Latest / The Follio Property Podcast / 4 Investors, 1 Budget: Which Strategy Performs Best?

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4 Investors, 1 Budget: Which Strategy Performs Best? · The Follio Property Podcast

• 0:00
  Lachlan, is it strategy or asset type? Well, we're going to cover that off today, Rhys. We've got four independent strategies, four clients, the same budget, different scenarios. So we're going to talk through that in detail and some of those are. So we've got a regional family, mid-30s, three kids, current investors themselves. We've got FIFO worker with a partner, so double income, no kids. Also got a professional couple, high income, mid-40s. And then we have a young first-time buyer who's a rent investor still living with her parents.
• 0:27
  All with the same budget of 850. All with the same budget of 850. If anyone has a different scenario that we haven't covered off today, please leave it in the comments and we'll get to it. Lachlan, what's more important, strategy or asset? Let's cover it off in the podcast, shall we, Rhys?
• 0:46
  Okay, today we're going to talk through, and we've probably heard us speak on the podcast about this numerous times about strategy over product or asset. We're going to talk through four cases we've recently done, four investors, same budget under $850, four completely different strategies. And hopefully, you know, people can relate to each one and see which one they may be. What we're going to discuss is a regional family, a FIFO worker, professional couple, and a young first-time buyer as well.
• 1:14
  And there's a mix between, you know, incomes, jobs, obviously you've discussed and situation, which for me is probably the most important thing, understanding their longer term goals and where they're at in their own personal journey. Yeah. And it's all the same budget. I think that's why we so passionately speak about strategy over... Over asset. Exactly. Okay. So with the same budget, why can outcomes be so different for different investors?
• 1:41
  Because as we've gone through so many different scenarios on this podcast, whether it's a debt reduction strategy, it's going to be a capital growth strategy, cash flow strategy, whether it's a rent investor strategy. Um, and why they're so different is because everyone's got different goals and they're at a very different point in their cycle of life. And so depending on where they're at and what they're trying to achieve and not everyone wants to be a multi multi-millionaire cause it's the numbers suggest that it won't happen. Some people want to knock off debt extremely quickly cause they don't feel comfortable with debt.
• 2:11
  Others want a passive income at retirement. So depending on what they actually want to do, someone have a beach side home and have a holiday house down south. Depending on what they're going to do will depend on what the strategy we're going to recommend based on their personal situation.
• 2:24
  And I think the big thing as well with these strategies is that there are variables as well. So someone could have an end goal, which is the classic one we hear is 55 retirement age or this passive income. But they know, you know, maybe that's a 20 year period to get there. There's going to be different variables throughout that 20 years where maybe the strategy has got to quietly, sorry, maybe that strategy has got to change a little bit there, whether it's.
• 2:46
  down to a single income, whether it's kids going to university. Private schools fees, that's a big one that people forget. They come into the meeting, first thing we ask is where are kids going to go to school. Let's make an allowance of a couple hundred thousand for that during that period. But also, you're right, a lot of people come in and say, I want 150K passive income from 55 homes worth. Fantastic.
• 3:04
  are you happy in the house you're currently living in? Are you going to be there for the next 20, 30 years? No, we're definitely going to upgrade that. Okay, well, that's a completely different strategy because let's help you get to that stage before we start thinking about the retirement income. But we want to see holistically where they are now, where they're going to get to in 10, 20, 30, 40 years, and what things can we forecast in between that start point and finish point that may pop up. Kids, school fees, upgrade a house, downgrade a house, holiday home. Okay, let's start to net that out.
• 3:31
  much like a financial planner does when they sit down and go through where people want to be in their life journey. We need to do that in a property sense. And you may ask why, because I can't give you the best advice for your property portfolio if I don't know where you want to be in 10, 20, 30 years' time. Yeah. The more you provide, the more you can get out for a tailored strategy at the end of the day, isn't it?
• 3:52
  Absolutely. And that's why we really encourage that when clients come to see us, be really open and honest and transparent. When we ask clients to complete their PropStack client portal, we ask them to be fully transparent and fill that in. Because if we understand all the moving parts, and that's all debts, including your credit cards, all savings, any potential insurances, those sorts of things, the more information they have, the better and more tailored these advice will be. What about when someone's confirming a strategy,
• 4:22
  with their property advisor or maybe they're confirming their own strategy, how often should they review it? I know you're referencing there and we've both spoken about there's gonna be life events where you're gonna need to alter the strategy a little bit. How often should someone actually sit down and review, okay, is this strategy still right for me now? Or should I look to tweak this slightly? Yeah, there's two parts to that reason. One is reviewing the assets.
• 4:47
  in the portfolio, and that should be done at a minimum every 12 months. Ideally, six months after you purchase a property, and then every 12 months after that. And what do you mean when you're looking at the assets? You should be always trying to maximize the highest and best use of that asset. So how's it renting? Is it underperforming? Is it overperforming? Is there any capital works that need to be done to increase the rent? So every property in your portfolio should be looked to maximize its returns in any way we can. Is there opportunities to restructure the debt? Is there
• 5:15
  increase the rent can we pull out some of the money and putting that in an offset so these are the things that we should looking at on an asset point of view and again the strategy piece you want to be reflecting on that at the same period of time likely in a minimum every 12 months so they sort of go hand in hand but typically over two different meetings one's very different to the other and you're like that sounds ridiculous but one is going back to the strategy what are you doing with your life how are you going managing the current debt
• 5:40
  You've taken on over the last two years more debt than you had previously, more debt than you probably felt comfortable. How are you going with that? Are you able to make payments on time? Are you not having, is your cash buffer still above 10%? Because that's really important. Is your cash to debt ratio is where we need them to be.
• 5:57
  So that's a real strategy conversation. And then in a secondary meeting, let's look at the portfolio holistically and independently because often there's an opportunity cost if there's a D or C grade asset in there that needs to be addressed. A rising market covers up a lot of mistakes. So when do those mistakes come to fruition? It's typically when the market turns. So it's an opportunity to have a look at those individual assets and see if we can replace them with better quality assets over a period of time.
• 6:23
  When we say advisors out there or buyers agents have certain agendas rather than providing strategy, what do we mean by that? I'd say the first question you asked is how are they incentivized? And that's where you see if they're getting paid by a builder, then naturally they're going to try to push you towards that product. Or if they're fee for service, then okay, that makes sense. What am I actually paying for? How much of this is actually through the strategy piece? How much is for the acquisition piece?
• 6:49
  And then understanding their restrictions or restraints to where they can invest or where they are investing. So if it's a small one to two man ban in a localized area, well, regardless of macro markets, they've only got capacity to probably buy your properties in their location.
• 7:06
  Larger firms that preach national exposure, questions asked, do they actually have capacity on the ground to inspect every property they're buying for their clients? And at what capacity and what does that look like? So it's just trying to really stand back and listen to the advice and see if it's going to be actually tailored to you. And one question I would ask is change the situation on them and see if the advice changes. So hypothetically, one scenario to you as the advisor is that
• 7:33
  We're going to work, both of us, both me and my partner are going to work for the next 10 years. We've both got secure jobs, pay YG, and we don't plan to have kids and we want to maximize the capital growth in our portfolio. What do you recommend? Versus.
• 7:46
  My partner, we look to have kids. She's not going to be at work for the next eight years. We're a little bit, we don't want to take on as much debt and we want something that's more mutually geared. What is the advice that you would give? If that strategy the advisor is going to give is very similar, you know that they're full of BS. They've got a product, an end goal in mind, and regardless of your situation, they're going to find a way to get you to buy or try to buy that product.
• 8:10
  And nine times out of 10, they're probably going to suggest that product within the first 20 minutes of having a conversation with you as well. Not often. They're getting better at sales, right? So, and a lot of these firms spend a lot of money on upskilling their staff on how to sell. So, really good. Yeah.
• 8:27
  I won't say manipulators, really good spruikers out there, won't try to sell you that product in the initial meeting. They'll work off your pain and pleasure points over a series of two or three meetings to work out what drives you from a passion point of view, and it might be making money building a portfolio, the holiday home.
• 8:42
  or what you're afraid of, not having enough money at retirement, not being able to afford your dream home, worried about taking on debt. So, no, they won't necessarily pitch you a product in the first 30 minutes, but they will after meeting two or three. And they're very good at finding a way to get your pain and pleasure points to make it feel like it's been authentic and make it feel like it's a strategy based on your tailored needs.
• 9:08
  So trying to understand that and work through that is go through that process, then throw them a couple of curveballs in terms of what if my scenario changes. And if the end goal remains the same, well, clearly they're not doing what's in your genome. That's some great advice, actually. Throw that curveball in there and see. After the advice has been given. Yep.
• 9:27
  And I have it frequently because clients will call me up out of the blue after they've recently bought a property and say, something's changed or we want to do this. And it's like, okay, what do you reckon? There's a great opportunity. You think I should buy it? No, Reece. Let's catch up. Have a chat. See where you're at and why is this change? Oh, my brother-in-law just bought a property off the plan in regional Queensland. And it's $200,000 in the deal day one.
• 9:51
  Okay, I'm not going to straight away just say that's a terrible idea because I don't fully, I'm not across that asset, so I can't give that advice. But how does this actually fit in the strategy we discussed and what's changed in your personal world that this is now a good idea? And often, you know, most people just need that level of guidance because there's so much information out there, so much noise, so much you can read and, you know, podcasts, there's Insta Reels, you know, there's information in abundance at the moment and it's easy to get excited about something.
• 10:17
  All right, let's kick it off then with the four scenarios that we've recently supported our clients with. So the first scenario was a, and you'll know this one better than myself, but family in regional Vic, late thirties, three kids, was it a single income, I believe as well? Single income. Income wise, we under sort of 200K? 175. 175. What was their, do you want to explain their situation?
• 10:44
  Yeah, so it was a married couple, three kids, had taken on quite a bit of debt when we purchased an asset in Western Australia, in Perth. Capital growth asset purchased for $750,000. Come to me 12 months ago in a great deal of stress because they were just running out of money. Their cash buffer went from 14%, which I was really comfortable with.
• 11:07
  Obviously, their spending habits probably contributed to that, and the cash buffer was down to 3%, and you could really sense that stress was starting to creep in. Met with a couple 12 months ago, wanted to sell. My advice was the Perth market wasn't the time to sell because it was gonna see further capital uplift. That property at the time was probably worth 11 to 115.
• 11:26
  So advice was to speak with the broker, refinance, pull out some of that equity to put in an offset as their cash buffer, to increase their CAF buffer now above that 10% range, which gave them sort of 12 months of comfort that they weren't going to run out of money. When you say cash buffer, just to go back there, you're talking about?
• 11:46
  I guess surplus cash that's readily available. Exactly, very liquid cash. So if something pops up and things happen, right, and it could be an emergency, it could be a medical emergency, we want ideally more than 10% of cash relative to your debt. So if you had a million dollars in debt, ideally you've got somewhere between 100 and $150,000 in cash.
• 12:06
  In an offset, it's completely fine because it's liquid, but that's important for us as a business because it just stops you being in a position where you have to force sell something and stops clients from running out of money or putting themselves in a really stressful situation. So their scenario, essentially they went from 14% cash buffer or thereabouts down to a 2% or 3% refinance, put that capital into an offset and then,
• 12:29
  Bought them another 12 months. I said, please hold because you're going to do yourself a disservice. Because understanding entry costs, stamp duty, exit costs, selling agent fees, and holding costs, we want to let the asset mature properly. And then 12 months later, the asset was now worth $1.2, $1.25. I was more than comfortable. So $500,000 of uplift there. And they were ready. Albeit, we know there's definitely uplift left in the market and we're not going to
• 12:58
  They were fully aware of that. Their oldest child was now going to private school, so it was going to put more stress on the situation. And so it made sense at this point, let's do whatever we can to maximise the exit. So budget of $50,000 for agent fees, staging, getting the house ready for market, painting, ancillary improvements, et cetera, and achieved $135,000 on the exit. Able to use that $600,000.
• 13:22
  to pay off pretty much all their debt on their primary place of residence. Huge milestone for them. In regional Victoria, property's probably, home's probably worth one, three, one, four. And now they have three kids, one going to private school this year, followed by the other two going over the next two or three years. And they're going to be able to do that. They're probably the most challenging financial years of their lives in a debt-free environment. Very liberating.
• 13:46
  So in this particular scenario, the strategy was do nothing. Do nothing. And it's, and yeah, we'll get a call and we'll have another meeting within six months.
• 13:57
  where they most likely will get excited. Oh, actually, we're doing okay. The strategy will be to do nothing for a period of time and enjoy a period of their life debt-free until their financial affairs are back in order. And that may be when both parties are returned to work, cash flow is now well and truly into the positive and they're across their finances. And when that time comes, absolutely, it will warrant another investment.
• 14:22
  But until then, let's just catch up frequently every six to 12 months and just see where their personal affairs are at and really have a high level strategy meeting at those points. Interesting. Okay, let's go to scenario two, which is a scenario we do come across quite a lot, I'd say, especially being based here in Perth. But a FIFO worker, 30 years old, double income, no kids, had a partner, high income.
• 14:47
  The goal is to leave the mines. And this is the one we get quite a lot through. I've actually had a few come through the podcast, actually, that are working on the mines. And the goal is really to get out of the mines. This person had an 850 budget. Do you remember the scenario? Can you talk into more detail about this particular applicant?
• 15:05
  Yeah, I can. And it's usually talking about the mines. We find there's one or two types, one that's really keen to get out of the mines or the other that's just addicted to debt and just uses that income to buy as many assets, often not property related assets, boats, utes, cars, jet skis, bad debt, we'd call it. And then they become a slave to their mortgage and they come to us after the fact and say, well, I don't think I want to do this forever. Yet their strategy hasn't been set up in the best way.
• 15:33
  Because they might have spoken to a mortgage broker, which really can't give them some advice around this space. We've got some bad advice by a planner, et cetera. But anyway, this scenario here, yeah, 32 young gentlemen, really established portfolio, four regional assets across Australia, had done quite well. Yeah.
• 15:50
  up to this point, you know, we're talking $1.2 million of equity, and capacity to borrow another 850. So pleasing to see what he's been able to do in five years. And really his mission is to get out of the mines. And just to, just to kind of let the viewers know or the audience know, you said some regional plays there, particular areas, areas that you liked or where were these regional assets?
• 16:13
  So regional Victoria, so Ballarat was one of the assets, timed the market somewhat okay, got in there before the market there busted. Was one in Gladstone, probably had some concerns around that asset. Look, it's done well in the short term, but a very small population centre with a lot of volatility, have grave concerns. And that's one we may look to switch outside the portfolio and my advice will be to do so, because it's already done its job. Townsville is the third asset and Mackay is the fourth.
• 16:40
  So red flags there are three assets in regional Queensland in mining dominated areas. Okay. So short-term play, well done. Can work. Has worked. Some of them have worked. I think one of those assets there, be that Townsville, he's got in too late. And to come to buy another. And the idea is he wants to do a lot of the heavy lifting now to get out of the mines. So then he doesn't have to rely on the income that he's on. Because he's on collective income between him and his partners, 250 grand a year. Yep.
• 17:09
  So you have like $1.2 million of equity you mentioned there as well, didn't you? Yep. So in a really good position and really wants to get that to $2 million of equity. So then he can exit the mines, pay off some debt. Mind you, he doesn't have his primary place of residence. So this is a rent-vesting strategy and wants to do that and own very little on his primary place of residence.
• 17:29
  So I'm like, okay, well, there's a great divestment strategy coming up in the next probably two years with those regional Queensland plays, but he needs some A-grade capital growth exposure in a capital city. Something that can sit in the portfolio and he can hold long term and really underpin his total portfolio.
• 17:44
  So that advice was an A-grade established property in Perth and able to achieve that. And he's bought a character dwelling three by one for 850K on 425 square meters in an A-grade suburb, one of our bi-suburbs. So I'm really comfortable with that. That will rent for about close to a 4% yield. That will sit there and be a foundation asset in his portfolio, which is really, really important.
• 18:08
  What will probably come to fruition over the next three years when he works out where he wants to be is in the mining space. He's pretty much worked all over Australia. Once he works out where he wants to reside, there'll be an opportunity to divest some of those BC and really degrade assets in those mining-centric areas. Yeah.
• 18:26
  to either pay down debt on the capital city exposure, be that Perth, or when he buys his primary place of residence, he can buy that at a very low LVR, but likely less than 50%. And was the recommendation to look to sell off any of those regional assets, or are we still, I guess, is there still time left in the market for some of those? I know you've spoken previously at length about Gladstone, some of the concerns you got there. Was there any recommendation to sell off any of these assets?
• 18:54
  No, and I think it's important that on this show, we don't like trading assets aggressively. And I think that can be probably a missed message. That can often be a missed message probably on our podcast is we're not just buying and selling, buying and selling because it doesn't make sense to do so. We like longer term holds. The only time when you start to trade assets in your portfolio is if you've got a degrade asset, right?
• 19:16
  Or when you've got an opportunity cost constrained in your portfolio. And what I mean by that, you've run out of debt or the ability to get more debt. So with this scenario, the egg capacity is probably to borrow up to one, 1.2, 1.3. That wasn't our advice is to go and spend that. It was to peg it back. Let's get something between 650 and 950, broad range I know, something blue chip that can, like I said, be the foundation asset in the portfolio.
• 19:43
  The Queensland market, albeit has its downfalls, and absolutely I think it's not something we'll see in the portfolio longer term. I think it's a little bit premature to sell them this year, but it's something we need to keep an eye on. Probably meet on a quarterly basis with that portfolio because you do not want to miss the top of that market and I don't think it's too far away. Scenario three, we've got a professional couple based here in Perth.
• 20:07
  mid-40s, two kids, both on a high income, both working. Talk to us about this particular applicant. So this scenario here, fortunate position. They've got a blue chip asset as their primary place of residence that is relatively conservatively geared at about 65%, so we're comfortable with that. We purchased quite a blue chip investment asset three years ago, which has performed up about 70%, 75%.
• 20:35
  And their strategy, because they pay so much tax, they're in the high income brackets, is very much a negative gearing strategy, which isn't, like I said, doesn't work for everyone. This particular client wants to reduce their tax position. So the initial advice we met three years ago was exactly that. Get a high land value tax.
• 20:52
  negative geared asset in Western Australia. We did that. Full block Wembley, 730 odd square metres. Land to value ratio was like 90%. So the negative gearing on that was significant. So it's costing them 50, 60 grand a year to hold that property. But the capital growth has been astronomical. And that's what you typically see in a negative growth asset, higher capital growth. But the holding cost is significant. But understand they're going to get that back on their tax.
• 21:18
  So three years down the track, we've got themselves in a pretty good position and did nothing in the meantime because, again, with that sort of cash burn, you can't be buying one of these every six months. It's not sustainable. But then now I've got the debt.
• 21:31
  Further down on their prime place for residents, still geared highly on their investment, but the LVR crossed that because the equity position of the investment property, it's now time to do something else. So the outcome of this scenario was to buy a blue chip established asset within the Melbourne market. Price point somewhere between 800 and 1.3. We're going to be looking...
• 21:50
  sort of inner to mid-tier eastern suburbs, again, ideally somewhere between 70% to 80% land to value ratio. It will be very highly negatively geared, likely yields are probably three to three and a half percent, but that's going to work for them in their current tax situation. And the fundamentals of that asset, we forecast strong capital growth.
• 22:10
  And with that conversation that you had with those particular clients, is this, it seems like from the Wembley acquisition that they had, is their strategy very much to get in, get that capital growth, be aggressive on the cash flow while they've got the income there, rather than buying multiple assets that are probably more neutrally geared?
• 22:29
  Correct. So they've got a huge tax problem. They don't like that they pay so much tax. And why they are both on high incomes, which is a probability that one of them won't be forever. Let's take advantage of that. And they don't want to have five, six, seven properties in their portfolio. They'd rather blue chip.
• 22:46
  quality over quantity, which is a strategy that I've endorsed personally. And that's going out and getting these blue chip. And when you buy an asset of that sort of quality, it's a risk mitigation as well, because if there is any market movements or global events, those blue chip areas typically weather the storm much better because they're not as volatile because they're dominated heavily by own occupiers. We're talking suburbs where it's 85, 90% own occupier activity. So it ticks both of those boxes.
• 23:14
  It takes the tax scenario, negative gearing strategy for them, and they're in a position to be able to afford that cash burn. Not everyone can afford, you know, 30, 40, 50 grand a year cash burn in terms of paying the outgoings to hold a property. So it doesn't work for everyone. But for this particular situation, it works well. And the reason Melbourne was the recommendation for this particular client, is that because it has the biggest runway with that particular asset from a longer term play?
• 23:38
  Two-fold. So first, diversification, really important. They've got their prime place of residence in Western Australia as well as a strong investment, blue chip investment. It would be, although it would seem easy for us to give advice to invest in our backyard, it wouldn't be the correct advice. Therefore, get some diversification in the portfolio
• 23:57
  in a market that we are looking at the data sets is extremely affordable in context of Melbourne's history. But B, you're right, Rhys, Melbourne's got now for the first time in 30 years a runway in terms of affordability. Population growth is strong and it's an opportunity for them to invest in an international city. There's only two in Australia, Sydney and Melbourne, which may be the only moment in time. So it made a lot of sense and they're very happy with the purchase that took place in Blackburn.
• 24:27
  Now let's move to scenario number four, which is a female, single, mid-20s. She's actually a rent investor, still living with her parents. Parents have kind of helped her get into the market with a bit of a deposit. $850K budget.
• 24:43
  income, you know, she's early on in her career. So it's mid range, I would say what was the this particular client? What was the scenario? So no assets to hold at the moment. So there was no portfolio review of such because this is her first time entering the market. She had some help from mum and dad for the deposit. She did save up a fair bit herself. But you know, being a first investment, cash flow was a bit of a concern.
• 25:06
  Yeah, and this comes back to a lot of first-time investors that we see. Cash flow becomes really important because we don't want to see a first-owned buyer be put under the financial stress of a heavily negatively-geared asset because what happens? They can't afford it. They get uncomfortable. They sell it. Once you're taking entry fees and exit fees, it ends up being a modest return, if sometimes a neutral return for them. So,
• 25:33
  Cash flow becomes important. When we talk about cash flow assets we talked about on the podcast, there's a few different scenarios they can look at, depends on their level of comfort and depending on where and what type of asset they want to get exposure for. This particular scenario, the obvious solution was a Perth villa. A, they've got comfort in the market, they don't have exposure anywhere else.
• 25:53
  So I'm okay with Perth at this point in the cycle. Villa, we see a huge upside for that. It's an affordable price point between that sort of $6.50 and $7.50, and it's going to give a return of 4%, 4.5%. Our other options would have included, as we've heard on previous episodes, a potential cash flow asset through that building scenario where you can find infill assets that land in-house,
• 26:18
  the cost to build them is actually a lot less than what the established market is currently trading for. But in her scenario, she wouldn't have been able to afford the holding costs of building. Therefore, it wouldn't have been the right asset for her, certainly. And although that was probably her preference, getting a brand new home, getting excited about that because it's a new build, it's typically more aesthetically pleasing.
• 26:38
  We got a 1950s villa, not the prettiest asset on the street, but certainly functionally and fundamentally a really strong two by one solid asset for a downsizer or a young couple. So it ticked the boxes there. And like I said, the cash flow was strong and already we've seen, you know, for settlement and equity uplifting that asset.
• 26:59
  Interesting. So hearing, you know, the reason why the villa totally makes sense, but it was interesting hearing you even say there was another option there, but for particular circumstances, cash flow would have been an issue trying to go down that new build route.
• 27:11
  That's it. So we need to put the cash flow in the forefront and understand cash flow is not at the detriment of capital growth. We're always looking for that. But typically there's a balance. And like I said before, land value assets typically carry more capital growth. We know that. That's why we like them as assets. Can't have someone in their mid-20s who's never had that level of debt before, spending 30, 40, 50 grand on paying their mortgage a year. It would be terrible advice to give her. So...
• 27:36
  really happy, really comfortable, family are wrapped. And what an effort at 25 to be on the property ladder and building out your portfolio through a rent-vesting strategy.
• 27:45
  Excellent. Okay, let's summarize. So scenario one, regional family strategy was actually to do nothing, sell up. It's pretty boring. And pay down the principles. We are pretty boring often on this podcast, so there's no thrills there. Scenario two, FIFO worker dinks, we call them double income, no kids. Advice was to get a blue chip asset. We call them dinks. We call them dinks, yeah. That's a first. Yeah.
• 28:08
  Advice was to get blue chip asset based here in Perth. It was established house. Scenario three, good income, professional couple in their 40s had done well with a very good blue chip asset from an investment in Perth as well. Advice was to get into the Melbourne market. Established asset, high land value. Established asset. And then as we just discussed there, scenario four,
• 28:32
  mid 20s, rent investor, cash flow is obviously king in this scenario. So going down the villa unit space. Correct. The key takeaway in this whole episode is you can have the same budget for completely different scenarios in terms of circumstances, families, where they are in terms of an age perspective as well, and for different recommendations on what to do. It's really important. And I think anyone who's going out into the property sphere of investing is
• 29:04
  should be looking or seeking tailored advice. And if you aren't getting that, and like I said at the start of the podcast, how to test that, how to check method that, work out how your potential advisor is getting paid, it becomes really, really important. But if they can't understand your situation, then it's not the right advice for you. And anyone listening, if you were in this similar situation with a $150K budget,
• 29:26
  Would you take these strategies or is there a different, different circumstances that you'd like us to address? Please put some comments in the show notes as we can address that on a future episode.