Off Market Bargain w/ Big Value Add

Harvey is a big earner, at the top of his career. He’s accumulating a portfolio of negatively geared investment properties with big capital growth and development potential.

This is the 4th property we’ve bought Harvey this year. The process has been fine-tuned over time… we know he likes big blocks in residential zones; he’s motivated by the bargain, and any property we suggest needs to come with a comprehensive analyses of market values; he wants safe townhouse projects with strong profitability, but won’t commence them for another 10+ years; and, we are authorised to liaise directly with his mortgage broker and architect to confirm numbers and scope.

An agent brought this off-market to me. The vendor was a young beneficiary from a deceased estate who was nervous about auctions, and was open to selling prior to advertising at circa $1.85m.

I quickly ran some comparative analyses, and touched base with a couple local agents I know and trust. Everything pointed to value $2.2m – $2.4m. Absolute bargain buy. And, the feasibility confirmed strong profits for a 3 townhouse development.

I rang Harvey on Friday, told him I had a ripper to inspect on Saturday, and I’d send him all info afterwards. Through careful negotiation, we secured the property for $1.85m within a few days, without competition from other buyers (we were simply too quick to act).

This ranks as one of my best ever purchases. We’ve built a high level of trust and working efficiency with Harvey and his team, and this paid off big time.