisor. We'll provide truly independent advice backed by decades of comparable sales data. Employing WBP's five fundamentals of property selection reduces your investment risk and will help you secure an asset matched to your investment goals.
