First published in 2015 by Wrightbooks
An imprint of John Wiley & Sons Australia, Ltd
42 McDougall St, Milton Qld 4064
Office also in Melbourne
John Lindeman 2015
The moral rights of the author have been asserted
National Library of Australia Cataloguing-in-Publication data:
Creator: | Lindeman, John, author. |
Title: | Unlocking the Property Market: the 7 keys to property investment success / John Lindeman. |
ISBN: | 9780730319818 (pbk.) |
9780730319825 (ebook) |
Notes: | Includes index. |
Subjects: | Real estate investment Australia. |
Real estate business Australia. |
Dewey Number: | 332.63240994 |
All rights reserved. Except as permitted under the Australian Copyright Act 1968 (for example, a fair dealing for the purposes of study, research, criticism or review), no part of this book may be reproduced, stored in a retrieval system, communicated or transmitted in any form or by any means without prior written permission. All inquiries should be made to the publisher at the address above.
Cover and internal image (key) by Tarchyshnik/iStockphoto.com
Cover design by Wiley
Disclaimer
The material in this publication is of the nature of general comment only, and does not represent professional advice. It is not intended to provide specific guidance for particular circumstances and it should not be relied on as the basis for any decision to take action or not take action on any matter which it covers. Readers should obtain professional advice where appropriate, before making any such decision. To the maximum extent permitted by law, the author and publisher disclaim all responsibility and liability to any person, arising directly or indirectly from any person taking or not taking action based on the information in this publication.
To Carolyn
Foreword
I've probably heard every single property strategy around. From sermons on property prices doubling every seven to ten years (they generally don't) to bluff and bluster on buying off-the-plan units and banking on prices rising rapidly during construction (they generally don't) so you can on-sell before settlement and make a motza. Yeah, right.
In 10 years of property journalism, I've experienced two property booms, one bust, one flood and one cyclone and here we are in 2015 in the midst of the cycle all over again with many of these dubious strategies snaring unwary investors yet again.
With so much noise and so many self-proclaimed experts in a rising market, that's why it continues to be imperative that investors access the best and most objective property data, analysis and commentary.
And this is where John Lindeman comes in. John is one of a very select group of columnists in the Australian Property Investor (API) magazine, which has been the number-one publication for property investment for some 18 years. API has a large and loyal following who turn to us every month for trusted and impartial property investment advice and we only have the best of the best in our magazine.
John's exclusive research column is by far and away one of the most read, and re-read, sections of the magazine each and every month. Many of our readers have been property investors for decades and they recognise a kindred soul in John's research and his ability to analyse complex data sets but explain them relatively simply.
As editor of API, it's my good fortune to read John's column before anyone else does, and I must admit that even after many years in the property game myself, without fail, each month I learn something new. From how to identify slingshot suburbs and which season is best to buy and sell, to the truth behind historical price-growth patterns (which is that regularly spouted, but incorrect furphy about prices doubling much quicker than they really do), John's property insight continues to teach me how to be a better and more successful investor month after month.
Personally, what I admire most about John is the depth of his research and analysis as well as the fact that he's an active and successful property investor himself. And he's been around long enough to have an investment philosophy that anyone can understand. John's methodology includes analysing types of property, price ranges, location, as well as fluctuations in sales and listings to easily identify market changes and trends. He then passes all of that lovely research over to us, so we can benefit and profit from it like in this book, for example.
Unlocking the Property Market is a continuation of John's research columns and offers valuable information for investors on how the housing market works, where to find areas with the best growth potential, where and when to buy, how to narrow down your search, what to buy, how much to pay and when to sell.
I have no doubt that by understanding these steps to investment success, investors will not only be more informed about the market but they'll also become more skillful when searching for their next property to ensure they make the best and most profitable buying decision.
In person and on the page, John is astute, knowledgeable and one of the good guys of the property investment sector. I trust you will learn as much from him as I have.
Nicola McDougall
Editor
Australian Property Investor magazine
About the author
John Lindeman is seen as the market researcher that other property experts go to for detailed insights into the Australian housing market.
It was John's early property investment mistakes that made him determined to find out how the housing market works and how property investors can get the most benefit. His quest of discovery included ten years of professionally researching the housing market with major data providers and personally analysing the dynamics of every type of housing market in Australia.
With the research done, John revealed the secrets of his discoveries in his best-selling book, Mastering the Australian Housing Market, which became a landmark publication for investors. His column on housing market research has featured in Australian Property Investor magazine every month since 2011 and he is a regular contributor to Ken Turner's Real Estate Talk, Michael Yardney's Property Update and Alan Kohler's Eureka Report.
It is John's special understanding of how the housing market works that sets him apart from other analysts and commentators. John explains that success comes from knowing where to buy and when to sell that timing the market offers investors a much faster path to achieving their goals than buying, holding and hoping for growth to occur.
John's mission is to share with other investors his unique insights into the nature and direction of the Australian residential property market so that they can avoid the mistakes investors commonly make and obtain the best possible results.
Introduction
Although housing investment provides reliable returns for thousands of property investors, Australian Taxation Office figures reveal that most investors lose money on housing, even when the housing market grows in value. I have spoken with many of these disillusioned people at property seminars, expos and workshops in recent years, and listened to their experiences. It is clear that the difference between the successful and unsuccessful investors doesn't stem from the capacity of the property market to generate excellent returns, but from the choices that investors make. Every housing investor can make decisions to ensure that they receive the best possible results so why do so many take paths that lead to losses and, in the worst cases, financial ruin?
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