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In Episode 18 of the Property Investing Journey podcast, Mike is joined once again by Brendan Clark, Principal Buyer’s Agent and Founder of The Property Curator, to discuss the finer details of yields and property investing cashflow.

With a background in Analytics and Strategy, Brendan brings a unique skillset to his role and provides arguably a more comprehensive service to his property clients by ensuring that  they fully understand the cashflow position of the investments they are considering.

Brendan shares his view that property investing should be treated like any business. Regardless of the size of the investment, both income and expenses need to be analysed and understood in order to gain a clear picture of the true cashflow position. Brendan and Mike discuss the best way to go about clarifying specific expense categories and how to best capture interest and the cost of capital as the portfolio builds.

More than just a rule of thumb exercise, Mike and Brendan’s conversation will have you re-evaluating your approach to your property investments. By providing clear examples and simple steps, this podcast is your roadmap to greater investing profitability and peace of mind.

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Podcast Transcript

Mike is joined once again by Brendan Clark, Principal Buyer’s Agent and Founder of The Property Curator, to discuss the finer details of yields and property investing cashflow. Brendan shares his view that property investing should be treated like any business. Regardless of the size of the investment, both income and expenses need to be analysed and understood in order to gain a clear picture of the true cashflow position.

What we cover in this episode

  • Understanding the cashflow of investment properties
  • Pressure testing income and expense assumptions
  • Is there a rule of thumb for calculating expenses?
  • Common traps where investors get into trouble
  • Factoring in the cost of capital for equity release
  • Brendan’s top tips for managing yields and cashflow

Quotes

“It’s easy to get caught up in the trap of finding somewhere and getting some numbers that fit the narrative that you’re after  “ Brendan 2:24

“It’s like a Profit and Loss statement for a little business…a three bedroom house, a two bedroom unit, it’s a property business, I treat it as such.“ Brendan 4:42

“If you look at a place on Domain Real Estate or something like that, it will have that weekly rent there. Unless it’s currently tenanted you’ve got to dig down to understand if (that rent) is fair value“   Brendan  5:26

“Landlord insurance is not optional, it’s an absolute must have in my opinion” Brendan 7:32

“At the end of the day, it is a business and you don’t want to go into it thinking you’re going to make x amount of dollars and…you make substantially less than that“ Brendan 13:15

Links mentioned

https://gearedforgrowth.com.au/podcasts/episode-120-interview-with-brendan-clark/

 

 

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