Geoff Grist - Flip for Cash: Maximise your profit when you renovate the right apartment

Geoff Grist is equal parts accomplished real estate agent and author. As a real estate agent, hes seen every type of property in his neighbourhood bought and sold sometimes several times over. He knows what works. We are all just lucky that his skills as a bestselling author make it easy for us to learn from his extensive knowledge and experience!

Samantha McLean , Co-Founder and Managing Editor of Elite Agent and host of the Elevate podcast

Flip for Cash is the must-have guide for any property investors wanting to buy, renovate and maximise their selling price. Great tips, strategies and practical advice for people wanting to build their wealth through real estate.

Robert Skeen , Director of Oasis Skeen Buyers Agents

Acknowledgements

Id like to thank everyone whos helped me to bring Flip for Cash into being, particularly my wife Belinda for her encouragement and support. My thanks also go to my friends and colleagues in the wonderful world of real estate for telling me their two cents worth, and thank you to my publisher, Lesley Williams, and managing editor, Vanessa Smith, at Major Street, who are the best team in the business for their endless advice and enthusiasm.

Old ideas can sometimes use new buildings.
New ideas must use old buildings.

Jane Jacobs

First published in 2020 by Major Street Publishing Pty Ltd
PO Box 106, Highett, Vic. 3190
E: info@majorstreet.com.au
W: majorstreet.com.au
M: +61 421 707 983

Geoff Grist 2020

Quantity sales. Special discounts are available on quantity purchases by
corporations, associations and others. For details, contact Lesley Williams
using the details above.

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www.majorstreet.com.au.

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The moral rights of the author have been asserted.

ISBN: 978-0-6486626-7-9

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.

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Disclaimer: The material in this publication is in the nature of general comment only, and neither purports nor intends to be advice. Readers should not act on the basis of any matter in this publication without considering (and if appropriate taking) professional advice with due regard to their own particular circumstances. The author and publisher expressly disclaim all and any liability to any person, whether a purchaser of this publication or not, in respect of anything and the consequences of anything done or omitted to be done by any such person in reliance, whether whole or partial, upon the whole or any part of the contents of this publication.

Contents

Why property?

It would be fair to say that I love property.

I am a Sydney real estate agent who has worked in the suburbs of Mosman, Cremorne and Neutral Bay, for more than 15 years now, and I not only help my clients buy and sell, I do it myself:

• I have purchased older-style units and updated them and resold them.
• I have purchased off the plan apartments and newly finished apartments and held them for several years and then resold them.
• I have bought a block of land and planned to build on it and then resold it, without building.
• I have bought an older-style timber house and extensively renovated it and sold it.
• I have bought and sold five other principal places of residence and have just completed a major renovation of our home of 15 years, which we have now sold for a handsome profit.

Ive enjoyed a great deal of upside but also some downside as Ive learned, you cant always get it right.

The point of property investing, ultimately, is to achieve financial security, with a passive income which allows you a level of freedom and flexibility to live your life on your own terms. But why property?

The sharemarket is another popular wealth-creation vehicle and building and owning a business is also an option, rather than working for wages all your life. All three have pros and cons. I have been self-employed for most of my life, and I still am. I also have a share portfolio and have watched my shares go up and go down over time. However, I am also a property person. I love property, so for me its an obvious choice. Your choice will be up to you.

Most Australians dream of owning property, and despite high prices and housing affordability issues its still an achievable dream for many, if gone about the right way. Importantly, everyone needs somewhere to live, whether its living with parents, renting or owning. The great thing about property is that its a tangible asset and offers more scope to add value through renovations and improvements, compared to owning shares. I am an advocate of developing an investment property portfolio with at least two investment properties in two different capital cities, and preferably a portfolio of three properties in three cities.

Property ownership can help you on your journey to financial independence. Buying, holding and selling property can create opportunities and generate wealth for you. Many of the worlds richest people have created their wealth through property ownership and development!

In this book Ill explain what flipping is, how to assess whether its right for you, how to choose the right property to flip and how to renovate for maximum profit.

Happy reading!

Geoff Grist

Part I:

All about flipping

Flipping apartments

When we talk about flipping, what do we mean? My definition is buying a property and adding value to make it more attractive to a broader market, then selling it for a profit. Buy, renovate and sell in a short time. Flip it for cash!

For years, there have been TV shows about competitive renovations, and you must have said to yourself at some stage, I could do that. Despite the ups and downs, the tears and the heartaches, the contestants always seem to come out in front: better for the experience financially and spiritually.

The Block , for example, has been running for more than 15 seasons now, pitching four couples of mixed work and life experience against each other to renovate the worst apartments or houses imaginable over a 12-week period. Anyone who knows anything about renovating knows that 12 weeks would be a real push; however, with the magic of television, they manage it.

Australians have also binge-watched House Rules for at least seven seasons, following as six state-based couples renovate each others homes over the course of a week. With a real estate company sponsor on board, this show even gives us a before and after valuation to astound us with how much value the participants have added with their makeovers.