Run Into Real Property People . . .
. . . and Joint Venture !

Serial Joint Venturers

Abby Levin, 46, a married mother of three children from Malvern, Melbourne has a portfolio of five investment properties.  Her husband, a keen investor, bought their first investment property in 2000 for $256,000; it has just been re-valued at $600,000. They have successfully completed two JV projects and have just embarked on their third development.

Abby was inspired to get involved in property investing after attending a Reno Kings workshop.

My husband was always interested in property. He wanted to do a Reno Kings workshop about 3 years ago but couldn’t go because of work, so I went instead. I thought it would be interesting, but Geoff and Paul were really inspiring and got me motivated too.

Although Abby’s husband had already invested in property, the workshop changed their strategy.

Initially, we would buy and hold without much of a “hands-on” approach. Now an investment has to have a “twist”, and preferably more than one, to increase either cash flow or equity faster.

You never know where you'll find a JV partner

Attending the Reno Kings workshop also indirectly led Abby into a new joint venture partnership. She believes that now is a great time to explore the benefits of joint ventures. Read on to hear how Abby literally ran into her first JV partner!

With the current economic climate, it is an ideal time to enter into a JV and share the load. If you want to invest in property, but the drop in the share market has depleted your savings, a JV lets you invest using less money and allows you take advantage of cheaper property prices.

Also, a JV does not have to be shared financially, as one party can source the funds and another party can bring their expertise or time and management skills to the project.

As well as putting property investing within reach, JVs also reduce the risk.

You can diversify more - instead of having your money tied up in one project, you have more funds to spread around and reduce your investment risk. 

Abby acknowledges that investing in your first property is always scary, but do your homework and the rewards will be worth the effort:

Research property on the Internet for a few months, go to inspections and follow the auction results, and you will feel confident that you’ll recognise a good deal when it comes along. Set yourself a time limit so you commit.

The first project always has the steepest learning curve, but once you’ve done it, the next one is much easier as you already have a pool of professionals to turn to and you now speak the “language”.

All you need to do, she says, is take that first step.

Join email lists of property groups - getting a newsletter costs nothing and there is always something to learn. Read property magazines and books and go to seminars and workshops. Just get out there and give it a go!

 

Image : Abby's first JV townhouse. Abby's story is truly motivating!  Click here to read the full article and see the result of the second JV project.