In August 2017, an investor purchased a house and land package off the plan, with the land titled and settled 12 months later in late August 2018. The strategy for this investment was to buy and hold, focusing on building equity and capital growth.
Despite a bank valuation at settlement being $30,000 below the contract price, both the investor and advisor conducted thorough market analysis and research to determine the true market value and future potential of the property.
This case study exemplifies the importance of relying on comprehensive data assessment and market insights rather than solely on bank valuations, which are intended for the bank’s purposes, not investment decisions.
78.73%
Capital Growth
($930,000)
41.30%
PW Rental Increase
($650)
8.2 Years
Time Owned
| Case Study (Jul-2024) | Details |
|---|---|
| Case Study Last Updated | 07/2024 |
| Property Purchased | 08/2017 |
| Time Owned | 8.2 Years |
| Purchase Price | $520,350 |
| Property Value Today | $930,000 |
| Equity | $409,650 |
| First Tenants Rent | $460 |
| Current Rent PW | $650 |
| Property Type | House & Land |
| Strategy | Capital Growth |
| Bedrooms | 4 |
| Bathrooms | 2 |
| Garage | 2 |
