How Daniel Scaled a Portfolio to 7 Purchases across 4 States in 4 Years

The Client

Daniel was introduced to InvestorKit by a close friend of his who’s had a business to business relationship with InvestorKit. Daniel was skeptical at first considering he had a booming business, and had purchased multiple properties on his own. Daniel trusted his friend though and felt it was best to give us a go.

Using us for the first purchase he started to compare us to being another staff member or advisor in his business. Outsourcing key activities to those that were more specialised than he was, could deliver an outcome, had a track record and demonstrated the capability/expertise. This then made the decision making smoother for him, because he saw us as his real estate advisory firm and he just had to bring the cash, then lending and sign the papers. 

This mindset has been something we’ve seen amongst our most successful business owner clients who have the most prolific rises in their portfolios. They understand their problems:

• Time poor
• Sick of missing out on properties
• Don’t enjoy dealing with sales agents
• Don’t have a clear strategy
• Aren’t experts in researching markets nor do they have a clear battle-tested research process
• Afraid of making mistakes so due diligence is critical to them
• Don’t want to be stuck with paralysis analysis instead they want to be guided  

Simply they want all of this gift wrapped with a seamless experience with in-depth and high-frequency communication. These people become extremely trusting once they see this all being ticked. Daniel wanted and displayed all of the above.

Process at InvestorKit

Our strategy for Daniel was to take him through an aggressive acquisition phase with purchase in quick succession so we can catch up on lost time and build a prolific portfolio. Our scaling formula consists of acquiring foundational assets (properties 1&3), momentum assets (properties 5&7), and then passive assets (properties 2&4). This gave him diversity across 4 states in Australia, high growth assets, balanced with other higher-yielding assets, alongside high cashflow unit blocks and commercial properties. In our opinion the perfect construction of a property portfolio.

First purchase in Queensland has grown 72%

• Purchase Price: $550,000
• Purchase Date: 2020
• Estimated Valuation 2024: $950,000

Second purchase of 3 units in Regional Victoria has grown 30%

• Purchase Price: $930,000
• Purchase Date: 2021
• Estimated Valuation 2024: $1,200,000

Third purchase in Adelaide has grown 39%

• Purchase Price: $790,000
• Purchase Date: 2021
• Estimated Valuation 2024: $1,100,000

The Results and Future Plans

Daniels’s confidence in his family’s future wealth being built, and in good hands was as high as it could be. Allowing him to now pause and consider buying his dream family home. Which he did, (property 6). Due to the relationship built with us and the outcomes being achieved, he didn’t want anyone else negotiating on this place but us. 

Daniel’s now gearing up for more assets, however with a solid residential portfolio put together our focus will remain on commercial assets.

Daniel has gone on to become one of InvestorKits biggest advocates, referring close friends on multiple occasions.