5 Year BOOM phase 2#
Summary
TLDRThe transcript reveals a strategy used by a small percentage of Australian investors to achieve significant property growth. It emphasizes the importance of understanding the five-year boom phase in property markets, where consistent double-digit growth occurs, allowing investors to release equity and purchase additional properties. The speaker discusses the dangers of timing the market incorrectly, which can lead to significant financial losses, and offers insights on how to identify areas entering their growth phase. The transcript positions this knowledge as a key to building wealth faster than the average investor.
Takeaways
- π‘ A small percentage (0.4%) of Australian investors are capitalizing on property investments with consistent double-digit growth.
- π These investors leverage equity from one property to purchase another, aiming to build wealth 10 times faster than the average investor.
- π Understanding the 'five-year boom phase' is crucial for identifying areas that are starting their growth phase at a particular time.
- π During the boom phase, there is significant double-digit growth, but it's followed by a slowdown that can lead to financial losses if timed incorrectly.
- π Each market and suburb has unique growth cycles, and timing entry and exit correctly is essential for maximizing capital growth.
- π The speaker's advisory uses a 72-step process to analyze market trends and future projections to inform investment decisions.
- π The goal is to ride the wave of capital growth in one market and then move to another that is starting its growth phase.
- ποΈ Case studies like Frankston and Gimpy demonstrate the importance of timing the market correctly to avoid stagnation or decline in property value.
- π Missing the optimal investment window, such as entering the Hobart market in 2016, can result in significant missed growth opportunities.
- π‘ The speaker emphasizes the importance of informed decision-making over guessing or following the news when investing in property.
Q & A
What percentage of Australian investors are capitalizing on consistent property growth?
-0.4% of Australian investors are capitalizing on consistent property growth by purchasing multiple properties within a short period of time.
What is the significance of the 'five-year boom phase' in property investment?
-The 'five-year boom phase' refers to a period of consistent, double-digit growth in property value that occurs in specific areas. It is significant because it allows investors to capitalize on this growth, release equity, and use it to purchase additional properties.
How often does the 20-year growth cycle occur in a particular Local Government Area (LGA)?
-The 20-year growth cycle, which consists of two boom phases, occurs every 15 to 20 years in a particular LGA.
What happens after the five-year boom phase in a property market?
-After the five-year boom phase, there is typically a slowdown in the property market. This slowdown can involve the market trending sideways or downwards, which can be detrimental to investors who enter the market during this period.
Why is it important to time the market correctly in property investment?
-Timing the market correctly is crucial because it allows investors to ride the wave of capital growth and maximize their returns. Entering the market at the right time ensures that investors can release equity and use it to invest in other markets that are starting their growth phase.
What is the impact of entering the market during the slowdown phase after the boom period?
-Entering the market during the slowdown phase can cost investors hundreds of thousands of dollars as they may not see the capital growth needed to release equity and reinvest in other properties or personal goods.
How can investors identify areas that are starting their growth phase?
-Investors can identify areas starting their growth phase through in-depth research, historical trends, and analysis of government policies and infrastructure projects. Tools like the 72-step process mentioned in the script can help investors make informed decisions.
What was the observed capital growth trend in the Frankston region from 2013 to 2017?
-The Frankston region experienced significant capital growth from 2013 to 2017, with some individual suburbs in the area seeing over 10% capital growth.
What happened to the property market in Gimpy, north of Brisbane, from 2012 to 2019?
-Gimpy experienced a trendless period from 2012 to 2019, with no significant growth. However, it began a boom phase, showing a massive spur in growth due to government policies and infrastructure projects.
What was the capital growth situation in Hobart from 2012 to 2018?
-Hobart saw consistent double-digit growth from 2012 to 2017, with some suburbs experiencing growth of up to 155%. However, from 2018 to 2020, the market did not see any significant growth.
How can investors avoid making uninformed decisions in property markets?
-Investors can avoid uninformed decisions by conducting thorough research, understanding market cycles, and using tools and processes like the 72-step process to make informed decisions based on historical trends and current market influences.
Outlines
π‘ Insider Strategies for Rapid Property Wealth Accumulation
This paragraph introduces the concept of leveraging little-known investment strategies used by a small percentage of Australian investors to rapidly accumulate wealth through property investment. The speaker aims to reveal these strategies, which include understanding market timing and capitalizing on a 'five-year boom phase' to achieve consistent double-digit growth. The importance of not entering the market during a slowdown is emphasized, as it can lead to significant financial losses. The speaker promises to provide insights not commonly found in mainstream media or books, and to explain how to identify and time the market correctly for optimal capital growth and equity release.
π Case Studies on Market Timing and Property Growth
The second paragraph delves into specific case studies of different markets and their growth phases, highlighting the importance of timing when investing in property. It discusses how certain areas experience a boom phase every 15 to 20 years, with two such phases occurring within a 20-year period. The speaker uses the example of Frankston, a suburb of Melbourne, to illustrate the concept of capital growth and the detrimental effects of entering the market too late. The paragraph also touches on the impact of government policies and infrastructure projects on market growth, using Gimpy and Hobart as examples. The speaker stresses the need for informed decision-making and offers further guidance on how to research and understand property markets to capture growth effectively.
Mindmap
Keywords
π‘Australian investors
π‘Consistent growth
π‘Equity release
π‘Market timing
π‘Five-year boom phase
π‘Local Government Area (LGA)
π‘Capital growth
π‘Infrastructure projects
π‘Historical trends
π‘Informed decision
π‘Wealth building
Highlights
Australian investors are capitalizing on property purchases with consistent double-digit growth.
Only 0.4% of Australian investors own three or more investment properties, indicating a successful strategy.
A five-year boom phase is identified for property markets, with consistent growth during this period.
The aim is to invest in a market at the start of its growth phase, ride the wave of capital growth, and then move to another market as it begins its growth phase.
Each market is unique, and different suburbs within the same local government area (LGA) can have varying growth phases.
The five-year boom window consists of two boom phases every 15 to 20 years for an LGA.
Timing the market correctly is crucial to avoid significant financial losses.
The transcript provides insights not commonly found in podcasts, YouTube channels, books, or widely discussed topics.
Market timing is critical, and entering a market at the wrong time can cost hundreds of thousands of dollars.
The transcript discusses the importance of understanding market trends and growth phases to become a successful property investor.
Examples are provided, such as Frankston's growth from 2013 to 2017, to illustrate the concept of market timing.
Infrastructure projects and government policies can significantly impact property market growth, as seen in Gimpy's boom phase.
Hobart's market growth from 2012 to 2017 is used to demonstrate the potential for significant capital growth in a short period.
Investors should avoid entering a market at the peak of its growth, as illustrated by the downturn in Hobart's market after 2017.
The transcript offers a 72-step process for in-depth market analysis, combining historical trends with future projections.
By understanding the five-year boom window and market timing, investors can capture significant growth and build wealth faster.
Transcripts
i'm going to show you something that
0.4 of australian investors
only know about and that's why they're
capitalizing and purchasing property
after property in a short period of time
they're getting consistent growth every
single year which is double digit growth
which is allowing them to release the
equity and use that everything to buy
another property so i'm going to show
you exactly what you need to know and
what doesn't get spoken about on
podcasts or youtube channels or you
don't hear it in books or read it in
books this is something that you need to
understand and that's going to help you
build wealth 10 times faster than the
average australian investor
now this is something that you know
that a lot of people do not know about
0.4
of australian investors
own three or more investment properties
okay and they're doing something right
so if you want to ban the top 0.4
percent of australian investors that own
three or more investment properties i'm
going to show you exactly what you need
to understand
now
i'm going to be talking about market
timing
now there's a thing called a five year
boom phase that we that we use here at
fresh start advisory
it helps us locate areas that are
starting their growth phase at that
particular time
the five-year growth phase is something
that starts
and will continue for five years
during that five year period there's
going to be consistent growth double
digit growth so 10 or more okay that's
what i mean by double digit growth
during that period you're going to get
some some massive growth but then there
will be a slowdown after that five years
that slowdown can be trending sideways
or it can be trending down downwards
during that you do not want to be
getting in that market
you know because
by doing so you're going to cost
yourself hundreds of thousands of
dollars the aim of the game of the
property is to invest into a market and
make sure you get their new one ride the
wave of capital growth
and then you know make sure you're
getting into other markets while those
markets are starting their new growth
phase
every market is completely different
okay so this is something to keep in
mind
you might have a council area
an lga where you live in that council
area each suburb has different times
where the growth phase has started and
you will see different time and
different trends so i'm going to show
you exactly what you need to know so you
can become a successful property
investor
so like i touched on already you us you
know we're talking about this five year
boom window the five year boom window
that consists of two boom phases in lga
which is your local council area
15 to 15 every 15 or 20 years this
happens for a particular lga which is
your council area so say with me here
during that phase
during that 20-year period there's going
to be these two market cycles they're
going to have massive growth
okay and then it's going to slow down
like i've said
if you get in at year 3 or 4
and then at year five it continues to
grow phase but then year six it slows
down and then year seven it starts to
slow down even more and it starts to
trend down you have cost yourself
hundreds of thousands of dollars because
you're leveraging your money remember
it's property you're putting a deposit
down and then you've got the rest is
you're leveraged
so the aim of the game is to get into a
market
time that market correctly so you
capitalize when you time it correctly
you win on that capital growth so then
the next following year you can release
the equity and use that equity to buy
another property
i'm going to show you exactly what i
mean by this
and here's the first market that we've
i'm showing you for an example frank's
then is 40 kilometers southeast of
melbourne okay it's a fight the
five-year boom window happened from 2013
to 17 this was the first boom window
78
capital growth in five years
unbelievable
as you can see here from 2013 to 17
you can see that there was growth now
some of these markets didn't have double
digit growth this is from a whole suburb
area if we look at from a
individual suburbs in the frankston
region there were suburbs that were
having over 10 capital growth but as you
can see you know they had some
significant growth and then from 2018
the market started to drop off so for
three years you seen you know you had a
six percent you had a negative 15 and
then you had six percent so if you got
in at 2018
okay you you the market grew 13
depending what time you got in it at the
beginning of or towards the end of 2018.
then you just seen a downward trend so
that means there's three years there
that your property hasn't produced any
capital growth that you can release the
equity and go use adequately to buy more
property or to use equity for your own
personal goods if it's buying a new car
going on a family holiday or whatever it
may be
so this is something to keep in mind you
want to be getting in 2013 2013-14 and
that was a time to get in and ride the
wave of capital growth
and then during that period you would
have probably released equity from year
one or two to buy into another market
here's another market
another different market completely
different again this is called gimpy 170
kilometers north of brisbane okay
regional town just past the sunshine
coast
kimbee's just started its boom phase and
this is a beginning to show you as you
can see from 2012 to 2019 has done
nothing it's trended sideways look at
this graph
all of a sudden you've seen this massive
spur
now this is because of government
policies this is because of
infrastructure projects and i'm going to
explain to you and how to identify this
not just by graphs but how to target
this in a later video
doing this is going to help you
understand in your mind okay look at
this market what is it doing no we're
not making an informed we're going to
sorry we're making an informed decision
we're not taking we're not taking any
guesses here
important to understand that it started
its growth phase now you don't want to
be getting into gimpy very great market
affordable market or it's starting to be
a bit unaffordable but you don't want to
be getting into that market now you've
missed out on some the two years of
consistent growth if not three we're in
2022 now so there's three years you have
missed out here of consistent double
digit growth
and i'm going to show you how to pick
these markets
but this is something i wanted to show
you and give you an understanding
another market hobart from 2012 to 18 66
in five years this is a region of hobart
so if we look at it from a suburb level
there was markets that grew a hundred
and fifty percent in five years
150
some suburbs grew 155 percent in five
years which is unbelievable
but i'm just showing you from a from a
regional area first one from a whole
area of the city if you look from 2012
to 2017 you're seeing consistent
double-digit growth
from 2017 that's the time you you want
to be
getting into that market you've seen
from 2018 to 20 the market's done
nothing
and so this is something to keep an eye
out for because
people what they do they may listen to
the news they'll listen to new watch
news um news also read news articles and
they heal this information they hear
this markets doing well and they get in
at the wrong time you know 2016
it was all over the news that there was
or hobart's going for a boom
it's one of the best capital cities that
are growing at the moment 2016 if you
got in there 2016 you've just cost
yourself over 35 percent of growth
if not more
that is unbelievable so this is
something you don't you want to make
sure
you're absolutely making an informed
decision now we don't have a crystal
ball
we can't see when the very beginning of
the market's going to start but we can
make an informed decision and time the
market from a
as i guess a holistic point of view by
looking at things that i'm going to show
you
so this is something that you need to
know so you can take advantage of the
market
like i said 99 of australian investors
do not use this other buyer's agents
don't know a lot about this as well and
this is something that we pride
ourselves on this is because we take
an in-depth knowledge of looking at
something from history trends looking at
it and bringing it to the future as well
and seeing where we are at a market or
what's influencing the market there's a
72-step process but i'm going to give
you something to help you so you can
move on with this research and actually
find and understand what is happening at
a market right at this point in time so
you can make an informed decision click
the details below entering your enter in
your details and you'll be taken to
another video there's going to be more
information there and there's going to
be absolutely more value that you're
going to get to understand about these
property markets and how to understand
that five key boom window and how to
capture that growth
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