Originally from Perth, Elijah and Sasha are workers based in the Northern Territory who are keen to build a long-term property portfolio with the ultimate goal of returning to Perth in the future. With a buying budget of $600,000, the couple were well-placed to get started in the Perth market, but they approached Momentum seeking the ‘X’ factor that underpins success – knowledge based on experience.
On the face of it, investing in property is simple. Save a deposit, buy a property, rent it out.
However, Elijah and Sasha are among the growing number of Australians who understand that long-term success hinges on a strong knowledge of property investing.
As first-time investors, the couple weren’t just looking for a rental property.
They were also seeking a trusted source of guidance, which would give them the confidence to make decisions from a distance.
It was their thirst for knowledge that saw Elijah and Sasha contact Momentum for advice and professional support – and the benefit of a tailored Property Investment Plan.
That important step has established the foundation for success for their property portfolio.
The goals – capital growth backed by proven insights
A key goal for Elijah and Sasha was to develop their understanding of successful property investing, and use this knowledge to grow a property portfolio.
With an initial starting budget of $600,000, the couple was particularly keen on finding a property with robust capital growth prospects that would act as a firm foundation on which to build future wealth.
A 4-step investment journey
Under Momentum’s guidance, Elijah and Sasha’s path to property wealth involved four key stages:
1. Strategic planning and pre-approval
The Momentum team started the ball rolling by assessing Elijah and Sasha’s investment profile.
This was a critical step that allowed us to craft a personalised investment strategy tailored to their unique situation and goals.
With their Property Investment Plan completed, our Finance Broker Max Miorada had secured pre-approval on a competitive investment loan for the couple. As Max notes, “With loan pre-approval sorted, we were able to start the property search with confidence.”
2. First purchase
Next, it was over to our experienced Buyers Agent – Jack Tran, to track down a suitable property.
Rather than rushing out to buy the first place that matched Elijah and Sasha’s buying budget, Jack cast his net wide, and importantly, leveraged his established relationships with local sales agents.
This strategic approach turned out to be a key advantage in Perth’s ‘hot’ market.
Jack not only identified a well-located property in High Wycombe, priced at $591,000, which was well within Elijah and Sasha’s budget, he was also able to negotiate favorable terms.
3. Re-valuation and growth
By mid-2023, Elijah and Sasha were the proud owners of their first investment property.
It wasn’t long before the couple reaped the rewards of our buyer’s agent’s research and due diligence.
Nine months into ownership, Elijah and Sasha’s High Wycombe property had notched up significant gains, rising in value to $700,000 – a growth of 18.44%, or $109,000.
This impressive growth gave Elijah and Sasha the benefit of a new resource – accessible equity, enabling them to consider a second investment property to expand their portfolio.
4. Second purchase
Recently, Elijah and Sasha harnessed the equity built up in their High Wycombe property to acquire a second property, this time in Craigie, for $775,000.
This property presents an exciting opportunity to add value and income potential. The couple plan to construct a granny flat to generate additional income, and will later undertake cosmetic upgrades to further enhance the asset’s value.
Momentum’s Max Miorada was able to arrange competitive finance, which enabled Elijah and Sasha to make a very attractive purchase offer, ensuring they secured the property under favourable conditions.
Results and future outlook
Elijah and Sasha’s portfolio has grown quickly and strategically.
The two properties the couple now own were both purchased below market value, and both align perfectly with their investment goals.
Each asset has delivered impressive growth, creating the foundation and equity Elijah and Moneique need to continue expanding their portfolio.
And that’s just what the couple plan to do.
With the current rate of asset appreciation, Elijah and Monqiue are on track for a third acquisition within the next year, keeping them on track with their goal of building a strong, diversified portfolio.
Their property journey to date is a shining example of how personalised planning backed by expert support, can turn first-time investors into seasoned portfolio builders in no time at all.
Summary:
- Properties acquired: two
- Growth achieved: High Wycombe property revalued at $700,000 within nine months, showing 18.44% growth.
- Equity: Sufficient for additional investments.
- Future plans: Expand dual-income opportunities and target income potential.
Client names were changed for privacy.
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