Property Investment & Wealth Creation Australia | The Michael Yardney Podcast

Are property investors greedy? What right have they got your own so many properties when others don't have shelter? That's one of the questions we answer in today's question-and-answer podcast with Belinda Botzolis, who's been a valuer for over 16 years and now brings her passion and years of experience to her role as one of the property strategists at Metropole. She also gives a valuer's tip that may just save you some money as well as answering the question about which renovations add value and which don't. Then, instead of my usual mindset message, I'll have a short conversation with Tom Corley about how much better you need to be to win. Links and Resources: Michael Yardney Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Get you a bundle of free eBooks and reports at www.PodcastBonus.com.au Shownotes plus more here: Are property investors really greedy? Q &A day with Belinda Botzolis

What's ahead for our property markets, not just now but in the medium and long-term future? Wouldn't you like to know? Because if you did, that would make you a more successful investor, wouldn't it? We understand that forecasting just seems to be getting harder and harder. There are so many conflicting factors out there. But in today's show, I discuss three megatrends that are going to signal Australia's future with leading demographer Simon Kustenmacher to give you more clarity about what's ahead, and that will help you make better investment and business decisions. Links and Resources: Michael Yardney Simon Kuestenmacher - Director of Research at The Demographics Group As our markets move forward why not get the team at Metropole to build you a personalized Strategic Property Plan – this will help both beginning and experienced investors. Get a bundle of eBooks and reports here:- www.PodcastBonus.com.au Shownotes plus more here: You must understand these 3 megatrends that signal Australia's future, with Simon Kuestenmacher

Want to be successful in life? Whether it's with your property investments, personal life, profession, or business, life will throw you challenges. Just look at what's happened to us over the last couple of years. So, allow me to let you in on a little home truth: It takes a special kind of fortitude to be successful and when the going gets tough, the tough don't get going—they reach for a winning prescription called mental toughness. What's mental toughness all about? It's been described as the "ability to work hard and respond resiliently to failure and adversity; it's the inner quality that enables individuals to work hard and stick to their long-term passions and goals. And it's the topic of today's podcast with Mark Creedon founder and CEO of Business Accelerator Mastermind. Links and Resources: Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Why not join Metropole's Business Accelerator Mastermind Learn more about Mark Creedon – Business Coach to some of Australia's leading entrepreneurs Get a copy of Mark's new book here – Have a Business, Not a Job Get a bundle of eBooks and reports – www.PodcastBonus.com.au Shownotes plus more here: Here's why you need to develop "mental toughness" to be more successful with Mark Creedon

With the election result now clear our property markets can resume their normal activities. And while the ALP fiddled around the edges with some First Home Buyer incentives, the absence of significant macro policy differences between the new Labor Government and the Coalition suggests there will be minimal impact in the short term on our property markets. However, I can see some unintended and concerning long-term consequences that could have a major effect on our economy and our property markets share this with you today in this episode of my podcast. Regular listeners will know that I record a weekly Property Insiders video with Dr Andrew Wilson, Australia's leading independent housing economist, and today's podcast is the audio of a recent YouTube video as we discuss our economy, the latest unemployment figures, wages growth, what Reserve Bank feels about interest rates, and what our new government may mean for property. Links and Resources: Michael Yardney Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Dr. Andrew Wilson, Chief Economist My Housing Market Subscribe to our weekly Property Insiders videos – www.PropertyInsiders.info Get your bundle of eBooks and reports at www.PodcastBonus.com.au Shownotes plus more here: Beware of the unintended economic consequences ahead with Dr Andrew Wilson

A common property investing rule-of-thumb is that you should "buy property and never sell". That's because property prices always trend higher over time which means you benefit from compounding capital growth. Of course, the rule-of-thumb should be adjusted to include "buy quality property and never sell" to ensure you maximize investment returns. But the reality is, that sometimes the smartest thing to do is to sell a property, even if it is a quality asset if it helps you move forward towards achieving your goals. So, in today's show, I chat with independent financial adviser Stuart Wemyss and discuss how to decide if your investment property is a dud and you should sell it, or even if your property is performing well what are the common scenarios where we would recommend you sell your property. Links and Resources: Michael Yardney Stuart Wemyss – Prosolution Private Clients Stuart's Books – Rules of the Lending Game & Investopoly Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Get you a bundle of free eBooks and reports www.PodcastBonus.com.au Shownotes plus more here: Should you ever sell a property? Here are 4 times the answer may be yes with Stuart Weymss

As our population grows, and it surely will, this will place an increasing demand on our infrastructure and maybe we won't be able to keep up. Of course, it's much more than just being stuck in the traffic or wedged in overcrowded public transport just to get where you need to get to, according to my guest today, Ross Elliot. So, whether you're a property investor wanting to understand how future development and infrastructure are going to influence demand for housing or you're a business owner needing to understand what's ahead, I'm sure at the end of today's show you'll have more clarity from the insights Ross Elliot is going to share. Links and Resources: Michael Yardney Ross Elliott – subscribe to Ross' blog – The Pulse Read Ross Elliott's blogs on Property Update here Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Get your bundle of free eBooks and reports at www.PodcastBonus.com.au Shownotes plus more here: Can we trust the powers that be with the looming infrastructure shortage? With Ross Elliot

If you're a property investor, today's episode is a must. Why? Because the taxman is after you – you and all property investors. It's not long until tax time and the Australian Taxation Office is already preparing its so-called "hit list" of priority areas due for a crackdown in the 2021-22 financial year. Property owners, crypto investors, and those working in the gig economy will be front of mind for the tax office plus a number of other areas, so today Ken Raiss and I are going to look at this hit list in the hope that you'll be able to avoid a nasty surprise at tax time. What the taxman is looking for? Repairs vs. maintenance Interest expenses Property divestments Personal expenses including holiday homes Renting part of your home Double claims for interest expenses Incorrect Apportioning of rental income Weak claims for new rental properties Substantiation of expenses - receipts Links and Resources: Michael Yardney Ken Raiss- Director Metropole Wealth Advisory Get Ken Raiss to build you a Strategic Wealth Plan Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Get your bundle of eBooks and Reports at www.PodcastBonus.com.au Shownotes plus more here: Attention property investors, the tax man is after you. Here's what he's looking for, with Ken Raiss

In this episode, Brett Warren discusses three questions with us, during this month's Q&A Day. These questions are: Why invest in affluent areas rather than cheaper more affordable areas? What will rising interest rates do to our rental markets? How do you stay positive when there's so much negative news in the media now? Links and Resources: Michael Yardney Brett Warren – National Director Metropole Property Strategists Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Get a bundle of eBooks and reports = www.PodcastBonus.com.au Shownotes plus more here: Q&A Day – Why not invest in affordable properties, rising rates and rents PLUS more, with Brett Warren

The Reserve Bank thought it had time on its hands and could be patient in lifting interest rates. However, evidence of strong inflation caught the RBA by surprise and it has raised its forecasts for inflation and cut its forecasts for economic growth and unemployment. The RBA forecasts that the economy will expand by 3.5 per cent over the year to June 2022, before picking up to a 4.25 per cent annual growth rate in December 2022. Underlying inflation is expected to exceed the top of the 2-3 per cent target band through to December 2023. Links and Resources: Michael Yardney Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Dr. Andrew Wilson, Chief Economist My Housing Market Subscribe to our weekly Property Insiders videos – www.PropertyInsiders.info Get your bundle of eBooks and reports at www.PodcastBonus.com.au Shownotes plus more here: The RBA forecasts what's ahead – and it has flip-flopped, with Dr Andrew Wilson

What are the big influences in our property market today? The main one is one you probably haven't thought about. We often talk about price growth and supply and demand and the economy, but the one I'm going to share with you today may change the way you think about buying your next investment. So hopefully, at the end of today's show, you'll have some clarity on the big influences and what we at Metropole research when we help make our recommendations. Is this the most significant factor driving our property markets? What is the little secret behind whopping price growth? It's not the economy, even though that's important. It's not supply and demand, even though that plays a role. It's not infrastructure spending, availability of finance, or population growth either. Although all of these things are important and undoubtedly impact our real estate markets, the truth is there is one major factor that drives property values more than anything else. And that factor is homeowners or as we sometimes call them – Owner Occupiers. Fact is: they own close to 70 percent of all the properties in Australia and therefore dominate our market and without them, it simply falls over. So, it's interesting that while owner-occupiers are one of the most significant influences on property, they are commonly overlooked. Here's a relatively current snapshot of the national property market according to the Australian Bureau of Statistics (ABS) and CoreLogic: There are 10.7 million residential dwellings Australia-wide with a total value of $9.8 Trillion Spread across around 15,000 suburbs An additional 130,000 to 160,000 new dwellings are added every year The total debt against these dwellings is $2 Trillion (giving an overall Loan to Value Ratio for residential property of just over 20%) Residential real estate makes up 55.6% of Australian household wealth Investors own around 27% of Australian dwellings by number, and 24% by value. There are more than 2 million individual property investors in Australia Each property investor in Australia owns an average of 1.28 properties This is why I always give the following advice to investors who are searching for a strong property performer: Buy the type of property that will appeal to owner-occupiers. Owning a property with an element of scarcity that is located close to amenities, jobs, transport, lifestyle features and cultural, social aspects like cafés, bars, and arts precincts will always attract home buyers. But these are features that appeal to tenants, too. In general, the more established suburbs with better infrastructure, shopping, and amenities tend to be close to the CBD and the water and that's where the wealthy want to and can afford to live, and they're prepared to pay a premium to live there. The rich do not like to commute. Overall, by focussing your research on what those often-overlooked owner-occupiers are doing, you may just find an investment that outperforms the market and delivers strong value and growth over the long term. The 7 biggest influencers of our property markets Regardless of the economy, cycle, or market conditions, property is always a hot topic of conversation. The reality is that the property market isn't an independent economy sector. Rather, it's inextricably linked to a myriad of other financial, social, and political factors, all of which impact what your family home, or your next investment property, might be worth. So, what are these factors? Household formation This oft-overlooked factor is actually more important than overall population growth because what increases the demand for housing isn't the number of people living in a city (or country), but the number of dwellings needed to accommodate them. Demographics It's likely that now that we're moving into a Covid normal life our borders will open meaning more and more people will want to come and live in the safety of Australia. The population growth corridors of our cities tend to be poor capital growth locations. At the same time these locations tend to be where new families and migrants move, and this demographic, which tends to have a little spare cash left at the end of the month, are areas where there is little ability to push up the value of properties – these are not high wage-earning areas. Affordability Investors should avoid blue-collar areas or young family suburbs and seek out suburbs where wages growth is higher than the state averages. These are locations where people can afford to and will be prepared to, pay a premium to live. These are often the gentrifying middle ring suburbs of our capital cities. Credit policy Over the past few years, we've seen the significant impact changes in credit policy can have on our property markets. The fact is people simply can't buy properties if they can't access the cash. And while interest rates are unlikely to rise in the next little while, APRA is likely to interfere to try and slow down our property markets. National wealth, wage growth, and job creation Artificial intelligence experts have estimated that anywhere from 20 to 40 percent of all jobs could be taken over by robots in the future, meaning there will be fewer employment opportunities for unskilled workers or those who perform repetitive tasks. This means we will have fewer people doing more productive work. All of this could impact buyers' abilities to save deposits, secure finance, and pay mortgages, and in turn, influence house prices. Supply of dwellings As I've already explained, increasing the supply of dwellings is going to be paramount as our population increases. But people won't buy a house and land package 40km from the CBD if they can't get to work, or if local schools, shops, and medical facilities are lacking. Consumer confidence Regardless of how readily available credit is, or how fast the population is actually growing, people's perception of these things is just as important. Buying property is an emotion-heavy process, and buyers – both owner-occupiers and investors – often let their heartstrings pull them in directions their heads might not. Links and Resources: Michael Yardney Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us Get a heap of eBooks and reports here: - www.PodcastBonus.com.au Shownotes plus more here: What are the big influences in our property market today? Some of our favourite quotes from the show: "While investors look at all types of drivers of capital growth, they often forget that it's owner-occupiers who primarily drive our property markets forward." – Michael Yardney "The research that we do is looking at where more household formation is going to occur." – Michael Yardney "Currently, the media is full of negative headlines scaring off potential buyers." – Michael Yardney PLEASE LEAVE US A REVIEW Reviews are hugely important to me because they help new people discover this podcast. If you enjoyed listening to this episode, please leave a review on iTunes - it's your way of passing the message forward to others and saying thank you to me. Here's how