Smart Property investment
Dear Friend
- Do you want to buy undervalued properties but do not know how to identify them?
- Are you worried of losing money due to wrong purchase?
- Are you lacking in market knowledge?
Want to find out how to spot undervalued properties ?
Hi, I am Leon Wee District Director with Propnex. I am in Real Estate Industry for more than 18 years, specialising in both HDB and Private Properties.
With my Experience gained from going through many Real Estate Market Cycles and Knowledge of how the market works, I have the '7F' Framework to pick undervalued properties in a structured way.
My Personal Investment Track Record
⦁ Bought 6 local private properties
⦁ Sold 3 with profits of more than $800K
⦁ Remaining 3 gives me >$600K capital gain.
The '7F' Framework is the testament for my Successful Property Investment
All of my friends and clients have profited from properties by applying 7'F' Framework.
Allow me to share 3 of my 7'F' Framework
1) Location
2) Entry Price
3) Demand & Supply
4) ???
5) ???
6) ???
7) ???
Let me share with you one classic mistake that many buyers make without knowing the Right Entry Price.
It's quite common to see buyers rushing to buy during Showflat Preview.
So long as they can grab a unit that they fancy, price consideration is often secondary.
BUT
Do they know whether is it risky to buy during this frenzy?
Have they considered the possibility of reselling in future without losing money?
Likely, they don't know and didn’t think of that.
Aren't they risking their hard-earned money with emotional buying?
If they overpay for the property today, it will be challenging to resell in future.
They may have to take losses when they decide to offload in the secondary market.
Of course they can choose hold their 'losing' properties long term, hoping one day that their properties' value can rebound. But do they know when?
By adopting this 'Buy & Hold' strategy, they could miss other profit-making properties because their capital is ‘trapped’ in their current property and unable to capitalise the opportunity.
Is it painful to lose $200K in their current property and miss another opportunity to make $200K profit?
On the other hand, buyers who are armed with knowledge and they can consistently make good profits from buying undervalued properties.
Just imagine that you know how to spot undervalued property, you can make $200K from first property, use the $200K profit to buy another property and make $200K again. This process can be repeated over again and again.
Isn't that wonderful?
My question to you:
Do you want to be an emotional buyer, risking your hard-earned cash?
Or logical buyer making informed decision based on facts and figures?
Don’t you want to find out how to spot undervalued properties?
1) Is Location really the most important?
Frequently, we have been told single most important factor to consider when choosing our property is Location, Location and Location. Is that really so?
Let’s look at D’Leedon (Bt Timah) Vs Caspian (Jurong West).
D'Leedon
Bt Timah vicinity
Caspian
Jurong West vicinity
Given their location, which project would you pick?
Most buyers would pick D’Leedon over Caspian because of its excellent Bukit Timah location: near to town, walking distance to Farrer Rd MRT, Nanyang Primary, Holland Village and etc.
Using my 7 'F' Framework, Location and other 6'F' are compared between these 2 projects.
Caspian is more favourable investment than D’Leedon after my 7'F' assessment.
Hence, I recommend my buyer to buy Caspian.
Let’s see how these 2 projects perform over the last 10 years.
D'Leedon vs Caspian
D'Leedon Prices
2010: $1546psf => 2020: $1588psf
D’Leedon prices increased only $42psf over 10 years.
Caspian Prices
2010: $823psf => 2020: $1236psf
Caspian prices have appreciated by $413psf over last 10 years.
An 1000sqft unit investment:
If buy D’Leedon in 2010 => $42,000 profits in 2020
If buy Caspian in 2010 => $413,000 profits in 2020
A wrong property choice can cost $371,000!!!
Why a better located D'Leedon stagnate while
Caspian in Jurong grew so much?
Just imagine you could the buyer who buys solely based on ‘Location is King’ logic, your wealth did not grow for past 10 years and missed making $300K profits.
Don’t you want to find out how to analyse projects and avoid making costly mistakes?
2) Is Lower Purchase Price $psf always better?
In 2014, My client asked me:
Should he buy Queens or Commonwealth Towers?
Both projects are near to Queenstown MRT and share same amenities.
Commonwealth
Towers
Queens
Resale Condo: Queens Price at $1281psf
New Launch: Commonwealth Towers Price at $1618psf
If you are the buyer, which one will you pick?
Most will pick Queens because it's lower entry price.
Queens is so much cheaper than Commonwealth Towers by $337psf.
Is Lower Entry Price = Better Profit Potential?
Using 7'C'' Framework, my client and I evaluated the 2 projects based on Price $Psf and 6'C', we concluded that buying Commonwealth Towers is a better choice even though Commonwealth Towers $Psf is higher than Queens.
Let’s see how these 2 projects perform over the last 5 years.
Queens vs Commonwealth Towers
Queens Prices
2014: $1281psf => 2019: $1288psf
Queens prices increased only $9psf over last 5 years.
Commonwealth Towers Prices
2014: $1618psf => 2019: $2031psf
Commonwealth Towers has appreciated by $413psf over last 5 years.
My client is extremely happy because he have made more than $300K profits in 5 years.
Why am I sharing this with you?
Just imagine that you could be one of the many buyers who buys property solely on $Psf comparison. How would you feel if your investment didn't grow for the last 5 years yet seeing your neighbours making $300K to 400K profits?
Don’t you want to find out how to analyse projects and make the right decision?
With so many measures and policies regulating the property market, making money from property are getting more and more challenging. It's no longer as simple as basing on Location or $Psf to decide.
It takes more research and analysis to determine which property to buy.
My friends and clients are enjoying the benefits of wealth appreciation and better lifestyle just by making the ‘Right’ property choices.
You can be like them too.
I believe everyone can succeed in property investment and enjoy better things in life.
During our discussion, i will share with you
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Full Financial Assessment
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Affordable Loan and Monthly Installment
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7 'C' Framework to spot Undervalued Properties
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Entry and Exit Strategies
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10-year Investment Roadmap
"What client says about me"
"I’m a very careful property investor, have been buying and selling properties since early 2000. I’ve known Leon since then and he is handling the sale and rental of my properties. From time to time, he will review my properties performance and advises me why I should cash out my certain properties and reinvest again in better yielding properties.
I know that Leon has my interests at heart and help me to get maximum returns from my properties. So far I’ve made substantial profits from all the properties that Leon recommended. He has good acumen of the market and I strongly recommend him to investors for his ability in picking good properties."
Mr Lee
Multiple Properties Owner
