Welcome to my February 2021 portfolio update. February was another interesting month in the property market. Listings are still low and it appears across the country there are many areas that are extremely promising. In saying that, given the low supply and high demand it makes it harder to pick up a quality property without excessive competition. Many good properties have been listed online and snapped up within a day. Both investors and home buyers seem to be out in full force in many areas creating a lot of competition.
Most of February was spent looking for investment property four (IP4). The parameters for this property are quite similar to the previous three: 600m2 block, free-standing house, within 2km of the train line and close to amenities, value add potential with an X-factor for the right price would sum up the gist of the search criteria. However, finding all of these seven odd criteria has been extremely difficult. It has required the ability to think outside the box, getting in contact with agents, and building rapport in order to see what they have coming to the market soon. I am confident March will have a couple of opportunities to secure the next deal so it will just be a waiting game and getting ready to pounce on the next property!
February 2021 portfolio update: Property Break Down
Property one is continuing to fly and the fact that there are minimal listings on the market means a lot of buyers are willing to pay over the odds for a property. Fortunately, property one is reaping the rewards of this as it continues to push closer to the half a million mark. Property two is still quite stagnant, there was a plan to complete renovations in the property once the tenants moved out but it appears they will sign on for another 6-12 months so I will come back to the renovations in maybe a year’s time. Property three has so much potential, it will need a cosmetic renovation before renting out but it also has the potential to reconfigure the property with an additional bedroom and bathroom. This would mean I could build in some equity despite the movement of the market. It appears it will also have a good yield and should be rented out before the end of March.
Purchase price: 390k
Current value: 460k
Purchase price: 250k
Current value: 310k
Purchase price: 317k
Current value: 370k
February 2021 portfolio update: Portfolio breakdown
Month on Month change
February 2021 portfolio update: Race to $5 Million Portfolio