RER Elite Mentoring Graduate

Blacktown Siebel, NSW


Background

This DGI Graduate found this property from court listing letter and obtained it through a takeover deal. The graduate originally planned it to be a renovate and flip however ended up subdividing the lot sold part of the land and stayed on the other part as there family home.

The Number

These costs include the purchase price, stamp duty, holdings, renovations and relevant adjustments, including the selling costs.

Expenses Cost
Purchased for $581,000
Renovation $92,200
Legal $3,900
Stamp duty $21,600
Penalty interest $6,300
Holding $44,000
Total cost $749,000
Total net profit NIL

Before and after photos from the renovations

Backyard Before

Backyard After

Kitchen before

Kitchen After

Bedroom before

Bedroom after

Living room before

Living room after

Room before

Room after

Top 4 Learnings: 

  • Always, always, always make sure your Plan B covers money partners!
  • Changing strategy is not the end of the world – in fact it is sometimes the best option.
  • Renovate all of it and don’t skimp on certain areas
  • Selling the property ourselves mitigated our loss, and was easier than we thought.

Unexpectedly we were unable to refinance due to COVID-19 because Mike’s offshore work was cancelled.
We chose to move on despite the loss, to repay our money partners and to port the mortgage to a new profitable deal.

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