We will show you how commercial would be more beneficial than residential, purely on numbers. This will include -
Four questions, about thirty seconds. Normally $495. We reply either way.
Tenanted, tidy, decent complex. Then we pulled the lease apart. The income was not worth what was being asked for it.
We do not get paid when a client walks away. We told them to walk anyway. That is the same process you get in the session, applied to whatever you are looking at.
Most investors compare gross yield. Gross yield is not what lands in your account. On a house you pay the rates, water, insurance, land tax and every repair. Under a commercial net lease your tenant does. That difference does more work than the headline yield.
more net income per year. $51,200 net on small industrial versus $19,412 net on an established house, same purchase price.
more it costs you when a commercial tenant leaves. Six months vacant, outgoings revert, letting fee, fitout contribution.
of good tenancy to break even on one vacancy event. A five year lease with a solid covenant clears it. A twelve month holdover does not.
Which side of that line you land on depends on the lease, the tenant and your holding capacity. Working that out for your numbers is what the hour is for. Illustrative figures, typical metro assets. Yours will differ.
Principal and founder of Homez Buyers Advocacy. Twenty properties bought for clients, around $15 million transacted, and a due diligence process that scores every asset before anyone makes an offer. The person who does the analysis runs the session.
Four questions, about thirty seconds. We check the session is worth your time before you commit to it, and we tell you if it isn't.
60 minutes on your numbers. What your residential portfolio nets after costs, what commercial at the same price would net, and where the risk actually sits.
Three to four pages in writing, yours to keep. Take it to your accountant. No obligation to work with us afterwards.
We would rather tell you now. If you are in the right hand column, do not apply.
For the first ten applicants. We are running these at no charge to build commercial case studies. 60 minutes, plus a written summary of three to four pages.
No. It is a paid product with a written deliverable, and roughly a third of the people we run it for are told to stay where they are. If we think you should not buy commercial, we say so in the session and in writing.
Then you have saved yourself a bad purchase and you still have the written summary. That is a good outcome, not a wasted hour. We would rather lose a fee than put you in the wrong asset.
We will tell you what it costs if you ask. We do not chase. If you want to take the summary and act on it yourself, or hand it to another agent, that is entirely your call.
No. Plenty of people run this a year or two out. Knowing what you would need, and what you would be buying, is more useful early than late.
No, and be wary of any buyers agent who says they can. We are not registered tax agents and we do not hold a financial services licence. We handle the property side and we will tell you exactly what to ask your accountant.
Probably not for a first asset conversation. If you are looking at a specific deal or a second purchase, tell us in the application and we will say honestly whether the session is worth your time.
Homez Buyers Advocacy Pty Ltd, ABN 50 677 376 368. Licensed real estate agent.
Everything on this page is general information only. It is not tax, financial or legal advice, and it does not take account of your objectives, financial situation or needs. We are not registered tax agents and we do not hold an Australian Financial Services Licence. We do not advise on whether you should use a trust, a company or a self managed super fund, and nothing here is a recommendation to acquire or dispose of any financial product.
Any figures shown are illustrative examples, not projections or guarantees. Property values, rents and vacancy periods vary and can fall as well as rise. Before acting, obtain advice from a registered tax agent and a licensed financial adviser, and get your own legal review of any contract or lease.
