And we're

going to be looking at units.

Sorry to interrupt you there, Todd, because you do have the houses and units on the list.

And there were some decent house areas there like Malton, et cetera.

But I do prefer, I mean, you know, we've been putting our money where our mouth is and we've been buying in these areas for quite a long time.

So Springvale is about 22, 23 Ks in the southeast, very close to Dandenong, Noble Park, these type of areas.

And it's also sandwiched between some pretty exclusive areas.

It's not as simple as that.

What do you want to set the stage with on this one, mate?

Yeah, I think that's that opportunity cost you're talking about.

And it is, I mean, I brought up the Warren Buffett quote, but it is scary times.

Every time we've obviously had such negative news with the tax, we've covered that before.

We had to stop the cessation of SMSF lending.

We keep seeing like, we're going to talk about a Commonwealth projection earlier in the year.

in a second where everything was looking quite rosy in January, looking like pretty bullish in most of the capital cities.

like you said we're taking this with a bit of a pinch of salt but if you're looking at areas then that have already gone down five percent if we're talking about having that feeling of safety of security of not wanting to be that person that buys and then it goes down another five ten or like it really just goes crazy and crashes well i don't think that's going to happen let's just play that scenario for a second if the forecast actually is more like four percent are you kind of looking at this going then well then this is the bottom that they're talking about

Um, what are you seeing? Like, you know, this impact that we're seeing from government regulatory changes, like how are you, how are you sort of balancing all of that?

No, it's, it's, it's really interesting.

And [laughs] you're talking about portfolio construction.

It's interesting because obviously we've seen a lot of markets get smashed, and obviously there's markets within markets, as you talk about all the time.

But it's been a, it's been a really interesting period and, and, and, uh, and kind of like I always think, and I don't wanna ...

Because it's become a bit of a cliché, the Warren Buffett quote, you know, "Be greedy when others are fearful, fearful when others are greedy." But earlier in the year, everything, you know, the whole market was going gangbusters, buyer's agents everywhere, you know, do- you know, lots of people buying property.

All the sentiment was extremely strong.

[laughs]

And I was just like, that's, that's pretty decent.

Yeah, that's very good going.

Sort of like good on the owners there sort of coming together.

Was that many owner occupiers? Yeah, I think it was actually.

Yeah, because more care on the block.

So yeah, so that's good to see that nice, healthy balance here.

We're at the opposite.

Others, you're gonna have to pay a few hundred dollars for, but either way, it's sounding like the due diligence here is the difference between buying a dud and buying something that's actually really set up for, for solid growth.

For you, looking in the multi-dwelling market, the units and the townhouses and all that stuff that you're looking at, have the areas changed? Are you going further out, more regional, or are you still staying in the areas where you were maybe buying houses for people, but the briefs changed where you're now looking at units and townhouse because people think you know okay i've got to change my my brief now instead of investing in metropolitan i'm going to go out six hours west um how are you attacking that um from a strategy perspective in victoria

well you probably know me i'm i'm not a regional player i don't have any well I might have had one once a long time ago before you pull it up.

I think you're the only person who might know that one.

I'm a metro investor and for my own clients, I can't invest anywhere which I wouldn't put my own sort of money into.

So the amazing thing for me, I've obviously seen how well the unit market's done in Brisbane.

And so there is the opportunity to get into blue chip suburbs and get very good rental yields.

Now, they've compressed a little bit in the last few weeks, but we were getting roughly around 6% to 6.3% in the likes of St Kilda.

What things should we be doing to mitigate any oversupply issues that we might have when buying into, say, the unit market? And what things do we need to be considering when going into the unit market as well? So the mitigating factors, what things do we need to be looking at to avoid it? And when we're going and buying in there, what should we keep tabs on as well?

These areas tick all the boxes, and I think that there are a lot of areas up and down Australia that still tick those fundamentals for what makes, uh, a good investment property.

Yeah, 100%.

And, and, and you're dead right.

Sometimes I think we overcomplicate it.

Property's quite an, especially residential, it's a pretty easy asset class.

People need somewhere to live.

And then if you kind of strip out everything, obviously there, there is a...

Mm.

House price, unit price, what are we looking at?

Okay.

So Merrylands, the house price at the moment is 1.74 million, and the median unit price is 581,000, and that gives us a yield of 5.7%.

My, actually, I haven't talked about the rents, but the yield is 5.7% in that area.

And so what I wanted to do is- You know, while there are a couple of, couple in the list that we've talked about, like Lake Gambier, et cetera, before, what we've seen is quite big price growth in these areas.

Lake Gambier's up 18.2%, I think, in the last year.

Wembley

... 5Ks west of Perth CBD in a really exclusive po- pocket, close to Mount Lawley, et cetera.

Yeah.

This is where, you know, where w- w- where there's a bit of blood in the street.

I wouldn't say it's a total crash at the moment, but you can see the agents just coming to you, you know, with deals and trying to, you know, and options that were maybe, you know, 50, 70 grand cheaper than what you'd have been paying just two, three months ago.

In good suburbs, like that whole sort of golden circle with Ferntree Gully, Moorabbin, we talked about that yesterday even, but even slightly lower socioeconomic areas like Noble Park, all of a sudden, like, 422s coming in at off-market 740, 750, which would've been 820 to 850, like--

Mm

... trying to adopt this cash flow strategy.

'Cause I know you're gonna get the decent capital growth in the short to medium term.

Actually, I don't have a crystal ball, but I think the downside's very limited.

but this is gonna get you to life on your choice status.

And that, and that's kind of what we're looking for, especially, you know, over the next 10 to 20 years.

Like, financial freedom, we talked about it a few times.

Like, if you're the kind of person that builds this, you're gonna need to do something, but it's gonna give you options.

It's not about the Lamborghinis.

It's about having time to go and do these things.

And you don't need, you know, kind of eight, 10, 100 properties to do it.

Mm-hmm.

Please.

For leaders, it's more than just convincing employees or potential employees that there's purpose, there's value to what we do as an organization, but there needs to be line of sight.

Line of sight, by that we mean that the employee understands what they do impacts the organization's strategy, financial outcome, the things that they're actually doing.

Nobody wants to feel like an unrecognized cog in a wheel that is just spinning, working.

Nobody cares about it, nobody looks at it, and it's not enough to just get a paycheck for that.

People will trade off a lot of other things, um, that are...

And pay's gonna be important, but it's not necessarily the most important thing.

Okay.