Cited article by Tony Yoo Journalist at Yahoo Finance Febuary 27 2020.
He’s done quiet well for someone who used to work in a fast food chain. Eddie is only 28 years of age and already on to his 20th property. Eddie from western Sydney was rasied by a single mother, living in public housing and on government pension.
From a very young age he was going to stop the cycle of poverty and government hand outs.
“It was very hard to put food on the table. I didnt want this problem to be in my future.”
While reasearching he found out that many wealthy people made money from owning properties.
At 18 he purchsed his first property a small apartment on the central coast 10 years ago.
From the age of 14, he worked many jobs to get his first deposit together. Fistly KCF and McDonalds, then at tool barns such as Bunnings and Miter 10, and then later pulling beers at 5 pubs.
Now according to Eddie he earns about 120K from the rental of the properties annually, each property rents for approx. $300 per week.
Gross per year he earns 320K in rental income, the out goings such as maintance, rates and loan and interst costs me about 200K a year.
His inital goal was to buy one or two properties and sell them off, but as his property protfolio grew, he had a change of heart.
“Because I got int early, it makes no sense to sell.”
“If I had sold when I thought I would I would he lost and shot myself in the foot.”
Dilliens real estate profolio….
He wrote a book “10 properties by 25”, five years ago.
But he revealed to Tony Yoo from yahoo finance that his propfolio has grown to 5.6 to 6 million dollars worth, with 20 properties undermeath his belt.
“My long term goal is to hit 100 properties”, he mentioned.
These are is properties:
NSW (3): two in western Sydney and one on the Central Coast
Adelaide (4): three houses and one apartment
Queensland (13): ten in Brisbane and three on the Gold Coast
Dilliens three rules on property that he lives and dies by:
Is to find a high yeilding property. The yeild is how much income you have compared to how much you bought the property for.
Most of the properties I have bought are already tenented with set and forget rental yeilds. Plus they dont need any major renovations.
“People get stuck on one property because they get emotional about it and then get their hands into a renovation. I take the emotion out of it and look at the numbers and see what I can get back money wise.”
Has to be when resonable distance from the city.
We are talking about 5 to 40kms from the metroplois such as Sydney, Melbourne and Brisbane,
To buy undervalued properties.
Properties which have time constraints such as divorce, bankrupcy or deceased estates are my favorites. People just wanted to get rid of them quickly.
“If a seller has six months to sell a property, generally their priority is getting the highest price. If a seller has a shorter period of time, then generally their priority is getting it sold the quickest – and not getting the highest price.”
The first thing is to get your foot in the door.
“I really wanted a house, but my first property was a two bedroon apartment.” he said.
His tip , “start small, now my property portfolio has tripplede in the last ten years.”
Cited from Yahoo Finance author Tony Yoo 29th Febuary 2020.
