The Buy and Hold strategy
One of the most popular property investment strategies is to buy and hold for the medium to long term future. This strategy allows for increases in cash flow, legal minimisation of personal tax and the advantage of capital growth within the Australian property market as well
as attractive tax benefits when you sell a property you have held for the long term.
With the right property in the right area, purchased at the right time is a low risk strategy
for the accumulation of property and therefore wealth to achieve your financial goals over
By buying at the right time and in the right area you are maximising your capital growth
potential and total return on investment while enjoying steady passive income as well. As
your property value increases so does your equity. Your equity can then be leveraged to fund
the deposit required for your next purchase and grow your positive cash flow property
portfolio through this strategy.
For this strategy to work, the investor needs to understand long term cycles in the housing
market. By monitoring supply and demand the investor knows that the time for buying
investment property is at the end of the buyer’s market when the supply is moving towards
balance, but before the market has realised it and values are low. The buy and hold real
estate investor knows that the time to sell is at the opposite end of the far cycle, when supply
is scarce and properties are trading high.
Through working with PPI’s property investment consultants we will build you an investment
plan tailored to help you leverage your current situation to achieving your goals.
We will work with you through every step from education and coaching to identifying the right
area to invest for your strategy. We will also provide research, tools and resources to help
you find the best property, coupled with the best finance structure and setup.
Our research department is constantly tracking the latest property trends Australia wide,
identifying key areas of growth for every strategy in which our clients are kept up to date on at
Benefits of Capital Growth
Capital growth is the increase in the value of your property portfolio over time and should be
considered alongside the yield from the property. Investing in areas with potential for high
capital growth can see your property values double over a short period of time, adding
significant passive wealth to your lifestyle.
The rate of capital growth largely depends on where and what type of investment property
you are buying. Historically real estate experiences steady growth over the long term. A
focused capital growth strategy is still very popular amongst property investors, and through
extensive research you can maximise your capital growth and wealth potential for your
portfolio by buying investment property wisely.
In Australia, history has proven that property can double every 7 – 10 years. That is a compounding
growth rate of 7.2% per annum.
PPI’s coaching clients are trained by our expert property investment consultants to identify
areas which offer the highest capital growth potential before the rest of the market knows
about it. Ultimately by being one step ahead of everyone else you will gain the maximum
return on investment for your property portfolio.
As part of PPI’s advanced investment property advice some of the key indicators of capital
growth in which we educate and provide resources to our coaching clients include the ripple
effect, current and proposed infrastructure, assessing demographics, population growth and
migration, supply and demand and many more.
Portfolio Property Investments Coaching program is backed by the most robust and
exhaustive data anywhere and screened by a team of in-house analysts to help you identify
and select the right property in key capital growth areas to ensure you generate solid
appreciation throughout your portfolio.