Mandy, NSW

Property Purchased:

Newcastle, NSW

Property type:

House

Price:

$420,000

Rent:

$480 pw

Mandy – 38, Wolli Creek, Sydney

  • Migrated from Hong Kong in 2007
  • Wasn’t in a financially confident position after being made redundant
  • Never considered property investment apart from her home, but wanted to be able to fully utilise her limited resources to build wealth
  • Was introduced to Binnari by her financial planner

Results

  • Rented within first week of settlement
  • Increased in value by 150% within the first 7 years
  • Cashflow positive by $80 per week after tax

Challenges and concerns

Having a Chinese background Mandy didn’t grow up in an environment that encouraged her to reach out to a financial planner and start building wealth at a younger age. After working in Australia for a couple years, Mandy was made redundant and in her package was a referral to see a financial planner. She wasn’t confident that she had enough money to invest due to having a mortgage on a house in Sydney.

“I didn’t think it would be worthwhile seeing a financial planner as I was quite limited with the amount of money I had and thought financial planners were only for wealthy people. However, I still decided to reach out to Montara (Binnari’s sister company) to share my situation. I’m from Hong Kong so financial planners weren’t popular. Montara conducted a risk assessment and looked at my financial behaviour and explained that I have the option to invest my money to build wealth”.

“They ended up advising me that property investment could be beneficial for me in the long run whilst not affecting my current mortgage and life in general. This started to open a lot of doors for me”.

After 5 years of living in Australia Mandy wanted to fully utilise her limited resources to build wealth.

“I didn’t know what I wanted to achieve but I knew that I needed to grow and get my life moving. I worked out that my career may not be enough to do this as I still have a long way to go as a new arrival in Australia, so property investment was probably my only option due to my limited choices and due to my family having quite a few liabilities. I knew that this property would give me a base to generate income or maintain wealth”.

Mandy was concerned about her current mortgage and didn’t like the idea of having another.

“I did have some concerns before going ahead with purchasing an investment property. First the model is quite new to me and also I thought I might lose in the investment game. I thought if I keep the money in the bank I will always have it, but I have to thank Montara who gave me a safety net and found ways to minimise my risk after just being made redundant. Also I thought, what, and where am I going to invest in? I hardly knew the Australian property market and was struggling to even get my first home, so it was a wild guess for me to trust the advice I was receiving.”

How We Helped

Working with Binnari

“I’ve always focused on my current situation – where I’m working and living. I never thought ahead, but Binnari gave me a lot of options in terms of location, the type of property and my financial goal to generate rental income or capital gain. I have to give them credit as they allowed me to open up my eyes to investing in a new country that I don’t know too well.”

“To go through the whole process so quickly is amazing. Binnari guided me the whole way and provided me with so many options that suited my situation. I was never forced to make impulsive decisions – I really appreciate that”.

“Throughout the whole process I would see different information and opinions about the property market on the internet and would ask Binnari a lot of questions if I was ever confused. They were always able to answer my questions and address my concerns with backed up research.”

“Seeing a financial planner and investing in property means there are always a lot of options. I have my own information from the internet but I need to use professional advice even if the building I am investing in isn’t sitting next to me. I was concerned about the property being off the plan as there were so many contractors and people to deal with, however, Binnari dealt with them directly and sorted out any issues giving me options to choose what I want to do. This whole experience has been painless”.

Property Selection

Mandy ended up purchasing house and land in Newcastle.

“I was initially concerned about the amount of land available in Newcastle, but Binnari chose a unique location with a lot of character assuring me that even though Newcastle may introduce future developments, the quality of my property will stand out – that was reassuring.”

“When you work with Binnari they give you a full plan. Not just the purchase, but they also very thoughtfully assist with finding a tenant and a property manager. They gave me options on who to manage the property but left me to decide based on my preference. They also gave me a heads up on the maintenance I had to do once or twice year so I was prepared. They also gave me reassurance when they provided solutions to any problems that may arise such as not being able to find a tenant and ensured that I knew what step to take next if any problems did pop up.”

“Binnari actually drove with me to Newcastle to show me the property, its area and the city. They described the habits of the local buyers and I was able to put myself in the shoes of a local on top of all the information and data they gave me prior to visiting. This gave me an idea of how the property will perform.”

The Outcome

The property more than doubled in value over a 7-year period. During her ownership Mandy has had very little maintenance enquiries to deal with and the estate she purchased is extremely sought after by local owner occupiers. She plans to hold the property for the long term as it remains cash flow positive and is a key part of her long term retirement strategy.

“Many people think they don’t have the capacity to invest in property, but I would say when working with Binnari you need to open your mind, let them do their job and the impact will be phenomenal. Even if you don’t end up going ahead with purchasing a property, you will still have much more understanding of your financial situation as well as the property market. So having that conversation is important. Investing in property is scary and that’s why its important to be working with a good partner like Binnari.”

“The outcome was outstanding, the relationship was outstanding and Binnari are very professional in not only the property market but in how they communicate with you, the advice they provide, the integrity. They approach any issues proactively and always find a solution – they do the negotiating for me.’

“I come from a Chinese background in lower class living. My family has never been able to buy a property before so to come from this background and to come to Australia with $2000, I’ve basically made an impossible situation possible. So to go from having $2000 to owning properties is …If I had stuck with what my family told me what to do I would still have the redundancy money in my bank account. I used to think doing nothing and not losing the money was the best option”.

Find out how we can help you

Hear from Mandy

“The difference between Binnari and other property advisors is that they actually take you as an individual with a particular situation and not only act as advisors but as friends and a mentor in educating me on the property market”.

Hear from Mandy

“If it wasn’t for Binnari, I wouldn’t have been able to get my first investment property and future properties too. It basically changed my life”.

Hear from Mandy

“I come from a Chinese background in lower class living. My family has never been able to buy a property before so to come from this background and to come to Australia with $2000, I’ve basically made an impossible situation possible. So to go from having $2000 to owning properties is …If I had stuck with what my family told me what to do I would still have the redundancy money in my bank account. I used to think doing nothing and not losing the money was the best option”.

Hear from Mandy

“The Binnari team explained their research process that compared the different property markets and how areas with a high concentration investors don’t tend to experience the same capital growth as areas dominated by owner-occupiers.”

Read more Binnari
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Jarrad wanted to build long term wealth and finance future properties. He new he wanted to invest in property, but needed the right advice.

Michael is an accountant and has been a referral partner to Binnari for several years. He was looking to expand his investment portfolio with a property outside of Sydney.

Chris and Carly wanted to build wealth for their family and considered property investment before, but didn’t think it was achievable.

Michael is an accountant and has been a referral partner to Binnari for several years. He was looking to expand his investment portfolio with a property outside of Sydney.

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  • Take you through Binnari’s unique investment approach
  • Preview specific properties that match your investment strategy

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