CASE
STUDIES

Case Studies

First Home Buyer

First Time Investor

OCCUPIER

Adam has just completed his apprenticeship and is living at home with his parents. Adam has saved a deposit and is looking to get on the property ladder with the purchase of his first home.

Annual Salary: $55,000
Budget: $350-$450 per week
Savings: $30,000

INVESTOR

Debbie owns her own home and wants to start investing in property to take advantage of tax benefits and capital gains. All of Debbie’s preferred properties are outside her serviceability, unless she invests in an area with little growth.

Annual Salary: $110,000
Budget : $100 per week
Savings: $75,000

OCCUPIER

Adam has just completed his apprenticeship and is living at home with his parents. Adam has saved a deposit and is looking to get on the property ladder with the purchase of his first home.

Annual Salary: $55,000
Budget: $350-$450 per week
Savings: $30,000

Annual Salary: $110,000
Budget : $100 per week
Savings: $75,000

INVESTOR

Debbie owns her own home and wants to start investing in property to take advantage of tax benefits and capital gains. All of Debbie’s preferred properties are outside her serviceability, unless she invests in an area with little growth.

Adam and Debbie "OKIVESTed" and were able to purchase a 2 Bed apartment in the NSW coastal city of Wollongong for $500K, and secure a loan with a 10% deposit.

Adam:
Weekly Rent + Interest + Ongoing Costs
$360 per week

Debbie:
Rental Income – Interest + Ongoing Costs
$43 per week surplus

$500K

Purchase Price Year 1

$760K

Predicted Value Year 7

$260K

Capital Gain

After 7 years the property is valued at $760K; Adam and Debbie have made a profit of $130K each.

Self Employed Renter

Diversifying Investor

OCCUPIER

Alison is a self employed woman with a successful business and a substantial deposit, however she has been unable to obtain funding from the bank to purchase the same type of house in the area she currently rents. Alison is eager to call a house her own, however does not want to sacrifice where she lives.

Annual Salary: $125,000
Budget: $700 – $800 per week
Savings: $125,000

INVESTOR

Peter is a long time investor with a number of investment properties in Brisbane, however is keen to move into the Sydney property market. Peter is able to use the equity in his current investment property to test out the Sydney property market with a smaller outlay than purchasing on his own.

Annual Salary: $205,000
Budget : $100 per week
Equity in existing property: $200,000

OCCUPIER

Alison is a self employed woman with a successful business and a substantial deposit, however she has been unable to obtain funding from the bank to purchase the same type of house in the area she currently rents. Alison is eager to call a house her own, however does not want to sacrifice where she lives.

Annual Salary: $125,000
Budget: $700 – $800 per week
Savings: $125,000

Annual Salary: $205,000
Budget : $100 per week
Equity in existing property: $200,000

INVESTOR

Peter is a long time investor with a number of investment properties in Brisbane, however is keen to move into the Sydney property market. Peter is able to use the equity in his current investment property to test out the Sydney property market with a smaller outlay than purchasing on his own.

Alison and Peter "OKIVESTed" and were able to purchase a 3 bedroom home in Sydney’s Alexandria for $1.2M, and secure a loan with 20% deposit.

Alison:
Weekly Rent + Interest + Ongoing Costs
$770 per week

Peter:
Rental Income – Interests + Ongoing Costs
$173 per week surplus

$1.2M

Purchase Price Year 1

$1.83M

Predicted Value Year 7

$630K

Capital Gain

After 7 years the property is valued at $1.83M; Alison and Peter have made a profit of $315K each.

Recently Divorced

Retired Investors

OCCUPIER

Sally is recently divorced, and rather than move her young family away from their home she is wanting to buy out her ex husband’s share of the property. On a single income, Sally cannot afford the repayments for the home alone. With the value of her home increasing since the original purchase, Sally already owns a portion of the home outright.

Annual Salary: $98,000
Current Outright Ownership: 50%

INVESTOR

Robert and Janet are recently retired with significant savings in their superannuation fund They are looking to invest in property to give them ongoing rental income, whilst also taking advantage of property price increases that they can capitalise on in the future. They want to use a portion of their superannuation to purchase an investment property outright.

Superannuation: $1,650,000
Portion To Invest: $900,000

OCCUPIER

Sally is recently divorced, and rather than move her young family away from their home she is wanting to buy out her ex husband’s share of the property. On a single income, Sally cannot afford the repayments for the home alone. With the value of her home increasing since the original purchase, Sally already owns a portion of the home outright.

Annual Salary: $98,000
Current Outright Ownership: 50%

Superannuation: $1,650,000
Portion To Invest: $900,000

INVESTOR

Robert and Janet are recently retired with significant savings in their superannuation fund They are looking to invest in property to give them ongoing rental income, whilst also taking advantage of property price increases that they can capitalise on in the future. They want to use a portion of their superannuation to purchase an investment property outright.

Sally and the Smiths "OKIVESTed" Robert and Jane purchased 50% of the property using their superannuation savings.

Sally:
Weekly Rent + Ongoing Costs
$660 per week

Robert & Janet:
Rental Income – Ongoing Costs
$510 per week surplus

$1.5M

Purchase Price Year 1

$2.29M

Predicted Value Year 7

$790K

Capital Gain

After 7 years the property is valued at $2.29M; Sally as well as Jane and Robert have both made a profit of $395K.