With all the COVID disruption to the property market and opportunities that come along with it, we feel like 2021 is THE year that’s going to allow a lot of Aussies to take their next step on the property ladder. So we’ve been diving deep into what makes smart property moves, where the opportunity is in the property market today, and how to buy property the right way to deliver solid investment returns.
Share market wrap
Tech shares clawed back their losses from last week off the back of a HUGE USD$2.5trillion+ stimulus package from Trump’s successor in the White House.
Key market numbers:
- The ASX ‘All Ords’ (top 500 shares in Australia) finished the week 1.08% higher than last Friday, on 7,014.6 points.
- The US ‘S&P500’ (Top 500 shares in America) finished the week 2.58% higher than last Friday, on 3,943.34 points.
- The US ‘Nasdaq’ (Top 2500+ mainly tech shares in America) finished the week 3.20% higher than last Friday, on 13,319.86 points.
- The Global ‘All World’ index (measured with the iShares MSCI world index (all share markets around the world combined) finished the week 2.53% higher than last Friday, at 114.27
Investment story of the week
NLS Pharma (NASDAQ: NLSP): This small company (small cap) stock has just secured a deal with the pharma giant Novartis. The deal is around accessing data around the obesity drug Mazindol that will allow them to accelerate their development of an alternative solution. Mazindol is used heavily in the US to treat obesity and high blood pressure, a rapidly growing market. Compared to Novartis with a value of $265b, the sub $100m value suggests a lot of room for growth
Money mistake of the week: Sh**tty property negotiation strategies
Over the last week I’ve kicked off the ‘property pro’ series on the podcast where I’ve had a bunch of property experts talk about buying property. One of the key focus areas has been how to negotiate to secure the property you want. Check out our property expert’s top tips here Apple, Spotify, Stitcher, Podbean.
How to Money series wrap
Last week we wrapped up the ‘How to Money’ event series in partnership with General Assembly and Raiz invest. I distilled the key learnings in a blog post here.
Weekly jargon buster – Credit Assessment (via Macquarie):
An assessment of an individual or business that indicates their ability to repay a borrowed amount, usually based on their credit history along with their income and expenses.
Money hack of the week: How to get your first Porsche for free
Last week I was chatting to contrarian property investor, TV celebrity, and property buyer/buyer’s agent Chris Gray who laid out the strategy on how he got his first Porsche for free (and made a bunch of money to go with it. Check out Chris’s strategy on the podcast here: Apple, Spotify, Stitcher, Podbean.
Podcast from last week: #92 Property Pro series w. Marcus Roberts
I’ve dusted off my interviewing cobwebs to get some guests onto the How to be successful with money podcast and had Marcus Roberts, mortgage broker superstar chat through his take on the hot hot hot property market we’re seeing now. Get around it on your podcast channel of choice here:
Smart Money upside #13 – Building a second income stream, property investing, and money confidence
Because people don’t often talk about the full ins and outs of their money, it’s hard to learn lessons from hearing what good and bad choices other people make. This story from one of our clients to help you take your money game to the next level.
Couple 30’s, four week old first child, household Income $260k, cash $60k, crypto $20k, saving $3k monthly.
Frustrations when first coming to see us
Starting to hit their straps with savings but not sure how to best put the money to work.
What they wanted from us / the advice process
Clear path to building a second income stream to set up their future.
What money strategy they were following when we started working together
Small amount of random investing in crypto, saving in cash.
What money strategy they chose to pursue our planning work
Rentvesting $1.3m, providing for a second bub, building a second income stream from investing.
Key benefits of going through the process
Starting investment portfolio, growing assets through property purchase, clarity on financial future to allow them to adjust savings rate to achieve their ideal financial position
Year 1 potential upside: $54,230
Year 20 projected upside: $1,200,929
If this story resonates and you want to chat about how to get these sorts of results, you can book an intro call here.
PS: If you want a hand to get on the front foot with your money in 2021, check out our 45-minute one-on-one sessions here. We’re donating 100% of the money raised to charity, so you can up your money game and do something good on the planet at the same time.
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