Powered by MOMENTUM MEDIA
realestatebusiness logo
Powered by MOMENTUM MEDIA

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

news image

Blurred lines: Educating agents in a COVID-19 environment

August 10, 2020Grace Ormsby

Not only has COVID-19 forced a change to the way agents work, it’s altered the way agents access information for the better, according to an industry CEO. ...

REB_top100agents
top 10 agents

1

Alexander Phillips

Year of Experience: 20

Support Staff: 3

Residential Properties Sold: 215

Total Value of Residential Properties Sold:

$ 522,477,791

VIEW COMPLETE REPORT

Have you experienced sexual harassment or bullying in the workplace?

Yes, I've been the victim of sexual harassment (15.8%)
Yes, I've been the victim of workplace bullying (21.1%)
No (63.2%)

Total votes: 19
The voting for this poll has ended on: April 30, 2020
TECH MARKETING SALES BETTER BUSINESS PROPERTY MANAGEMENT
agent using smartphone 3 reb Proptech to support property managers

An Australian proptech company has helped local property managers navigate the stressors felt during the COVID-19 pande ...

AshFarrugia 850x400 march2019 New feature ‘to take property matching to the ne ...

ActivePipe has launched a new feature which aims to clear the way for a near fully automated service. ...

sydney street cbd reb Prop-service provider closes strategic funding rou ...

An Australian property service and technology provider has closed a deal worth $3 million, further cementing its status ...

Openn Negotiation NZ reb Real estate platform broadens national scope

A local real estate sales platform has expanded its horizons to Australia’s easterly neighbour. ...

Tom Panos Live 060820 What’s Making Headlines – The week commencing ...

What’s Making Headlines is your new source for all the very latest in Australian real estate news. ...

Dr Nicola Powell WEB Property trends with Domain’s senior research an ...

In this episode of Secrets of the Top 100 Agents, Dr Nicola Powell unpacks the key trends she’s uncovered in Domain’ ...

Tom Panos 310720 What’s Making Headlines – The week commencing ...

What’s Making Headlines is your new source for all the very latest in Australian real estate news. ...

Kate Smith Web What competitive sport and real estate have in com ...

Kate Smith developed a love of real estate while working as a receptionist at her mother’s agency, Harcourt Smith, whi ...

Tom Panos Live 060820 What’s Making Headlines – The week commencing ...

What’s Making Headlines is your new source for all the very latest in Australian real estate news. ...

Dr Nicola Powell WEB Property trends with Domain’s senior research an ...

In this episode of Secrets of the Top 100 Agents, Dr Nicola Powell unpacks the key trends she’s uncovered in Domain’ ...

Tom Panos 310720 What’s Making Headlines – The week commencing ...

What’s Making Headlines is your new source for all the very latest in Australian real estate news. ...

Kate Smith Web What competitive sport and real estate have in com ...

Kate Smith developed a love of real estate while working as a receptionist at her mother’s agency, Harcourt Smith, whi ...

Positive Mindset in Business reb The impact of a positive mindset in the business o ...

Let’s be real: running a business or an office is stressful. Here’s a quick rundown of some insights on keeping yo ...

Cameron Black reb Lies and statistics: Has the property market actua ...

It seems like there has been a huge change of sentiment in the last month as a confluence of factors has come together t ...

short 850x400 june2019 How to get that big win

Getting a big win is more than just sales. It involves strategic planning and setting goals, according to real estate bu ...

MeganSmith 050719 cropped Ray White’s Megan Smith sells $14m property in B ...

Ray White Balmain sales dynamo Megan Smith has sold one of the most expensive houses in Australia this year, with the pr ...

David Hancock reb Why concerns about the so-called economic ‘cliff ...

Many commentators have been pointing to the end of September as a danger zone for the economy, writes David Hancock. ...

Queensland aerial properties reb Housing approvals fall to eight-year low

The COVID-19 health pandemic has triggered the fourth consecutive decline in dwelling approvals, according to the latest ...

client agent buyer reb Australian property proves popular with British bu ...

COVID-19 hasn’t dampened international interest in Australian property, with the Brits proving Down Under is still in ...

Sharon Fox Slater reb Weather watch: Winter-proofing rentals

Wet and windy conditions can wreak havoc on rental properties. Each winter, insurance claims for water damage spike as ...

EVENTS
REBAWARDS Listready
Real Estate Business Awards 2020

The REB Awards is the benchmark of success in the Australian real estate industry. It reflects not only the business astuteness of the country’s leading real estate operators and networks..

Learn more >
FROM THE WEB
Recommended by Spike Native Network
Do you have an industry update?
rpm logo latest

Rent drop disaster: from $2,200 to $580 per week

21 September 2016 Reporter
Mining town rent drops

Aileen Wills got a few great years out of her three investment properties but with the mining boom on its way down, so are her rental returns and property values. What will she do next?

“Following the GFC, I was working for a mining company in Port Hedland, WA and the industry was booming. It was a great time to get into investment and I decided to buy an old house that I knew would give me great rental returns after a few renovations. I had to live in the property for six months to get the first home owners grant, and then I spent eight months and $200,000 doing it up. It seems like a lot of money to put into a property, but it paid off because the value increased from $420,000 to $895,000 and I secured a five-year lease at $2,200 a week.

I was able to use the equity from that property to buy two more investment properties about six months later. One is a three-bedroom, three-bathroom townhouse in the suburb of Maylands, which is five kilometres from the Perth CBD and one is in the regional centre of Gladstone, Queensland, which is on a 1,200 square metre block with the potential to be developed to five residences.

For three years, all the properties were positively geared and rented at good rates. Then the mining boom reached its peak and began to turn, and it’s been all bad news from there.

Advertisement
Advertisement

My original investment in Port Hedland that was initially bringing in $2,200 a week in rent has now dropped to just $580, almost a quarter of the original rate. There is so much stock on the market you have to drop your prices to stay competitive or risk your property being vacant. I’d rather it be leased at $580 per week than aiming for more and not having any tenants at all. It is still covering itself, but who knows where it’s going to go to from here?

My plans to develop the property in Gladstone have been put on hold as well, because there is so much stock on the market there that people are discounting their prices left, right and centre. The market has hit rock bottom and I’m hoping it might start to come back up slightly now.

Thankfully, I spread my investment purchases out and the Perth townhouse is still doing OK. That will remain as a long-term investment and hopefully the new Perth stadium, the Perth Link and the development of eastern Perth will all work in my favour with that one.

The problem I’m facing is whether I sell now or hold on, because I know when I started investing it was at the height of the financial cycle and the mining cycle and now it’s on the downturn, so what do you do? Do you sell or do you hold on and wait for it to come back up?

I’m lucky that I’m not in a position yet where I have to sell, so I’m going to try to stick with it. It’s a game of patience and I’m going to hold on to the properties and ride it out.”

 

Rent drop disaster: from $2,200 to $580 per week
arrow down crash
lawyersweekly logo
FROM THE WEB
Recommended by Spike Native Network
Listen to other installment of the Real Estate Business Podcast
Do you have an industry update?
REAL ESTATE BUSINESS NEWSLETTER
Ensure you never miss an issue of the Real Estate Business Bulletin. Enter your email to receive the latest real estate advice and tools to help you sell.