10 Episode results for "Rei Group"

#493 Brian Requarth on Startups in Latin America

The Pomp Podcast

50:36 min | 7 months ago

#493 Brian Requarth on Startups in Latin America

"What's up everyone. This is anthony poblano. Most of you know me as pomp. You're listening to the pump. Podcast simply the best podcast out there. Let's kick this thing off. Brian report is the co founder and former ceo of viva via the leading real estate marketplace in brazil he originally wrote a book titled viva the entrepreneur founding scaling and raising venture capital in latin america. In this conversation we discussed entrepreneurship in latin america. Why the region is seeing an explosion of startups global competition for resources and where investors and founders should look for opportunity in latin america. I hope you enjoy this conversation with brian. Just as much as i did before we get into this episode. Though i wanna quickly talk about our sponsors first up is okay Their leading crypto exchange for both beginners and experienced users. You can fund your account and under two minutes. 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You should not try any opinion expressed by pomp as a specific inducement to make a particular investment or follow a particular strategy but only as an expression of his opinion. This podcast is for informational purposes. Only all right guys bang bang. Got brian here with me. Doing the sir. Hey it's always a pleasure man. Thank you absolutely. Let's just jump right into your background. You've got a really unique perspective on the world based on some busy don and then also what we're spending time today but if you just walk us through where'd you grow up. Kinda how did you get into what technology as a builder Originally small town called sebastian pool and ended up getting my car drove from california to costa rica bought a one way ticket to bow tie columbia. There is a lot of times a woman behind these stories. My wife girlfriend in san diego she likes to say she imported me to columbia. And so i ended up moving to columbia chasing the girl and we ended up getting married and then three months. You plan to make it down to patagonia three months in in both columbia. Turn into six. And a half years. And i basically ended up getting into tech entrepreneurship out of necessity. To kind of hinton you my my journey down south and so that's kind of the genesis of You know how. I got into a building companies in the region. S- amazing and the the good part is at your story ends well because she ends up becoming your wife so exactly exactly obliged development to the story Let's talk about kind of you as an operator in latin america. Maybe just walked through a little bit as to what you've done there you've got a highly successful business built Walk us through it. Sure i mean you know. It was a long journey right and it wasn't a straight line to kind of get to successes as we all know right and so I did everything in the early days. I mean just to pay the bills. I would literally. I bought this business book or for business english because no would hire me right so i literally walked the streets of both at columbia knocking on office buildings in selling my english classes. Because i need to pay my rent's and so that was kind of how i started off. And you know that. The ideas kept kind of increasing in size over time. But i did that in the first year and a half two years. I heard a teacher. Because i was like. I'm a terrible teacher and so You know then. I started getting into kind of you know. I actually met my co-founder paying a fine at immigration services because we both visas he was from germany. I had a student that wanted to learn german. And so i basically saw him in line paying this final k. You got a german passport. Do you want to teach german classes. The guy you know you wanted to keep his trip going. So he ended up We didn't end up doing the german classes. But he and i both had an interest in tech. And we both kinda came up with our first business which was more like wedge websites. And you know not high tech entrepreneurship but just like you know websites and translation services and that kind of evolved eventually into building my of startup. That worked out for me which is called viva al a real estate marketplace kind of like zillow of brazil is is the way i would describe it and talk about that business a little bit because you're being incredibly a humble but You raised ten dollars. Ford has been incredibly successful so talk. Just kind of what was the impetus for the idea. Why that specific market and they kind of how you guys executed the business yet. It's a funny story. When i got the idea for the business. I think it was two major factors one. I was living in a piece of crap. You know hotel motel by the way motel is different in in columbia. That i didn't realize when i first got in i thought it was like a motel aid but it was not a great place to be. Let's just say that when i ended up You know wanting to move out of there because frankly my my wife's family girlfriend the time dropped me off. And they were. They were like scolding her for letting you stay in this very very kind of dumped you place and so i ended up trying to find a place. I went into the classifieds. That's how long ago this was in two thousand and kind of five six. And i and i ended up talking to a real estate agent and the real estate is the perfect property for you. You know they were there. Were you know confident on the phone. We sat down in a cafe. The agent pulls out a piece of paper from their briefcase. And says i've got the property. You're looking for. That'll be ten thousand pesos. Which sounds like a lot of money but you know that was only a few dollars at the time. And i reluctantly. You know. I need to get out of this place. I reluctantly paid the the agent in just a cd information and spent the whole day. I property Second property too big third property too expensive waste of the entire day money time. And i'm like there's gotta be a better way and so around the same time. I read a case. Study her libra for the audience. That doesn't know macau leyritz. It's one of the biggest internet companies in the world. It just touched one. Hundred billion dollar market cap company and i came across stanford case. Study that i that i read at an internet cafe and i thought you know kind of putting those two experiences together. Crappy largest asset class in the world and amazing business that kind of touched upon real estate but was more classified in general. That was the kind of the genesis i of wanting to start a more of a real estate classifieds marketplace business got it and so once you start the business Does it take off right away. Do guys kind of have to tinker with it in of really find product market fit. You eventually get it to. Where a social scale will pop. There was no pomp investors back in colombia. I didn't have access to capital. So i like to say bootstraps but really you know that makes some fancy that i decided to strap. There's just no money right so we have to get the customers. I we had to. We had to you know get create revenue initially because i got rejected by thirty investors when we were trying to raise money. This is two thousand nine when we actually started the business had the idea. Kind of two thousand eight seven and then we. We deployed the website in two thousand nine. But you know we all know what happened in two thousand nine right. She doesn't eight. This is the you know the backdrop of the financial crisis so coupled with the fact that like latin america's not exactly the hotspot in around that time the aura of columbia isn't the first thing you don't think of is like checking ovation right. We all know the first thing that happens in the minds of when they about colombia the images changing in the country but then it was. It was a little bit more dangerous and not as a traveled to and so we struggled man. I mean we had two and a half years. You know just bootstrapping Kind of hustling selling selling websites and marketing services. And kind of anything. We could to eventually all a business into more pure play marketplace kind of classified site. It took us yet. Two and a half years to raise our first capital and thirty knows and really the breakthrough moment for me was when i ended up connecting with two different investors. Are there angel investors. One of them had abandoned the former. Ceo of a company called rei group. Which is a ten billion dollar market cap company in australia. And he was the ceo during a time of extreme growth and he along with another guy by the new greg. Waldorf used to be the ceo. V harmony was an early. He was the first investor in trulia the real estate market place in the us that it was acquired by zillow the two of them ended up investing early on and so i had zero signals. I didn't go to stanford. I didn't go to harvard. You know didn't have a network and no one thought. Latin america was kind of a place to be investing and so when they invested. You know. Greg was a c. c. on resonance at excel. All of a sudden. It popped in this this network that i had that i was unfamiliar with and kind of became accepted as entrepreneur. Might be onto something and then. The trajectory of the company changed immediately after that. It's absolutely fascinating Kind of how once you start to hit an inflection point in momentum. Bill it's like here. We go talk a little bit about as you guys scaled the business honor there. Some transactions along the way but kind of weird at the business eventually get to. Why did the transactions in house Today yeah so the you know the two thousand eleven as we raise our i kind of institutional capital we raise from local investors the founders of lee risks and created a funds and so cossack and then another top tier fun called. She's kinda let our series and then we have on some additional growth. Capital spark spark invested edge and a handful of other dragon near valiant. A couple of hedge funds raised about seventy four million dollars of venture a scaled the business. It was quite competitive. We went against a tiger backs competitor. And to you know in the early days you know they they were. You know they'd raise much more money than us. And we're well-funded had you know years of kind of ahead of us so that was a real struggle to go head to head with them and then our other competitor was the the largest media company in latin america. And i'm not joking. When i say that they basically On the media in brazil. It's you know. I remember when we were competing and i was in a cafe one day and you know they have these telenovelas which are soap operas and they get super bowl audiences like every week like this is an i remember inside the the the the south opera they did a plug for their products are competing. Like they're like you know you gotta go to you know zap the real estate place you know. And it's like organically in the the soap opera so that was terrifying as an underfunded str- scrappy entrepreneur going against us media giant we were very scrappy. We bootstrapped hard in the early days. We were very good with managing our money and so we were much more efficient growth than we grew organically while everyone else is spending big dollars in media and so that enabled us to kind of with these larger companies and one thing that i really knew pomp was that you know the be consolidation at some point right that's inevitable in a market like this so i kind of had the realization that either you're at the table or you're on the menu. And so my goal is the mixture hustling to get at the table and make sure that we are disturbed spot. There what ended up happening is there was consolidation larger incumbent to try to do a deal. It kinda got laughed off of for for for a couple years because we were so tiny as we kind of started clicking away at them at their heels we we ended up doing a deal it was essentially a more or less a merger of equals where we did equity slop created a new company and i became the chairman of the combined company. And so we kind of to six hundred and teams together and became the market leader. The kind of industry of market leader that after that merger we then ended up getting an acquisition offer from a company joint venture of a south african and norwegian a listed company. That was an all cash deal that was approved by the antitrust authorities at the end of november. Twenty twenty so we're fresh off the the acquisition there and i'm i'm kinda done you know and and now i'm onto my next thing basically so i'm going to zoom out a little bit. Just look at latin america in general. You're probably one of the people who understands his best that i know Talk a little bit about the technology scene there and kind of how that has grown over the last couple of years even the last decade or so as as you were operating in the ecosystem. Yeah i mean things really have had an inflection point last couple of years it's not a region that got a lot of attention in fact i think he was an. It's an underinvested region when you look at india. The the gdp of of of latin america as a whole is twice as large as india yet receives half of the venture funding so this is a relatively nascent market. I think over the last four or five years you know. There's been a handful of large softbank dropping in two thousand nineteen with their innovation fund. Five billion dollars. You know marcelo in the team. They're saying okay. We're going to re invest in the future of the region. I think leading up to that there was a handful of interesting opportunities. But we've seen in brazil there's the public markets are starting to heat up. You know more companies are going public. We're starting to liquidity happen. And that's something that you know. It was kind of like brazil. Latin america's the market of the future. And it's always gonna be that way. That's the kind of the joke about the region. But i think that with the recent meg funding with companies like new bank. New bank for those. That don't know most people know is the largest the largest largest neobanks in the world and they just recently raised a twenty five billion dollar market cap. That company started in two thousand thirteen. So incredible value created sequoia wasn't early ambassador. I think wrote the first check along with kazak so that tends to kind of reshape the region right and all of a sudden. It's not seen as kind of a market that it might be interesting in. The future is another example of a company that's been incredibly successful with their kind of billion dollar landmark funding round in the last year and a half ago. So i think all these things have really helped. Put latin america on the global stage where it seen as as as an opportunity that can can compete on a global stage with the top kind of mark emerging markets and. So that's something that is a recent advancement but You know the the level of sophistication of investors more angel investor angel operators reinvesting back in the ecosystem. These are kind of you know. Rising tide type. Things that are lifting all ships. Is we talk about the global stage. Is it a thing where. We'll say. Latin america's competing with india or china or some other non us market or. Do you feel like a whether it's acute narrative that might not be necessarily as true as as people think. Yeah i think that you know. I think the one thing that we're gonna see over the next years is that you know. There's a lot of big companies that are expanding into the region right like stripe. Stripe is now like looking at you. Know poking around with their operations in brazil and in latin america instill i think that given the proximity to the us md kind of the time zone. It's only it's only a few hours to one hour ahead in from new york right or two hours ahead from from new york depending on where you are in in so it's it's has a lot of kind of connection with the us. And so. I think that you know. I don't think it would compete. In fact i think china has been an early entrant in the region with the recent investment. It's not so recent now but a couple years ago. Dd came in and bought one of the ride. Hailing companies ninety nine and that minted the first latin american unicorn of a tech startup. That was only a couple of years ago. since then it's been a huge catalyst for the region. There's been a lot more activity. So i think that you know we look at these markets around the world being asia's a very interesting market. You know i. I still think the region in latin america still a bit earlier even than than southeast asia so. I don't think it'll necessarily fight for dollars. You know or or bitcoins. But i think it's definitely an opportunity for you know for a lot of global investors to start looking at the region given that you know it's seven hundred person population. It's a you know a a growing middle class and you know. The income per capita is higher than a lot of places in emerging market. So i think those are all variables that will result in massive interest in the region. We've seen that over the last couple of years. You're talking a little bit about kind of venture capitals interested. Why they should be looking talk a little bit about how some of the success stories or the size of the fawns. Just you know. I think there's kind of a safety in numbers to some vc's whether they should act that way or not That's true in. So how do you of think about the success stories that you can point to that. Give them confidence. That only are the demographics great. Not only is there a kind of a large market but also there are companies that have been successful in can continue to do that. Dr returns to their funds. The last couple of years we've seen you know dozen more than a dozen you know. A billion plus companies be created in the region. And so you know. Vc dollars is a good sign. Exits is better right. So i think we're still early on the exits a handful of activity there and i think when you look at the you know the fact that injury has been doing more deals in the region and you look at the top tier excel has been there early. You look at those kind of top tier venture funds. I think that it's kind of like you know. Don't ask me where you think. Let let me see where you're putting your money. And so when you see those companies investors you know starting to put more money into the into the region. I think that's a strong signal. But you know there's been dozens of companies that are raising hundred million dollar plus rounds and i think that you know. Secondary transactions are starting to happen. Things like that where those generate liquidity for early investors and. I think that kind of kicks off cycle and so you know in terms of numbers. Numbers are still relatively small. I think last year was a little over five billion into vc but it doubled right and so when you've got to exit growth that that's something that is a strong indicator of kind of directionally where things are headed. And when coupled with the size of the market you know and kind of the recent success stories those are strong indicators that you know probably some comfort in numbers they're absolutely You've got a whole bunch of stuff going on You've got this really unique. Understanding of both. The north american market in the latin american market is a thing where the latin american companies are simply taking ideas from north america and then relocated them in localising for the local market or their companies. That are actually saying no. We have unique problems here and so we need to build unique solutions that don't Kind of copycats. North american ideas for companies. You know it's a great question and that question sometimes. I like to question because there's a couple of things that allows me to address the first of all the first wave of companies were similar to mine right like my company was tropical is version of zillow. Right which is a kind of a no brainer. And it's it's an obvious one where it's like. Okay this works. Why don't we kind of take this. And and drop it into this. Large market underserved right. What we're seeing now is a new iteration of companies that are solving intrinsic problems in the region. And i'll come up with another company that actually invested and it was the same in the same space as real estate. There's two companies that i would like to mention in real estate even that. I'm pretty familiar with it with a sector. You know. the first one is that They recently raised a two hundred. Fifty million dollar round led by softbank. A was a an investor in their kind of series b. series c. I don't remember and that company. They solved a very specific problem. When you're renting an apartment. And i had this specific problems so i was able to see the problem early and that's why i wrote an early check in this company. You know when you want to get an apartment in order for you to rented apartment. You need a cosigner. The co center needs to own real estate in order for you to get a apartment. I remember this problem because it was extremely embarrassing. When i had to go to my wife's family and say hey you know can can can. Your dad helped me get an apartment. Because i'm you know this person that doesn't have the independence to be able to get an apartment so that's a massive pain point right. I mean think about how large the asset classes rentals across the region. And so we've seen that model. They came in and they built kind of an insurance play where they could assess the risk and they basically just made it much easier to reduce the friction for those that want to rent the same cut on the sale side. You've got a company like house. They just raised thirty five million dollar round from green spring and growing incredibly fast. And they're kind of combining a bit more of like not just a traditional kind of for sale compass or zillow model in the us. They're actually combining a little bit more. Inspired in chinese company of becky a. b. b. e. i k. e. seventy billion dollar market cap in china company. It's an enormous company and it kind of combines. A marketplace of vertical has solution for those you know looking to sell by and celery the state and so what starts in tropical ization ends up becoming innovation. And that's something that. I think the best entrepreneurs do because all the best companies solve real local problems. So i think we're starting to see a level of maturity of the startups. It's not just. Mba is that. Are you know coming out from harvard. You know in copying idea which is more than welcome and but but there's more innovation happening where they're solving local problems and attacking enormous markets that way. So you've got a whole bunch of stuff going on and you've got a book that you've written you investing. They both start with the investing in the book. But about the investing activity that you're doing are you doing this personal lady of a fond and kind of how you're looking to deploy capital reach yet so it's funny like last year. I was sitting there waiting for the antitrust to approve our deal as an entrepreneur. Nerve wracking right zero control. Like what the hell is gonna happen. Like one of my buddies mexico got rich. His job blocked by you know in mexico. And i'm mike he's in my ear like oh man. I hope it works. And so i was like okay. I got to do something right. I gotta get distracted. So i basically just opened up my dams on twitter. I opened up like you know all the messages and mike. If you're an entrepreneur in latin american you've got a problem you're trying to solve. Let me know. And i'm going to provide some free advisory work no strings attached and it was kinda wild right. I got like a lot of people interested. Because i had some degree of success in the region ends and so i took one hundred fifty phone calls from from founders basically just zoom and this was during the pandemic right so like you know there was a lot of interest in a lot of uncertainty. And what happened after that was i ended up connecting with two. Other co founders. Who gina got hill iran growth duolingo. She was an early personnel. That took them from three to two hundred million users globally and then another friend of mine who ran tech at a venture backed company in sao paulo. And the three of us you know form kind of a small team we basically just start helping. These founders no kind of strings attached. You didn't take equity. I ended up cutting. A bunch of checks in these company is because we were organizing all these sessions. I wanted to tap my mentor network. Because i was very fortunate to have amazing advisers. That helped me over the years. That i couldn't have done it without them. And it's a lonely journey as an entrepreneur and so we wanted to bring all this expertise globally. Help these very bright eyed. Bushy tailed founders. That are trying to build incredible. you know. Companies transform the region and what we ended up happening is we hosted sessions on everything from fundraising sales marketing products. And kind of magic happened. All of a sudden we had forty companies. They're all helping each other. Mentors are helping them and so we essentially build a community is what we built and i ended up writing ten checks and so then i'm like okay. How am i going to let people know about these companies. You know these are really interesting companies. So these are just angel checks. So i'm like. I got a call my friends and let them know about these companies and so here we are zoom. I basically hosted a on offense call a demo day or whatever it is and we had seventeen entrepreneurs pitch four minutes back to back and we had know originally it was gonna be a few of my friends ninety seven investors from all around the world. Listen to ask questions and then you know. Some funding kicked off after that so it was a good way to markups. Oh my angel. Investments and great opportunity to source the best deals given that. I have a pretty strong network in the region. So that kind of organically happens and then we ended up like this sounds like it could be a business We haven't really decided with the business model is going to be yet. We're really focused on building in the social capital. I but we're basically we do have a fun. That's a rolling funds you can go to fund dot latitude dot com. It's latitude without the because it's in spanish. So fund dot latitude no e. dot com and that describes the funds were really looking for operator people similar to kind of you know what you've got going and people that can add value and are interested in the region so it's a great way for a little r d throw small check in you know free. Rnd hopefully that it generates returns for you and and learn about the market. So that's something we just launched in fact. This is the first time. I've publicly speaking about it so i guess now a good time as any we will We'll mixture drive a couple of people. They're just don't yell at me if there's too much traffic i heard a few people Let's talk about your book the written as well. What was kind of the idea going on there. And then where's that. Yes so the book. It's called the entrepreneur. My company was in its founding scaling and raising venture capital latin america and we watched last week. We had a number one best-seller in the us in the venture category which kind of blew me away because it passing venture deals from brad. Feld the book that i literally read on the way to visit all vs on sandhill road like that kind of blew my mind but it just shows there's more interest in the region and so that book gal is live on amazon. You know and it's really the book that i wish i had. When i started i would say linda. Rottenberg who is the founder of endeavor endeavor is a global organization forty countries. They've all the largest companies around the world that are in tech outside of the valley are part of this network. Two thousand five hundred entrepreneurs billions of dollars of value created the support network for that. You know she. She was kind enough to write my forward and her description was it was the hard thing about hard things for latin america. I think it was a bit of an overstatement and any anytime being in the senses. Ben ben horowitz is a. It's pretty humbling humbling statement. But you know. I when i read that book it also kind of really affected me because i felt you know the loneliness of being on a journey entrepreneur and so i tried to write the book that i wish i had when i started. Talk a little bit. I think you cover some of this in the book just around how important. The people are in the region And now that there's been more and more folks who've been successful know there's winces and a couple of others. It'd be talk just about how important that network is and how ask growing from kind of people perspective. Yes so this is an important part of the region right. And i mean it's something that we take for granted in like hotbeds like you know like the bay area or new york where there's like this ecosystem right and it's like you've got success than they reinvest back in ecosystem in like that stuff is at its early days like we're in diapers and not is just like is. This is a day one right. And so when you've got people like you know success stories. I mentioned endeavor. endeavor wentz's was one of the. I never entrepreneurs actually and so you know. Linda was you know they call it. That she got the crazy girl because she's from from new york and she's like. I think that there is incredible nurse outside of silicon valley so she went down to argentina. She discovered winces winces at the time was launching the first isp internet service provider in latin american from argentina. Where he was like twenty four and then soon after that didn't work out he kinda got kind of moved out of that and he ended up starting on the first kind of bank for the region. And you know. She was trying to raise money to support these entrepreneurs and everyone was like latin america. Like there's no entrepreneurs in latin america. That's that's absurd. You know like that's not gonna work and they ended up helping wentz's lynda actually kind of help sir finder find a coo. In fact her assistant ended up getting married to the bell and winces ended up getting married from from endeavor and so you know eighteen months later went to sold for seven hundred fifty million dollars in an all cash deal to tackle something dead and this is like you know a month or two before the dot com crash. Investors obviously made a pile of money and all of a sudden. They're like. Hey do you have any more twenty. Six year olds or twenty seven year olds. That are that are that are doing interesting stuff. And so that I tell that story ended up being becoming an angel investor in our company. And if only i listened to him back in the day when he was talking about bitcoin and bringing that to you know to to the masses you know you know so. I think the we need more success stories like that and we need more reinvesting in the ecosystem and so i think that that's kind of a inflection point there because now there's more companies so i i'm very grateful for wenches and other people like him micky malka from you know from riddick capital. People like that that you know. They paved the way in the region and they became advisors adventurous to me and investors. And so i kind of look at this as an opportunity. Pay it forward. I feel almost the responsibility to reach backing kind of pull up next. Generation of iconic founders. That are building incredible businesses in a market that is enormous with a lot of friction points. Absolutely and it feels a lot like once. You are kind of in this together right. You're building a new region from technology landscape and somebody makes it. They feel very obligated in loyal to turn around and not only say. Thank you to the people who helped him but also to kind of help. The next generation of entrepreneurs and it feels like that kind of community is definitely president insult valley and is now becoming present throughout latin america as well. I think that's a perfectly said and you know it's it's part of my my conviction that over the next decade. This is what i what. I wanna do i wanna help elevate ecosystem and i think there's incredible talent and an incredible opportunity and so it's something that i feel is part of my responsibility and i think it's an incredible opportunity. Obviously it's not charity work at all before Get into the rapid fire questions to wrap up the big kind of development if you will over the last twelve eighteen months was a covid in this whole idea of now. Everyone is sitting at home. i used to do all of these interviews in person. Now i do them all remotely you as well rather than go. Meet people in person you now. Sit at home and do a lot of this. How has that helped. Latin america right. Is it something where now It isn't as important for investors to get on a plane and travel. They're kind do things through the internet. So that's actually kind of increased accessibility to the region entrepreneurs in vegetables more comfortable of fundraising online. Just whatever you seen a kind of post covid really hitting in terms of being a beneficial thing for latin american ecosystem. I would say. I can think of three things first of all the fundraising no doubt you know. This is opening up a world just like we did our demo day and we had ninety seven investors are last one. We had one hundred eighty something. Investors removed the world particularly at precede. Right and seeing precede. Where it's just like. You're you're betting on the team. You're betting on the market opportunity. Those are that's opened up a wide array of opportunities kind of connected to that but a separate point. We look at the kind of the network of people that are available to help and advise and so you can get an early angel investor. That's located anywhere and and they can also add value to what you're doing. I was very fortunate to find those early investors that not only that bring money more importantly they they added value and could help me with the strategy fundraising and execute ideas on execution because they had experienced. So we're seeing this right now with lettuce dude where we built this amazing mentor network and we have. We have mentors london. We have mentors in across europe and in you know in the states that people that actually think of all the incredible talented incredibly talented people that have gone through places like facebook or google or amazon. That you know louis. One of our mentors that zillow. He rents product zillow. These from argentina grew up in venezuela. And now he's a mentor. Sharing all of his experience in product management at a company. Like zillow right so these people have an intrinsic interest to like. They had an opportunity to come to the states. They made it big time a lot of ways and they want to they want to lift up their ecosystem. So i think that that is kind of the second point of you know. There's a connection. The last thing i'll say is that talent is anywhere. Now right i mean i. I'm building this next thing. There's there's seven of us half of the team. You know and i have actually met in person on my team right and you know i feel like i know that i'm working seven months with them and we're just as close. We would be in an office so wherever you stand on the kind of remote versus office debate I think it's incontrovertible that we're in a position now where like companies are being belts and and to add to that you know. There's big companies in the valley that are starting to hire engineering talent because it's flat now. The world's flat. I remember reading that book you know from from the freemen friedman back in two thousand and four and i'm like the world is flat and that is couldn't be more true today and so you're seeing engineering town from argentina when his building products for companies in the states. And that's just i think we're seeing a decentralisation of the silicone valley in the silicon valley house in the cloud right i i love it and i think you're dead on And the people who recognize this earlier rather than later will greatly benefit for sure. I simply questions everyone to to finish up and then you'll get one take home out first. What's the most important book that you've ever read and you cannot say you're wrong you know. I guess i'm going to say business book like the most influential book on my kind of trajectory is like i remember a walking the streets of both at columbia english teacher. You know like didn't have much going on. But i knew i wanted to do something in real estate. I would look at these big skyscrapers in in in both and i had on my ipod at the time. I had the book the long tail by chris anderson and it was just like mike. Oh this this whole concept of like you know the long tail the head like you know. And that was when i had kind of that contributes the idea of real estate getting all the inventory. Like when i started. No one had inventory like it was like they were just market a limited number of properties. And so i went in. And i got all the listings. And then all of a sudden we built the largest marketplace with the most liquidity. And i wouldn't have done it if i didn't read that book so we have to. I'd have to give a not. Chris anderson in that book and so that that's probably a lot of other books is a tough question but That would be the one that probably had the most impact on my career. Great answer Second questions more personal asleep Is comes from our friends over at eight sleep. Ice be five six hours sleeper on now. More like eight or nine hours and they've got these Thermo regulated beds that essentially you can make a or cold. I basically sleep. Like i am in An article at this point head Much much better for me from a sleep perspective. What's your sleep schedule. And how's that changed over the years especially out when you were running a business to today not running. Cut up that at fast growing technology company. It's a great question. It's something that i have an internal struggle with Do where there's the you know the stowed. it's so building. A company is daunting. It's exciting. I like to say that your best and your worst day is the same day and so it's just an emotional rollercoaster and so i think that i'm not the poster child for this. I wish i was better at at sleep. And it's something that's a priority. So i needed. Maybe check out the product you mentioned because i'm i'm working on that on my own. I think that i go through kind of swing with with with my sleep patterns. I try to get a good chunk of sleep and try to get to bed relatively early. I find that when. I'm going through an exciting moment like this book. We're talking on a few hours asleep. And it's because it's because i'm i'm excited about what's going on but i am trying to rein in hyperactivity of my mind and the excitement of everything that's going on and actually i wrote about this a little bit in my book so you know and i'm not i'm not the expert on it but i have a strive to do what you've been able to accomplish there. Because i know how important it is someone to be productive. I'm a convert man. I i'm a convert of the sleep religion. I know that it's It's kind of like crossed it or intermittent fasting or something else right. If you do it you gotta talk about it. But i gotta say that Especially man a who was flying all over the place and doing all this crazy stuff. Now all of a sudden. If i don't get eight hours I feel it feels weird. It's one of those things you're like. How did i ever lived like this. So links to eight sleep and everything. Please do please do man. I'm like it's an important one and like it's kind of like the people that i envy like the meditate and i'm just like him. I know it's so good. I got you know and i'm like here on the sidelines. Like you know. Once in a while i'll dip in and all that kind of get a hit of it and then you know but i'm not i'm not fully there yet but i'm just a work in progress. Man i i still got some years left in one percent everyday. Hopefully i hear you. I hear you all right last question that you get asked me. One is the aliens. Are you a believer or a non believer men hearing on on clubhouse the other day with his statements around you know if if there was he would know about it if you know but that being said i think i'm going to have to. I'm going to have to go with the drake equation here and i'm not talking about the. I'm not talking about the hip hop star. Here will you know The number of civilizations our galaxy with you know which communication might be possible as soo- enormous for me to deny in. So you know. I'm going to have to go with yet exists and you know it's a big place so i'm on that on that train. I'm on that intergalactic. I'm right there with novo. Come in contact but they exist. What what one question you have for me to wrap this up. Yeah man. I would love to know one. What was your if. I can be selfish your to questions. Or what was your first investment that you made ever and why did you make it. I mean the very first investment i ever made was definitely in myself which is kind of a cheesy shitty answer Just buying looks and all that kind of stuff The first financial investment. I ever made us not really. I mean we can we can. We can count you know. Baseball cards at also counts to to be honest. I don't remember like a financial investment in terms of Like a stock or like. I don't think it was stocks. The first thing i can remember Mrs wild but after i came back from iraq i was twenty years old and in the spring after i came back somehow i got into a foreign currency trading and i had a hot hand for about six months and sort of like you know like nine k. To seventy two thousand dollars like who. He's a job. I'm going to do this leave. College like macy and then got cocky over the summer. when did a An internship in new york city was trading on my phone like an idiot. You know the classic day trading nonsense very quickly realized. Hey let me take my take my my measly profits that are left. Did not get the hell outta of this thing But that's first time. That like i remember like really taking like capital essay ham and i go in and And risk to to get a gain and Franken thankful for it right is like it taught me all the good things and the bad things all in the condensed period of time in much trading ever. Since then i hear you man you gotta you gotta gotta be long the currency currency game. It's like that first taste blackjack. And then and then you're and you don't want to make a living out of that. My second question is so. I started podcast. You know. I think you know you're a big inspiration and all the content you put out and i'm trying to take a page out of out of your book so i start a podcast and i after listening to a lot of your episodes. I want to know what the story is on. What's the origin story on bang bang. I got a bad memory. I guess. Because i don't remember just you just you just you just knew that it would. It would hit. I you know. I love you if you don't have one that's okay but it is. It's it's a consistency. Think that if i started it every time With the same thing like it would eventually just get busier people's minds and i think that part of it is just like other people are like hello and welcome to you. Know whatever a thing. That's just not me. I was like a how are going to start this thing in saw oxidative good stories out to bang bang but for people who listen to the podcast Off the chain. now listening to the intro. The very first enjoy ever recorded one shot so the guys with it. They basically were like. Hey here's the music. And if i remember correctly i think i had the Had headphones in listening to the music and As it was going at a microphone in front of me is i. Just one shot was like what's up guys over whatever and in it was like the best podcasting crypto. And when i got there like dude. We haven't even record a single episode yen. And i was like. Yeah but we're the best. Obviously colleague joking but they were like Should we make role with this. And you say we're the best we're going to be the best like we're to run with this and so like i think this element of you gotta have Get off some like line or element of confidence when you do things at the same time. You'd wanna be era like that. One kind of toes the line between arrogance incompetence but i do think that There's this thing of like bang bang. I'm going to make right. And so i did a couple of times. The next thing you know people started lead comments you know. Bang bang whatever it is like okay like this is going to work. The the crazy thing though is a couple of other people who have been like. I say i say that and we must all be family or something then. 'cause i guess what you know. We all arrived at the same thing. But i'm not. I'm not stopping so severe. You own that you own that. Yeah i after my first season. I just finished my first season. I was like man. I need a bang bang. Bang bang and so my mind. I started my second season. And it's It's super like for me right like my audiences bombers latte dumb. That's my that's my was like let's go latin america. Almost let dumb. I'm so that's my bang. Bang man i love in the whole. Podcast is in spanish. Well actually. I started off doing it in portuguese. Because i was in brazil and and then i tried to change over to english but all my is basically connected to latin america interested in latin america. So it's spanish and portuguese I speak spanish and portuguese but we do it in english because obviously that's the the audience you want to reach anyway right. Yeah mitt me sir. Mix a ton of sense. So i'm nice mambo bang. I like right. listen. I really really appreciate you. Taking the time to do this brian. Where can we send people to find the book or find you on the internet church nerd so the book on amazon. It's viva the entrepreneur. You can look for that and audibles coming out the audio book coming out next month or two which i read which is a long period loved process. So i'm on twitter. You can find me on twitter. Lincoln and clubhouse are the kind of the main the main areas. Where i i'm on the social social web so Yeah man this is fun. I really appreciate the conversation. And it's it's an honor to be on here man. I appreciate that time to do it. You ve vastly been killing it. I think it's important. People understand latin america and the started investing seen there. So thank you so much for taking the time to do this again in the future. Absolutely men thanks a lot.

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Ep 30: How Real Estate Sells Cars with Gina McCartney from Realestate.com.au

Talking Automotive

39:50 min | 7 months ago

Ep 30: How Real Estate Sells Cars with Gina McCartney from Realestate.com.au

"Hi everybody, welcome to Talking Automotive . I am John Sinclair and my Hi co-host Mark Palavestra. John, today we've got Gina McCartney. Gina is the executive manager for customer experience at REA group which is real estate. com and Gina covers off detail on the real estate market, the key drivers to real estate and how the two intertwined with the automotive industry. The similarities between the two, the key drivers and the key takeaways are really an eye-opener. If you like what we cover please click the link and like us on youtube. Also, subscribe to the channel below and also follow us on LinkedIn on talking automotive. Let's get into it. [music] With thirty years experience in auto logistics and state of the art locations in five major cities Prix Fleet Car Services is an independent division of Prix Car Services offering specialty fleet fit-outs for commercial applications ranging from simple tray and tow-bar fitments to fully bespoke service, body and accessories installation. With quality assured safety compliance and standardization builds, of Prix vehicle Car Fleet Services are the premier all- in- one solutions provider for commercial vehicle fleet operations, leasing companies, and original equipment manufacturers. For further information on how Prix Car Fleet Services can assist in solving your commercial vehicle fitout need s, please visit prixcar . com. a u and click on the link to Fleet Services net. Hi Gina, welcome to . the It show is great to have you speaking to us today. Maybe just to kick things off can you maybe just tell us a bit about Gina McCartney - who you are and some background. . to thank Yes, I'm yourself sure, you so Gi for na McCartney having me here today. Super excited to see both. So my background if i go back to perhaps my brief - youth and into professional career. I really my whole life was distant creative: sculpting, painting, designing and off the back of that passion went to uni studied creative advertising and was destined. ..my path was to become a art director . My very early career was in advertising agencies and spent ten years ing servic some like pretty big clients ilo, . kohl's meyer group. Cbi off foundation and then some order client bmw and many were because of mine and it was during that time that i realized how much i loved as and surprised no surprise. I joined renault. Stralia and joining renault at the time was at a really pivotal point for the business. And that was all about preaching and finding every possible opportunity we could in the market and myra was to introduce the sierra digital program. Really lift the capability of the dealer network from a lead management perspective. Sur getting out outta rot on building confidence back in the network that we were providing leads to them in generating value from office and then from neymar roll moved into a brand and events role and so the full marketing swayed had an awesome time with the business and great team. And then my time was up. When i was tapped on the shoulder for all at anchor pinellas area group been realized real estate dot com to you joined the business not really knowing much about the role. I was joining. He'd go to market manager role and of bain there now close to seven years and moved my way through various segments. So we're two now. Residential business at develop a business emotional property meteorologisy and clients and also to stint in malaysia. And i leave the win. We acquired a southeast asia and helped with the integration of that business side at an awesome korea here. Rei and now run. I tame called the customer. Excellence team and so my team move. Twenty incredibly talented people help support our two hundred thirty sales teams across australia. And that includes the learning development perching old training ogata market siles support collateral and operations analytic. Kpi's commissions incentive sprints and really big a big team mission and vision is to pave the new way of selling and selling clock when you work for rei. Let's bit about my story. Love love gardening love dancing and eighteen. And that's how i spend most of my time let's it's an impressive story. How you you've migrated from during the karate stuff through to or i will now into real estate now. We can't get a bit of understanding as to real estate dot com o. Rei group and what's the back story of real estate. Dot com abc business was born in the garage. Dome koster and for those familiar with john. It's in the eastern suburbs of melbourne and in nineteen ninety five and they came up with a crazy idea of water. We put the photos of property onto online so people can see them on the internet and so literally scanning photo by photo by photo built this web sought. That looks very different today than what did obviously up. Twenty plus years ago and over the years to really brilliant simple idea to gos- and today with the leading australian property portal and we have hundred million plus is it as a month coming to thought trillions of photos from a perspective and yeah we service most property clients around australia and that includes real estate agents property manages developers homebuilders land developers media clients of less amount of probably. But almost all and anyone that wants to reach property. Sega's we do business. You know you've got a really interesting background. Having spent tom and credit in automotive value in real estate can you. Maybe just discuss some of the similarities. Between automotive and real estate i remember when i joined. Ra and it was probably a month thing. I thought wow. I didn't realize there was so many similarities between the two industries. And if i stop from a business structure perspective the similarities of utah franchise groups independence at relationship between head office and you know the small small businesses that are running in local and regional areas. I think that that pressure that applies with a small business to find the raw talent retain talent when there is no professional requirement This note there's no huddle to get into other industry. And i think that is a challenge that are still share today and another real estate industry in particular institute really trying to introduce their professional courses create more opportunities for the right people to enter the industry. So they've got really quality staff sieving consumers invincibles. And i think our remember. That was a challenge in the automotive industry finding the right talent and apprenticeship styles perspective perhaps a bit of bid process. But that was probably one thing that i saw straightaway is a big lesson. In automotive that i think real estate can learn with the handshake. Between sales and after-sales and if you think of the real estate version of that is the sales and rental market now rent rolls the most profitable part of a real estate agency and if you think about the handover in the importance of one to the other the ongoing retention of the customer. I think that's a really important similarity between the two some. I think some best practice sharing could happen more. And then the probably the other big similarity i would say is the is much smarter and much savia and this is probably not exclusive to automotive in real estate but their expectations have increased tenfold. And no longer. Can you get back to a later inquiry within a couple of days. We're now seeing consumer expectations at a couple of minutes. And i think that's something that dealerships deal with daily and you know the the now now now economy that exists within cosima world. I think probably other thing on the consumer front is that the journeys are linked. If i'm pregnant and on nita anita house extra bedroom is a good chance. I'm going to need a bigger car. And i think those moments is a absolutely everyone knows. It's often not always but often shapa to finance your car off the back of your heinlein. So the journeys and lost moments of really similar and jana. What data do you use to compare the consumer trends that you're saying so when you're talking about the financing of the house or those life changes that with with people. I've got an extra by the on the way on a three bedroom unit of a two bedroom or downsizing nato three bedrooms dance. So what data do you use. Insane is probably wouldn't be a surprise that we have got a ton of data From our website and saw we sort of a moga mate. I'm qualitative and quantitative data. Suppose you could call it so basic things like how many papal of getting assad how many Looking at certain houses in certain suburbs Which gives us a really good idea of demand and then the thing that will overlay allied with that thing. Excessive is which really easy way for us to get quite large volumes of really rich insight. So why you here today. What's driving your decision. what are you looking for. And then getting overlying that some demographic law change talk datta so that would be out a cold fish. Potty dada and then sued potty data that we sometimes things roy morgan neilson dada john. I used to be really big in the automotive industry. I'm not sure if it's still so. Prevalent and that alike is offered as an example which tells us how many commitments and how many lodge dwellings will be built over. What period of time is us a really good sense of supply which is indicative of demand because closely coupled a really high end have a bit of outdoor living though an example of where we say supply and demand giving us really good insight into what is looking for is empty nesters and that segment whether they're in hawthorne areas amadeo eagle more than i'm picking areas that i know have a huge beautiful arms californian bungalow with five bedrooms. Two kids left the nest. And i won't something that's as high end still has spice for all the grandkids to still come over and and visit But don't wanna go to a high rise apartment so there's this a sokoll of demand driving supply and so we're seeing a lot more smaller developments. That are really high. End boutique emerge and so is thakur ican conceived with the supply being an indicator as much as the demand so it's a really interesting industry in terms of the mind. Cranes intoned of renters buys. What are you seeing. then you say bent. The the market from a demographic point of view probably -cation as i as the primary segmentation. And that's mainly driven by the way that we serve customers and their oversee very location incense and a big trend that we're seeing and this is probably no surprise off the back of the wonderful cardio head last that people are looking for big arms and bigger land and we've seen massive surges in on regional property interest and earlier last year. There was a strong indication that people were migrating out of victoria. When we're in the lockdown and people were looking to move queensland interstate migrations northern new thing but that certainly increased and towards the end of last year. A think kurt me from wrong but the twenty nineteen wasn't a great year for automotive author and it was. It was a very soft for real estate inside towards the end of last year. We were saying property sales and barring quarry exceeding exceeding twenty nine quite confidently. So we've sane. Barring tristen barring clarion old time high and what will be really interesting. Is this year to say how that have that demand continues and think when consumer confidence continues to return and it is slowly but surely the market will start to really fire up back to coal at the pre twenty nineteen days the other the other interesting thing in. Its look at sars stipe sensitive as well so for example in queensland it's really really really hard to find a rental rental demands extremely high and there's just not much stock available and w is in a similar position that each state has its little nuances of the moment and i think i think the overall trend it will want more spicer if they think they're going to back down into a lockdown and they're working from home twenty four seven is their work. Fly everything they want to be the biggest spicer We think that trend will continue to emerge and another trend that way soul really pick up towards the end of last year was dies. On saw days on sought is metric. We watch very closely. As it's an indicator of how quickly properties the selling and days sought owed is on market decreased quite dramatically towards the end of last year. Which is a great sign right on customers in The selling so what did you see as the leading indicators this when you guys look at the data that that tells you the story like is on a search. The property talks and suburbs to get the the So where do you see. The drive is coming from what. What do you look at to sira. Interest rights is that disposable count one of the leading indicators. Tell the story that something. Goro bad's going to happen. Issue will say interest rates a really k. Drive up and that obviously means that more people can afford to buy a house which means that with greater demand. Prices go up. So there's a there's a with process going up on established property that means that demand full new property increases so that creates a lovely healthy sokoll where we have new neighborhoods new properties being built and created and you will choose more affordable housing when there is little demand that that creates a bit of a bit of chaka the other factor that whether it's an indicator all perhaps i fat da again similar to the automotive industry government legislation and policies. Can michael industry. I've not not there was a period. Where a few years ago. Where i felt like a new government policy around foreign investment was being released every five seconds and when far by is struggling to get into the market that puts a negative impact on local by it means that property can be more expensive means less availability when their list of elements and less again affordable housing another indicator that we use and probably starting at the very top of the funnel if we call it. That is our audience audience numbers and we watched them and we watched that number lock hoax day in day out and in the next probably the next led down from that is bar inquiry. So it's great having a really large audience. What you really want is an audience. That are actively seeking out properties in engaging without agents and customers and then other indicators that we look at as i mentioned earlier days on sato dies on market that gives us a feel for how quickly properties a moving and therefore how no challenges that customers my face and we've released numerous things to help them move properties pasta because it seems everyone's best interested or b cell and we have lots of property selling at another another factor that we look at great folks consumer and industry confidence because one feeds the album. And it's important that everyone feels really confident about they. Property journey and that businesses and again many agencies out there a small very small businesses with nine three or four people chosen when small businesses are thriving. That's helped to out. Bring a lot of discussion about how automotive marcus lucas next year. And we think is is good choices going to be a pretty strong market. What do you see the big challenges for the real estate industry coming into this next coming through this year. I think probably share views. And we've got economists who Very very clever. That have got. They've us on this to which all sort of eight from i think. From a customer perspective. I think the challenges of always adapting and being really all with a potential for the lockdowns and i think we were incredibly impressed by the way the industry fitted dare i use it and probably example of that was we introduced virtual inspections and digital inspections and. That was something that went from. Let's say you know one. In two hundred real estate agencies used pre covid and then close to one hundred percent of agencies using during covid and so i think the challenge will be how industry continues to adapt in challenging times and creates new ways of engaging with prospective buyers and us ongoing blended virtual in real life welled. They're resilient bunch. Anyway of the real estate industry goes through cycles and those that have been in the industry long enough have battery many of many asako. This presents a really interesting challenge where it's about of flipping what everyone knew as gauging with potential clients on its head and being quite brave and creative. I think funding on for that year. Once we get either covered. Where do you see a guy. Do you think there's going to be a plane between digital and physical. I think one hundred percent it will stay blended and drive that one bay what the industry wants. It will be what consumers one and this is a similar to. You know we've got nine hundred. Odd people melvin office is a similar thing. Where saying i don't state is any different win now that we've had a taste of what's lock to have more work life balance and beat highmore with their families and friends. We want to let gulf that. We want a bit Interaction and face to face and in person time but they'll always be from here on bolaise a desire to do things virtually and if you think about interstate is or people who had you know. Get from work to a inspection within our traffic off. The clock is a whole new door opening to more by new opportunity. So i think for our customers and industry daren't except acknowledge and make the most of the opportunity that will lose out. There are many that are adapting and realize the opportunities and before and more accessible that jimmy talk about the customer driving the the industry driving experience in the industry having to cape what the customer's expectations and we say the same. The parallels are amazing with the auto business because as a colleague of as poll fishy to say customers will put you at a business If you get them wrong so it talked about industry needing to adapt adopted and one point. You might was the helmet tax to respond to a laid that has the south process changed from real estate. Because it used to be that you'd have an open for inspection people will through the basically say the has full maybe half an hour. If that failed they might spend fifteen minutes. They fell off. the comeback. Might look at the second time y'all off and then gotta the auction bid by it and end up spending one point five million dollars for something they've been in for all of maybe an hour and a half is that changing will have is that. How do you map that journey. It's a really good question. Because is an interesting dynamic in. This is probably another similarity automotive. The rest of the world is up here with fully digital digital is fully bright and there are many companies or jing ahead and leveraging digital era some of their inbetween that have got one foot in the digital camp and one for the we do it the old way cap and then there are those that a very rigid and change they. Weiss is c. Are the industry's con of in the middle. Those fundamental steps egypt described have been really challenged in real. Estate is not much different from that process. It what has changed is the cosima impoundment and their ability to go that a inspection all of the information. That could possibly want to nate. So they walking into that hass confident they need information asking full support of. I used to walk the lead me through this process because i can research everything everything at their fingertips so it's changing the dynamic and the value proposition of inside something. We really focus on without customers because we see it as such an important critical part of the ecosystem. The role they play. And won't they seem to be highlighted and and that's that role by to be really elevated in the consumer's mind because it is a relationship s- moment and a hit of automotive. It's the biggest and most expensive decision to mike in your loss and consumers just at ready and willing all of them. I mean admittedly you know. Maybe you're investors. Segment is probably more likely to buy property online on same the majority of stray liens. They hot is still in it. And i want to know the looking person. In the i the doing the transaction and as long as that's the way consumers feel and bain a really emotional decision. I play a huge role. So i think it's sort of a foot in nature cab and are adorned. Infacy hume as being confident enough to make decisions without that interaction processed dozen. It's changed to make it easier and with that see. That's things like stamp. Judy white contracts at dan. It's very very hard. Even the why the y- financing it's the really laborious task and what's scary guard through those moments of truth in be improved by. They moved to a more digital process or whatever that looks like we need to be focusing on how we make that a smooth process to consumers at the fundamental coal fundamentals. The still there. It'll be interesting to say in the next five years how much that changes and i think things like pandemics force change. Generic question for me is an automotive. You see all the customers doing. All the research online so dealer might not even know which customers coming to his wave saw and what they're doing until at some stage down the road then come into the dealership but they've already basically made up their mind so the dealer doesn't have opportunity to really engage the customer in the early stage of the prizes. Is anything happening. In real estate that you can engage with customers on the earliest stage stages of the process. So we have tools that help customers understand what a prospect is interested in and so that gives them a bit of leverage when they respond to that inquiry they have a level of insight into neighbouring cycle hassoun of asking looking to buy existing buyer or looking to sell as well and so that helps tibet a tale of the conversation. Mike morrell there's nothing worse than when you have a conversation with someone and you'll your point i because you've got. They're doing whatever he had to do. But they are point bay. And you're orono the same page. And i think changing and this is you know this is a really interesting challenge an opportunity for both industries but changing the purpose of that person in the styles for asylum person anymore. What what should they be called. I i our relationship builder. Their retention manager is the purpose to make sure they stay with the brand rather than buy that model. And i think that similar challenge for real estate with you know if they stay with that agency and there're ongoing customer they become a you know they become a landlord monsieur business. That's a really profitable client so about not fighting the consumer in trying to change their mind but leverage the information that and if you haven't received information attack you be smarter with getting that information from them some fascinating stuff the similarities between the two industries. I just it just keeps really standing up for may when you're talking about the investors versus the retail buyers investors like fleet by Automobile so you bought your collecting a number of them and your listeners. Not but it's all about the the financial returns. What's it gonna cost. What's more rachel pretend to be. And what's the capital gang prediction. Luckily they've now you. Can you really speculating as to what what it will be if if if anything we might have. Some bad years withdraws down one thing with cows one appreciate. That's one guarantee until it becomes a collected karen thirty years that goes up It's fascinating just sing. The the to when the crossover and some of the similar challenges that you've got with your customers and and one thing. I was gonna ask where the john's question ease hands Way accustomed goes to your saw but then turns up at the house. And i ask for your phone number. Does that number lincoln to the lead. That was sent three zero. Crm in the in the realize that i talked to together just title by chance at the real estate agency in this state they will use crm so they will know with that. Walk in ten day was match later. Safe from real estate accommodate you boy the portal for that meta way. Don have a process to understand that and so similar to actually reminded me of very early on back in beim w john but we were talking about using bacon in in dealerships and using that technology to tag and flag when a prospect had entered into a dealership and it's a similar. It's a similar challenge. Where you're bringing the offline and online worlds to give up but i think the key is can invest a lot of time and energy into matching that but the question to ask is what value does who get and what is the. What is what extra value is the consumer all the you know the by will pursue prospect. Getting and i'm a big believer in incentivizing dada feed give someone who good enough reason to give the data. They'll give it a blonde people on cheyenne heading over data when they think it's worthwhile so i think the question to ask and something we're always asking ourselves. Does that person get back. And how can we rather than relying on agent for example to being tracking things in investing intact due to it at can we get the consumer play a role in this and little things ariel suburb investment. Tips giving them everage rental yields. If we know they're an investor looking at a property but really could be. We've got lots of that content online but it's the pairing the room magic happen and i think that's fascinating that whole era. And how do you match it all together. Think it's that's where the value is is trying to get all that rots. It can take easy knees news to match and have a single point of truth of data. And it's it's irresponsible to go down that path that i think having worked on enough data by gration integration projects threat. By time the question. I always ask more value. Who get an what and as long as you can answer that question. And there's always a customer always a consumer in that in that response that's worthwhile now. Do know anything else. You want to add before we got to a summary into my mind and it was nice to refresh my memory on similarities between the two industries is that how do we get the to. Talking will think the same social drivers impact both industries and whether that's interest rates employment rights consumer confidence if there are so many similarities. What can we do to help. Leverage the years of experience in barth to seek out opportunities and and flag signals where we think that things are going well and they might be there might be opportunities. I think there's a big big patch of work to be done. And is there any data sharing between yourselves and say some of the auto industry portals. We work closely with castles. So i have peers that sit over there doing similar jobs and work with this team and we should is that you can imagine the parallels between our two businesses a. It's uncanny at times when we talk about what's keeping us up by two trends that we're seeing even at audience data. They're almost the trends uncannily. Similar sorry we information from that perspective and certainly we. We share a lot about how things like. Customer research and insights programs. And we really live each other's intel. It more can be done more can be done with maybe liam level baps mark to you to do the summary off. Been taking lots of notes here so with with highlighter and everything. I try to summarize h podcast with and do it justice because you've covered off a hell of a lot of stuff and marauding is getting worse as it all for to raid mine riding because i talk more than more than rod but i'll give it a crack. Let me enough missed anything. I'm trying to summarize and correct me if i've missed anything. He your story because it's a amazing one and thanks for coming on the show tonight. So you're a creative person now. Distant the baker eddy person. You'll you you may not director. And then you've worked through the agencies from the karate saw the things from banks through to automotive and so you journey has been a dog who is very much focused on saruman digital but also during brain events so Myth in moved across to laugh from i into real estate with the ange In go to market area. But you've also gone through a number of roles which is insane. You have a stint in malaysia which has been pretty saudi and working with a number of different customers developers the residential areas the real estate agents at centra and the commercial side. When we look at the backstory of real estate dot com. I was not aware it at in doncaster. Becky nine hundred ninety five garage. I was living at don cassar at that time. Cy i'm wondering which garage it was in but it's a pretty amazing success story when you think it's the out to mike Price for real estate and omitted visitors per month. Let's a fair audience at getting and you're dealing with agents and developers and a whole range of industry pliers so when you see the similarities and this is what we're really kinda focusing on these are the biggest purchases that individual has in so house fullest. Kasich safe thinking of Promo mighty perspective. The house is a is a significant. And you mentioned that. It's locked changes that drive the behavior. Where the moving up or down or this. Ed additions to the family People moving at so that drives up behind him but also talked about the similarities in the saudis. The relationships and this comes through in a lot of podcast took It's franchise groups and these relationships with head office -tracting retaining talent because it is really. It's an lucrative industry but also can be a challenging weekends and it can be hard work And when we look at the data because the data is everything and you look at visits to saw and sought so by. We get a lot of that primary data. But then you also get out. Sources From the industry as virus other indicators like what was happening from the current government legislation interest rights audience numbers and yet borrowing quarries coming through with what looking full and even just measuring the getting feedback on consumer confidence. The pretty strong leading indicate is all of which cross iva very much in. What spies and then relocate is k. drivers. I really would determine what is being held. A what what. All what's being rented ange in the challenge until baddies. Yeah the doubting to had one a chalk. Or if you're in victoria and have the industry has adept at pivoted but then we're getting still obviously traditional Requirements of that. The senate thursday not opens the inquiries online. If you're retail by you still want to get in there and crush the cockpit the feel it smell the smell the coffee brewing or the biking in the oven of the breed said that you can close the deal. It's that smelling of the new cow. When you do the test drives so that sort of it is very similar for retail. But you mentioned the investor who is like a fleet baugh they looking at the numbers. So it's what's the return of that suburbs that property type that square meter ridge and it's it's more analytical purchase as opposed to that emotional sun but most of its delays very mentioned the marshall purchase. Which is why the blend. And you mentioned the importance of that only channel if you can't go digital because digital during his you're empowering the customers and customer driving where the industry's going so if you're only doing with that really embracing the digital sawed integrating the data from the digital side and also what we collecting. I've been for inspections but then responding to those leads quickly so he can get into those for inspections. Jason sounds like a candidate shift john. It's fascinating to similarities and just even a Say that if you're not if you're in the auto industry and you not watching the real estate market and the trends in your area in newell state. You missing out. Because it's a really lincoln size stricken strongly and Different from real sites Responding quicker to laid slightly auto industry has had to do and is still improving. And it's amazing. Viewed dive italian from the asu was talking about best practice. What i say every day and join what was it was a one hundred percent. The percentages dropped as you the more minutes to as you'll success rights to style and it was quite frightening to sit so that difference but impairing having that good customer experience. Mike's love of saints and have missed anything. Incredible rock did i. Thanks very much for joining us. Today it's been after pleasure speaking to you. And i think it's this such because being great understanding that trust the two industries the thanks very much thanks for having me. Hypoc be part of bringing the two industries. Close it again. I'll absolutely by an makes so much sense differently. The collaboration between the two needs to definitely improve further his different mutual benefits. Thanks for listening to a podcast today. If you need any more information on what we've covered place reach out to other johnson clay or myself my pelvis strap on lincoln will leave us a message or comment on the yet linked below. Also if you're saying click the subscribe button and also on youtube and if you have challenges with you jay. Plays subscribe to it on spotify or an eye chains. Thanks for listening. Now thanks This thing we'll chat you next week.

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RBA upbeat on economy, Qantas jab giveaway, supermarket hiring spree

Fear And Greed

12:30 min | Last week

RBA upbeat on economy, Qantas jab giveaway, supermarket hiring spree

"It's wednesday the eighth of september. Twenty twenty one. Welcome to fear and greed business. Podcast that sets you up for a successful day. I'm sure there is a bank. Provides an update assessment of the economy saying covert has delayed but not derailed economic recovery. That's our main story. Also coming up in today's podcast contest hands at frequent flyer points in an effort to boost vaccination rights be south files permeate gladys very. Jacqueline says. The state should be ready for mid october reopening. The major supermarkets on the lookout for more than six thousand workers. Then stay listing for my chat jar. Australia's chief economist callous cacho. That the economic apple. But i is a brief. Oh good markets wall street reopened after the holiday long weekend and tech stocks did well must other sectors fill back. The dow jones industrial average was off zero point six percent. The s&p five hundred zero point two percent law while the nasdaq was up. Zero point two percent european markets but weekend with both london's footsie in the socks europe. Six hundred off half a percent the s. and pay six two hundred rose slightly yesterday to finish at seven thousand five hundred thirty points it trained to down all die into the reserve bank announcement at two thirty pm that provided a boost for equities and the currency that might eubanks for lower with the exception of pack which are slightly macquarie. Group was up zero point. Six percent and telstra was half cent hire the best of the top twenty was plasma group. Csl up one and a half percent. The base of the big cats was rei group of two point. Four percent while aristocrat. Leisure rose one point seven percent. The gaming machine maker is the second best performer. Over the past year up more than sixty three percent only building supplies group. James hardie has done bitter. I eighty two percent oil. Prices were lower. I have an audible gulp. Prices fell back below eighteen hundred. Us dollars an ounce. The aussie dollar was lower. I've not on the back of a stronger greenback and his trading at just under seventy four. Us since and the price of iron nor has full into a seven month low of around one hundred fifty two us dollars a ton after china. Stick up if it's to cut steel production behind the crackdown are if it's to reduce carbon emissions in the world's second largest economy also weighing on the price is increased production levels globally. The price of oil has full and forty percent since its peak in my that sent. The share prices of the maija on oman is much lower with four skew down more than three percent yesterday. It's of more than thirty percent since the end of july. Hp in rio tinto oppose down around twenty percent. The reserve bank of australia expects the economy to bounce back from the current lockdowns along the east. Coast sign the outbreak of the delta variant of covered nineteen was a delay but not a derailment of the economic recovery. The central bank concedes the recovery has been interrupted and economic growth is expected to decline materially joined the current quarter and the unemployment rate will rise but the impact is on even with some regions across the nation facing very difficult conditions and others continuing to grow strongly as vaccination rights increased further and restrictions are raised. The economy should bounce back. According to the reserve bank however there is still considerable uncertainty around the timing and pace of the bounceback back and slightly to be slower than what it was earlier in the year. The bank said the economy will expand a guy next quarter and be back to its pre delta path in the second half of next year low interest rates and government spending will continue to support the economy but the bank is confident enough about the outlook to go ahead with its type ring of bond purchases it has previously announced it would cut weekly purchases from five billion dollars to four billion dollars but given the slowdowns in victoria. New south wales. Some economists had expected each reverse. That decision it didn't they said it would keep buying bonds until february next year. The reserve bank reiterated that it didn't think the official cash rate would rise until twenty twenty four. So what's all. it was a fairly upbeat assessment. Given the extent of the current slowdown in economic activity until the delta varied out bright. The reserve bank had been criticized for being too pessimistic. That certainly no longer. The case is almost reassuring to read. The governor's comments right stronghold for another two and a half years and the economy should bounce back in twenty twenty two or around good news in a moment the rest of the news. You need to know this morning season news. Toyota will spend more than thirteen billion. Us dollars over the next decade to develop an improved battery for electric vehicles. Japan's biggest common. You factor has been a leader in harbored vehicles. But critics say has fallen behind in electric vehicles. El salvador became the first country to accept bitcoin as legal tender overnight. The launch didn't go as hoped with the digital currency down as much as seventeen percent to forty three thousand. Us dollars a unit after the government had to take its app. The storing the digital currency. Offline judy capacity issues. And while all the signs of that china is slowing exports rise more than twenty five percent and you were still terms during august to a record. Two hundred and ninety four billion dollars imports grew thirty. Three percents also to a new record level. That happened to spot port interruptions and cova closed downs. And probably reflects buys bringing forward. Christmas orders locally qantas chief executive elon joyce said the airline is handing out fifteen million frequent flyer points every day as part of its incentive scheme to encourage kobe vaccine uptake. It's issued two hundred twenty million points since twenty three august. Mr joyce said qantas had created forty sixty routes over the last year to avoid tight border closures and had done all it could to accelerate the vaccine rollout and position it so for apus pandemic future governments now needed to get on with the job. Mr joyce was critical of two states. Who are taking a more conservative view into departing from the national plan. He didn't name them that. The ceo is clearly talking about queensland and western australia. Mr joyce also reiterated that the airline would only allow vaccinated travelers on its international thoughts when borders open a game in on that point. He said the airline was came to revisit planes for nonstop services between sydney and melbourne and new york and london new south wales premium gladys very said the states struggling hospitality sector should dust off they. Kobe safety planes and prepare for a reopening in mid-october as vaccination rights roy's new south wales reported twelve hundred and twenty new cases yesterday the third consecutive day of lower numbers that the premier has warned. That worse is to come. Ms berry. jacqueline's had reopening in the hospitality sector. Shoot mark the end of the tightwad. Lockdowns adding that only vaccinated people were enjoy greater freedoms currently forty one percent of eligible adults in the site of fully vaccinated and seventy four percents have had one does across the country. There have been twenty one point. Two million vaccine doses administered almost sixty four percent of people over the age of fifteen have received one jeb in thirty nine percent a fully inoculated about one million more devices and needed to reach seventy percent coverage of. I is vaccinations. Victorian premier daniel andrews said. He wanted up to three hundred thousand extra fayza diseases from the uk on occasions to my cup. What he says was a secret plan to vaccinate sydney federal health minister. Greg hunt responded saying some people would just looking for fought more than thirty percent of torian adult population is now fully vaccinated in almost sixty two percent have had one jeb. The site recorded. Two hundred and forty-one ukases yesterday although nine hundred new cases in the ict the major supermarkets on the lookout for new staff with more than six thousand five hundred current employees. That will words calls an l. d. in oscillation the supermarkets need staff in distribution centers. Instals with out of stocks on mounting outlets across new south wales according to a report in the financial review suv market workers are on the front line of the fought against covet. The lighting serving may on the weekend who was a union rep estimated that she came into contact with three thousand people each week. That is of all the plaudits they get main wall will woods has sold a nine point. Nine percent stake in meal kit. Company molly spoon. But the retailer says it's committed to continuing its five year strategic lines which covers marketing and customer origination as well as hoping with molly spoon supply chain molly. Spins share price fell ten percent yesterday to its lowest level in a year women accounted for just five percent of chief executives of ice x. Two hundred companies as at thirty june this year the same as last year in lower than twenty eighteen and twenty nineteen according to a survey by chief executive women and there were no females appointed last financial year of top two hundred companies and only one caveat conard media in the top three hundred since june. Two women have been appointed to say roles. I am pays alexis george. And woodside's meghan nail chief. Executive women has called for companies to install targets for women in senior leadership roles with an emphasis on operational roles private equity group. Bg hike earlier in the week. Walked away from its one point. Three billion dollar bid for hanson and yesterday the technology groups boss andrew. hanson said. He didn't know why the light stage talks collapsed. He said during the due. Diligence process narrate flags or black holes had been identified g h had offered six dollars fifty for each hanson share following the withdrawal of the bid henson share price tumbled enclosed yesterday at five dollars ab two. I mentioned the military coup in guinea. Yesterday that has the potential to ruin investments in the west african nation by rio tinto alumina alcoa but monte companies have been permitted to work through the curfews imposed by the coup leaders providing some faint. Hope that the investments went impacted. Guinea is a leading mon- of books books. It's used in the first stage of the aluminium. Production prizes is refined to make alumina which is in smelted at high temperatures to mike. Aluminium metal. that's listened to the morning defense minister painted. Dutton has signaled a greater excess to us. Missile technology will be a test of the anzus alliance ahead of an australian push for unprecedented defense industry corporation at high-level talks in washington. According to a report in these strategy newspaper mr dot said allies needed to pull know-how and resources to develop new long range strike weapons in offensive cyber capabilities. Inflation expectations have risen to their host level. In three years or consumer confidence has fallen people. Think prices a more likely to rise according to the is it roy. Morgan is trailing consumer conference of inflation. Expectations met up. If it will think prices going to rise the more likely to demand wage increases or expect to pay more for groceries and other goods. It becomes a so fulfilling prophecy. That's why policy makers watch it so closely crown casino's new chair ziggy switkowski. His stepped down from his job. As chancellor of our mit just is after the national tertiary. Education union published a letter saying it was incompatible for him to hold by thrall. Mr switkowski said he wouldn't be able to juggle a jobs. And the victorian liberal party have elected formulator matthew guy to hit the potty dumping mark lebron with an election fourteen months away. It's always a significant move ins particularly cy right now. Given state premium daniel andrews has been harshly criticized that he's ladyship during the kobe. Pandemic of next is a daily interview. And i'm joined today by john chief economist carlos cacho call us has a real neck for putting econ into everyday language. So he's the right person to talk about your stays meeting the reserve bank board. We look at what it all means for the coming months how quickly the economy can recover and what can derail that recovery. That's up next in the fear and greed pilots on your podcast. Federal or fearing great dot com. Today you. it's wednesday the september twenty twenty one. i'm sure alma and that was fear and great joy day.

Mr joyce callous cacho Us reserve bank
What consumers want from a real estate professional: Owen Wilson, REA Group CEO

Elevate: The Official Podcast of Elite Agent Magazine

21:51 min | 1 year ago

What consumers want from a real estate professional: Owen Wilson, REA Group CEO

"Understanding which is giving them choices to have a they contact you leave the better consumer APP Cam. We've lived here for example email inviting you just know the white achievements flock to operate so. We've been co branded. What's that team? Su App Platform. You leave it at seven. Forty crates in consumer responsiveness. When it comes to late. You're listening to elevate the official PODCAST MELITA agent for real estate industry sales professionals managers and leaders inch episode. We bring you the best minds in business and real estate to help you sell more and elevate your results to connect with all things elite agent including the latest news coaching features subscribe at our website elite agent dot com. Welcome to the elevate. Podcast where we dove into some of the most interesting minds in business and in real estate for the very best cheap sin strategy feed imprint. Elevate Your Business. On Samantha McLean editor relief agent. And I'm joined once again by market but that's me that is you and I have something a bit different for everybody today. I well fine cold really. That doesn't happen that often. Does it get cold all the time. But I can tell you that the CEO of doesn't call me all the time you WanNa take take so basically at the last couple of weeks so we've been doing some marketing for prop twenty this fantastic new initiatives that are going on. Friedman's for all our customer this all around the country. Choose your adventure. So this special coming up in the print magazine says everyone's going to see that you know when it comes at a week or two so I had owen on the firing talking about kiss thoughts on top twenty so sit Dream Soy oh and one record this conversation and we contend inward podcast like. There's nothing like you know. Repenting content there on the spot on the fly with the CEO of Rei put on spot but anyway he was really great about it and he said Yeah. So let's see how we go and I think we're kind of trying to get back into the graces of Twenty twenty but I think you've also covered off on a few different aspects. Not just dropped twenty. We're going to be awesome. I mean the last time he's without any more actually on a podcast about twelve months ago. Organized podcast twelve months ago. Yeah where we talked about like he just stepped into. Ceo's role to warm up. Now Yeah Yeah and so. We looked at the future back in what he'd hoped for in two months and I think even his podcast you'll hear is by saying that we would terawatt predicting that feature toward nineteen. Once out of the few people did it was It was near extremes. Really think we've perfect to that. She talks but anyway. And I want you guys to know that this is really great because I have a Christmas a lot of things happened bushfires and because now and I want to talk about these people that still want to rinse out this bedrooms two victims of bushfires Christmas Can do that. Freon flat might still come like they're really Kane on bringing people to get the heavier hitter sales in Kolzig and also this great news about Prop Twenty. So yes. This is a conversation is supposed to even rei update if you like with big boss. Cotton talk so so what you've got here you'll have to forgive the audio a little bit because it does kind of cutting in and out and it was something that we decided to do on the fly which is pretty exciting that we can do that here. Late agent so be really great. Feta listening to what owners had to say about the. That's gotten eat. It's coming in what piece predictions for the Real Estate Industry. Off Twenty Twenty and obviously get in there and register for prop twenty. We've talked to a lot of the speakers and it sets shaking up between amazing event. It's a great event is going to be a good one and if you want to register that good appropriate dot COM dot. Au absolutely and also if you're on the notes from this podcast. Unusual elite agent elevate dot com joy. Sam's without so welcome to the PODCAST. Our and Wilson. I kid happy New Year. I think we chatted about this time last year. Actually when you first took over the reins as CEO of Rei Group first of all. Could you perhaps reflect back on your first year? What have been the biggest highlights and the biggest challenges on everything and any time? Last year I think we could have predicted. What a challenging market. He was going to be the. There are a lot of reasons why that was. The election of Chinese government on Said Day ran banking and access to finance so challenging. Yeah not any wrath for our customers in in the of properties that will put up evaluating these sunset market. But I'm not in a fantastic year. Glue one of the Canine. They was any time with customers and I got to. My babies are all. I thoroughly enjoyed that up at the legion. They can change. And what's happening in Businesses Avenue? Type guys letting advantages an ugly out. There is certainly nothing like being turned in the day banned for as far as last year. And I think you're absolutely right when we did shut. Nobody could have predicted what would have happened. And I mean really. It was a year of two halves last year. I think sort of like a you know like a football match. The first half was nobody could have predicted that and then all of a sudden after the election and post apper controls being relaxed a little bit things went up again so in twenty twenty new decade. Ye New you. Everything chance to wipe the slate clean almost and start again. What is the outlook? D think like for Rei. She got a good in the last year if you look at some of the underlying indicators in the market for processed signs Rikova in Nova and she'd be where they were down for about eight months. Aukin clearance writes back wincing buyer activity on. Ask up about the same across. Al Have Various Platform so an all time. High Tie game just glued anytime here custom Salazar Guy and he come back and now they're back falling is right that we came back. We haven't seen the Miller. Tv Yet. I think he sees starkly starts happening when school goes back. Which I think there's probably a lot of parents breathing. Sigh of relief right about now. A big arrive at the checkout and like really ramp up these waiting watching this next. Two weeks all is riding. Yeah absolutely I mean. Look at Spain a tough Christmas as well because obviously we had those devastating bushfires around Australia in I mean you know we're still not out of the out of the woods. There are no area. I've been doing a lot to support the bushfire victims. Can you just talk through a bit? What's available to particularly to agents and they customers who have been affected by day's events. Everyone all of stop having absolutely shocked by what we've seen on TV screens or Bush and and not just an age range. I mean we keep us stop. I'm a couple of days by gear. Melvin so you know. The unbelievable impact is really evident for all of this and we've created a police fire relates package infected customers to access when the time is ripe for them. Evolve the eruptive it. Houston's measures new giving Marie upgrades on these teams and now additional costs rate funding. I'd appetizing any properties that we get areas may give me taking on my winding out. Phase for active customers in these areas emerge aiming plans and the other one would really paddle is. We've opened up outflanks sides for free to anyone who has a room available for Bush becomes. We've had a very blading on to that. I think we've had Hundreds of brings offered by the general public on page DOT COM and they will take five victims of been displaced from their properties are. We'll let the guy. White Volta had financial donations bushfire relief. And we've had an incredible response from us. We have match giving and will match often actually as well generate a lot of support for the charity to help him. By the gyms amazing the floodlights one is a really good one too so I have a bunch of people jump on. That one wants to thank again really better than getting the message out there to people who wanted to either room so someone who needs it. Let him neither disabilities available daily freight us. We'll connect the native of rain with them. For a the Veta- we can spread that message mornings. We can mike available. I'll see what I can do about that one. Speaking of the there was another message over Christmas which was a big one from area. And that is that you announce the appointment of cool seeing who everyone knew from wrench to the role of hit a sales. That's really exciting for cool area. I'm sure what The primary objectives going to pay for cool moving forward and how will that benefit Rei customers? We had a strength of talent. We could select crawl gently and it's cool on the beach. You need my to his advantage through. He's lady you know Iran business so and you have cool. He's well known to a lot of customers and never did angel side but he's also now is also initial develop a and M. media customers say priority is to get around the other pieces and to Jamaica with as many customers the as he and what they need and help us develop out strategy around guarding value. Customers that'll be a good challenge. Came to stop twenty twenty eighth so the topic added complication as he became father gang last week. He ain't got a new job and a new baby. The big push just going along here to a lightning pace at the moment bit Twenty so that's had a lot of interest in it particularly from from outside so area don customer events before around Australia and and we've seen the my main series roll around the country for the last couple of years. That pro twenty looks like it's something on a much bigger scale. So what's The thinking behind Pro Twenty? And what's the Cave Jacky for you for this? This series of events we need. I oughta looking at how we can get back to the street. And so this is an you. Series could helping support cry and prosperity across the property industry. It's free event. We'll customers vary. I grew and it's really designed to help them about half. They can succeed because as before success. He's entirely dependent on the success of customers dimensional theory. It convinces in Mont. It's GonNa be found the Rei customers together a Melbourne Sydney Brisbane. And they've told us. They came more about industry trends. That can shimmering xajdour in general have Josh exists. Really thought about your eighty for some people that may have attained my mentioned in the past couple of years one of the big differences that they can expect from this series of events twenty major away from that traditional game format. It's designed to cut his more chilling because nine to one so I was just up at all I'm confident orange vested tiles etc. Which is why. We've created an agenda that lasts to choose sessions. It's going to be relevant business names. The dishes will be laid by industry experts to leave an reeling sides. And hopefully actionable tiger is is a very deep hole that that alcohol will only joy from what I understand. Everyone starts in the same rain. But then you can kind of pick and choose which streams you want to attend whether your in property management or sales or whether you're a developer oil media like you're actually catering to old groups bet correct and a number of Al Ladyship some about very specific property toppings and he can essentially cheese adventure at this event which we legal their usual. Yeah absolutely. Can you give me a little snaky couple of things that people might take away from the series of events which adventure series but at the moment? It's clean it digital buckets and navigate and we want to provide tangible. Dyke lies to plotted a dialogue rations. You can look at some of the speakers got projects and your Ouija we've got. Rei Groups Chicanos. Narrative cosby. Did this communications expert. Chris elda is a whole bunch of really. Think out. We'll deliver real value. So it's like everything from real market insights to being better at nurturing leads and lading team things like that so you can actually choose doing at the moment. We do a lot of research on what to buy glade. Googlers bonds welcome seem to want and so we want to track. That is multi really nulla question if you could get inside the minds of Janus just just came to mind. I remember this all. Maybe with Mel Gibson where he could repair bills minds and I think that would be an excellent skill but the next best thing is daughter. Guess run into these types of kids around concede Ma trains while my second team and take what they want from any other service brought up to unite and they trained animal. And if we don't adapt and that that that can choose to go elsewhere so they really valuing so what are some of the trends that area is watching right now? I may not know from last year in the before every everyone was talking about these instantaneous customized service that can shame is looking for in their agent and Inaba things. Are there any big consumer trends? Your quite focused on here the depth of Andy more intervention and data. They're looking to do a lot of breeze religion selves since I WON'T BE ACCESS. Dada them along a journey giggling property they want goods lines experiences. Women talk as low as Asian quite a while. And there's still a long way to go on that on aim side fishline dyson and then responsiveness. Uk nominees favors on spot the wires bombing victims of their groups as the lucky mount their that. I WANNA talk on. Is You want to be example and so understanding open Shimon Peres giving them choice to have they contact you. Leave the consumer. Can we would seem that in Asia for example a mile inviting you know the white and she was locked up right so we've been called branded what that seems ensue at platform to leave it at seven. Forty grace humor responsiveness when it comes to legs. Actually I noticed that I was in in Asia for a little while over the break in in Singapore actually and I noticed that you could giggle any business in Singapore basically and that would have they. What's up on their website and that was a good way though it constantly on on what steps if you wanted to contact any business. Basically you could whatsapp them immediately. And it was the same as finding them really. Regrettably if you can see venture shaming about a property by model or anyone. Get us all butter. John's jet you know there are homes that have just become known of communication and contact. And if you're not responding to that and each out yeah absolutely anything new that you can tell me about is in the pipeline for Aria. Is she like what's one important thing that you're working on right now? You've got I think they she said but if you did stick achieve that action of experiences with consignments kind of staying in age and directing them through in a way that makes me feel visible his lines Dada Dada. Andy joins US JUST DAUGHTER ITSELF. But these together we did and again can. Stevenson looking for more and more. That is if Julian assange. Tim Horton on a lot. Being accompanied transaction. They provide that you talk to us and then we still think there's a lot more to do on the rentals ought of business talked about again ninety by the company vantage out so geomancy To be selected by the jet engines. It seems like the Cheetah and the like just trying type of friction EPA that transaction in a mockup arch. Yeah absolutely I attended in the world. That doesn't want the whole thing to be as you may included but there are more applications than their properties. And so yeah the experience of that. Id five percent. Opinions will get some form of rejection during the reign a journey and how we turn that come a really hopefully experience on the hill. An ugly help on the one day instead of just ninety one successful. Maybe it's an unsuccessful. But he's something else you might like. That sounds to me like Netflix. Well you know that that much tenants on that they went successful and actually the property. Come off the side really. Oh my God yeah. It's not only the experience we D- we can help you. Create that experience. Yeah absolutely okay. Let's look forward a bit are now. We weren't very good at predicting things last year. But In Your View. What do you think the industry needs to do better or differently in two thousand twenty or even in the next three to five years necking take coming back in the kitchen thing so we all need to continue to anticipate changing behaviors and Chinese and being really responsive to that still marvel at how in some parts of Valley Street? I'm responsive achievements where he's done get replied too late. I get all Idaho I think they will try to. Grumman in providing in a great service and a great experience to consume that at any touch points across the journey and also applies on the kind of law and MOCHA's Zion Wanting you saving in weight speak to Avenue onscreen tiniest get taught him talkative either. In minutes the speed where to get further and further ahead as an another becomes an own so we saw a jacked up. All they will be yeah. There's a lot to learn from Asia actually in terms of the types of services that they offer to you know you can have a new pool or new black or an uber regular and you know h customer would choose something different on any given day by stone with I need to be in how they failing and I think that's probably pretty telling of can. She misses well Jordan. Retiring all any type of service like that creates a different standard of service. It becomes on it. Becoming the dictation of get the complicated. We love the product here. What did he came from Bank of Bedtime Line within three always talk frustration that can change the starting game striving Iraq? It sounds like the banks again eight to Cape Up as well in twenty twenty. They think they know that will earn. Look a really like to thank you for spending some time with me. Today are now. You're pretty busy and thank you. Also for talking to us a bit about twenty which were very excited about the last question I always ask. Everybody always is if there was any one thing that you like everyone to remember from this chat. What would it be to watch it goes? Yep just I've never lived on a delighted over paid could Chiba and a lot of came to be an excellent business so I want a Lotta can get from it. The Wilson. Thank you so much to connect with all things elite agents including the latest news coaching and features subscribe at Al Websites Elite Agent Dot Com.

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Bonusisode with Nerida | A Permanent Shift To Regional Locations?!

The Property Couch

32:23 min | 11 months ago

Bonusisode with Nerida | A Permanent Shift To Regional Locations?!

"He had a really great chat with narrow. Toconas be the chief economist at the rei group earlier. This week on property The regional locations the election interest rates in whole range of other things. And we obviously wanted to make these available for you to listen here on the couch podcast. So we're going to get to the interview that will head on facebook live earlier. In the week with narrada conan speak hombres holdaway host of the property caption tonight. I'll have with. May i returning guests Narrow on speakers the chief economist. At the ira group for most of us now as real real estate dot com that able is other ones as well but toughest will welcome back to the catch up and for having me ask terrific to have you as always before having chet tonight battelle. We couldn't really start a conversation between all that really sort of tipping a hat to the us and the presidential election. And i'm interested in your folks as an economist on the china pale motmain festival for our economy moving second bowl a flow onto the property market. Yeah okay so my thought on the economy and Us aunts a major trading partner erik economic fourteen dollars more closely aligned to china so china from us sanctions suspect people from a political perspective does have much greater bearing. They are a big A partner in strategic partner. And otherwise. I might not be economic related that it apart missing otherwise size The main needs to -bility you know we. We want to save greatest stability in the. Us cds pretty divided country at the moment The someone that was unexpected. I think a lot of people thought it would be a gap between Trump and biden So i guess i roll could me sorry. The good news is a decision and you know. Hopefully it's there's a lot of the country becomes fiddled. Either coming months from studying property Again huge impact because people in the us starting typically by a lot of australian property. And i've been not likely la- agent bars who have been a determined in terms of particularly of the plan apartment but we can certainly say we've certainly seen a big jump in property from the us coming out of places. Like new york and california. I think you know somewhere. Like new york has been hit by Hit very hard by carbon. So you know that having packed is likely to be a fairly big expect community in new york as well. so that's essentially had an impact It's pretty similar to what we saw. When brexit was announced a big increase from the guy from hong kong when the expedition bill with announced resort beating praise from hong kong. You know we do tend to save these fluctuations a search on real estate dot com. You and they're off political situations. That are a little. be done. settling interesting. I guess the big area that people from the us searching each part by side you know this is something that barn by just popping up everywhere the mine and that northern rivas areas just so popula just say property seekers that people from into state and Local as well so that kind of number one which was quite interesting. Probably a little bit driven by the And he's built exactly exactly. I think the us celebrity you probably going to be doubling the us boom population so it's Quite interesting times. Up in the new south wales at the moment it could arguably the center of the universe for a straight line because he's got so much going forward in terms of its lost all it's really grind. Combet you've got an international app or just dive in the border. And then you're actually still within qa of capital city north and not too fast as well. So it's it's you could see wadi. Appeal is but i'm sure it's an safeway for us to talk about some of the at some of the challenges that have happened through cairo. Think it's a favorite oppressor rampage will making decisions guy It not regional spots of the same ally in terms of being able to sustain overlong appear to tom. Cruise the coast here in victoria but the gulf coast in the sunshine coast of the obvious ones. But i guess wherever there's a winery all bit of a foodie culture of if the saint sank the obvious ones midtown. The thing for me. Going forward is Will will there be enough to sustain places. That don't necessarily take those boxes that outrage would offer capable off style down. Did i will pay back themselves to god whilst i have a job. Will i get insecure. That if i ever lose that job would that be added. Another one. Yeah look at anything interesting. I mean we think they seem credible fits activity in regional australia. Covid nineteen and that sounds like lightning three to pricing. We saw las vegas actually translating through the population movement and supported that. They've never seen so many people moving from capitol cds to regional since they've been tracking dada fit. So i you know. There's no doubt that these big shift that's occurring. I think you know what we saw. Product covid was a definite shift originalist riley. I'm sorry we certainly saw that places like serious too. Long ballarat andy guy Moving down woolen gung a go kart sunshine crisis. We're all doing really really well Primarily my little to do with ford ability and not because necessarily really cheap areas but because people can ask a better lifestyle Than what i can actually get into capital city since carbon is that accelerated. So you know that interesting in our various has accelerated but the level of interest has pushed out areas that sweeping commuting distance to capital city. Sorry orange in central west new south. Wales is a good example. Reveal fire in the northern new south wales region navy north. Basically north car- stretching otherwise who've quainton border has become incredibly popular places like wonderful. you know. Wanna both no way really hard to get tomorrow. Delighted that same really good price card so i think it comes back to you. Know these areas you know they they. It's great that people have discovered them but all side there are little bit risking terms of what will happen. Runs back into the office. A lot of is still working from high difference point whether we will be called back into the office. Because i think that be the lingering thought this guy on just pasta fringe commutable areas had something that i'm particularly keeping on. You know i'm i'm the case study. Oh i have. Skied from the city allotted But it's an. I'm seeing unprecedented demand in mind community. It's phenomenal to be on a spit down. It's just that longevity. And i think there's potential that it can happen domain You doing the Online meeting i mean. It's just so normalize. Now that it's possible i still do have An interest to see how that goes stein and going forward. You said this preference is Is two one is how we work and two is the morning sick to how we work. We touched on that around. The fact that we're we're networked for parliament of We once were. You might comment in in one of your blogs that geelong illawarra sunshine coast. Go commander that roy. These china signs anyway prions but can you talk to us. A little bit about the the resurgence in the morning center and how you see that sort of impacting that shift wise. Well yes i mean. I mining areas. That would be risky. You know we were saying that. In the past that people buy into them because processes surging and rent going really well and then the the mind slows down or tv salts and then suddenly you know a practice crash so right now we can say places like port hedland doing really well from a range of the even from a process that qarafa is another one So the areas that you know they able housing or investment but if you are someone twenty to go into those markets to be fully aware that you know the processing tends to go like this as a part is to be know more capital cd Occurrence for some of the more interesting ones I mentioned before central with me. Seth wile There's there's a gold mine in in that region so somebody like orange around twenty five percent of their economic growth from mining. But it's going to be lost saw element to it as well. You know we can say At the moment unrealistic dot com today that somewhere like are in his now saying more time are inquire even kelly view in sydney. So there's obviously something going on in terms of of activity that some sparking interesting creating jobs in that region towns who is another one. It's it's actually from price cars but you know it's gonna dick decade of decline so again it's going to be mindful but one one time period of a gray often doesn't even fit the declined to comply either a prolonged period slip. One point you rise. There is united states. People listening to the audio. That couldn't say your hang up and down sort of volatility vitton. We've had one of the leading sales agents on an poconos to response to adults south important inland and recanted. what is locked during. The haiti dies and then recanted. It was locked during. The doctor is on side. It's all my slack. And i'll and i'll probably get shot by the people in these regions but it's more it's more of a it's more retrial than an invest because investing is more about sort of holding a long time whereas the trading singing opportunity and being able to do that so full for the experienced investors must be smoking vacancies in those areas. That's fueled by these demand as as you said in your blog Affected them production of on all either in tight affected areas as herself american. Mike even more internationally demand for what we've got out which is which is always been good now with extra demand so caution but this clearly clearly this opportunity than with a bit of demand in that particular spice e. The big question we talked about this will be cooled back into the office. We die. i'm but you you have a view that the shift will be reasonably permanent Going forward heavy fenway. When you look at an open newsouth wild. I mean that's probably the area that's really benefiting right now in terms of prospects bar and by what processes of shut up thirty percent in three months time periods. Are you know obviously not going to keep increasing at that right. It can't cause increasing that right thought But if you have a locate a really good example bengali. In northern south of that that has actually saying the strongest price growth in australia over twenty years far more than any suburb in any capital city or any other regional area and increased from. I think seventy thousand median in two thousand heat now just over a million dollar median. So it's one thousand two hundred and line percents in christ which is fourteen percent per annum you know. They really really beating price. That went with saying that time period. I think look. I think that we will continue by Obviously the pricing increases were saying count companion. And so you know that. That's the difference The other thing neither really driving at gold coast and sunshine coast easily from victoria coming back to besides dada that came out lost weight but i did say the highest level of movement from victoria to queensland since nineteen so you know there's you know again will that continue we don't know for sure but You know in that dramatic to june time period which is basically early carbon. We saw a big movement to to queensland and And that definitely benefitting places like gold coast and sunshine coast where we are now saying some pretty record numbers in terms of search within a doubling insect. Tvd but a real faith saying very very being crisis in processing in particularly some very expensive variants such as sunshine beach which is all in on the sunshine carton about the he the yeah coin is that will allow you at all. I guess i watch the spice really shots on his his Listening watching this just put a little night in the comments lettuce now if you're planning to move at regional and way and we can see if we can get a bit of a without happening as well outside advertising so quick money on interest rates. Cash ride is. You couldn't save all seventies baton. Monetary policies is is not long ago. I toll it can be easily used. What's your feedback. First of all on the fact that the right to satellite and the fact that the monetary policies probably notice path at that level and to a we've talked about negative rates before be interested again now. The were even clark's out to that. What what your view is on that. Full yeah sorry Obviously interest to caught again last week which was another sort of the property recently. Say anytime my. I caught that that people do look to borrow more and and as a result that does help help crossing the other things that have happened. We have had some relaxation of responsible lending roof. So so that's really helping We've also saying a lot of the job loss. That's taking place during covid bay. More heavily concentrated on young people as opposed to older people. So you know that have rental market very hard And then of course we have the banks which are incredibly wilcox laws at the moment and We had the of ain't they'd come out on offense with the white before saying you know it was just much money. We didn't know what to do with it. You know no one wants that. He made some comment like that. Which you know. It's on issue about it. Just shows how unusual a situation wherein at the moment that on one hand we have very bad recession and we've got very high levels of unemployment that at the same time nice shortage of cash is really propping up asset values across the range of investment tots of beach. Property is one of them and effective attacks. Along to transact is also been austin buffer in the fact that the banks have been responsive has been helpful. But yeah. I guess people still have this view. The damn there is still some form of Was called satanic. Cliff candidate timber slides. They moved to match the promised head. I deny talking about how we need to sort of wane off the off the support to try and stand on arms fade against. It'll be interesting to watch that. Spice insane attack. I think ultimately what stri and we've said along and so most United is consistent. Laboriously boring decided that affected. We still have this strong underlying demand for for real estate in march tobacco markets at the at the established level and a constantly changing too too much four. Given that you've got this demand heavily driven by on rocky pause and already that you've got this this group of people that are just at solid affordability. Anything sort of dropped significantly lead looking alex. Ready to jump in as well. Something that bodes well for out. It's going forward at another love. You just just in terms of Alps sending me a question. They said not intensive property market observations. The melvin save. They could possibly be the biggest challenge property market right now with the matter vacancies. What what's your observations. Ed yeah you know when we talk about property and it does seem to be checking pretty well at the moment just thought conditions spots one of the areas of showing i guess he's the rental market and my stralia. Now we have seen it recover very early in the pandemic we did say rapid rising by conceived and be dropped ranch but this is sort of old floyd trail now and even inside problematic one area problematic moments day and play the city the suburbs basically comprises cd of melbourne including places like caution and docklands and southbank where we do now have around for thousand vacant apartments. In that. in that area it has inc big quantities vacancy at that time but basically four thousand up to about twelve thousand currently We also have. I mean primarily. The problem is foreign students. Have a chance so you know this problem. We speak a problem around. Migration is a bit of a problem is a big problem. problems range will raise retail vacancy. Put around two hundred. Thirty additional vitamin shoppe off say can see right is tripled Obviously abc's at worst case mouth. Anything coming out of the lockdown you. If you want to look at one area that he's saying the mice impacted that is that is the moment these at the moment. Iraq is locked down students places in town. It's it really is the hardest heated Full the teachings. We've always talked about in terms of my shrek. We self inviolable positions where you're made even intensity will. That's the case where that's happened. I've got a couple a couple of people living Someone wants to move from santa village in queensland and just moved from melbourne to bendigo town and so much more bang for buck already might thousand equity in less than eager to inside demand and that which has said to a sunshine coast. He's on fly. Fishing guide absolutely not inclined cry standpoint fees creepy at the moment everyone everyone's out all the items up verifying it record level thoughtful copies and typically sell out on saying so. That's what's your what's your feedback on some of the incentives that the government has offered you know i was game the extension of high build up and then also Some mooted infrastructure spending. That's been murdered for some taller Clang atas we As we're not going recovery. They played great things like fifth time by grant could need for first time by can say in terms of the inquiry level that it stain pretty be year. The first time so So that i'm greg. News is good news. Because it's so often i get their values level of government in to buy from you know certainly very generous for them in terms of Hind buddha similarly saying that primarily pets the house and land sector so lots and lots of activity in the suburban areas. Many regional areas are doing pretty well off the back of vat for a little bit problematic in that we have zero migration from overseas and at the home building more housing. So you know a little bit of an issue there but you know. I'm i'm pretty confident that stage in the near future we will be opening our borders again. Sorry won't be long chamie she but Little perhaps a little bit problematic in that we are building when this there's not new people coming into the country so tips to give people some updates from what you're saying about the fact that students This a coupla. Paula programs for students. Coming in and i guess as we get Get under control of the virus. Here in victoria given with Tobacco dies with that new cases. Do you do say the government. Saying that. As i applies to die would bring fold or do you think politically it. It would be something that. I would still continue to push off till next year. Yeah i think clayton kershaw funding. They still a lot of kylie. Say that are trying to get back to. I think you know about the now but From from an economic perspective you know we can certainly say for something like victoria. Where where education is the number one exported particularly problematic. Not just in the city apartment. It's actually medic for for the water economy. So i will you know it'll get sorted out but it's obviously this time period in which is going to be a pretty big drag on economic guard along. Do you think that will take full as a strategy looks to recalibrate clearly. Victoria is behind that recovery. Given the do. What's your commentary around. The ability victoria get backing along with the rest of the country. Do you think that'll be sound tom. I don't think simon you go to. The melbourne was ninety days. One hundred days walk down. I you know it wasn't it wasn't audience so it wasn't a huge amount. I mean he he melbourne it. You know it wasn't catastrophic to the economy sorry So you know we'll say about fat you know we saw when We saw it when melvin. Sorry when the rest of the stralia raritan that we speaking impact on retail trade resorting to him. Tv already on on on on real estate dot com. Today you know. I think people were wanting to stay in wanting to travel they wanting to do stuff and And that will really help you know. We can mind china that confidence and that enthusiasm hopefully too many people to coin flying but But if not then be it will be good. Needs for the victorian economy. Will the challenges capacity isn't if a scenario The capacity of site even reindeer in on the cars that all all this extra demands coming. But there's still sign needle on up and have a booking in the united before five people at saw the restaurant compared to be in so whilst is the demand county suspending money. Because that allowed the won't be doing any kind of inside. So that's that's probably the biggest help to recovery. Act tom if we continue to get on. Top of the health challenge nationally as well as he be toria where multiple can come to the restaurants. More people can consume that for the arctic which we regret. Now i'm just gonna quickly say here we've got a couple of saying what about the central boy gosford just a city by the trying must be the next big boy. Modern think. there's any secrets there. I think that's a bit more. Mandarin perth and sunshine coast dulcolax. You're on fringe commutable. So that's pro and ben guy. This is battle right. Bandages tipped to have much stronger. Growth in the next three hundred and five years when mob three to five years. So we went there. The color drivable. Clearly a few people sort of giving us some feedback north series Gang up as well. I think what was interesting. Let's go kick on al podcasts. He has been i value of fifty years and settle just bought geography. The fact that Victoria is so small. We saw big dense of population Difficult to even think of geelong bendigo ballerinas out ratings colledge originally conflicts have suburbs melbourne. Anyway away the jauregui aging lending restrictions. So that's shifting land up other responsibility. Foam land is to the borrowers United banks to pour out of people's can't say what did you spend that spin on sort of giving more responsibility back to to the buyer. And and i guess some of the Got a is bad news. I've been slather philander going to get a bit lazy. But i think in the shadows of a royal commission and some some some hits to reputation us office in the short-term we probably say that they would be reluctant to sort of colorado the lawns. But do you say that that as that memory pasta Do see that. That would be a challenge. Now i think they'll be careful. I mean just come to a royal commission They've they've gonna be continue continued. Focus on the behavior. I mean some people in the banking sector say that you know the big four. Have you know tie the line. And they'll be careful in the way they lend thought probably the biggest challenge will be some of the emerging digital players. They're gonna get pretty competitive and try to get mock cher which Potentially you know that may lead to a little bit more risky lending behavior but I think i will be pretty careful. It does fundamentally important that people do take responsibility for what they're doing. I think because you know the. I guess the whole argument of responsible lending at the problem or is it the length of pro the problem and trying to get the right balance. Is you know pretty challenging. I think government regulators challenge easy. So we'll pay between like adults. Let us betrayed like adults and then you have someone who prize on people which which which still cameras those will. I guess the environment that we're in you know aware catching up last year. We haven't compensations iran. A ham breaks braxton. The fact that the property market was going to buoyant in we earn entirely different world. Now we actually need to be encouraging people to still have that conference so they can go and spend the money and invest athlon So the we can actually get s out of the young out of the recession that we're in full waves to timothy went into recession. See as we get the results. Full the reminding quarters. Do you see any other ones dipping into negative growth. What do you think that we have that pass now. get past. The main victoria. Fly down a few few of the nations but agency victoria going to look extended. Look them the fact that the thank you know every probably out of it now is that the rest of australia has been strong enough A lot of the data coming through how tried dot autumn. It's coming trays is. I'm super bowl these but it's better and then you've got inflation which again not super positive but they're not dipping like at in the in the june quarter you know. There's there's certainly enough information now coming through so just shy that we probably out of recession. There's still a lot of problems that we we donate to get and nobody play. Carbon if one of them and migration is another and You know border some borders. You know all the things they need to be sorted out now we you know. We'll have next year. I mean this talk today of the vaccine. That's been developing ninety percent effective. Which again isn't going to. Suddenly you know. I don't just get the vaccine and problem solve but you know it shows that things Implying tens of returning to normal which is very good news. And and i think what you need to reset Consumers are still pretty confident. You know the fact that we say these massive surge in retail trade when people come out of lockdown shows that they you know people do want to spend and feel some level of confidence in the future that things will return to normal. It will it so the last one for me before we wrap it up. There is Clearly when you have a property market that's been underpinned and largely absorbed the biggest expect event experience Since back to the great depression side part of that was because it was just wonderful. Lack of policing given you out of the preeminent listing saw in the country. Are there any insights that you can give us in terms of observations that you sing about increased listings in victoria now Scott to do that bit a bit across the country because we run around the country and boy old different types of markets stories that scientists. There's no not helping. Yeah no i. I mean we all i think that Yeah instead of an walls. I mean we have look at early early in the pandemic united the first two weeks. But the lockdown said the two of march we not only plummeting in search activity in officer plummeting listings but what happened was Search out pretty. Creepy listing fans. Back and other to improve. Melvin thing particularly problematic because it was very hard to to sell and buy in the pandemic with people stuck in the kiro radio and arkansas inspections band so there was a lot of problems which you know we're team will will lie waiting to about backing listing volumes but obviously open has missed out on that spring sowing periods. We you typically the time in which we say the the mice that tv so The confidence crazy typically say listings. Increase the way that happens over the coming months starting seat graphs in intently with your reports to save Listings jerry Abnormal say's given the light they by the agency can't see them in melbourne until we strive to divert but a few of them Looking at their if we'll cusco men. We wanted philip. Few spots in that John review movie interesting. I spoke to some agents. I do expect to be working through january which is very unusual. You know clay agents take january off and he said come back though towards the end of the month but the piggly melbourne giving things so quiet. I think it'd be some quite came to to get things moving and kp activity going through the funnel. It now ethica at gearing up for a footballing locked. I have done before. So i'm sure that translated to extra listings. Hi it's always a pleasure chatting Aside generous your insulin surmising. Europe cult faisal economic developments around the country. Appreciate you coming on to the perfect. Catch hey thanks for having me flex listening. You can listen to the property. Catch h. every week Thursdays three pm and you can check us out on the property. Catch doc on hold why he before you go if you're new to our community ernest. A handful of episodes hourly recommend that you go all the way back to episode number one where we unpacked all of the foundations when it comes to property investing for those of you the mob. Illuminate tom poor of good. Good news for you. We have a binge. God you can download straightaway which summarizes the first twenty episodes. Where ben and all i. I'm the foundational pillars of the abcd. And so much more and you can get that straight away. If you go to the property catch will come dodi ford slash tpc twenty. You can download and consume it whenever you want. It's completely free and available now for those of you just a quick reminder that nothing. We've spoken about tonight concerts financial advice. We recommend that you reach to all licensed professional advice. I can look at your unique circumstances before asking any information. Don't forget go to the probably catch dot com forward slash tpc twenty.

us victoria china Toconas narrada conan holdaway fourteen dollars bility brexit popula Combet andy guy west new south quainton border new york qarafa Seth wile melbourne twenty five percent hong kong
Bonusisode with Nerida - Coronavirus, Property AND the Economy

The Property Couch

37:26 min | 1 year ago

Bonusisode with Nerida - Coronavirus, Property AND the Economy

"Bryce hold way with another episode of the probably catch more recently caught up with narrative. Be Who's the chief economist at the Rei Group better known to most as real estate dot com dot a U and we had a really great chet lock we each and every month and we talked things Roy Navarre's how that would have an impact on property how that will have an impact on the tenants. What does it mean about the economy? What does it mean with all these stimulus packages? And how can people navigate through? What is a very very interesting to arm? So it was a great chat very insightful as always with all of narratives wisdom so let's cue up the interview that are recently had with narrative coningsby horror flicks. Sambra's huddle I am co host of the product. Tonight I have with may never be. Who is the chief economist at? Ruth's site they'll come by. Who we have on H. every month but Tim. Today's a little bit unique narrow in enact catch up to that first of all. Welcome back to the cash hangs having me. That's what a different school weeknights. Last time we caught up was Monday the second March Some four weeks ago and you and all we're talking about the fact that At the time the just vacation we have thirst corron of arse relied a disc and you and I had tied around. All you know a cautious. You know turnaround. What does that mean? But then what a difference. Four weeks thanks. Yeah I mean. Look at these changing. Today I think The the daughter and the information and the policy changes Fame to baby seems to be something you bang announced. Everything's I signed. It has been a very very difficult market to to work out. What's happening You know I'd be Steitz. We can clearly say that. There's a lot of distress Brenton's and a lot of ranches the young they're exposed to hospitality tourism entertainment They are also by Typically lower income by said that let's impact on then that that phone to people who I investment properties will be quite significant yesterday we need the announcement around banning of tenants from six month time period Beyond that you know we don't nine hell. Landlords Armas investment of these We will be Will HAVE INTENSIVE TECH SPIKES. Report is highly likely. There'll be some changes to the text bikes. Thera say but you know it'd be starting the government basically said wreck it out for yourself thousands and And Matt what's Your Best. Guess clearly the caveat that it is cristobal colon. You don't know what would be your biscuit on how they might respond around the incentives to the lands. Clearly the renter's will be doing top fraud and we want to be. I am an argument. All the rich grady investors versus the pull vulnerable tenants because at the end of the die for the majority of property investors vulnerable. Australians onside designing a very small percentage of the big fat cat suit having Whereas the majority you know self-funding sparring retirees. You are also on the challenges out what what is. What is your viscous of what that might be full services at of course the habit you KRISTA bowling him climbing we deny that I guess You're right on one hand. There there is sometimes conception that invested very wealthy and you know the realities of many invested one property. They may be paying themselves to top off the movie and enjoy themselves during an interview. Coding situation that can have caught significant flown impacts. I at least I guess what's available to landlords potentially won't be afraid we'll be payment phrase so at least you know that will heartfully tied some people over in terms of what the government will announce the two things that I've heard Some changes to negative gearing so there might be some text sent. You might to negative gearing Sending notes I land tax changes silent. Taxis in such Nishi for many investors of single on residential properties is a big deal for commercial property. Sorry they're treating. I'm hearing at the moment I thought by now. Even what's happening? The rental market is open out a little bit more clarity in what was announced yesterday but at this stage it's record at yourselves Bacanovic Some guy from the immediate just allow depreciation on all sorts of depreciation to be deducted again rather than The Chines might a couple of years ago. I think essentially a everyone. You know the fame of rolling this together on the Lam has to work it out of the tenant decide we'll at the other end of this the the property market and and those landlords they actually need an implied. That's part of the part of the biggest out of their exit route. If I can get that regular income side I think the number one suggestion is to communicate. Tokyo tenants. Don't treat them like less than just because they're having some challenges going to repayment plan like you said they. I guess you might have some further comments. But the Banking Association signed will allow out businesses to have some relief on On the pirates of the lawns as long as they pass that onto the commercial tenants arrangement. So I think it's important that we thought advise at landlord can have a repayment holiday. Therefore I have some relates to give the tenant some form of package that we can enter into so that I can never got through. The interesting thing is if you can't have addictions really does throw landlords protection insurance into a into a a different spice because I rely on you being out guy through the process of giving notice Giving the Ford is whatever state they're in and then at the end of that process that's when insurance keeps we'll nail the government's saying you can't do that so these insurance will be on in in modulus not necessarily covering him. Yeah I think this is right. I mean on one hand you talk. T- bank and Trauma Work Out. What's going on but also they need to look at your insurance and united Some In a very difficult situation I think so. Essentially the government can give some incentives to landlords like in We can all work collaboratively together to realize that we wanted to sell out and give give concessions on by as I think we can all navigate through it as long as as long as we don't have scenario with the poor landlord is asked to provide public housing because essentially you. We talked about it a lot of them. Just do not have the Mogae for that. I am what are some of the trends that you're saying on your sought women? I mentioned before that rental the rental market seems to be the mice challenge. We have seen a big decline in the number of people searching for parental properties out. We've also seen an increase in rental. Be Steaming send Partly we think it's because people if I if I cop Iran's maybe a crime family Flat Might Swim. Sanan increasing the number of people looking paper. Shad so you know that. Make sense that. If you can't afford on your on you may look to to share your property In terms of an and then also is starting to say a lot of Ambien Bay should short term accommodation switched long-term That that market is used really challenged of the mind of people out holidaying like they used to go somewhere like South Australia. Tasmania claims you know. Becoming Niece Viki actually getting vice sites and inclement crane finds one that we really saying gigging racing in finished Jing's wrench will be stings on thoughts. They've more than doubled. The last couple of weeks other buy side that you know the full style side is little French until last week we do saying highlight high levels of search compared to the same time last year so I mean that was interesting I thought it would automatically weekly Pau In terms of this way starting to pull back not surprising lame. You know this series. Search activity taking vice. We'll get a clear idea as to what's happened listings In the next couple of days I mean I think exclaimed matched I will be out because he was starting to stay rule recovering the property market. And if it's too much it's highly likely to Yup I guess One one real positive is One of the drivers or one of potentially driving some French release of societal Mugabe distress in the market and And we're not saying that as yet. Sorry that scrutiny than a and I think a lot of it has to do the fact that fundamentally this season a financial crisis we have banks at a cashed up right to all A mortgage payment raises a a that can handle certain level of non-performing line. Sorry the fact that receives a health crisis. Ten Productivity car process is in terrible situation from people and they jump security batch. The financial system using shot in the government has a lot of money to be able to to spend in trying to get a straight as unscathed as possible. I think you make a good point. You know the analogy that we've been trying to portray Wonder if you have some feedback on it is as you can imagine. A car The Ted the engine fully tweaked. United will and grace up it's ready for performance and that's essentially a symbolism from the guy that got the interest rates down as low as possible so money is actually cheap to get into the back of the car. You got the government. That's now doing their job. This filling the capital of fuel with Ron. But unfortunately getting I drive the car to get in and as soon as I can get in that. S- that means obviously will fulfill and the engines fully pronged it's old momentum so I guess You know on that as a backdrop to get some confidence that will this is quite serious but but ultimately it's it's it's not a demand driven. It's more supply driven challenge that means that we momentum back stop. What are your views on that analogy? Yeah that's the problem at the moment is that none of us can work properly. You know fancy will can stop working properly again. It's it's going to change things you know. I think it will be. It'll be interesting. How the recovery involves the moment Big Big cops not Implementing Tourism Entertainment. If you're in government took the health service you starting job guaranteed would date saying very very strong demonstrable you skill so you know in any any cross. We always say some PUTTS. The economy struggled completely and then other very very Repair well so you know that. That's probably how things will play out in longer. Time Around Theresa. We'll be one area of the economy that will take a long time to recover and primarily because if you have a look what's happening in the US at the moment Most of Europe You know even if we do get through these unscathed relatively on skype in terms of a health crisis. Never we can flatten the curve. We can preventive many jetsons possible You know when we're going to be in a situation where we are quite vulnerable to infection and say. Bang table from the states. We very rarely Michigan for prolonged period. And probably pretty much until we find some Q. Q. Of it some sort of vaccination so I think on one hand I once we're months ago at level of Of Infections down once we start to say you know nine nine more deaths. I think the economy movie gradually all But I've been to the world I think will take a little bit on dob interested in your view on What you think have been to the property market on. That's a really broad Simon because we've we retry educate people do not see a strategist property. Mock but there's a lot. There's a lot to be excited about erupting mystic. Batu strider in terms of the the fundamentals of property still remind where we've gotTA scenario with so many people moving to county and largely as I as a hallway undersupplied for the amount of people coming here. Neither this pockets with us. Not because it's on moving forward. You know you've got you don't have easy. Access to credit. Could increase all shape access to career at. It's not necessarily easy access to credit. You've got increased demand limited supply. So what is your view going forward? I guess at a macro level. And then if you wanna comment sort of mole micro market level going forward as you sort of navigate through the filter of of what we're facing. Romney. Yeah I guess you know. I'm I'm very optimistic person and I think they are you in the next United States months. Maybe it'll be a little bit longer but Giving stimulus in the economy will be full steam ahead once things get going again and it even has the potential given how much money thankful into the system that we sought to save the economy. You know at this stage. It's really boring. My tape we just. WanNa Kinda get trained. These six to three to six months I think I think we will say price declines. I say how we could not say prostate and primarily on. Tv will slow down significantly Who probably say selectivity. Lie Down as well you know. There will be a little bit of a hibernation of the property market. We're pretty much. Not Much Happen. Are over a prolonged period It was interesting show head. Look I mean having a look at some of the situation by Mercedes at the moment and the one that was really interesting looking at some of the data coming out of Beasley at the moment and It's looking surprised me at night. The data source with from a real estate research institute. So I don't I how how good they wear or whatever incredible or whatever you know that that would talking about between January February and you know I didn't have much data so obviously a lot worse he much but Site by sor sort of two thousand ten and twenty percent drop in sales which it actually surprised me. I thought in that would even that? That economy has a really shutdown and horribly impacted I would've thought that it would have been quite dramatic. I'm also interesting though talking about Cable looking at new apartments spice weights and I said that that a sandwich. You know against the lockdown down but quiting side The Italy squad interesting and I'M GONNA. I'M GONNA look at it quite closely now. The next couple of weeks just to say what what's happening there but you know I think for Australia. I think it'd be a few things I think. Anyway that has a high proportion of government any any like the government employment Profile will be a camera will be. It'll be impacted but you know I think it'll be impacted this time wise. I harbor with soul a very strong economic growth in Hobart over the past four years off the back of tourism and education have looked at truth minute doing anything at the moment and heartfelt which you've been locked down so you can get everybody on the trees more education so I have you know I've been watching it closely for the past five. You could have just been phenomenally of what's happened there but the tanks lake take it back hot significantly into into that market. Stop store opened up again and start to get people back into You know enjoying the truth attractions and entertainment and off the Taliban that leads to all and then and then you've got somewhere like W I N W why hasn't done well for a long time but look some good news. I would let me but you know you have look at J. that they they did the process you know. We still very strong growth. While processing tumbling in Melvin side A hardball I'm sorry her I think potentially could well. Because it's a mining town the economy driven by exports online or goals. This still goalies. They sang process at the moment. Because it is seen as the ultimate even You know lots of gold being exploited China you never covering nights honoring call view saying that's a potential for various. You know the monument. It's it's anyone's guess I could. I could list like some twenty random numbers and you can just put them wherever you want. In terms of what will happen. We'd pricing but you know the jets come to my thinking. Government focused health health. Kit for your economy is driven by that pretty fife at the moment in it at the other end of the sky. Oh trees Vulnerable on me. What do you make the headlines? with Some sign that the market's going to drop twenty percent so and a and a guy in which Makali'i told me about but did you mentioned that you will Cautiously optimistic Evidence to suggest that I look. It's impossible like literally impossible to come out with a cold and I think the number I love her number and as he read like you if that twenty percents premium Sydney Sydney is that Australia is a capital CD You know we are every time. There's a property downtown one market. Does I and another market completely collapse and get back to the early nineties? Melbourne Melbourne collapsed. Oh carswell monning. Boom J. F. Say if the premium you know this is such a mock defense. Iran people come out with twenty percents. I'm like officially. Explain Yourself. Water out here and they can lay. Luckily we don't know because the problem is the financial systems on a fundamentally that will unappealing distress a you know. We're not not as likely to say distress styles in the same way if the financial system collecting that job to employment was riding This time round. It's because they're all stuck in fun out me an properly and we it's likely to be relatively at Thame when things get back to normal normal ever again but you know they'll be more normal than they are now site. It's it's just a complete unknown. As to as to the potential impact Vignal David at that particular economist is is really quite credible. In the the bulk of the chat was about five percent and then it was just a a worst case scenario number twenty seven but of course that became the headline. And I think the town when when when you have a scenario what we're in if people are leaving it just kind of make sense that if there's a few distress sows unless people you know it's almost like a cocoon really isn't worldwide in towards for us to come back out of it and fly again. It counted as Mike Sense. It's like if you're in Iraq. And all of a sudden there's a Hato two-bedroom apartments that have just been released in particular quarter and that's caused the median price to drop. It doesn't necessarily mean everything to rex's drop so again. It's just about being balanced about what's happening in does having fundamentals that underpin it you mentioned before a little bit about the stimulus package What what what. What is your take on on what has been off. Do you think that it's appropriate or is that is that roomful onslaught? We could have done. Things better an equally. What does that actually mean for the for the person on the street the guy just big buckets of cash splashed design to get the economy moving. Which is Greg? What about when? Everything's back to normal when we have this debt. What does that mean for so yeah I know it's a it's an. It's an unusual. I may not a surprise on one hand. We do have Cash payments to people who are on John. Take for example by that fundamentally not debt as just cash that is trying to be pumped into the economy as quickly as many. If you look at what would happen if you guys someone hash now. He was fulltime employed and not in any distress because he paid any debt. Because you're worried about a few showers but when you're on jobs AK- United Genetic Denton. You've probably been any extra cash to even that helps to to really drive the economy You know I think if I if that's what you're referring to the mortgage raises one hand you get free. T. Mortgage but on the other hand end you line out and you know I. I don't know what a solution would be. I mean I'm sure someone has thought of something that might work alluvial at of it. You know if these stage I think Ideally defined go on for longer than twenty three and six months and It will lay to financial. Hit for a Lotta people for a long raisins you know whether they lost their jobs or whether they've had to take a mortgage phrase for whatever reason you haven't done obey the has to be has to be with you know the will be economic line and we're going to get away from having economic pain from the shutdown and I guess ultimately what the government is doing is just trying to meet him. Is that economic kind. Are you know the first stimulus was very designed to help people who were in Very vulnerable situations without a job you know potentially with no income Dan Things of going by you know. I think I thought continuing to ramp up and change what I guess. One of the challenges that the Marines. Everyone's falling one and you know on one hand we're trying to stop the spread of a virus and trying to get people. I in a very very different. Why and then on the other hand deflating to these old economic outcomes which you know it's very hard to avoid them and And government you know just trying to work out the best way I mean. I don't get something wrong. You know like I doubt we paying that. They are and to be terrible. But you know there's some wheezing happens to the market and you know it's just not ideal but I think you seeing here right now. You know it it kind of same allison born at doing you know agree in terms of infected if it's GonNa Repayment Holidays. It means we're interested kept laws and then we'll end up paying more of the law of the line that they caught of smack sense to be the process of You talked about we will go to experience in Pine. That'll that'll be a process of admission Forgetting throat but but just take me back to one on one but if the government spending You know when when we g of say that. Twenty one billion in surplus. We don't have that NASA of the spending all this cash and the gang a quantitative easing at some stage that means on the other end. The government has a lot of debt to repay at some point but as a percentage of AD. Jd Pay It wasn't a big number. So does that disdain. That we're big enough to ride bus enough academy that on the rudest Pie that down. It's not any different to appease around the world yet farming. I guess you know you have a look around the world. Everyone got different problems near economies and especially infrastructure and You know we've gone into these. We've a pretty solid banking system which cheek you know. That's amazing that we regard that because that's going to help us right. The other big thing is that would come going into the service. Sorry we have money to spend Compare it to easily I never got out of the Jeff. Say Pretty much you know. It's pain ten years of very very tough. Conditions in each and banks were going on even before what was happening from their perspective. It's it's very very challenging then guarded to the. Us economy is doing has during very very well but then the health system is very complex and and they're in a very very difficult situation already in terms of trying to accommodate people in hospitals and ally. I you know I think I mean it's a wife. Criticize them around government policy and around. You know how how things don but I think going into this week. We are going in a very fortunate position in that we followed solid banking system sep loss Jason Economic Growth We're GONNA come out of these heartfully depending on how long it dragged on for heartfully less less impact than other places around the world and we're going to become more desirable than full people to come here brought. So if you're getting days Margaret's see one approved by the Rod Season. I want to live a strident. I want to get a good job. That WANNA buy into place increased demand but will the sudden the way that we navigate through this in the lifestyle that we have on offer will become even more results. Something like this is any social benefits slots on nights social benefits of what we're going through a he As a civil and a piece tomato people becoming more connected the people are funny will remind themselves was really important to you that you have a view on that. Yeah I think I mean it safe interesting King Lot. We come media If interesting how much in demand if it was and how seriously enrolls it numb enough there also were taken seriously. But it's five in in these sort of environment Have a strong have strong. Gentlemen out there. You know reporting playing on happening I think expanding really interesting change Yeah I've got an idea out there when we're GONNA have a lot of fun. United in obey such a nice environment to be out of each other in person and To be at appreciate spending time with family friends infest awfully changed by Yeah you know. I think it was the even even of environment I mean if you have a look at the comments that are to get badly five it for you know. Has some positive things happening but will try. I mean it will change the way we we. Aw I've got no doubt and I think it will also try to where we are because the potential of something like this to happen again. You know it's possible so I I think who will likely say the ability of government to shut down international lots for example very quickly Waikele via a scenario day think massive investments in hospitals. I you know I think the healthcare fix will get a massive amount of money thrown into it Investment in medical research and help reset get a Lotta fundings. There will be some shift around in terms of what we say is important and what can also keep a cipher in the future in Inhabiting true we spent said to spend a spread a message over Stein common spreading contagion of social connections of math. Is I'm connecting with folks. Haven't spoken to in a long time and it's it's actually been really nauseated. Really refreshing side. Hopefully that becomes an ongoing Benefit of of something that is very positive auctions. A closed down on the weekend but It's interesting because the initial reaction is to go over golf's that means the property market shuts down any. I don't think the second lock the vast majority of transactions done in poverty anyway so it which was interesting. After a couple minutes reflecting archives business Walk Actually Investment Trade but the real estate agents are resilient Stride I you know for as long as you need to shuffle in your safe to get more comfortable so too will a real estate agent to make sure that I can actually transact until they get to a scenario like what we go to New Zealand. Where shutdown still open for business. You know you can still transacting real estate carney. Yeah Damn auction the United. The I guess. The discussion around won't be made of now auction with dramatic. When you look I lay around seven two thousand nine hundred ninety seventeen and actually went to auctions. You know it is a tiny tiny propulsion. It is oh sorry Idiots Parkistan the premium into the market. I mean look where my sections type vice there in Melbourne bb camera. They're in a bit of harms. United Psychiatrists bit a suburb side It I guess in terms of you know statistic that everyone loves which clearance right. We have that as a as an indicator of in happening in in. Cps melons You know there was a lot of clearance right numbers and eat around on on the weekend and it really was meaningless. Many we have a look at. How many options were meant to fight? Insignia evening of about twelve hundred type life In the end three hundred agents reported results. you know with that was an auction or whether it was some of the main you know whether it was online auction with. I rang up a lot of people as she did to private style and sold on the Friday. Just eight nine. There was a lot of I guess unfit anti amongst agents on how things should be reported which is primarily. The daughter was wasn't really that useful in determining what actually was happening. It's changed its name is Is Well and truly reporting that. It's it's an off market environment and for example on the weekend way I will secure property at a lower price than a competing offer because we were able to let the I know that At client was A police officer and the employment was rock solid and that certainty that we get it. So it's it's a different game to play at the moment but it's still transacting in the still jibbidy and to be honest some opportunities in the five of those people who have security in the job. I have buffets implies and the the making ten fifteen I need decisions so there I will to actually pick up. Properties that sent water narrowly would be under much more competition. Which means that they're going to get it for a better price so I think the important point is as you said a very small percentage of them go to auction and this still business as usual at busy out of transact it's clearly business issue of what's going on for real estate agents and. I'm just conscious of your Tom. Because I know you. You very much in demand affects US making us into the last thing I want to talk to you about. Is the talk around white subsidies and what they've done in the banks and the Toll Karan. What might be happening in Australia. Have you got any Any insights Intel O'clock. And maybe when you think that might come into play. I guess whether or not you think it's a good idea. It's a very expensive way to get treaties and say you know one hand it again. You know he come back to the the amount of money the government has and how much money we should be spending The other hand I on a personal finance level dramatically changes. Why the people you the next few months. Maybe can guarantee that you'll get hydro. Pii Ranch you. You do everything pretty much. Normally you're getting paid your wife Against the government. You know this this three things governor trying to do the first to ensure that Able signed point and Do become employees that they can get through this without going into huge amounts of distress. That's pretty much have been doing at. The moment is trying to calm down and make sure they know that they supported and You know it's tough but you will cost you secondly in trying to prevent banks. I'm going bankrupt. Because fundamentally don't WanNa come out the other side of the huge amounts of this Lawson's unable to get back up and running. That's a huge food for businesses. And then thirdly These not attending to a financial crisis and are united that even dogs turning to a financial process that we're going to get into trouble at the moment in fact to gain going back to banks banks solid having enough money in a budget sip wants to be able to spend on. These things is putting in a pretty vicious but we don't want to get into a situation where that starts to change By even people implied hit them leaving lives at a relatively normal in such and such such complicated positions and keeping evening is going at least until we get to. The side is really fun. 'cause then help stop that Negative social contagion when you say unemployment figures Ballooning that starts to fuel bangs. Audie the the unemployment figures. Really BITE UP. Three subcategories outlaw. You'VE GOT THE GENUINE UNEMPLOYED. You've got the the group that had been stood down with reasonable expectation being reemployed. And then you've got the opportunities will normally. I wouldn't put my hand up as being unemployed but there's been a cash on here actually ahead of time unemployed so if you if you provide that incentive you know we we employ often at business so it certainly would help underpin Everyone's income going forward. And as you said you know we all expect Tyson's just little cocoon event that we just need to get through. And once we once we navigate that then it's then it's on the saw. I'm sitting interested that looks like and Clearly lady and in the UK to be interesting sandwich later. Here super appreciate your Tom as I said before a urine OPTIMA. There's lots of people who are trying to get your thoughts and your views. We always appreciate you coming on to the probably catch a that. I is is different. Posture wisdom in a sense of calm along. Hopefully on our audiences will benefit out of that so Certainly appreciate you'll Taunton. I narrow Anaheim next month so a lot clearer in. Hama about what's happening. It'll be interesting for a skit next month. That say how we now have gotten but Narrowness be who is the chief economist of Real Estate? Don't call more. In fact the whole area group we She's always generous with its own. We appreciate their company onto the proper catch bikes RHUMBA H. And every week been and all I will be talking about the lightest queries and updates. So if you go to the podcast we will come out every Thursday. Three o'clock so fox check it out probably catch dot com. Hi there folks. Bryce whole I hate before you go. If you're new to our community only listen to maybe a handful of episodes a thoroughly recommend that you go all the way back to episode number one where we unpacked all of the foundations when it comes to property investing for those of you. That might be a little bit. Tom Poor good news for you. We have a binge God. You can download right away. Which summarizes the first twenty episodes. We're back on the fan diagonal pillars of the ABC and so much more and you can get that straight away. If you go to the property catch dot com forward slash TPC twenty. You can download and consume it whenever you want. It's completely free and available now and for those of you just a quick reminder that nothing we've spoken about today constitutes financial advice. We recommend that you reach out to your licensed professional advisor so that you can look at your unique circumstances before acting on any information. Don't forget Goto the probably catch congre Ford Slash. Tpc Twenty and get your been God tonight.

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Bonusisode with Nerida - RED Rooster & Property Prices?!

The Property Couch

43:52 min | 1 year ago

Bonusisode with Nerida - RED Rooster & Property Prices?!

"Folks Bryce he'd just letting check with narrowed economy the chief economist of the area earlier. And I thought I'd share with you as we do each and every month but just say no narrative wasn't in the studio tonight. We actually got her over the incident. Which is terrific. But there's a little bit of Eker in the Fox apologize in advance that hanging there because the content is really really good folks. I hope you enjoyed. Here's much at with Narayan's me the chief. Economist of the Architects Sambre Hall. I I the CO host of the Property. Catch today with me. I'll have narrative counterspy who's chief economist at the real. Rei Group which is better niners brutal site. Dot Com Narrow I'm loud now. I'm used to having you in the studio. Hey but I'm more than happy to take a I've The new because I haven't caught up with usage the twentieth Divan. And there's been a lot happening and of course last month you're in the studio and you spent time with Ben which was a great Walsall alive. Spits them? I guess really chatting you'd think that the discussion Detroit's given the decision tomorrow but I think Think it'd be fair. Decided to run of ours is number one side. We're GONNA cover. That was before we do just to remind folks stick around to the end. Because we're going to show you what's Read? Rusada HAS TO DO WITH PROPERTY. So we're going to cover that towards the end we're also guide through the most viewed the mice looked at listings for auction. Full private style as well as the most expensive real Santa Shrine in the last seven days and the march look that rental so we got a lot to cover Neruda. Tom Saupiquet to hear your views on corruption of ours. Clearly we have this talk of being a pandemic Just recently lost twenty. Three is that sufficient tried in his Passed away accessible to humanitarian issue And clearly selling families being affected by that as long as as well as many others across the country but clearly for the purpose of discussion. Tonight's the impact it has on the economy What's the latest from from your perspective at that thirty thousand foot view of the economy the economy with that verse but the be made impacts that we can say on economic growth unless forecast which will depend a lot on how bad it gets? This isn't begun on at the moment that we you know one hand. We is very clearly hitting the tourism industry in the end our education sector as to where it goes from now it depends quickly that can Bank can sorted out. Because I mean he said it said it said healthy she sorry west coast. It does spreading to Australia. V Some pretty awful health health outcomes but from an economic perspective. It's obviously caught far-reaching tomato. Maybe I'll start. We want the immediate impacts already had Spain because if you're in the tourism sector if not only been hit by bushfires by evil Cy Bain impacted now bike arenavirus and the area that is really impacting ease tourism from China. I love the airlines. Have shut down flights We have saying Big Heat now hotel industry anyone who's operating US rating about places like silvern. He'll have really been heat from from this downturn and one of the main reasons that we do rely very very heavily on Chinese For a lot of things and tourism as one so one point during Chinese tourists come to Australia of Riga. They account fifteen percent of total tourists. Spent they stand around a billion dollars a month so already in the economy lost. Two Billion Dollars They they also died that also growing. So this is the other issues. Didn't that was lost about NBC. I think we'd be. Tourism Industry was expecting Increase in the number of tourists from China on the other issues around tourism. Cy Tourists Education Education is Victoria is number one export the number to export coming out of the South Wales To give you an example how dependent some universities are on a Chinese students. The University of Sydney currently twenty five percent of title students are actually foreign full paying students from China site Huge impact there They they can't get out. You know having to to do classes via an Internet site you know. There's some really begin. I love the university really. Just shut down Spending because I just saw insurance to happen Depends ON ECONOMIC GROWTH. Must what happens with economic grind? So that the best estimates it'd be stage Bis Kites it. It's like a bad. What what economists have been referring to. It's very bad flu epidemic. Which would not want to send off global economic growth West case it it. It forces the global economy into recession. So that's all that stock market volatility we saw last week was really on the back but people in very very worried about what the impact will be on on economic growth. How do you reconcile that as an economist in terms of Economics? One about the multiplier effect. It's you have these students heating town you know. Even even really popular Chinese restaurants in Melbourne has shutdown analyst. Off guys you know. Tourism Education even supply chains if shutting down factories in China. One FACTORY LAWS. The other factor. That has that full on multiple expected. It's hard for the todd for the guy is trying to really get a grasp of how it's going to land in terms of you know August I guess. What would you say say to the to? Even if you floyd that through and score have an impact. Surely It's certainly going to you know we've got a robust economy and we're probably compared to other developed economies around the country probably doing county but that Hash this has two main the Dow de growth is impacted and therefore we started talking about the hour. Yeah look at slightly and I I think I think the issue is how creek label it get sorted out and you know if you have a look at it's There's a count up. Unique can have local counter online and and say the impact of SAMMI cases beginning in that it does seem to be flattening out. But you know I suppose you know. I'M NOT OBVIOUSLY TO HELP. Professional Bud vase. Things can flatten out and get worse again side daily it will have an impact on economic growth. The ends of really not much interest rates can do. I mean you can't cut rights to zero and some Chinese tourists to start coming back not that immediate impact side It will cut into growth at this stage. We dining exactly I have. I guess by Dealy. It's resolved quickly and it's a quarter a quarter of economic that we say pull coal prices growing back into a much better performing economy illiteracy bowling. Did you think that because there's been the panic fears is being quite strong and Ross? Is You have something. That's unknown even to the point way the number exactly but I think Khurana has dropped two hundred sixty million in revenue just as a result of people sort of linking corona this far. Do you say that that that increased anxiety and fear that my sort of perpetuate around late increased. You think that if we grant it back in Australia and real estate do you think that some people sort of get caught up in that fear and football better ability in that increases demand listens property. It's harming obviously directly commercial property. We can say Betsy sent ray title race. Our property really bad knees. It's real which is already bad as hotels. You're running a hotel at the moment it'd be pretty nervous intensive residential property it's It's a little bit uncertain. The United States on one hand It we got into recession and we lose jobs see rising unemployment than that is very bad needs for property because we know that people a false to sell and become highly distressed and problematic It things are listings. Could go up. You know if you start to say again you. Head into a recession in people were forced to sell them that can lay to to increasingly statements terrible for prescribe the united. You don't pay pools. Panic selling a force to sell because that will lead to quite big drops in processing I think that it is complicated. Like it's you know you kind of have right now. We know baggies rate. How bad news for hotels bad needs to anyone? Who's trying to rent property place to a university Globe global recession scenario is is is that he's around one hand bad easy. Catch it but also say hi. Play we dino. Cats have been bad news if we will start losing adults and I think that that's how extremities at the moment that it could be resolved in the next two weeks or it could. It could become a much bigger healthy. Shame you don't get one of the appeals appropriate Rosina. This is an essential age known as if you had to sell the house and pitch a tent. It's just not going to happen whereas so there is an increase as you. Fly that throated motivation. Someone's investment property or whatever it is so is. Is there a precedent for crying avars? is Swan. Giving us any clues or is just so you know. It's a genuine expected that we thought what's next South declare that happening two thousand full and limited foulis reliance on China. Then say we didn't get anywhere near the number of tourists. We get from China now getting married to sick from secondly reliance on China but um what happened the salads. It was resolved. It led to one quarter of Very slow economic growth in China. The next quarter the Chinese Government Pumped Hall of money into the economy of massive infrastructure rebuilding project and our role year NIA economic growth lose As expected and the sods epidemic really had minimal impact on economic growth. I've role but it could be if that happened. Which is kind of layer? I thought it was hitting even two weeks ago. It was Kinda hitting to that but but I think the trump it just just dragging on and it's spreading and that's why it looks like an probably than sobs but ideally. It does get resolved in the next month will sorry then. Something happened that people start to moving. Different governments moved to Having stimulus packages big infrastructure targets in some late. Not Suddenly. But you know eventually things kind of calm down and everything's full stayahead again on to stay calm and and see what happens next leads me into interest rates up before I ask you what you think would be there tomorrow if you offer the size of the table tomorrow and you got your wish list to let them know what what would you be advising in. If if you get your chance to give back tomorrow. I preferred they talking at the table about the budget. Then there is a bank. I think there is a bank will donate two for probably tomorrow if not tomorrow. Bay United Pros Site. It's hates down to happen at some stage. I guess he should. We don't have much room to move with monetary policy We'll effective That has trained just right cuts already. It's led to a messy prospering. Sienese praemium suburbs will say Melbourne's praemium suburbs We're not really spending more retile still very desirable We're not building more yet. Don't improve started increasing Selling Mall side dice three inches Right cuts yet in the end. All I did was fuel Teaming most expensive suburbs and it was really normal of impact. Then it's probably not not not not advisable but the impact of an interest rate cut. Don Seem to be quite At this stage federal budget. I think that could really change things and I think that that. Could you know if the government does start to push forward some pretty big infrastructure projects will push voting Sorry followed Tex con like. I think that might be more effective than just kind of interest rates again. So you mentioned you prefer to be the budget. Tiso rather than tomorrow. So what would you be saying? What what what would enthused about being part of that discussion the budget? Yeah Yeah Okay. I think the infrastructure projects that the kind of lost budget. I feel really good the one fast route to Japan. I mean that was not only a building her agent program but would really stimulate Jones economy. really good news for people join just like who would have Statewide impacts I think Fast foetal other faster I think is bright from property and I think it's great for Rachel areas so far throughout Woolen Gong. Fast round down to Gold Coast here. I think all these projects you could you could sauce for them. I do think tax cuts and not just income tax cuts business tax cuts as well. They are in the pipeline. But maybe now's the time to pull them forward and and get them up and running So I think they're probably the main ones I think. Infrastructure spending and tax cuts probably the chair. And then obviously this smaller programs that a that a place to stimulate things as well do you think fos rapport off the ground. Despite the many many false thoughts past he thinks is any progress. It was suggested actually grant. I mean that you long ones fairly progressed. I mean they. They set aside two billion dollars to to get it up and running in last year's budget and At the time my state who didn't think the The coalition but actually win the election. Id Sorry I guess promised to homes and of interesting to say what what comes up in this budget other things like CD deal movie another one which you know the the the The deals between Staife Federal and local government to get Different CD's Up and running and and follow economically. Bobbling I'd live there really positive things that can they can really help different areas around USTRALIA. So you'll call tomorrow is a hold or drugs. Yeah I think it'd be just like a drought hoping that some that does saying the my slot to a dozen jump in March than I think it'll be bi pro. You hit it on the fact. That doesn't have much of an impact. Even where so while inside you said because because the interest rates are so low you question what impact have So what is it is it is goodwill thing? Is that the type of thing. Is that a sentiment. Thing is a leadership. Seem to be doing something. What where do you think? The major benefits comes tomorrow. 'cause lucky site same scissors fuel that the challenge of the big city probably Marcus. And it's got. Yeah I mean I mean. That's what does seem to be happening on us. Yes I donated bay saying to do something I mean. You don't want to get to six months from now. And they told the the new cool the right cut to lie early. You know that's why it's a criticism. I guess that they come up against And also as well like you've got something. Sorry Evening Bits not very effective. At least it's something that that has been done to try and get things up and running by. It's worrying we you know we don't have much to with any got three cuts left in us and then we need to move onto quantitative easing weights Can on we'll sometimes either affective sometimes not probably would be quite effectively me situation. I if you have a local win quantity bathing has worked it. Has Banning crosses type situations Look at Japan which is now gone into A. It's technically now in recession. They've had quantitative easing for twenty years in hazards much side. I think quantitative easing easing with thing. If you are in across this economic situation in eating Eve Karenna bars. Don't so it's a really negative today but it's the spinning reel rot does it. Israel current Ivars does get into these very Darla economic situation and I think quantitative easing would be given. We saw it being effective Global Financial Crisis in the US out either once Brexit Thank lamented it as well side. It could be an option that we do need to to look to and and this is the thing we need. Economic growth at the start of the before Carina lower was really need it did look increasingly unlikely that we would say interest rates fainting caught on or certainly moving into saving the now has across the situation potentially in which case things by looking very very different looking very different. Very quickly your job. I mean even familiar is just an absolute amateur columnists this In terms of the fact that we're on the ground in the property market we're seeing deposit the vice and particularly in the East cars server in the West Coast at this stage you saying listings of Dan. You're seeing demand that arnold came to buy each giving them Fuelling confidence to take on more then on the other side. You've got to balance that with well. Everyone's been worried about the fact that we got too much debt and is economy going to move me to two quarters of native growth. Stock Market took a hidden. So it's very difficult to to kind of project four but ultimately it's always say whenever there's noise got the facts and the so many people moving to this county where still considered politically stibal financially stable. It's right lofts. It's just it's just so much got ultimately if you you know right now. Is that if you keep the fundamentals asset selection at cornerstone which we always do wizards boom busting orange between Generally speaking it's either going to be demanding situations like this correction. You're still buying assets. That Indians strongly demand if someone wants to fall off the stool three other people interested in bombings which helps underpin that so you got a job in year. Nine property too. I mean it's sorry likely specific and you know to say right now. He's terrible awesome. Everywhere isn't true. I though you know convince things got bad. It's GONNA be less bad in some like So it's And the other thing that makes it very hard for for Rossi's Making a hole about what's going to happen and people will get quite doggedly in saying that you know. Dc is what's going to happen to show on and the reality on consignment because we just die. What will happen with certain things we can try and predict what's going to happen but you know things will often be better than what you predict. Sometimes they felt worse than what you predicted in dumb and yet but that's what really makes it quite difficult. I want you say you know what I two weeks ago has changed because Karenna vars. I thought embarrassed relatively quickly and clearly. It hasn't cy started becoming more concerning the loss you if we pivot a little bit too hinted at that before the fact that is often this concern about. Australia's Ford ability the amount of debt that we're getting into and then you contrast that to a college as an instrument that the markets were seven truly in the moment with Porn. I instead some accident better twenty six percent. It'll be ASO's you so we're not vulnerable Elvia overall but I understand that some people have much higher. Oh yeah some people's fully paid off in that average but then you then try and reconcile that with a then people start to say well. We're really really expensive. Compared to other countries new put out chops cigarettes today will ask way around The fact that the cost if you take Hong Kong because it just blew the chats cost persuade. Is THAT IF YOU PUT US? The affordability costs about sixteen years of you wrote Sixteen years to pay back with the average is ten and in America. It's four. So how do you okay? So I guess the first one is that at a at a global level. Australia is very extensive and And every measure. If you look at the time taken to pile moby if you look at price if you look at income relative to price you know the eighties very very expensive. Cd Sorry Country Weight. We are a wealthy country though. So you know I think than you know with interesting. The Dada was put out by the European Commission comparing every country every country. I think it was about fifty different countries around the world on one hand. We're ranked second in processed. Clay may differ property home call but on the other hand intensive affordability had US ranked about teeth and it was the coq three. We have high incomes in someone ever expensive but we also have high incomes. Then I I suppose you know the the figure that you coming. The cholinergic figure that you'll quieting on one hand siding and the other shoe around. How much debt people have you have a difference? Between older USTRALIAN YOUNGEST RAILINGS MINING. This sixties probably lines Aaron Hyman. They wouldn't hide March four relative to relative to income back when they bought compare that to younger people who having to take out mortgages taking up much the mortgage is than insult grandparents. Took out so there is a you know. It's sort of seemed to generational issue around housing and it's such as destroyer. I mean the economists had a really good Face a really good data alpes. I did on housing. A few weeks ago where they looked at Around the world and they they even blaming the big rising far left politics in the US and it's very popular young capable and they bind young that v-shape housing as occasion because younger people just can't afford housing. All the people I the majority of Housing Stock Site they complicated. She's in I think in Australia. You know we we have done extremely well at a property and You know it's it's Obviously delays money on property. If you've been bought Melvin inside me is the last guy. He'd be pretty Fenian. Lots food lion population still grinds raising to suggest it's not good Renting is still not a great way to Bay and more people are renting. We've gone from a quarter of households mentioned to a third You know I would never recommend my children not to buy you know I would tell them getting to the property market as soon as he can. It'll be the best financial decision you ever mind. So you know I think There's that aspects that we we've done a lot of property at tech system favours ironing property Retirement and seeing a vastly. Different Situation Property because you know tying ranch as somehow fixed income would be really difficult so you know. There's a lot of the housing policy. She is is very complicated. That I think these affordability shootings housing supply. She boom become a become a big focus and Kemira lady close millennials who Who died nine a lot of property wrenching lights? The oldest millennial is about ten forty forty year side. You know they're they're getting old getting more entrenched in business getting politically louder. So you know. Potentially this will be a big reshape. It easy extensive okay. There's no way around it very very expensive country to be said about the Senate living and the the income and is there anything. That's concerning about that. That would continue to cope. Caused the American authors to come over here and talk about forty percent. Mcginnis we just have a at an equilibrium that works in in this market. No I look I. I can't say it you know. I just can't say a forty percent reduction. I mean even you know we. We did have manufactured slowdown recently. But you know even that affection was nothing you know. It was a restriction on financing led to a switching confidence. I mean the the only way we would say a forty six lanes got to realize a forty percent reduction with tight comments. It would debate a twenty percent. I'M NOT GONNA not model but you don't have to be twenty percent. Unemployment rate would have nine sorry ridiculously terrible on every other level that you know I I think the value and care about it because we would be scrambling around trying to find jobs. I I think I think this is what you need to take him to. You know everyone needs to take into account that to get a forty forty even a twenty percent drop. I mean it's it's it's a pretty. It's a massive heat on property markets and It's sorry you know it's hard for it to occur but she cleaned out in the capital cities. I mean if you've been to like even Townsville which he's he's a very challenge market. I mean that I think that's drops you know. I think over the past decade. It's probably worth around sort of eight. Nine percent wants a decade ago in a really challenge Margaret Sydney Melvin to get there. It's it's going to be pretty pretty dramatic the The peace of the people in this country can tie the fact that so many people once comey were an empty all and We could so much capacity to have people. It seems like that's part of Mississippi Strategy Plan so the fact that if if you talk about the high unemployment also has to be a massive dropping demand coming from other parts of the rules. That are more expensive than us. Oh we'll have more money will come with its cash deposit or whatever ties to you. Because we're pretty restrictive on here. We let in Tom. Tom Is very very good thing for us to. We touched the things that I want to talk about. Roused property other than in the ruts investor demand the stats would suggest that the investors not as active in the masterpiece. The occupies system certainly be true. I also think that Well actually I shouldn't preemptive do you feel like the demand is a reflection. More people are getting more savvy around what not to buy rather than off the plan medium density housing starts. This is the topic of stuff away which is established. Properties are going to show you. This do plenty of investors came for that. Because we missing if you know that they are I mean we we track vista email inquiry. So let's stay calm Diane. You really like a house. He can contact an agent. And you take. I think you probably can choose to take a lot of Google teak exactly what Sodas by the R and investment picked up. Why we've saying from January thus because if they refuse yet in January twenty seventh of January nineteen saints meet compete outside Sorry that's good natured. As he said than not they looking at houses house inside the pretty much everywhere at the moment that we're saying the be pickup in in search off the plan and You know I can see. I think. That's a market that ease the locations at very high levels of the plan development of the areas that are saying dropping. Belly's still Melvin holding off a little bit some numbers this morning and In a Melbourne units survey actually gone up over the past twelve months. Oh it does depend where you are but for now invested very heavily fight stone on housing and And I think it will take a little time for it to switch to that of the plan mark. Hi I'm what about the fringes of the capital city Brisbane Central Coast in the Gulf? Coast and Sydney. You go up to Central Coast Dancer Wollongong and you mentioned. Geelong before in terms of on the wings of Melvin. What what are you you you talked about in your closet. Sydney boom is extending to those areas. So is that is that just the sheer which why do you give more to affordability so therefore vase or next fiscal terms or the fact that I can get this awesome law stance for the violence? Yeah look I think I. I think Low living pricing. Now is the affordability. She I think not even affordability. It's probably just the fact that people more cash dolphin Interest rates a lawyer and find your AC to get money. So I think I think that's the fact In Sydney it does seem to be spreading up to central Christ down Illawarra but I think primarily because is to areas or mice pot of evening now and a romance acting like at a suburban areas as a place to to regional CDs. Ill War in particular can Mulan Gong and it's actually saying some the. Huskies phillies stink for Rachel area. That way they've got way saying in the moment so it has to switch. We were saying very very hard to monning too long Bella rap Indie I You know the the outlying areas from Melvin and this student pretty well but now in Sydney it really seems to be sprint into central Christ and Any Laura that join particularly well. There's an opportunity for you. Always look to keep it on earth ask you retain on my town council on Earth so tell. Your headline was the recovery continues Talked previously about being in the higher end affordability parts of the market scientists as well really. I mean it's funny market. It sound like it's actually when we did some analysis looking at Housing built per thousand people are the pasta eighty five years and of all Cd's has been us so they very good at building built a lot of hassle land on the fringe very good brick industry that I do some really good quality highlands very solid hines building on the fringe. But they do such a lot of them. Say you know one hand you know we do talk about its recovery. By its appearance recovering the premium market. You got caught his lawyer. Cbs Cairo Shenton Park. You know they're the areas that seem to be doing really really well but move the on that you start to say big drop off in performance and so much so that way say about five times as many times more geese enlisting in an apparent them what we say evening meal or out of sight. It's a It's quiet extreme process of wanting we will say saying very good rain tournament in Perth Again that's very premium market focused. Say you know that's probably consistent with the fact that jobs have been created Probably highly tied and they blew earning quite a bit money And then the other is combined commercial property the office vacancy writes coming down so you know there's there's a lot of good signs in but it's it's not an. I think paypal what people are really looking for that mining type change spot. It's not that good. It's not going to be that sort of change. Its its a gradual recovery. That's flying to the mock aside. This really wanted to be some good news report few semesters going from more of a balance. Reo We've cost an honor for the price point that you would pie in premium. Suburbs economist thanking. Do I want to be this? I want to be closer to the population centers. I've on the east coast so just calling to become this concedes recovering skiing with the price point all year and then when you go to the affordability point where you think academic choosing how to the Nov and forty four corners is this Fabian for earth. So just keep fluctuating between intimacy. All the all of my peers are see. Everyone sort of going this and even one that goes. He interviewed on a with coffee on sunrise because a lot of friends assigned to go and the response. Yeah but just bring it back to balance not necessarily bring it with demonic sitting supply. Yeah I think that's pretty spot on I at the top about the reds Rusada law and this was. This was amazing. Little in salt that you can you share. What the Risk Roussillon Strokes again nights here. This is something that came out of read. It caught some time ago I wish she wish I knew the original offer. It got picked up by Sydney. They've probably seen them tied up. Basically it's aligned in Sydney that There's a string of red roosters that run up a a ride extending from the CD out north west of beat me and it's red race to line and it seems to be a law that's Cuts into a lot of things. That is a A Middle Eastern Chicken shop we took out. Remember the name of the took my head today. They're all the list. That the Raiders. Line on the right. You've got charcoal. Charley's Aero on the rise You've got things like Harris Farm which is a gourmet supermarket. They're on the. The ride of the rain reached a line on the left. You say these These China's it does seem debating Damon demographic line that Run streaks evening and we do see quite significant differences between the lift and routed the line What was interesting that house prices between those two areas and above and below one million dollars median? There was a very clear law. That line held that. If you went to the list of the rid respon- pretty much every way with under a million dollars you went to the right. Everything was well over. A million dollars so say You know it's interesting that it also applies to housing well exists. Success does leave a few clues because some of these big companies. Do you think about cruelty. Charges a little smaller than McDonald's for demographics around disposable in common how much money and what you spend what are they. What are the volume decisions long? So I call it a kind of make sense the fact that you fan that exact so once around the table and read it you know they. They look at these things really really closely so It was explained. I'm jealous that last time when it was a lot of students or we're going to to have a look at some property. feels duties. I probably porn. Let's look at What is being the most? Viewed listing helps me never got. Yes this is the most. Viewed listing In Australia now in the last seven days per your saw this going live on. She's saying yes so I was in in Nari Warren's which is to the south of Melbourne we have a quick look. That's pretty well manicured there's a FAB spice. It fits more spice than the average quarter is blocked the narrow but the Food Squat Arkansas as well. So it's GonNa make sense. Everyone's on you'll start looking at that wrong with her. Doesn't want to be the spice. And that I mean you are to the southwest but at least you still in communities than so let's vice for people soon shape Nine elven have a backyard. That's pretty cool. So the ask is the quite ran that was to me. Sort of a mosque created a two point. One St two point three so they flex if you're in the mock of that wants to people who actually looking at that as well on the com- and this is the most viewed one going to office with a with a display reserve of seven hundred eighty thousand for to bettering. Calvin north and just to sit in the same. He hits pretty good spot. Yeah Sinus it. Is there anything anything wrong with the some of the numbers in the back of your saw there this That's only seven hundred ninety. Changed his when you start to get to. These phone is when you start to get a little bit of cracking this one. Maybe some discerning renovate this very very nervous. I'm saying the extent of the cracking clearly someone who's going to Napa taught who can never got the heritage I've allies on that property. Mafia fallen himselves an opportunity. It's the reason why is a very well. Used LISTING ON ROOSTER DOT COM Dissuade Fox. Give us a thumbs up expire. That's you'll capitalize on. Put it in the comments and let us now refasten. If you do have an appetite for that which would be interesting. I let the most dollars spent in the low seventies narrative six and a half million This was this budget. This is in Maroubra so we could some units here north sauce Recently modern and. That's that's what you can get six and a half minute. Narrative that close to the beach their off-season either bad sixteen there was causing changes to the tendency legislation in New South Wales. A couple of years ago we do occasionally say the entire blocks come onto market and and it changed pretty pretty decent values six and a half million. Abed sixteen years probably would test well in that and then this is the last one of the most viewed rental and if you just look at like High Shins S- pretty pretty quick to say why Severi laced paper would be interested in this but if you so it's a three hundred and fifty bucks for three bids unit which is pretty good value inside. She's presentable enough and I lost a conflict. So it's all but it gives you access to this location which is which is pretty good side. They haven't fired Real Estate mccomb last sevens is there is the much. Views listing the vice. Fused auction listing the most expensive property in the last seven is of course the mice views of rental listing side narrative as oil ice. You're insults Very very much appreciated. Since if cam that you'd give incentives of all of this at taunts completing information that you have to offer my small predictions. Thanks very much for coming onto the Castro. Look forward to you coming on next month. Maybe in person. Yes Sta Lucia show. Your calendar is suits busy trying to you next month. Thanks near folks. If you want to check out the probably catch each. And every week we come at on Thursdays we need to go to the probably catch dot Com Fox hole before you go if you're new to our community and only listen to maybe a handful of episodes hourly recommend that you go all the way back to episode number one where we unpacked all the foundations when it comes to appropriate best for those of you. The Mommy Leumi Tom. Poor of good. Good News for you. We have a binge God you can download straightaway which summarizes the first twenty episodes have been annoy unpack the foundational pillars of the ABC. And so much more and you can get that straight away. If you go to. The property catch will come forward slash. Tpc twenty you can download it and consume it whenever you want. It's completely free and available now for those of you just a quick reminder that nothing we've spoken about today constitutes financial advice. We recommend that you reach out to your licensed professional advisor so that you can look at your unique circumstances before acting on any information. Don't forget go to the property. Catch DOT com forward slash. Tpc Twenty and get your green God tonight.

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324 | Property Market Outlook 2021  Chat With Cameron Kusher, Executive Manager of Economic Research at REA Group

The Property Couch

1:20:20 hr | 8 months ago

324 | Property Market Outlook 2021 Chat With Cameron Kusher, Executive Manager of Economic Research at REA Group

"Welcome to the property couch each week. You get to listen to two of australia's leading experts rice. Holloway co host of location location location ustralia box lifestyle channel co host of escaping the city on the abc and partner of impel. Wealth advisory thin kingsley. Chair property investors council of australia and the founder of in powell th advisory named the two thousand eighteen in two thousand and nineteen property advisory firm of the year stay tuned as they renew the insiders guide to property finance and money management. I welcome back to the property. Catch welcome back to you to ben. Oh just wow. I'm an i'm just coming off the highs in the summer series and now we're back in the wreck into it fabri already or in writing still some awas. We cut the summer series. Short ones still. Some heavy obtaining melvin threesome seriously this has not lane osama it is a jock waiting out just said you know tough year. You don't get rewarded osama good way to actually having this discussion with andrew summer thinking because i've been living here long enough now which will have a summary in luck. The same is ridiculous. Bring family. I prepared than they look at me and i go. What is this. We want to go home and actually get some sound on. Beck's so i think it's It's a february match your victorious over the great divide and you have osama styling sort of the great dividing just like sit around anyway but we love malvern. Call from speaking of which pause at a good wing. Lock lazing on google for metals. Doing very well to a so. So the reason we don't do some series in february venezuela's the pointy end. its status. will it's really where all the action happened. With holding up the properties. Even though january was hotter than usual now particularly in melbourne with all the agents wanting to do but catch up from their lockdown last year. But some so there's a big guy on so we got a very exciting guest tonight. We have property market outlook twenty twenty one with heavy heating gifts. I stick around shortly. we're going to Have a chat with chemical show which is amazing but before we couple of things on a whole lot. We launched a increase in asocial. 's over all of december january. And we're doing going forward so lots of content. Lots of free content learning content on social in particular facebook instagram side. Stigma put some links in the shire nights. Fetus deduct over there habitant. Lok this really really great harris those check out so just to vermont facts of that but also just a little. Thank you to all of the for osama series. It's it's the exciting part of the which said that. A number of tom's It just transforms people's lives and it just goes to show that other people can do not sell a quick. Shout out to brendan Rene grandma max. Raymond damase iodide mock. Oh selena megan mcvay eric. Today kelly vikas and sam phoenix bribes. Sol's who wanted to come on and share this story been so i just wanted to pause and reflect Remind folks that was brian for them to come on and hut flavor enjoyed. Yeah while i'm in you know. We encourage people to run a money smart system in control money and then bicyclist thought that financial transformation sei is definitely one of the most important pieces of work. We do To help god is in to hear. Their stories is just incredible and what we have seen from it his again more people signing up to atom awhile photo so i a thirty two thousand people A now registered to use the platform. They get themselves organized. The nets just great to see that in terms of the the having a guy at the simplest money management solution at nine eight multiple multiple accounts and bucket savory way An approved why we heard how much just even the seven day fly on transformed people's lives in terms of knowing that they're in control of their money And then you know. Wealth comes off that side throughout the course of the year. We really do talk a lot about the well story and property being out food vehicle. Full that But if you don't get your money you know what you're nowhere because you want to get lending in vietnam Lending you can go out and buy that s. If you're looking to ball i and and basically build on that wealth and it'll shut at to attain minutes. It takes a lot of work to get that some series kicked off Up and running in the office went through a lot of attention to make sure we tried to get as much of a cross section of different age brackets different agendas different walks of law to think. She succeeded really well in sending that lawn up. So what sticky. Thank thanks for that and won't onto emma an audience. Well i am all wanna do a shoutout to anyone listening to this bend that was impacted by some series and i want people to set themselves a goal because way will do cool at a guy Towards the back end of this calendar year. We're going to look who wants to come on some series and you can say for full all walks of life that we get on someone who was impacted who wants to sit themselves. A gall to come onto our summer series owner said that challenge at to folks because if you want to transform your financial future it's really simple to register for the platform. Get the free book and actually put it into place for the next ten and a half months and so then you can come and tell you a story on the podcast. 'cause we wanna from you so i'm putting it at nas italy set to go The news resolution that you are going to come on series in december january. This coming year Mike sure you're going to do that and high. It's really easy. All you do with with apple. Second bestselling mike money single again. So i'm bestseller fright owner mike money. Siblings dot com. That i you and that not only gives you the book but it also sets up your free account in the mall of total to run your money spots bikes barriers to entry. What's who have set the goal. Callan summer series. We cannot wait to talk to you in ten and a half months him looking forward to that we asked for pelvis. summiteers was i serve. It was very successful. Could ever thousand people became back to us. Ben guy was tapes of feedback to shut up at the forty dollars to keep the. It's confusing but we're gonna time down the forty become. Obviously there was hates. Him hates the feedback which we really really appreciate. And of course We put out a carrot decide if you give us some feedback. We're going to give you a free report which we've given straight out to run seven guides financial wellbeing but also been there was a winner. And if you've got to ask social you'll say the process that we went through To to win up the random random enough sour exhauted. Decide that tom abbott You are the winner. We have your email address. We're gonna send you a little link just to reach out to your the winner. Ben what did i get. What tom death well. Tom has access to all of our property. Racial platforms so are we have obviously the celek residential property which is out out property research to help anyone mike the decision and understanding demand and supply saba of living so we got some amazing products over slavelike heison school day asada got suburb growth which is really cheap and easy to do predictions up to one two three capital garage predictions at the saba livable has is all units. Selo hold so yet old kind of happiness. Tom has a five hundred dollar gift. Fat johnny can choose to use it anyway won't so when he got an idea and what he wants to do it can contact us. We'll get him match reports atl the subscriptions or whatever. He wants to decide congratulations on. Tell them that's accelerating so hopefully get some value out of acton Unites be the person comes onto summiteers and tells us how the un battelle you pick a weapon on next. Tuesday we are not only we starting the podcast but obviously picked which is association ron property investors. Full property mrs. It's a non for profit. The idea is to help you. Organize educate and obviously advocate on behalf of all of the property investors at in the country. I'm we have. We're starting off with a huge hyun and that we have got one of australia's top mortgage brokers who was running one of the biggest franchise networks in a mortgage broking as gonna come and share. He's kind he's gonna come on and share his knowledge of how you set up. We talk about. Property is not just a game of bricks and mortar. I'm finance ross. Is gonna share all the audience around strategy structure and had lending in twenty twenty one. So i wipe for that. But here's the deal. Ross it's not someone from the public can go. You need to be a registered member of the association. Five dollars will get your membership for twelve months twenty dollars for five years as soon as you are registered we are sending out reminder eight miles wrought up to the event of that night. You'll say that and then you can register a private web. Anna full a members only been ww dot dot dot Gallon sauna up as a membership and bicycle. You will be added to the database and you'll get one of the monterey miles out to register full that webinar pretty good enough reason for me recommend to fall bucks gone. Listen to that. We've been lasting for expended Announcement which is always proven to be popular Shed your thoughts and feedback to set up the just a reminder in your podcast fade. I if you go to the perfect. I i think obviously puts that open. How youtube channel Typically differently do have it. They're actually so one dollars three places you can go and listen to your feedback which is always sought for might always well prepared. So let's kick it off my mindset. That i've been as i- continuation all that infringe an influence which i did to the back end of last year. A probably didn't understand the enormity of how many wakes this would be to get through this book down still enjoying going to say So quickly and i watch at the nineteen is about. It's an appeal that everybody likes to old people. You may have a high regard for themselves and locked to be fallen and unselfish in the estimated. Been even you been as would saporta piermont. J pierpont morgan observed in one of these analytical. Interludes that a person usually has two reasons but doing number one the one that sounds good and number two a real one so the person himself will think of the real reason. You don't need to emphasize that. But all of us being idealists at hot locked to think of motives that sam would so in order to change people appeal to enable emotive so there's a couple of examples which always think the gold in the examples in each chapter rockefeller instead of saying Don't take photos of kids. Said sort of would snowed in the kids. Best interest for them to get so much publicity to appeal to the the listen photographers. There was a landlord collecting rent way. One of the tenants hit. Look all demanding. That i get out of my life. Even that was four months to go in the landlords in the rod by You're noble man euro your man of your word. I'm gonna let you decide. Gown sleep on the three is if you come back and you still think that's the wrong thing to do. I'm going to let you out of the lace of course appealing to to the road. If this person said night we're going to honor l. a. That was another one where an automobile was trying to collect. service bills. Have six people who hadn't pied agai through the humility sighing. You're a good person. You know better than anyone. Tell us the reason why. I'll give you the bill. And then you tell me how much you gonna pi five out of six tied. The whole lot to out of the six came back more now. So the principle number nineteen is very simple. Appeal to now bella tips so they got fox hunt for that you for wake him up. Gotta use that or excess that in your conversations in your dollar whether it's at work whether it's a time so i'm ben. We've got a very very very special guests that i'd kick it off. Wave go to chat with cameron kushtia. It was an insult full interview. It was very very fun. We did a. Let's cut to that interview now or i ban. Today's very special guests. We chatting with cameron. Kushtia he is the executive manager of economic research at the groups specializing in primary and secondary daughter analysis property mccormack tree and consultancy cameron has a thorough understanding of the fundamental such as demographics trends economics and spatial analysis and is a regular speak if a property related groups industry button is an cooperation government sectors. Welcome to the property cap cameron. Thanks for having me. Ben our throw to have you on absolutely throw to have your own long time in the in the planning as playing But you you you've put yourself to a position in the marketplace where you'll views Well sort after well and You know you have in the sweet spot of your career. But it wasn't always that why you always at you'll pay. Can you take us back to the beginning. And let us know how you how you going into the property industry streaming out of out of uni what to the pathway look. Pathway was an interesting one Sort of new always interested in property back in high school and probably didn't does Blocked managed to get into property economics at university thinking that i wanted to be a property developer But property by a lot of valuate values Ended up doing work. Experiencing evaluation firm and that sort of thing realize the valuation definitely will for me so i did go on work for a property developer for a wall they would the my successful developer and and i probably left to beat of a bad taste in my mouth realize that was really what i wanted to do. And then from there. I ended up getting a job with a nationwide appear in brisbane as property researcher and author on a gun mathematician or anything like that but also kind of interesting statistics. led me into that role in our economy. Nevertheless they sort of roles since then from there. I went on A consultancy firm it was advising development zone. Product makes some property tops price points of what to build and then after that Worked for ati daughter. Tom then eventually became co logic with spent eleven and a half. he's in property research role. And then i joined. Rei group in october twenty nine pain. I've been here since a always been very interesting in property dada looking at trends. What's happening in the market. I'm still at y. And that's kind of where of of ended up today. You feel like you want to look back to the beginning. Given the understanding you have of an markets and the access to the research to actually instead of advising the developers to actually be the develop. I don't think i'd wanna go back to being in a problem. I'm not. I'm the much the are bit. Risk adverse So probably a little bit too much stress for me being a property developer particularly at the moment given given some saying in the property developing straits. I now i'm quite content. Where at the moment use bar. You backed up on a memory cameron about the The pi day nationwide stuff runoff stumbled. Across i think it was probably an all night on magazine bitam and then always doing some. Just lead you guys. One of the first stop bringing outlays little suburb reports area reports locker was look. It was goal because it was free. I were able to get some understanding of what we're stop. It was wide before where we are today where you jeff special tools and always drilling tools that you can now do. That's online it. You know it was. It was pioneering. Stop how much did you have to do. With the with nausea. Polls all the issued a lot of them but The reality was the that stuff had actually been set up at the day. Nationwide visa gordon douglas with the founders of a nationwide were. Were quite visionary. I think in respected by soil the value of the researching of the property market long before they competitors now diaper bhai where eventually bought out by collies consumed into that that bigger brand. But i think the business that i built starting up on the gold coast Was pretty phenomenal recognized. As obviously that's why by a big company value in purchasing the business. There was definitely the go-to data for queensland dawn. On you know they they really wasn't anything else and then obviously i played dada fist. And then off. We've gone on this trajectory to where we are today. And and now you find yourself. Obviously the premier sort of property portal and research team in the country. It's Obviously dada has just not even just in residential property beds in oakland aspects of business obey increasingly important probably increasingly commodity caused as well think you also to businesses realizing the power of the data that they haven't information coming to rei. Now one of the really exciting things is that you have this huge audience that comes to rei and you can gather so much data from what they're doing on your portal everyday Telling us how they requiring with real estate agents and it's an it's really powerful the sort of inside that you can't get about what's happening in the market just looking at transactional data Camera your mom recently. Put out a book about being a kid. A child of an spa fascinating winning in to a couple of interviews that had little. Can you can you point of view of what was it like growing up with a mom who was a child of a spotted. Was there any any sort of one's for you in your job will not at all we. If you actually read the book family basically never talked about it. are the my grandfather was was was But he died when my mother was seventeen so i never met him in anew that my grandmother was kind of involved within until i read the book in really not how much was involved. Three children never actually spoke about anything. I'd heard that they were involved with the petro The soviet union is back in the nineteen fifties but that basically the Story on at ever heard reading the book was quite Probably intensive the stuff. That's actually in the book Died have stories unfortunately for my childhood because they were told to not talk about night. I didn't really talk about it all now with you with your knowing similar stories is it opened up a whole avenue chats at family catch up off the is a new. It definitely has a lotta to bat I think sister's meant to be coming up for From melbourne this weekend regard catch up for dinner. Parents place on satellite Now that we've read the book that we a few questions in a few scott on what was said in what happens. It should be an interesting Interesting catch up now obviously mark questionnaire with with granddad bang spa and your mother seven namely past. Did he pass of natural causes. He wasn't poisoned or anything crazy. Now again a plug for the book. The book the books code with marlene ally in the story in there is the by mother until she was in her forties actually believed that he was just on a mission that he had gone bakers Went off die. Weren't allowed to ask any questions. Some for weeks at For the alone times and again. I didn't even know this. Apparently she thought that he was still alive. Was just on a mission somewhere. You're gonna have been land when she talked about that story when she was being interviewed on on the telly. And you're gonna live that land because it imagine the the mental gymnastics that are going on to process gray for sure. Hold back all. Is it really real. And she talked about howard halt and alleged sessions. This was this was normal stuff so account. Imagine what what was going on few moment. That's all main unfortunately that deducted from a heart attack and was actually what happened but for a long time. She wasn't sure if that was the truth in poverty. She wasn't actually bad when he when he did pass away. Saw yet spirits actually Mcginn cameron the name of the book. As with little. And it's written by lady. Sandra hogan sandra hodge. I can say so. What what were the dina conversations your dinner table around money off on so i mean yes you. You're more conservative was was that sorta led through the watching your parents soul my parents. Actually you know probably back in the day to quite a lot of risk side. My father actually started is working career as a chalky on the essex our attain years old i knew he had shares but i never knew what she says he had a when he always same to know when the gold price was gonna go up but he never actually seemed to bind to go and Should both go back then. But they did Probably some forty. This year. When i were probably when i was probably ten started investing in residential property on i think at one point they probably had six seven investment property so they had a to investment properties on the central coast of new south wales in umana by investment properties So we that we grew up in bloomberg in queensland Investment property inbound moral they investments investment property at a couple of investment properties of atonement sunshine coast. I would definitely Pretty investors themselves have done quite well out of that board into the into blame barron in knob queensland in nineteen ninety-three if anyone knows bloomberg what it was lie in nineteen ninety-three it was full of wolfe's it was full of. They used to be people getting stabbed at the pomona saturday at my grandmother on. My mother's side actually cried when i told her. That board. belinda. It was the worst place in brisbane to live on. It's it's clearly changed quite a lot since that time is probably now one of the better places brisbane to live in very popular a inner city. Suburbs side. They did very well out of there. But equally i leapt on powder works Eleanor hearts in sydney overlooking they on the northern beaches overlooking the karston out. If i probably could've kept that property. And if i did. Keep that property Probably would have done equally as well if not better. Out of out of holding onto that interesting Property i suspect is that sort of that merge off coming into your your inquisitiveness into getting into the property. Spice world doesn't explain the conservatism cameron. Well i mean conservatism. From the fact that i just i want to take on the risk of being a property developer myself. I'll take risks Elsewhere in notre expensive things but distress of my in my life of being a property. Developer have aspirations to be ceo owned business. I'm happy half what i do working. Someone else said letting the the big bosses have the stressful situations on. I'm we're all the beneficiaries of of you having that attitude because we get to analog dada which we'll pivot to property. Can you give us a summary on the year that we will never forget. You know we've obviously taken a breath of christmas and reflected on twenty twenty and your opinions were sought after enormously through at a really unsettling. Tom what what is your report on. The will never forget. Think obviously win covert hits. There were a lot of predictions that property prices gonna experience lodge price foles at rei. We'd never released subscribe to that. We thought the yes. The market would probably fall but in probably looking at a peak to trough full of about five percent. And i think there's a couple of reasons why that was the case in. We knew what we felt. The reserve bank was going to cut interest rates aggressively and we felt that there was going to be some stimulus coming for the residential property market. What we probably went clear on his. How flexible the banks. We're gonna be with allowing people to pause mortgages. Obviously no one knew the federal government was getting a do job. Caper jobs sacred. That was certainly gonna help things but we thought that people will underestimating the impact of interest rate cuts in what that was going to have on the residential property market in every single time and time again when when the economy falls into the whole Residential property is the place that the federal government's state governments through like to stimuli side. But of that when you consider the it's the fest recession in in thirty almost thirty years we've come out of a quad quickly in. The housing market has proven to be remarkably resilient. But if you look at how we how things were going coming into the covid period we had the federal election in twenty nine saying we had relaxation of the macroprudential policies. bicycling stride. Why after that we. We started to say the housing marketing proving true light twenty non pain. Twenty twenty was looking early on like it was going to be a pretty positive year sows volumes. Are we starting to see some more price coming. The market finally and that was certainly disrupted by covid out partly also went covid. Heaton international borders with shot. People can count spend money like that usually spend money. The government assistance was. They've april some people. Could po superannuation twenty thousand dollars to financial Out of superannuation build was announced. There was a lot of positives for the residential property market And i think people were just looking at. How could i can fix up. One point nine percent for four years At that's pretty attractive for people to take that risk and take on debt amendment clearly. A lot of people are doing that. And i think they've got to continue to that brilliant summary omen. Yes we will start. The loss aversion was going to potentially play a role in terms of paper activity on. It's not locker. Shamrock it where it moves so quickly we also thought the behind you would be one off a white and say. And that's what we did say ron just knives. Stolk throughout twenty twenty was also another significant sam element to that story and and that probably is a good segue into what we want to talk about tonight. Which is really the outlook for the twenty twenty one. I want to start with sort of can we. Let's talk about The the economy the economic settings so we saw governor lower speak yesterday. I we've got the The quarterly opt coming out in regards to their rightful costs today. What's your read on on the strain economy. And then you know what's happening will from a global point of view Back into the demand and supply property. Yeah i think australian economy's doing surprisingly well Uh think if you look at the full costs for bid loss. Ge unemployment rate of ten percent. Vase down. I send unemployment the end of two thousand twenty with six point. Six percent the employment participation right was back above water was pre covid was the highest. That ever was a nine in december of twenty. Twenty retail trade was very volatile throughout the covid period but spain. Strong pretty much ever since we stayed household saving Levels pay to the highest level on record side people do have a lot of excess cash. And i think that really exactly what to do with it but just pocketing nut in a bank is gonna get you any return. So i think we're seeing increasingly people putting that into mortgage offset accounts. And i think a lot of people at the mina looking for those second properties looking to upgrade their property into a a bigger and better property Mole internationally obviously. We're extremely lucky. Year destroying covid cases a very At the point where we are shutting down cities for a few days because one case gets out the community Rethink that one case outlet communities terrible have a look. I've got to lord. Lives in seattle will look at what's happening in the. Us have a look at what's happening in the We're extremely lucky it. Audrey think way reminds me a little bit slower now vaccine rolla If it's good enough for the president of the us the quaint of england. They sort of people to have a wattage delaying getting the vaccine out. There yes we are in a better position than most other countries but we want things to get back to more normal as quickly as we possibly can more broadly frustration than we are facing some challenges as we know that there's been a lot of support from the reserve bank in the amount of bonds they're purchasing but also having trouble keeping they australian dollar dan an obviously Dollar will certainly help out exporters. So that's why they continuing the bodies these these bones at the moment. But i win along the the central banks around the world going. Negative reserve bank seems extremely reluctant to do that. That's why the time on any interest rate hawks is a is pushing out further and further of the because is still gonna be some hurt from this recession for a number of years and the reality also is the reserve bank has actually Prior to covid either now that mandates for two to three percents inflation right over the over the the term. They haven't hit that for five years. We haven't had full employment in australia. Since before. The gfc employment rights falling asleep at the moment but underemployment still very high particularly youth unemployment as well as is he coming out of university. It's it's quite difficult to find a job. And i think that's gonna Supportive monetary policy for quite some time in iran. Interesting to see what happens over the next year but you could probably argue as well that the government should step up with more fiscal policies to help as well as job caper jobs. Seca have been gripe bit like a what comes next after that. What what do we what. What's government doing to get the economy back and firing econ late at also monetary policy particularly when monetary policy sitting at a cash. Right appoint one percent from the recession for a number of us. Why would you say that manifesto. Where do you see that sort of appearing outlook. I think the tourism sector is always again a struggle while whilst ever we've got ta the the incident of international borders shot Also i've always breakouts in Stike governments shut shot. The domestic borders as soon as i out of one or two cases anyway that continues to hurt the tourism sector universities struggling at the moment. Because i have become very reliant on. I see students what was going on at the moment. accepting a lot of our Commodities over there at the moment. So that's a challenge to find either bike as with john and get them buying out buying out products again on finding alternative pop which is pretty difficult when china's biggest trade partner and just generally people case. Starkly the unemployment right. I can't remember the exact figure but it was four point five Before somewhere in the fullest before the gfc and it's never got back below five percent since the j. afc so even though technically we didn't have two consecutive quarters of economic contraction during the day of see we did say the unemployment rights spike in. It's never got back to where it was. Think while we making really good progress in terms of getting the unemployment rate down. in Reported down quickly but getting it back down to even the five percent we were at before covid. He is probably gonna take a bit longer than people are expecting horizon. Good point around You know the ib heating the talkative guy in full employment and inflation target. And you're we're some sparks in regards to inflation on certain elements because of you know certain events that are occurring but long-term Can comes from y garth and that. That's the greatest challenges in in terms of especially with chinese economy digitalising economy. Have you got any views in terms of what might happen to wijers growth. I think it's gotta be wake until we get back to know close to full employment because every gun is continue to be quite a lot of slack in the labor force out there are gonna be shortages of of Shortages of supply'll staff certain areas in. We don't have specialists in every area. We need here in australia. And if coming from overseas that he's gonna grits and challenges united mattie businesses look at race killing some of their stuff to learn where they do have these shortages. But as you say the the biggest challenge and the biggest thing that will drive inflation is a better economy more people employed in wages growing again. So that's the case then again. I think that's gonna take some time in the reserve. Bank governor flag that he's. He's not expecting that that's going to happen at least until about twenty twenty four be. He's starting to take a little bit of a glass half full view of things. Maybe a little bit more gloss off empty and that might actually be a good thing because if we look at the lost decade A lot of the focus of where the reserve bank said we debate over the next couple of years. Just simply haven't come to fruition. That's that's why there is now such a focus on trying to get people back into work at that employment right law and that's that's what the economy needs to improve lovely summary there any. I mean i'm f- quickly on the world stage by upgraded their global full costs by a couple points. So i think it's fought point four five five from five point to do and i were talking about potentially a recovering. The us but a poor recovering. You kind europe. Do you can conform to that view or is there anything else that you think will have any impact on us Dan under yet. It's probably hard to have too much view on that. But i think that if you look at the vaccine rollout in parts of the world or doing very well I guess it's gonna come down to the efficacy of those vaccines. What happens with some of these mutant strains that we're saying well. The vaccine is going to be useful for that. But i think where we are main the case numbers of a pretty horrendous but the fact we have got a vaccine in less than twelve months I think i'll read some time. Mazda the foster save a vaccine rollout to this was basil's at it took four years for that vaccine to be rolled out we've rolled out of axiom for covert in less than than twelve months. So if you're able to do that. I think that's that's gonna be overall positive. I mean you look at china. It's it's pretty much back to normal oversee. It's a big chunk of the world economy a lot of symbolic of trade between china. And the us there's a new administration in the us. Probably gonna take the covid a covered situation a little bit more seriously than the previous fund thousand. I think we can be a little bit more optimistic about the world economy. I think we it'd be naive to think there's not going to be some more challenges going forward as well when you published on twitter chop. It was interesting that You know two thousand two thousand and twenty properties listed on your sought that sold and then for twenty twenty one. There was a massive spark. I've just to see a child on a podcast. But our bet three thousand for the two years prior and then the up about five thousand full full. Twenty twenty one. What are you. Wouldn't you say Happening in the early part of the year. And i'll be to generalize around property because there's so many market segments but There's people lining up on santa for opens supply challenge. There's no shortage of demand for a lot of things you talked about in terms of people didn't have anything to spend their money on. They wanna put it somewhere. What's what's with all the experience that you've got. What with those with those storms conversion. What are you seeing happening in the next sixty to ninety particular i think i think the market's going to be very strong over the next sixty to ninety days in terms of so five weeks into twenty twenty one and if we look at how many styles we had over the first five weeks of this year compared abandon the first five weeks vaasie darting. That's a very small sample saw as sales volumes up thirty point five percent nationally From where they were at this time last year if we look at the areas where we say the biggest increases now regional regional northern territory. And i mean we're talking very low sales volume say there are over two and ten percent from where they were at the same time off. Street dow is up ninety three percent but some of them are some of the large areas of the country so melbourne asylum volume so far this year up forty eight point eight percent from where they were twelve months ago. Regional western australia up. Sixty eight point two percent from where they were months ago. Our regional south australia europe forty percent regional queensland up by thirty five percent and then if we actually look at the the region where we saying the really big increases in It's a bit of a mixed bag but generally regional markets. There's clearly a lot of demand there. And i think that sort of new normal situation that we're in if we look back to before covid the people that we've given flexibility to work from. It was generally more senior people in a business now botch last year. Most businesses pissed off harmon. In a lot of instances people going back in maybe a couple of days a week or just working from home time now so i think gun for there is going to be expectation. That people are given that flexibility. In given that. I think what we saying is a lot more interest in regional markets and rachel markets connected to capital city in new south wales. Somewhere like the southern highlands in hyphen. We saying not huge volumes of sales in that market prices on the gold coast and sunshine coast jillang bendigo dollar at these kind of areas. Where if you absolutely have to commute into the office a couple of days a week It's gonna take its time but it's not the not the end of the world But you know you can. You can sit. You can the other three or four days of the week. He could work from home. You can have that right lifestyle not Go down for a swim. First thing in the morning gopher gut surf likely often Finish work. i think people are realizing that. There's some really strong benefits of working remotely in a more flexible working arrangement going forward and i think long term. I think what we're going to see this year's going to be quite interesting because as things get back to normal conditions on people to say i will. This is why i went lived in sydney melbourne. Yes the prosser. Property is very expensive. But you've got to laze benefits. Ause restaurants soul of that or people gonna say hi. I can work flexibly. So i can do that. Cbo belkin job. And i can. I can do that in. i can do that. From delong commute all. I can do that at alighted commute back to the main office. Neetu will work in the local office in adelaide. A couple of days awake at the rest of the week brisbane or go to sunshine coast or places like this said we might actually see a bit of a change in weather at the man. She's through this year in are generally speaking. I think that we have these very low borrowing costs. We've got really strong demand out there in the mock. We've got a real lack of supply of stock. Actually valuable sil- at the kind of combination of old is factors. I think he's gonna to carry on at least for the next ninety days. I think probably three might have a of twenty twenty one and we're gonna see a really strong. A housing market with lots of demand increasing sales and process being pushed higher ivy ivy twenty twenty one signet regional based on similar things. You signed. Because i think i think what you said is the fringe commutable regionals versus the the non fringe. And i think there's a real separation between what's the longevity and what doesn't have the longevity in some of its just opinion wrong but how can we look onto the vial of how you guys differentiate the have you segmented the regionals or is it just fringe commutable and other kind of just talk capital cities in restive sites but then we do look at some of the major regional areas like Sunshine coast along. Illawarra southern highlands newcastle. Those kind of areas. What we're actually finding some of the strongest markets amendment are are actually a little bit more remarks at coffs harbour area. That's really really strong at the moment. In terms of sales volumes in terms of number of us properties are getting relisting richmond. Tweed of his eight points barin and all the way up to the coin. Sign boorda really strong. Market there at the moment the wheat belt of south australia. Which you kinda scratch your head. Got way that is. It actually includes albany. Now albany's six six hours drive from perth saying really strong Views listing in that market as. Well sorry it whilst you probably think that. It's going to be just as areas attached to the capital cities. We're seeing some of those more remote areas now now. Somebody like of saba. There is an airport. They can jump on a plane back to sydney. If you need to do it but I do question the longevity on the is i think it is actually gonna come back to those areas a little bit closer to the capital city. Because i think whilst now people can work remotely. I think longer term. It's going to be more of a flexible working arrangement. Like you still need to be able to get into the office if we ask you to coming here and that might be a dial two awake and that becomes a little bit more difficult if you're if you're more remote than saying being in that regional mark of this on the attached to the capital city. Another interesting trend is if we look at the capital cities where we saying all of the demanded and all of the really big increases in sales volumes of the outer areas of the capital city the mornington peninsula in. Victoria's absolutely booming views publicity role dubbed. I've lost sales volumes up significantly at the central coast of you south wales now. A lotta people in city will tell you. It's not part of cba. Technically it is part of sydney sales. Volumes booming they used car listing rubbing the end even queenside in places like Ipswich logan by desert some of these new areas on the outskirts of the city the kind of areas where we saying big increases in demand as well so i think probably for the last twenty or thirty years. It's all about you've got to live close to the city sent. He gotta leave choice to where everything is i think people now evaluating Spice moved to these areas. You have a bit more of a. You have a better lifestyle. You might be obligated. Big a big a block of land to go live on. And i think that's the kind of thing that's attracting people in in. This part is covered throughout And looking forward to what life looks like after covid world some real golden that People who are listening to this should take to heart because if you if you bought into leaving that's one thing but a lot of sort of Thinking about whether they are investing in its roundabout whether you're chasing short-term growth as speculate or whether you're chasing long-term consistent growth over. Tom and i think that The the the big question is in threes to on when we're not talking about roy navarre's as acutely as we are now. Warren buffett. always boss. Something that you would you would be happy to keep you. The market shutdown detainees. And you've got to have that mentality with some of the regions. I think because if all some of the regions that are still got connection to save day baton. It's the regions that even even orange indaba which really great places they still for for for consistent commute. That'll be that would be a dry and so it's something that people should keep in mind if the doing with an investment paragon versus a a title off style chines jr full for principal residence. If i guess from an investment perspective as well they some of the areas that i mentioned are the areas that we saying the biggest increase in views palestinian for rental properties if we look in in new south wales for example over the past year listing for the central coast of new south wales. It's one hundred fifty point nine percent The ad western blue mountains is up one hundred three point. Five percent Southern highlands show haven views Rental listing up one hundred ninety three percent the capital region of southwest which surrounds the ict. Up one hundred. Ten percent in in victoria the areas where people are looking for Rental fuse palestinian. Basically drought everywhere. Melvin up in their up. Seventy five percent of the mornington peninsula there eighty percent in ballarat rob In queensland the outer suburbs of brisbane where we're seeing the biggest increases in rental views per listing in sunshine. Coast is up one hundred twenty five percent gold coast off one hundred ten percent so i think the other thing that we saying is that people are thinking. I might be interested in buying in this area. But let's go draw six or twelve months and if we actually ready to commit to this long term side will probably start getting even better idea of these over the next six to twelve months off the people of god to try this out for a little while and saying if they can make it work and if they do lock it but again the the areas where we saying. This is the unpopular rental areas of always been the inner city. Areas are Pockets it does seem to be shifting to the more affordable savas end the lost all areas on the outskirts of the capital cities in touching into those regional positive each site that surround the capital city or live on the surf coast here in victoria. The the vikings he rise officially zero off can anecdotally on the grand ole list. All the school parents are gonna be really creative in fawning rental. So that's one thing and go to a property on the go coach that That flood recently and so long story short we had to. The tenant moved out and as a result once we fix it. Fix up the the water damage. The rates are going to jump Somewhere between seventy and ninety dollars just from attendant in the heart of covid where it was a little bit scary to now so just just reinforces. You'll point that the demand for rentals in some of these actions are off the charts. I think also expanding on that on. We're seeing what the government responsibilities have been around a locking down metropolitan areas but keeping regional areas. I think that's that's also. I don't wanna be on the hundred lockdown so walking azov metropolitan area with a view that you might get up. They'd why before live or whatever that is. But i think i wanted to circle back to your comments around the first five weeks cameron because what what what. A lot of people need to put into context theories that was genuine february last year. We were building momentum as you as you mentioned earlier we were on a crest of a wide and then obviously carbon heat so that first five weeks of last year was actually pretty goud starting point for the full. It obviously false dotted but to be thirty percent up on that nationally. Just tells you what we're sort of looking at so obviously more next question for you is around the mix all on r- occupier activity from a demand point of view compared to invest is because traditionally lower interest rates. The investors sniffs around but the early early data that we were saying suggesting that this was actually more on occupy laid off sizes moving out to the the experts. What's the what's the data telling you around the the blamed of on rocky We start to see invest the inquiry creep back up first time is still outweighing. Investors in the market which this stimulus for them I think some investors A lot of investors of usually had the mindset. I'd bonding the city of pop. And richard out negatively geared with borrowing costs I think it is increasingly increasingly. Difficult in some instances to negatively geared property Some investors have probably burnt a little. Bit owning is in a city apartment properties as well and probably weighing up. Do i keep this. Hallowed are international. Board is going to be conformed or do i have to get out. But i think that's kind of a a new wave of investors. I think cash stop people from from sydney melbourne. Brisbane all looking at that. Second property a lace Abm bay or one of these kata saddam time of the year and then going use it on the weekends when it's available manufactured looking in regional australia oversee search activity has increased dramatically in terms of what people are searching for the number of searches for prices over a million dollars in regional. Stri has actually shot up dramatically over the last four months as well said while i think the popular narrative is all capable count afford sydney unbalanced. Side they're moving to these regional areas and that certainly happening but we're also saying is people that are already catched up moderate i'm a few investment properties analogous looking for that investment property at a fairly hard price in In regional parts of the country is well welcome. And i think that the investors coming back into the mock really be something to watch these see because the cash rights have point one percent whilst historically you kind of look for a five five and a half percent gross rental yield on a residential property percent yield nowadays in a very low yielding. Environment is attractive if you can get some capital growth on top of that. Then i adding from an investor's perspective that takes the boxes but again i think different of investors. It's probably able to may be looking to negativity. Deer property may be positive positive gearing of the properties for them I think that's a think. And i think the the other point to make in inner city markets. If you have the one and two bedroom star does seem to be struggling but three bedrooms stock. You know there's from Is a real lack of supply. Three bedroom rentals in the city markets as well and when they are available they being snapped up very quickly a really good process so i think the mindset of the just has to change a little bit. It's not just gonna be gone blind in the city apartment or go and by a an inner city according to one or two bedrooms. It's going to be something a little bit larger in the inner city or moving to these out suburban areas all these regional markets attached to the capital cities. So let's finish off that time demand sought of Think it's it's it's definitely the case that the rausing talks Asset appreciation is going to occur in a lot of areas the other interesting Migration like way way expected that the demand story in predictions last year. That we would start to say some of that. immigration occurring. This is occurring with that immigration story And we're just saying the federal health minister early tonight. Talk about the board is opening as early as middle of the year. Old to the second half of the we gotta start to say is coming. The students coming back which obviously be great news for those people who built in the media. Identity stuff to just have some demand for their product Tell us a little about your thoughts on what back we'll do. Because the vast majority of the migrants arrive in settling melbourne will seed neom and this sort of usually from densely populated places around the world. So i allowed that sort of in a cd area. What's your view on that. Look i think getting the borders a backup in is going to be incredibly important for those in the city of pop markets particularly in sydney melbourne. I think until such time as we start getting people migrating back to australia. They be under a lot of pressure. And they're gonna have challenges. Finding tenants landlords are gonna have to cut the cut their rental rights to attract someone or even just kate. Whoever they've already got side the serna we can get the borders reopened. That's good news for them. I think all for developers because we are that high build has really helped but we also know that time bill has lodged the helped land developers apartment developers just some of the requirements Having to kick off within three months of signing the contract for a lot of apartment developers homebuilder hasn't provided any assistance. It all that the next three months that gap six months that might help some apartment developers a little bit more depending on timing again but ultimately you know i've been saying without homebuilder without an extension to build up Once that's gone. If the international borders shot develop as again to find a quality challenging market the realities develop is rely on first time us which are absolutely booming at the moment and large. They often rely locked on investors who aren't necessarily particularly active at the moment. I really rely on these people that have migrated to australia. Because the rules all you have to buy something brand you when you come to australia. So that means a brand new house on the outskirts of the city or that means a brand new apartment in the city so if we can actually get those borders lighter than the developers will be happy. Universities will be happy. Businesses will be happy and that will stop to see an improvement in that. Tha that Honestly i think that the rental market in inner city areas is probably going to change Gonna be changed for quite some time. I think it's gonna take a very long time for reds to recover back to. I will break over. Because i just think the demand over role is gonna be strong as it used to be because a lot of the younger able to renting in inner city melbourne or in a city. Sydney may now be more comfortable if they can work from home renting a little bit further out Not having to pay those higher rents. So when i talk about that rain saw from the demand point of view The the question. There is obviously wait. We're setting a building very mess. We talked about into reading and land developing. That's also gonna tyco put some pressure. On the rental stories i mean because ultimately if the vast majority of people ranging and then moving to the home that they've just bad adding the suburbs or in. The newest sites has has any of that analysis being on with the rei growing in terms of the level of of rental demand generally Not a specific analysis. But i think you're right there. I think you know. They recently stimulus around getting first time baas to buy the they mock so that doesn't bother property so then that creates some challenges for the owners of rental properties because you're showing that pool of potential renters the at a time when international borders are shot citing every january we usually get this big influx of international students coming into the country which is in coming together things you know that there are these tensions with china at the moment side even when the borders rate duri open. Are we gonna see. As many chinese students coming into a as we were before Maybe maybe not really knows so. I think he's gonna have some long term repercussions for the rental market. Getting so many people into that First time but there's always gonna be people moving. Tell the states for work. Goal foot Is always gonna be some people that just start one iron a property in a happy to wrench in for the next fifteen twenty years or maybe even for the rest of their lopsided Rental demand out there. But it's probably for the next few years not gonna be as deep as as but i'm not really under any any illusion that i think once the borders opening stryer again internationally is gonna be strong demand for migration to strider even out the moment. I think they're still capsule hundred. And fifty thousand a year. I wouldn't be surprised. If the migration program gets kicked off a law that once the board is reopened. And i think given how strategy is done with covid. Look at a strategist. Us a free healthcare system here in australia. Dot civil unrest that we're seeing in the us in europe you look at what's happening in europe. Australia effectively shut down. Its borders your britain. Even do that and it's an island. I think there's a lot of things in the aftermath of this will make strategy pretty attractive Wanna come here. It's how to see what people want to establish roots here had to say well. The next decade should be very prosperous The guide for people hunting property with ups and downs in certain segments. I think the k. Message that wanna give to listeners based on the backdrop of everything that you signed cameras two things one. We always have that anecdote. You know when the todd guys that you say he's been swimming naked the the opposite. Actually todd's welling at the moment wrought sites hiding everything so i think point number one is. It's still incredibly important to make sure. Asset selection reminds front of mind because they'll be a real fire in the next sixty to ninety days people wanting to jump on me sad so they go to make sure that andrew standards it's number one and number two For those people that are buying it's a seller's market. We've clearly articulated that. But you've got to be you're going to be by a ready for seller's market which means minimum conditions that. You can make your your offers attractive as possible and get acute with with the idea because you know add same is we all properties of market as as a as a group as a team of of bars that we have but right now. It's it's about jockeying for position getting in front of as many pre listings as we can and then reading the ball. I so as soon as the stock has gone goes where ready. And we're an ability to make an offer that strong purposeful and gives a vendor something to think about so. I think you know the chi river on the back of what you're saying is the todd's incidental to standards and don't be an amateur when you're making an offer you've you've got you've got to be ready to pants yet hundred percent i mean we actually just bought a place we into a new place Couple of weeks and it was one of these. Best off zine by extent and the reason we actually got was because we didn't have to sell our property move into this property and we were happy to give them a long settlement. So i think you've basically got to have your finance implies but you've also got to be able to be flexible in this environment because there's a lotta people competing for On that actually is selling the appropriate having to buy it very difficult for them to find anything at the moment as well as they receive huge lack of supply annoying iria. We've been trying to get the message out that it is a great talk. There is a lot of buzz out the we say more searches on our platform than we've ever seen before but there's a real reluctance for vendors actually bringing their properties to the market. I suspect that some of them have just sort of gone. twenty twenty. Just run that year off and heartfully ivan sort of the next couple of months we do fondly start to see more and more vendors getting that confidence to bring their properties to the market because there is a desperate need for most of the moment it's fingers crossed self-fulfilling. Isn't it like all. I want cell until melissa things come up then that becomes the spar on the wrong direction. And that is the question i you saying. Which is where we're prying pool or listings in the first bog wakes you know what's the what's the rating on that side. Unfortunately we haven't seen much of an increase in listings yet Your wife say a foldaway during the january. United december january of period. But we're not seeing it. Come back even to the magnitude. That was early. Lost you now again. That mark i kids are in school now back from that is. Let's let's start thinking about this now whilst we haven't seen it yet. We are hopeful that over the next few weeks we start to see more and more supply coming onto the market any murmurings from the agents disorder Feel they've gone a Sell apart line or any of that snuck yet. All that the idea telling us that they've got apes of sellers natron vendors at the moment that what. I haven't probably spike into to many agents early this year but a lot of them were saying to me. Light lost that they were vendors ready to go with our holding off to february next year to actually bring that to the market but type that's That's the truth than that that starts to come to fruition because Ford is in february. Start showing evidence. That's and obviously help flatten out of it. Because it'd be more stock comes fulfil batmobile. We see these prices will ever reserve starts to become night. We'll run down the mountain dew. We're obviously going from responsible. Lending natta responsible. Barring do you have a view on on that camera. A lot of people have said to me. All the responsible lending bowls getting Actually gets re parliament and you know the the The liberal party Have the upper house. So it's not sort of a fight complained that we are going to see those responsible lending moles relaxed in as i said off just taken out a mortgage in the number of questions the banks wanted to ask some rules around in rent trimming on investment properties in that A little bit crazy at the moment. Sort of a one-size-fits-all said i think it's gonna be an interesting one. Because the strength of the market process of growing again. I just burg has said that it's hindering the market but the flip side of that is well awkward process of doing look at. How many sales happening. Maybe it's not so armlock still one hundred percents That is actually going to get through parliament that we can water down those things but i think it has kind of a pendulum united at one point. It was too far in one direction. Or do you think that some of the questions that are being down when you take out a mortgage is getting a little bit over the top and result. What happened with westpac in Neither sheriff's case that just because you're spending one why when you have a mortgage doesn't mean you're gonna change your expanding behavior when you when you take out a new mortgage so i would like to say them watered down a little bit But it's finding that balance wrought in terms of property process and what we saying. Wait we all saying some pretty strong growth over the quarter of last year in terms of property processes in as as said interest rates are going to be live for very long time. You have to you have to fix mortgage rights to really access them. But i've next four years getting a mortgage right at one point on. Non percentage is pretty attractive. And unless we can actually say a big increase in the amount of stock on the market. It's pretty hard to not expect that we got a really strong prescribed In twenty twenty one probably into twenty twenty two at the stage just blending ours to conversations together. Because i mean at the end of the day demand these is is still a product of lending rodham marceau's compact cash for property. Sorry any views on potential. Throttles that you might say given that the residential probably could get a bit frothy in areas where we absolutely no the reserve bank wanna lend money into business quotas. Because that's that stimulates jobs Do you say apple Potentially playing all if we feel families and you know irrational activity going on in the marketplace. I mean the governor's spiked the other day and said property process move for four years which is essentially true side. Let's not get too far ahead of ourselves with a with a bit of growth. At the moment he also said that he's not seeing any You know relaxation of lending laws at the moment or a mortgage quality. The reserve bank had to be dragged kicking and screaming the first time to use macroprudential policies. discovered that they are quite effective. i have no doubt if if we continue to say really strong proscribed we'll be reintroduced but i think that's probably more of a twenty twenty two twenty twenty three sorta prospect. I think it's unlikely at this stage. We'd see anything this year But they're off the Maybe we'll see some some taunting of is lending. Policies processed jumped ten fifteen percent this year and then stopped looking like they can do it again next year. Ending hesitate to do something to to try and cool things off a little bit but in business lending. I think one of the things that people forget is a lot of small businesses are funded through the equity in residential property rod. It's extremely hot. For small businesses to to get loans from banks without putting a putting a mortgage on the on the residential property playa processes in residential property markets in a sort of indirect way can help small businesses to go out from themselves into expansion as well wonderful summary if we were to sort of Putting some priority order around the grounds in terms of markets. To watch you have. I do have an assessment on that or a week bicycling to see pretty much. All markets performing astro only. I think we have to save all markets performing strongly. But i think it's probably The smaller capital cities the again do well-made western australia. Done very well over. The last four months is actually being really helped by todd border because it was shedding about twelve thousand people net a year to other states again. I think if people can can work remotely authentic. I'd wanna do the commute from purse to melbourne sydney too often. But i think the aftermath of covid will probably save more people. Staying in western. Australia may be not moving over to. The eastern states are on a personal. Will i think the southeast corner of quaint signed will do quite well because it still has people forget that in two thousand seven in brisbane property prices were essentially the same now the gaps about twenty five. Oh thirty percent. And i think again if he could work flexibly goldco sunshine coast both of those have regular flights to melbourne in sydney. So you could base yourself in those areas in and go back into the head office a couple of days a week if you needed to uneven Alight i think that market is gonna do reasonably well as You're close to to melbourne and sydney. You need to jump on applying another thing the outer areas of capital cities while sending somebody like melbourne is probably gonna to be challenged just because it's had a hotter onto route covid riding in our mornington peninsula along in the surf caused bendigo ballarat those kind of areas to perform quite well over the next twelve months in a city apartment markets. A gun struggle any new south wales central southern highlands the south west of sydney. But also think the really blueberries are going to be quite strong as well in other people. Even those areas the people that have lodging not been affected by covert at all any gonna be looking for those opportunities to upgrade into bigger and better properties. Somebody like the northern beijing-sydney for example we consistently say as the highest number of views per listing. But that's obviously a function of a lot of people wanting to be in there but no supply as well. And and that's gonna push up prices in those contacts while clearly a lot of people wanna get in there but there's just not stopped coming onto the market. Are they generally pretty strong road across the market. But i think probably places to watch In the southwest of w way southeast queensland at allied the out afraid jove in sydney those regional areas sort of attached to the todd is in drop your standards all around the country. Mike show us elections number one but Cameron it's easy to say. Well you tell you. i'm we appreciate you. Sharing a urine subscribe to kick off by as become alabama series to really set up. Full the look ahead so we appreciate your time. We'll put the link in for your mom's book. She can put a little word into your mom would be great for an audiobook version. Because they're not going do to speak to gripe to italian Thanks again for coming on and sharing wisdom in your insults. Thanks prosthetics fan. But he got some Some some in sought fool critique of the shrine property market and the economy in general. He's mangas bros. People gonna stop listening at one point five zero to thomas and aric and they're gonna listen to that at one times just cited. I can let old the gold sinking for those people. Who a new into the spice. There's a lot of knowledge there that he shed is people who are interested in sort of continued interest. You get sort of that. Solidification on your ideas and thinking in terms of yet. Etretat that sandra logical silo backup and so. It's just a confidence builder for those people that were coming into. Spice him for those people who need to understand when i need to do. The homework Some grinding thoughts in there and some good tips from bras as well. In terms of bonding the aside. I think it's probably emphasized that paypal monta mateo brinson repeatable it has the pedigree pay day nationwide and then just go down the road for eleven and a half years to opt be dot is slash cool logic and then just jump over the fence to rei like that's that's some serious heavy lifting the from saudi clearly clearly ninety stuff so cameron. Thank you for coming on. We appreciate your insights. We reconnect community will definitely appreciate your insights and fox use that information to set yourself up for the next sixty to ninety days. Make sure you're prepared. Mike sure bothering properties and absorb all those insults to your benefit Monolithic today. Ben is a story iva the summer break. I had the good fortune of taking my family. I've tasmania which was fabulous. And i had an accidental digital detox. So long story short on with telstra. I my fine on the bench. It dropped the corner of the screen cracked And then it bled so for about diana half like good use the screens denounce lock when you go to crack screen. But i'm about forty five minutes from haibat And so i'm just dealing with a couple of days not organize to to To get sorted in haibat get the screen replaced and has I'm telling my wife or my plans. She gives me this. Look like one of the autumns was to go to the salamanca markets. And i'm thinking. Oh drifted salamanca market so gun. She goes just guy that look just now at With their tanneries of what kind of problem arkham white out the lineup. So long story short the decision not to get fixing about that dike is will moving further north meant that. I didn't have access to my fine for about two weeks. I was the greatest thing arkansas high. Because i didn't pick it up but in check the but here's the thing we then moved into saint. Helen's central the tasmanians. That's northeast of tasmania and my what. My wife has verified. So she's not with telstra so on. I'm out of action with dell. She can't do anything shays with vita file knife service. So all we had was this very thin wireless signal Just to do some basic stuff but full formative purposes. It was a pure digital talks. A couple of weeks. I might law. Tonight is to a guy through unfond spot in your calendar somewhere in the probably. Christmas is the best but if you got on hold is to actively digital detox and just put the damn thing away because it was amazing. Those now op-eds on a trip back kids talking to us We were engaging in many connection. And milwaukee Yeah it's you don't have this problem been. You're not dictate to distraction lago. I am oil often. Pick up my mind when it's not appropriate but just different things took Actively for an opportunity throughout the where you can give yourself a digital detox because it was meaningful and it was a whole lot of mantra. And if you haven't watched the social dilemma on netflix. That will help you with the demon under the saint so they got so that's model. What's making property. News been thought on the back of what cameron was telling us about the The market i'm gonna take quick. They dive into our other guy. Tom cool logic as well. We have some amazing frames at all of the big big data repository. Such houses is swan is From around the auction clearance right. So as i real wakened been so. I think there's some interesting numbers here on a bit harder things i'm gonna do. I'm gonna rate at the city. I'm going to rate at the last year's auction results. And then they she as percentage now of course it will change during the late And i'm also going to say the number of auctions last year versus a number of options. Chiro i'm just to sorta gave you a flavor of we haven't sort of just walked into an urban. We've sort of on. And i maybe the doors of Of drop the band plying on sydney clear trite. It two point nine percent from a title number of auctions. Two hundred and seventy two auctions last year seventy two percent. So i basically eighty two so ten percent already and one hundred and fifty auctions to two hundred and seventy two options A huge increase in percentage terms in terms that we're still we're not at full strength. Wait until the end of the month will start to say. Some numbers really improved. Tim toss melvin three percent. Ross i'm three hundred eighty i last year. Sixty five point eight percent clear. That's not a bounce. A sharp recovery onto him and live auctions. Three hundred ninety from two hundred eleven. So big numbers the brisbane we do get into the smaller auction nemeses. So we'll move through these relatively quickly because where we had a fifty five percent clearance right. That was up from thirty six last year. On same number around fifty properties adlide. It three percent clearance on it compared to fifty two point nine in the early interesting. This is the only mark that had lace options so you had eighty nine options versus one hundred and five last year. Sixty seven point seven percent. Fifteen auctions is not really big business. Thirty at the double in caned beira. I'm a full percent clearance right instead of fifteen harmful three lies. Bargain gone zaire. It's tougher. They occurred that's gonna be. The message is not going to be a picnic but let's try. That is indo so with thinking about selling well autumn. Could be a crack ams of if you wanna get. I a good result. It is definitely turning into a seller's market very quickly varsity prepared to survive been you have to be able to nine what to look for. You need to be out of be value quickly need tonight. What what makes gripe probably all of the things. We've been reinforcing for three. But you need to know those intuitively experienced a navy pants. So that's that's what i said. In the chat we just have At team is is primed and ready to might show the by a position. Because you can't you can't be an amateur intimated in this market unique to be. You need to know what you're doing to actually secure the properties that will last for a long time not just getting in on any property you're going to get the raw property and you just reinforce that with what's making property cameron we thank you again for for sharing wisdom. Thanks for joining us again. Ben as we kick off a another fabulous year on the property which we have a goal to make each year better than the before. So we are going to strive for that in twenty twenty one. You may and everyone here on the team until next week while ross once we get that survey analyzed. We few dan thanks l. Listen is telling us what i i want. Yes until next week. Knowledge is empowering but only if you act act on it. Or i'd say fox hole he before you go if you're new to our community and only listen to maybe a handful of episodes. I thoroughly recommend that you go all the way back to episode number one where we unpacked all of the foundations when it comes to property investing for those of you. That might be a little bit tom. Poor of good good news for you. We have a binge. God you can download straightaway. Which summarizes the first twenty episodes. Where ben and all. I unpack the foundational pillars of the abc. And so much more and you can get that straight away you go to the property catch dot com forward slash. Tpc twenty you can download it and consume it whenever you want. It's completely free and available now and for those of you just a quick reminder that nothing we've spoken about today constitutes financial advice. We recommend that you reach out to your licensed professional advisor so that you can look at your unique circumstances before acting on any information. Don't forget go to the property. Catch dot com forward slash. Tpc twenty and get your god tonight.

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Risky Business #631 -- USA and friends send nastygram to China

Risky Business

1:06:42 hr | 2 months ago

Risky Business #631 -- USA and friends send nastygram to China

"Hi everyone and welcome to risky business. Your weekly information. Security news and current affairs showing. My name's patrick. Crepe this week show is brought to you by signal sciences which is ipod of possibly these dyes and instead of booking an interview with one of its staff they suggested we interview one of its customers so this way guest is. Jj who is the of compass the american real estate website. He'll be joining us to talk about his general approach to things and Yes sciences obviously a big part of that but he'll also i speak to automation and orchestration and a bunch of other stuff. That's interesting stuff is coming up after this week's new segment without a boiler which starts now. I can't believe i get to use this sound tossing two weeks. But what are we going to talk about. Let's say china. China china shop china china china. It's only about china in the front of this week. Shar the united states. And what is this something. Like thirty other countries have pulled on the cranky pants and issued. I sternly worded statement yes. China has been told that some of its activity in the suburb is contrary to its stated goals to be a world-beater and it's unacceptable. And you know this. We've seen oversee china during a bunch of bad stuff for a long time in in the cyber and stony where his are certainly one way to address it. But you know this is a whole bunch of countries putting out a coordinated reason you know. Some countries wouldn't traditionally have gotten on that bandwagon quite so fast and new zealand. For example often say bad things about trying for trade reasons simile as strategies. Been doing a bit more of that lately. But a whole bunch of european union countries And yes i'm some sternly with this yes specifically they calling out the exchange palooza hacks. That's what we call them anyway. The half the stuff they also. Interestingly enough the a statement from the us government from the us saad says that they were conducting were people aligned with ms whatever. We're conducting ransomware attacks. I think they'd just referring to that trash ransomware. That didn't really work. That was deployed against some of those exchange boxes. But there's a whole bunch of stuff separately. They've indicted for Mss operators right and also released a bunch of information about chinese intrusions into critical infrastructure in the united states. Dating back about ten years. Yes and seeing some. The government got follow ups mattress there. You know we're we're in the private sector. We've certainly seemed pretty concrete. You know statements about who did what but you're having the government put their stamp on that does give us some pretty solid data points to van attributing other actions in the future to be able to go back and say hey this was attributed to a governed by another government and we've got a more concrete data points of than you know when it's all private seconds using different names and you can get a little bit confusing. This is a useful thing what this means in terms of the big picture. I mean you know compared to a slightly stern align. Perhaps we've taken with russia whether or not this has the kind of tastes that people want to see given the very long backstory and extent of chinese activity over the and all the benefits. They've gained from that. You know the problem is right when you look at if okay. So you want to sanction russia by targeting and soil and gas gazzetta. You're gonna piss off all your european allies right. That is affect. Europe needs that energy from russia. And they're not going to to the us getting in the way of that. Similarly with china you that if you actually put meaningful sanctions on them. China knows how to play this game. They know how to play doty. And there are a lot of very large american companies that have critical business interests in china. So that's just one thing. I want people to consider when this this discussion of like. Why don't die gohar. That's why don't gerhard because they'll be consequences if it got harder even some of the more wishy washy stuff. Australia's been been having gone on with. China has turned into some pretty dirty play with some of your industries and exports. So you have. I absolutely do understand how to play that game. And i think you know when you look at the size of the chinese economy. And how reliant we are on you know all of the things they yes. It is a real complicated. Say that geopolitics the after dance around but on the other hand china has been pretty audacious a and you know. I know. there's a few people are saying well. Hey you know the us and all of the allies do many of the same things. I think that's the you know. The angle of tying in some of these operators are doing time. That's not the stuff that the united states is complaining about the us its allies. They're not complaining about collection. You know they're complaining. About just rampant exploitation of exchange boxes will and crime staff and like okay complaining about the stuff that that they should complain about. It seems pretty reasonable to me. Yea lucky shell a couple of government agencies five. That's totally fine. One hundred thousand exchange boxes. Okay perhaps there is a little bit of a line. Apparently one thing i'd point out too. Is that china had very limited success in punishing australia. We were all pretty concerned down here that they were gonna destroy some of our export industries but ultimately those goods just found the markets. It's like bali right. That was one of the first things they hit. They put huge tariffs on australian bali and as a result you know chinese importers bali bought from other markets and then there was a shortfall in those markets. And we just sold to them. I mean that's the advantage of being commodities commodity economy. I guess right but you know another thing too is as part of this whole thing. The chinese embassy in in camera is apoplectic. Gone completely over this. Well that's good. I guess you know having the finger point of that you know that's having mind maintain face israel important and the certainly some pretty clear messages that you know that they have been seen end up being pointed out right now so we have to see whether that resulted in any change in how they approach things. I don't know about that now. For some more thoughts on this. I actually asked. Katie nichols who is the director of intel at red canary to give us her. Take on this whole thing and this is what katie had to say one of the things. I think it's important for this community to remember. Is that this series of documents and actions against china is really meant to be strategic messaging by the us government and the biden administration and its allies. This isn't really meant to be some tactical release of information that's useful for network defenders right now reading through that presidential statement and the various documents you can tell this is really the biden administration saying china. Your behavior in cyberspace is unacceptable. It's a naming and shaming the details in the indictment for example clearly are meant to send a message to china that the us government and its allies. Know what they are up to and they have known what they've been up to in cyberspace for years and years. It remains to be seen. How effective this messaging will be and one thing that a lot of policy wonks are rightly pointing out. Is that this kind of naming and shaming likely isn't going to be sufficient to deter china from doing this future Likely other follow on actions like economic sanctions would be needed to really change their behavior. One other thing that's notable about this particular action is how broad of an international coalition was involved often. The us government will issue indictments. That's not really new. But this was really a global action. Nato got in on this u k the e u australia japan. And so i think that's important. Because the more countries that are involved perhaps the more compelled china will be to change their behavior at the tactical level really important to understand that this series of documents and the indictment were really a grab bag of information about different chinese actors. So in the presidential statement they mentioned attribution to china for the exchange exploitation activity. That was really already known. Microsoft already attributed that activity to the group known as a half neom which was suspected chinese state sponsored so half neom was one of the groups involved then. The indictment was on a group known as abt forty than separately. Ncs's mentioned ab thirty one. A different group was in there. And that presidential statement. There's actually information about some brands. More operators that seems like they were moonlighting not operating at the act at the request of the chinese government. And so that's at least four. Different clusters or groups of actors here can become confusing from a defender perspective to of divide those outs. That's one important thing to remember is that there are multiple groups here and i think what that tells us is that this was really an effort by the us government and allies to say we know about a lot of activity across many years that was katie nichols red canary. The big thanks to her that now we're going to move onto the big news story of the wake and some organization. Based in france called forbidden stories somehow obtained list that it climbs is fifty thousand targets of the israeli. I found my way mica in. Sr group i worked with a whole bunch of media outlets and of course they did this. Big coordinated splash some of the coverages. Quite interesting talking about dissidents and journalists and all sorts of people who've a apparently being impacted by the so-called pegasus malware. But i gotta say this whole thing just doesn't feel quite right to me We've seen some extremely strident denials from not that you can put too much faith in them but one thing that strikes you about over coverage when you read it is no one really talks about the providence origin of this list of numbers and that frankly isn't good enough. I don't think yeah. This is really interesting story. And reading through the coverage at certainly comes across a super compelling and some of the publications in fact coordination between meteorologist and research is an amnesty and so on has been really really good right. There's some really good quality work but to my mind that this kind of three pots of the story. right there is this list of targeting based on providence. You know that we don't know. There is a bunch of of analysis of pegasus infrastructure building on a bunch of high quality with citizen lab over the years and other other organizations that are investigated in his delivery infrastructure and then this forensics on a number of compromise i funds And those latitude seem pretty. Solid like read through amnesties published. A whole bunch of detail. About how done for instance on the phones and how got artifacts of pegasus malware on those funds and tied that back to previous work from From other researchers had that reviewed like that old looks really solid actually produced a toll that can look at and backups and check for into a compromise for this kind of pegasus family of Of tackles and malware and the the network infrastructure side of an oil bunch of demands a bunch of their proxy networks. A bunch of smart fingerprinting work that also looks really good and this the first part which is targeting list. And there's almost no information about where that comes from even really what it means. And that's where most of his denials are focused is that this is just unlisted numbers. Some of them can't be targeted by pegasus. Because they're in the us for example and say that part of the story is way less transparent than the restaurant and that's the thing that stood out for me reading the coverage. Yeah and the denials along the lines of hey we've only got like forty five customers an all of them and i only target one hundred people a year. You know. this doesn't really make any sense to us. And sir i mean hindsight it. But i just think there's more to this story then what's being reported and i don't know what that more is. I've gotten idea but there's more going on here. I mean it can be bad actors and some of these reporting can also be incorrect. It's just. I feel like what what's going on here is that because of the publicly identified boogeyman. Every time we see something bad we kind of ascribe it to them. It's almost like the loch ness monster and they kill. Jfk kind of rolled into one. Do you know what i mean whereas this is a very big space. I also wonder about some of the forensics. I mean you know. everyone knows. I'm not an expert in forensics and whatnot but sometimes you wanted to high. Is there some sort of shared framework that some of these companies use to develop the implant side of this and my focus their efforts on the exploitation side. How do we are that these forensic artifacts shared between different spyware makers right so. I just think there's a lot we don't know you're here. And i would feel a lot more comfortable if we had better information about this list because as you say there's a lot of really compelling stuff here when it comes to phase two and three but the list is what gives us the scale right you with me. Yeah yeah i am all of the headlines this world leader or this family member of an opposition personal journalists. Who have like that. The human aspect of this is really where the focus is on and a lot of the quite good Reporting has been on that human side of it and when you look at the forensics on devices right. They've got something like what sixty something devices embassy looked at of which they found signs of pegasus on thirty something. It's funds because the Forensic artifacts are stronger on that platform then on android but when you go to target list of fifty thousand then draw the conclusion that that implies some that all of those people will also targeted. That connection is a little bit flimsy. And there's been a couple of suggestions. I think like the guy. In the guardian story there was some mention of this phone number coming from an angel. Look up we mentioned as i'm thinking one of the arguments. Now i've seen i've seen this thing pop up and i and i've got no idea. What a high chela lou copy is so i'm guessing half the audience thousand eight. Can you explain that to us so the enchiladas the home location register which is Sort of like a directory service for a mobile phone number to which mobile carrier is responsible for where it's being because you want to send a message microphone coal one of the first steps. Is you query late. July fourth that carrier to find a way to go direct that mesa jaw cold set up process and so i guess the suggestion here is that as part of sending a an attack amusing me pegasus framework to target. There is a state where you do. And i told i look up for networking and presumably. Then that's where they would also apply checks to kinda restrict who could be targeted and There was some mention of like a number of public. I'll look up services. I mean this is the thing you can just go and do all pay for access to or do yourself. If you're on the mobile network so the suggestion. I guess there is that Someone either works nitrile. I look place or sheldon install logs or whatever else And maybe those tied to an api key that's related to nso. Or an or. And i pay all. Maybe there's some way of attributing use of an ideal. I look up seven summer the incident to users of of any sorry wall somebody else's thing and that's the kind of time but we just haven't seen any data other than there exists listed numbers some of the people on that list have been targeted by pegasus malware according to device forensics and network forensics And that's kind of about where we're at There's also some of the network evidence some of the artifacts We're pegasus has been delivered through network redirection Implying that was done with the cooperation of my book area which in a situation where they bought the service and have deployed into the local mobile operator. That would make sense of that. Also can provide some way of tying all these things together the numbers like if you have Logs for some of these redirections occurring. So yeah there's a few bits and pieces there but we just don't know enough about this list of numbers to really conclude what it means to be on that list. Who's on that list of where it came from or anything like that. Yeah which is that's difficult. Yeah it is and again. I mean i'm not saying this in defensive right like i give about public standing but i guess i'm just cautious with this one because this is an industry that's a lot bigger than people realize ryan and just because you've got one publicly visible. Boogeyman doesn't mean they're on other boogie. People out there and those boogie persons could be using shed components. I guess is what. I'm getting got st think. That's an old plausible. Yeah and certainly you know building a good quality implant live and be deployed and has all the features you want. There's no reason that you couldn't buy that from some other van der or you know. There are other components as a service. Like we've seen this kind of as a service model or at this kind of very specialized sub companies selling services in the crime. World it's not unreasonable that you would that in the defense intelligence and spooky world as well. I mean the one thing that i've believed in s o on is that they can't target plus one numbers. Because you know the reason. I believe it is because they just don't need the grief and also because we haven't seen cases of pegasus allegedly turning up on on us based foreign with one phone numbers right. There's a few examples in the stories here of. Us officials overseas the really funny one was in one of the newspapers. I think it was washington post without talking about how are an american official involved in the nuclear deal negotiations with iran got. He's fine lines and if that's not an example of appropriate collection. I don't know i don't why highlighting that one because he's american but that was one where i believed an sr. I further clouded the whole thing because he was a plus one number. But anyway as i say i just think i just think hopefully this shakes out more reporting and more facts and we can actually get a get a handle on the extent to which this activity is attributed a- attributable to nso versus two other bad actors Because there there are plenty. Yeah exactly right. This is a much bigger interested than people realize. And anything that increases the visibility of it is probably useful And yeah it's a you know. Every little bit does add up to the bigger picture story. And you know there's just so much uncertainty and so must be done now in someone's stuff that happens in kind of in the shadows in places that onc reported that it is very hard to draw the right conclusions the first time and as we get further into it. Obviously we'll get we'll get a bit better. The city's interesting data points in here for future research and there was one bit i saw on the. Us targeting angle where there was someone who had a belgian phone but they went to the us and the pagan stopped working whilst they were in the us started up again when they went back home or something like that. So you know this interesting daughter in there. Yeah yeah sure is an look. This isn't to say that this reporting is inaccurate. For all we know it's perfectly one hundred percent accurate. It's just my spidey. Sense just has gone a little bit. Yeah exactly like there's definitely stopped. We don't know about here and it's hard to draw exactly the right conclusions from what we've seen so now let's talk about candy ru which is apparently another israeli firm that is a so called hack fajar company citizen lab and microsoft has have put out for year. Yeah this looks at A number of zero day blogs and other pieces of employment now where deployed by a number of governments. A couple of months we've seen attributes are From the this this commercial vendor. We talked a bit on the shower about some of the other. Commercial van does We talked a little while ago. Google google tag put on a blog. Post saying hey. We've got some zero diane chrome and safari and internet explorer that we attribute to commercial company but but didn't say who it turns out that this is who they were talking about. Yeah yeah and you got to wonder too if headlines this continue and if exploits like this cape being used irresponsibly seems to be a big industry in israel and you got to wonder at what point country stop putting out nasty grams referring to israel right. At what point does this become a problem for israel. I do wonder that. Yeah i mean it's a good question especially you know with some of the ina stuff where we saw arena. It's specifically other countries in the gulf. You wear the political relationships and the commercial relationships perhaps on exactly as everybody expects you know hero. Seeing israeli bugs being used to talk armenians. Yeah the relationship between israel and meaner is like yeah. You could certainly imagine if we saw this being deployed in some other countries. Bugs directly attribute oreilly vendors being deployed in australia or new zealand. For example what that would mean in terms of a political relationship. You can imagine it eventually becoming an issue. Yeah i could get a little auks. That's for sure. I think could even get a little bit awkward. Even if you're not talking about citizens or allies it's just like you know if there's still that indiscriminate targeting of people who are like enemies of d states i think that can still turn into an issue but time will tell and look moving on speaking of this. You just alluded to the fact that some bugs. We're used against armenians. Google tag put out this excellent blog. I talking about a whole bunch of activity and some of it was looking at. Some road is being used against armenian targets. There's been a bunch of news. Articles spun out of the of the tag research. That research of course comes to us from mattie stone and clement lesean so yeah let's talk through these ones adam i mean again ameinias targeted with swagger. Vote is no real surprises. They given that recently a war. Well yeah exactly these. Some of these bugs google of his tracks zero to that. They've seen being used in the wall and the quality of information available to them to do that is pretty unique. Aggregrate perspective being bertha browser vendor. And a really good kind of security resets crew but yeah they put together right up of Couple of commercial crime blogs from kangaroo that they've seen being used at the same bug Also impacted our pasta. Cross the apple of it in the targeting of safari uses and those are interesting by where rather than escape the browser sandbox they would actually run the exploit cardio inside the browser sandbox turnoff same origin policy and instill cookies for the services that the browser was logged into In this case you know microsoft cloud services and that sort of thing i mean y y takeover the endpoint when you just want the web all right well exactly right. And we've seen some research is talking about this kind of avenue because the browser is the whole operating system as is in the restaurant. Just kind of support plumbing for that then yet why bother escaping the sandbox. If you could just make cookies and pass them off. This haptic apart was attributed to our one of the other russian state organizations but yeah really. Smart targeting technique rather than waste the sandbox skype. Well i think that's why. Google spent so much time looking at Tab isolation writing chrome is exactly that reason. Meanwhile google's patched another crime o'day it's the eighth for twenty twenty one so it's just a sign of the times now. I think it was last week or the week before. We mentioned that there was this maybe even a few weeks ago. We mentioned that there was this really silly little bug in iphones. Where if you set funny and got it to connect to that are verts wifi it. Would you know brickley. Foreign basic brick the wi fi functionality. And you know at the time we're like well at least it's not exploitable about that about that. Some researchers from ops turned out yes. They could leverage vis through ten code execution via some. I mean you know. It's string bogs have obviously had plenty of success as an explanation of the pasta about yeah threes some manoeuvres interaction with that crash patent crash thumper or something They managed to turn that into us after free and code eggs which kudos to pull in that three to making it work but oh dear. Yeah that's that's not right. Being nearby a wireless networking getting yourself shall knock knock good now look just spent the front half of this shar talking about you. Know exchange exploitation about full intricate detailed intend exploit chains and subsequent implants. We're talking about brides browser rhode island. These are really fall into the category of internet reopen. Okay but now. We're gonna talk about the deadliest incident weapon. Adam this is being used by you. Know huge publications and newspapers around the world have been talking about this deadly cyber weapon in in the case of the cassia ransomware attacks. The a lot has been made of the fact that ransomware crews out they using rda. Now they're using ouray now. People would have heard me in recent programs saying look not all created equal. And maybe we shouldn't can flights. Maybe we shouldn't conflict the trash oday that ransomware cruiser using versus government. Low days that he used for violence. We now have some details on the bug. That was used in this kasai ransomware attack. Adam drummer will please. Will you please tell us about this deadly cyber weapon that should have all quaking boots so the piece of code that checked the password being submitted during the log in process took a science software Basically had a loop that ended with if we got through all of the other conditions in the loop. Then let's return through. This is fine user as good and this particular say is the password wrong. Okay we'll have. It is thin file and and so on and so forth had about two chicks. It didn't actually check for the password. Just not not being. There was no then. We'd just full off the end of the loop end of etiquette here. It's been a while since we broke out sad by. Yeah sent me well. Well deserved here. Yes this is a great example riddick. Pretty terrible bugs. I think lots of fantastic hackers will remember this kind of bug from. I mean ten fifteen years ago the sort thing that would happen but i guess this car was probably fifteen years old because that's kind of feels about the vintage but it's just making me feel like i'm taking crazy pills reading the coverage about oh ransomware crews are using o.'day. There's a big difference between the sort of stuff that groups paddling submitting annul password. Mashing buttons on the cable and getting chills yes. There was a little bit of a different there. You would certainly hurt. This casado was not worth the you know hundreds of thousands of dollars or whatever. You're going to flog off a fine. Irs expert china for air. But just remember that policy wonks fellow. Journalists isn't okay there is some nuance there. Actually quite a lot. So that's something to keep in mind on this. Show some thomas it works. Let's just let's just not hold up that sort of thing as an example of ransomware crews moving into dangerous cyber web territory like god. Some ransomware affecting a cloud provider cloud star. This is i managed service provider for a bunch of industry sectors. This report comes to us via catalan partner for the record. Yeah this is a cloud service used by a number of like real estate services and associated organisations And it looks like brought golden all the data Locked up all whatever else And yeah number of organizations have now found themselves dead in the water because of their of their service provider just disappearing and they said That it's a very very sophisticated that means it. Work succumb to it worked. Apparently they got the backups. To i saw some discussion of that on onto rut row. Well that's not a not a great time. They're going to be a strong. We've seen this kind of service provider sunni on the more pressure to garp pay up Than perhaps individually news organizations much like. I was being pressured to pay for my ski for everybody. You know. i'm sure anytime. He had a cloud service provider. They going gonna really pile on the pressure and we'll see what they pay. Yeah now look at one thing. I wanted to discuss. This week is last week list is would that you on site box and had a bit of a rant about how i'm there's no real product testing for. Us government purchases. Right of like you know if you wanna buy an f. five or whatever you don't have to test it you don't. There's no sort of standard that thing has to meet. And that's maybe a bit of a problem. And i was saying maybe they should have to commit to bug bounty programs and stuff maybe administered by the government in conjunction with one of the platform. Since then you know we've been really looking into this and it turns out First of all there is such a program for cloud providers which is of course federal right which everyone heights but it actually serves a purpose so if you wanna sell a cloud service to the us government you need to be able to show stuff like yeah we got. We got at penn tested now for products. There is nothing simla but that is actually changing because of a recent executive order. What's happening now is nist is actually working out. The details for what organizations will have to essentially become approved vendors. I just thought it was worth mentioning that given it with something. We kind of touched on last week. There is actually a little bit movement. Here yeah this is good to see and this is good to see moving in a relatively rapid price some in developing this kind of framework and then getting all the necessary. Bits and place you know is normally would be a really long process. I'm seeing this movie. But quicker is reassuring. Nest have got some guidelines now around we know what what is critical software that needs to be kind of a shoot. And why is that. Haven't been in the pasta government. Use and got some guidelines for example for develop developers should tested products before they sell them to the us government of critical software to thumbing through the documents. It's actually pretty good. because it's not about critical infrastructure. It's like anything that like. Is that the network boundary and has any sort of privilege that's critical you know and it's like you read through it okay. Someone put some thought into this. Yes that's odd. Having a broad coverage of what's applicable what is important in my god aspects of supply chain. And making sure that you're able to you got ties in with this software materials idea that we've seen kicking around So this does extend to components and all the way up into the supply chain which is important the guidelines for develop a testing Are also pretty interesting. I've got recommendations about threat modeling. About what a minute. Testing and use of Heuristic spot key material and that kind of thing are there isn't it doesn't seem to be on my reading of it to be requirements for external security testing and tasting carter view that kind of thing outside of the organization yet which when we were talking last week. I guess. That's what we're really thinking was external validation than i think. That's coming actually. Maybe i'm going to have to dive into this more. But i think i think that might become criteria. Yeah i hope it gets there but them and this this focus so far on what. Maybe maybe not. Maybe not but just for testing yeah. I'm having some tasting would certainly be would be in my opinion giving them a task as seems but not even having guidelines for developers to suggest that they use fuzzy. Does yesterday use card coverage by tools. And that they test for previous bug causes. These are all really sensible suggestions and if this was a minimum baseline standard then. It's pretty comprehensive for that. Although obviously there's always more that we can probably should do. Yeah i'm and finally enough just like and this is what i say. I said on twitter a couple of days ago that this week's news is just like the perfect narrative arc ron. Wyden has just been blocked by the gsi. The general services administration the us he was trying to f y the details of how on earth zoom got approved by ed ramp. Use like a couple of weeks before that really awful bug showed up. I mean these things can happen right like as it turns out like they've they've done a pretty good job especially since the onset of the pandemic of really making security a bit of a focus on but it just goes to show that yeah you can you can ram stuff through any sort of process like this and give it a tick and it can still be a can still have problems and can still be rubbish. I mean this is why last week i was talking about the bounty side and look i understand. That bounties can be problematic right. You get a lot of junk reports you can only do so much with black box testing and stuff but i still think they should be there for when say someone like adam doing test for some bank. Who's trying to buy a product. You can go look up and see if there's the bounty program You know being being administered by the us government in in with with one of the platform providers. And you can throw that bug in there as well as in your report and it gets to the vendor and you get some cash right so i think there's some stuff that could be done there as well. Yeah but certainly even just making the prices of dealing with the vendors more straightforward one of the great things. The bug batty programs have bought to the party because them and trying to report bugs to always. It's always worse than actually finding the dan bugs in the first place but the type of tasting and the methodology and it really does matter item. And i'm sitting here looking right now. At accelerates fed ramp certification right. And we know that when you go look in a different way then. Hey bugs bugs still fall out. And that's their cloud side as well. Which i think you might have revealed a little bit more than you intended to about some recent work you might have been doing but anyway. The united states not surprisingly is tightening up security demands of pipeline operators yes. Tsa has been very well known for lots of security theater and doing things after the fact so yes following up ransomware following a pipeline operators to make sure that they have the necessary things to detect ransomware in the environments probably does thing that needs to happen and good to see some pressure being applied but does seem a little bit reactive. There perhaps now staying with the us government and this one's kind of funny because the us state department is offering. I ten million dollar reward for information about state-sponsored. Hackers disrupting critical infrastructure. Now is it just me or does that seem like pretty narrow criteria very specific tipline. Right colonel cuddle in library with with the candlestick level tires. Only only if he was bludgeoning a pipeline. Yes oh i guess if you're one of the few hundred people that's working in whatever department that is a government agency you know in china or russia. Wherever else you dobbin one of your colleagues or stugotz diaper or whatever else then you too could timid. We do not the. Us state department has an onion site for you to make contact with them and will pay you and cryptocurrency. You know they really they really lining up for you there. If you'd like the dobbin your colleagues make a bit of cash. Go to the back see and partying with everybody else. Then you know what to do now. Ironically enough that crypto he could wind up. You could have some trouble because the us government other parts of the us treasury. they're following through by the looks at things on their plan to more tightly regulate crypto currency under the guise of disrupting the ransomware ecosystem every commentator. Who's been paying attention over. The last couple of months knew this was coming in. Not a big surprise when the usual things that you know. Have been telegraphed certifier of more requirements on currency exchanges. More attempts to deal with the know. Your customer cut staff Thanks to crack down on other ways that Cryptocurrency has been abused. And you know there's lots of avenues. That governor has been pushing it from a tax side from a fraud from a paying ransom. Sorta side of things to pull it but it is just funny saying that juxtaposition of why and government offering to pay people in criminal currency for safety and then the other half trying to track them down so vicomte pretty much. We got microsoft story here. Another one from catalan microsoft has apparently taken control of seventeen demands used by a west african bc gang. The army depressing thing about this is that it's actually news are like nuking seven. How many demands would they be doing this stuff. I'll tell you more than seventeen business. Email compromise seem such sort of quaint relic of all the time. Now that he's like he's like one of the most active crime types and he's still causing all sorts of drama out there. I mean if anything doesn't get enough attention. Yeah i guess that's what i mean. Like sir focused on on ransomware and zero lately and we do forget about the the work day honest honest gripped of being. Yeah which is responsible probably for more financial harm then ransomware. Which is the crazy look. Let's not talk about this one. But i just want to mention it. It's linked to in this week's show night's report from jaycox. He's been doing some great work in the Data privacy space lightly. And he's looking at this entire industry that exist that dayananda misers people. You by these anonymous data sets and he's he's like while they're all these brokers who just say oh. We can hardly match to pay. I which is legally questionable. But it's certainly an industry that exists. Got another one from catalan. Where instagram is rolling out new tools to help people better secure their accounts so that they can recover them which people would be banging on about this for ages. Instagram recovery floors Just such a wild hot mess out of. They've introduced a new process for dealing with accounting compromise. Where it'll prompt from things of walk you through the process of securing your account which as you say like the current parche is a little bit of a mess. So good to see them improving I mentioned our wallet out gradually given the size of the user base. And that kind of thing. So let's see immediately on your couch. I mean i've been behind the scenes on a couple of days like one account takeover that abused the trademark protection process. I someone registered trademark in someone else's name and it was just pending but they were able to use that paperwork which was against instagram's policies. But i will it anyway to seize the account and then take over the brand so that was another. One guy was damning me the other day the account anyone from facebook's listening and wants to sort this out. The account is called daniel castro photo some photographer. Reid had a decent following. It's part of his business. He's i think he got fished. And now the person's trying to sell the account back for three hundred bucks or something. But it's just and i've seen screen cap's where he was told. Click here if you know the phone number change on your account wasn't you you guys through these processes and they do nothing like that's how bad it's graham like tyco have gone it's just anyway brandy today Okay we got a report here. From the daily swig written up by adam bannister. This quite funny this is. I write up of research from the twitter us twenty years ago themselves. A bad idea bad idea on on twitter. They looked at the card. Quality generated by geared hubs new machine learning code generated called car pilot and discovered that it writes hideously insecure occurred. And obviously this is because it's been trained on. Yes exactly like this. This is how the machine learning works if you try. And the machine on the combined wisdom of stack overflow and get hub. Then you get. Something generates code of that stalin. Sure there's plenty of high-quality cone now there but his are they someone someone on twitter said to me that you know it. Basically is just automated the cut and paste from stack overflow. Exactly let smoothed out that whole develop a workflow but yeah there's a bunch of examples here of generating car that has buffer overflows in it or collard that doesn't hand edge cases properly or card that has even in this case the research who playing with it Missed some bugs that have been introduced by the then subsequently pointed out by somebody else on twitter so yeah really good example of You know not being able to rely on these. Totem picking people who develop a working in the ita that's popping up documentation a an and suggestions and things often. They quite used to that being of a reasonable standard at automotive help and they don't necessarily understand that. This has just been generated by email from a corpus of card written by randoms. Our monkeys is the problem with machine learning rush. So congratulations to bad idea. She did a terrific job there. Yeah now adam. We've got some research to talk through First off let's stop with this thing that's been reported again by the so we by jessica howarth. Apparently there was osceola. Cloudflare's cdn yeah. This is actually really bad. So this was a bog reported by research of that Essentially this cd would case. Javascript libraries and there was a process by which the cash cow phase keishi engines would refresh. Those dependent refresh the javascript dependencies. And so if you got it to kasur library that it didn't know about or that you controlled you then eventually lead to like pasta vessel anne command execution so you could possible over right like you're refreshing. Mckay override the card that was actually running to regeneration process. So the net result was code exotic in cloudflare's cnn within of course the ability to be right car that's being served to people coming out of it and this is something like twelve percent of the internet So that's pretty bad. Yeah someone found this on and reportedly either by bounty you. It's got a whole lot of that much cloudplayer for that. But that seems really bad. Now i'm moving on last week. We were talking about those forged brock bugs and you mentioned something to the effective. Well that's long abandoned. Abandoned project hasn't been touched ten years sort of thing A listener tweeted at me to that it actually did get some love about a year ago and a lot of the old son croft has actually been stripped out of it just sort. It's worth mentioning. Yes the i was sitting here referring to the very old bits of very old son infrastructure within they are if they've ripped out recently then that was a smart move plan. Excellence and now. It's time to wrap up the show adam with our skateboarding dog. I don't even know where to begin with this. But this is very ninety. S this very ninety s affecting wind ten. This is crazy. This i can actually read the sam file on winton plenty of default configurations in this year of two thousand twenty one. Shell some like i xe or hbu xbox from the eighties and you can read the unix possible file and it's still the hashes predates shadowing then. That would be expected the idea that you could do the same thing on windows box in the year. Twenty twenty one eighty is a little bit not so point this is. This is how we got free internet. Access in the ninety s. Many crimes and at some point microsoft. I think maybe going back to even a year or two ago at some point. They must have been what they were doing. But they've shipped an update. That makes the sam fall readable by bilton uses. So that's like everybody who's a local user on the machine and then you can't read it because of locking but you can read it out of the volume shadow copy service as a regular user and the few other nuances. Like obviously shattering has to return to do that. And that is the case. If you've ever had a system restore point creative. I think anyway net result as a regular use. It can just read the sam fall which is provide straight up previous on client. Those doesn't fit windows servers. It's only windows ten. After i think nine hundred nine update or something like that. But this is real boneheaded. It is what microsoft were microsoft microsoft making big set of strategic mistakes and dumb bugs botched patches. And like i go to admit to feeling it's like putting on a favorite t shirt or something you know it's it's i'm kind of glad they're bad again. It feels right because i went through a good face. I mean you know. They went through an awesome compared to active x and office ninety five. There was a moment where we're hiding. Microsoft was kind of cool. You know and. I'm just glad we're back to that. That tradition. yeah. It is a certainly very very familiar. It's concerning of course given their importance on the potential even bigger than an let it go. Let it but man. Yeah i mean there's plenty of people saying hey microsoft spending all the time selling e five licenses a not enough time doing basic security like sitting the read bit on the sam file a one a few years ago they started bunching patches and missing cycles and stuff and you thought i got some resource constraints in the pot of microsoft. That does that. Let's not kick the crap out of them for that but it just seems like things have really improved their and meanwhile they're out there saying security is a ten billion dollar revenue center for us for the murder and you just said if the bunch sancha fucking time anything away. There's a lot of very good people at microsoft fighting the good fight but they deserve better for management. They do right and you certainly get a picture when you talk to somebody who paints the remarks off to that you know. There are absolutely pockets of really excellent competence and really motivated driven people. There that are really doing good job. And then you know. There's a bunch of structural aspects instructional issues in that organization politics and some politics i e yahya are and we all so dependent on the getting everything on all the time and nationalize microsoft. I'm kidding but that's the sort of thing. The kids side as dies isn't it. I mean yeah. That'll really improving. Enterprise get the government. Could you probably could make it worse. Let's be honest dear. All right well. That's actually it for this week's news. What a great week for for news like what. Absolutely fantastic grab bag of stuff. We got to talk about this week. It was a real pleasure to chat to you and we'll do it all again next week. Thanks again she has told you. Then that was pylori there with a check of the week security news now. I'm about to do something that i rarely rarely do. On the show. And just sham lewis plug to some software. Rule of timing is the creator of multi-car the sins analysis tool and for the last few years. He's been working on his next big thing which is called vote and finally eighties. It's released and it's ready for general use. I did play around with a earlier version of automotive. And i just think it's the sort of thing that a lot of the audience is gonna us going want to check out So i asked role of to send in some audio explaining what actually is. And here's what he told me. So what tim o. Is made for online investigators. The whole business so you looking at journalists incident response anyone that's chasing bed people on the internet But i can actually totally see how it can be. Used by lawyers or academics. You know anyone that actually uses a browser to research any kind of topic for teamers software. That means your browsing experience by kind of allowing me to tag elements with elements. We mean text or images of pages and that happens right inside of your browser so you can highlight those things and say these things are important to you and then as you go to other pages the software will tell you that those tags are are seen on the pages that you on the moment it also has. Its own kind of you. I wake can have different views on the pages that you browsed so you can firstly see it as a making this browse. Oh vio- super capable but there's also said a you i will you feel the data that you've collected obviously completely of so even if the pages are removed change so all that data stays on your local drive nothing in the cloud in any of those kind of things. We've been working on this for way too long. To be honest. I have seriously anger issues with the software. So it's been two a half years. I guess i guess the reason why it took so long Is that the problem is actually a lot more slippery than you can even stockton to separate mostly because from the start of said these crazy design parameters that were really hard to achieve and those were like making a non intrusive to the browsing experience capturing all sides in how do you even taste all sides kettering all of us all of the time and running all of that stuff. Luckily without burning up the computer disk space. So i think it's tough those those were pretty tough parameters but i think we managed to find a nice compromise kind of ope. We did rule of timing. And yeah you can check out. Volume or at vote dot com. There is a free version so you can play around with it and yeah i mean it's it's just an interest to so many people even a lot of journalists. Listen to this show. So i think they should check it out to and just so you know. This was not a sponsored announcement or anything like that. I just think it's cool stuff. And you know rule of rule of his super smart guy so you should pay attention to his work It is time for this week. Sponsor of you now and this week's show is brought to you by signal sciences but instead of talking to them in this lot chatting with one of the customers. Jj aga is the of compass and he is our guest today. Compass is an american real estate website. Which is aiming to be basically a one stop shop for property listings and transactions and as a result. The dev operation is actually fairly huge. Jj tells me. I have something like a thousand ish developers now. He is a very very happy signal sciences customer. But we don't talk about you know every sciences view but obviously it features pretty heavily. I'll drop you in hia where. Jj explains that rolling out a decent for using a decent is pretty much his first step when deploying new stuff or when he's trying to manage so here is jaeger. So the first thing that typically do just give up deployed. So that i know i have my. I have visibility into my. Ap is my endpoint all the application. Telemetry that's coming and going ow where my clients for my consumers actually using to make better decisions i need. Data information to bend generate heightened alerts the alerts and then to get into a place where i could start actually blocking nbn prevention mode. And that's the goal. I wanna be to prevention as quick as possible and be able to italy as fast as possible from prevention of typically. I always just go to kind of the well and these products all around but it's been signal sciences has been a great kind of For as soon as i go into a different shops when we were confidence within the I've these this tool has been able to kind of allow me to set it up. Allow may take a big breath as i'm trying to wrap my hands around the organization and look at. How do i start pivoting. What what is the actual impose being targeted more right. Let me start building out. More detective. Preventative controls Do its thing with dr been up. Prevention is i know economically sleep at night around my my end points but i then need to make sure that if the tool of choice that i am. Picking deploying isn't agnostic or have enough extensively in its rijn. It only runs on windows. I s and that's the only hd fee service us. I am on the way. I there's nothing i can do The the program is it's if we are if we were out that point. But that's where picking a tool going back today. She's like what does hec service as long as i can. Secure that and there's a gateway for all my points all may be is being published using a zookeeper or some other. Aj proxy servers. And i had asked Around it great now have full where believers And better visibility with the ability to actually go into prevention now not trying to chase pick a product that only focuses on one. Particular niche of service of noma will help. Support your jason. Bob's great but i have x. Amount here. I have thrift over here. What are we doing. So i guess the point is if it if it is capable of receiving a get or post request being inspected at some point somewhere. Yeah i need to secure it. Regardless of the technology or where the organization goes the ideas. I need to enable our organization that goes back to how i select in Decide on orchestration automation to to really enable the businesses. It's less about if together put into the business logic in it. Let's fill out the process and great up and running but too often folks are just looking at all. Right here's a get to sequel. Great block that But what is the actual behavior. And how do you actually. Doubleclick into degenerate. A better context in higher fidelity information to to make a better decision. And i think we're often to strap with resources or two strapped with debt of tool choices that doesn't alleviate or allow us to be scalable be modular be transparent with the program because we're just kind of in the scrap fight of I mean to tabriz yeah. It's interesting that you mentioned sort of asset discovery and automation orchestration in the same. You know little chunk there because those two things are kind of linked dante because if you've got your orchestration and automation ducks in a row. Then as part of that process you understand what's being spun up and what's not now of course there's always going to be someone doing something outside of the process and that's where your asset discovery comes in but usually if you've created good automation processes. It makes a lot of the the asset discovery stuff more about catching edge cases than trying to herd cats. Yeah because if you have all your cats going through the same cic de same infrastructure that then it makes it easier to deploy a change. It's now scalable and it gets on every single. Vr number single new endpoint. That gets up as long as you're going through the repeatable processes and then my focus is to your point is just on the the edge cases chasing those down really spending the cycles where it's more meaningful. And those are the edge cases where you see companies get popped right. So that's my next question is how you actually chasing them down right because i understand that you know having a repeatable process and signal sciences where a big fan on this show because they were people who actually took wafts and made them kinda usable right very funny too because i often teased the founders about. They didn't call it away when they first launched it and then all of a sudden it morphed into a next generation wealth much too much vice calming right but it is. i mean. it's a good wife that you can deploy on multiple technologies in multiple different ways right and you get some sort of uniformity. It doesn't pretty sensible blocking so. I understand why you're a fan of it but i'm interested when someone in your org attainment your ogg goes outside normal processes and does something i will say it does something dumb. What are your what are your tools and processes for catching that. Because that's because you don't really know what it is. What the dumb thing is before someone does it. It's kind of hard. Isn't it to build a program to catch unknown unknowns. Yeah so the the unknown unknowns are just look for the creepy crawlies as my cto alexis He really likes the team. And kinda pen testing conversations because it finds the unknown right. You don't know about them. Until did you become known. And then they're no longer unknown there so with that partly just making sure you as a maverick uneven. If you're an aws shop right having just billing and payments in process asset tagging right because you could actually be in your organization within your eight of simpson's and it could be known known asset within your known space you're known pool and so those are some of the things that we really pushing. That's really interesting that you say that. So you're saying you can catch it through billing discrepancies. You have you actually. Have you read the cuckoo's egg. We've actually actually andrew peterson. Ceo of as told me to read that it is on my list behind me. Well it's really funny because the whole thing starts essentially a billing discrepancy on a big box which makes the guy curious right and then it leads down this big rabbit hole. But that's why found it really interesting that you sign that you can kind of us because obviously these cloud companies man. They've put a lot of work into make. Sure they bill you for every cent that you've used so i mean using that that tech that they've built to your advantage. Can you give me an example of of how you might use billing. You know how you might actually a discrepancy because that might be hot so you know we're we're keeping track of all the resources that are being spun up and spun down and so when we're using a tool called euro scale that the tech infrastructure team brought in a. We're now just building on top of that. And that goes back to like the orchestration and automation discussion about batting a basic. They need to solve basic billing problem right. What team spinning up. What resources in how. Much what region and to now. We're actually using that information at on top of cloud trail all the the plethora of at that. This compromise will give you to make decisions about what the business is deemed normal. So let's actually isolate all the non regions that are are are being used if we see in instance up in any region killing shooting. That's that she never exists to both going. Vote so you've got some seatbelts. There in case people start spinning stuff up outside outside of. What's allowable in your way. Because that means they're not are they going to be able to connect to our vp sierra. They're going to be able to connect to our tried and true backend infrastructure right and then you have even as simple as aws asset tagging right if an instance is not tagged with a particular team more in particular product What environment you belong in note we're going to spend it down may end. We could start a reduces company costs. A will cost is just a discussion of risk as well. So at the end of the day were reducing risk in multiple ways financial ways well as security risks of of our our landscape increasing taxes increasing Unknown assets that might be sitting there looking at security groups looking at you know what is publicly available. Those are all things that have been commoditised right of looking at. What is the security questionnaires now. D. know what security group actually does. That's the question when you respond to alert you have enough contexts. That security group is now in any any. When is the hosts that's actually attached to. It was the business. Was the application actually running on it and then is kind of caught with their. You know in in a little bit of a a rock and hard place. Where whatever decision they make impact something. When does the actual impact do. They have enough context and feel confident or empowered by the business to shut it off or do they need now. Need to chase everyone around. Because they're so scared that they're going to be looked at as the security disabled right as security locker and luckily we've taken that approach where you off from our cto ceo down. It's been you know about it. You're more empowered to make the decision until we never feel kinda conservative. there's a culture that securities the bacher where we're making these decisions in we're using automation and orchestration for operational. Excellence for better ass attacking for better or better insight to our resource consumption to also drive security controls And so that's where it's less about me in bringing in. Hey these are the new security controls that were leveraging which is leveraging the already existing controls and best practices of multiple teams to kind of empower the security controls in empower the security testing. Even for us when we make a decision on you signal sciences again it we were. We were when i first got here. Leveraging and genetics moves. Ha popsy great. No problem are i have to as air coming in. How do we get security coverage there right. What does the process. If i can't just make it as extensively as easy for a internal cut up product that wants to spend or Spin in use our technology. I'll not making the right decision to put our program company in the best place to kind of scale automate. I'm curious since the lastly acquisition have you found it useful. I mean i'm not sure and don't think that saying nar is a bad answer here. Have you found it useful that now. A single sciences kind of baked into that network edge post acquisition. Because it sounds like what you're doing is you're just pricing everywhere anyway. So wouldn't have made much difference in your circumstance doesn't make much impact me rolling against all way back to our start my security career. I worked at past networks and when we rolled out there it was through motsak and we include inside of our of eighty for instance. And so we were in line and be able to buy security controls for our customers but music. He's latte painful right just pine. We removed it from that. And that's why. And that's why andrew. Zion have lots of money. Now is because is painful. I think the you wanna be as extensible to what is my choice right. Because the cdn choices has just as another similar similar conversation about what is by him. A choice of engine exercises aj proxy which cloud provider. If you go see the end you wanna do splits. multi delivered different assets to different customers. Better last mile for asset delivery. Those are all things that have to go into a a decision for the company. And so we're really do. Love is that there's accessability had now. I get to make the decision. And that's where from any product or any tool giving person buying product the ability to build the top of to make passage into us accent user. Api's drive extends ability to their to their organization. Those are the things that are really beneficial. I think from that acquisition because there's gonna be customers that are just using fastly. Cdn and now they could just get sixi- day one and they're going to be super happy with that that decision because obviously it makes more sense for smaller shops to have that sort of integration and that brings me to the sort of final line of questioning. I wanna i wanna talk about one thing. That's really surprised me is like there's an australian company very similar to compass coal. Rei group which is i think stands for real estate australia. It's very similar sort of website. I have a family member who actually works there and they just have this massive team. I mean i don't think there are a thousand strong luck you guys. They could be. But i'm really curious. Uae a real estate listing website requires a thousand develop because just on the surface of it. It sounds like this should be a pretty simple website to run right. Why a thousand developers tell me so. I think to step back. And if you're looking. Compasses looking to accomplish the digitisation of the entire real estate transaction. At when you start searching too when you get your mortgage to when you wanna close to. You're doing doing like settlements refinances. Well right yeah. So it's gonna be full stop shop you know. That's where that night attire. Revolution revolution of the real estate transaction moves away from us arcade processes that have kind of existed on top of that. Mls is our Our region city specific state specific and so they're six hundred within the within the us. Six hundred data sources. That i need to kind of pull in using tail us. Air for us are multiple are large a in. Lt ingesting all this data and input it into his store and make it useful. Add context adam richmond too so that you could have a better search experience from just a consumer. That's one piece of hundreds of pieces that exists in the entire real estate transaction. And so if you look at the other products that exist out there if you look at zillow or rented you search for it and then reaches out to you. But no one's building up the tools to ensure that transaction could all be within that platform. Right your title escrow you collaborating messaging back the the your your aging giaga. Thank you so much. For joining us to talk through a few things there about everything from the use of single sciences orchestration etcetera etcetera. A really fun and illuminating chapman. Thanks again patrick. That was jj agassi so of compass with the chat about automation orchestration and laughs. Big thanks to him for that and big thanks to signal sciences and foschi for sponsoring this week's show and that's it. This wakes podcast. Before i go. I would like to mention that these seriously risky business newsletter is back in business and be a fresh addition going out tomorrow written by tom. Iran new edita to keep an eye out for that. I'll be back next week with more risky business. But until then i've been patrick brian. Thanks for listening.

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Nick Perry Shares How He Went From Dead Broke to Multi Million Dollar Wholesaler

Real Estate Disruptors

1:02:48 hr | 1 year ago

Nick Perry Shares How He Went From Dead Broke to Multi Million Dollar Wholesaler

"Hey everybody thank you for joining us for today's episode of Real Estate Disruptor so that we have Nick Perry with want to sell now and he flew in from Austin to share. How he went from dead broke to multi-million dollar wholesaler And a big part of it we're GONNA talk about is how to hire the right people for the right seats. If this is your first time tuning in I am Steve Trang. Broker Oakland owner a stunning homes realty founder of offer fast homes at the only off market wholesale properties. And I'm on a mission to create one hundred millionaire so if you want to do that. Let's connect on instagram. At Steve Dot Trang. If you're excited for today show please give me a thumbs up and as a friendly reminder. I don't charge down for their show. I don't make any money doing this. So here's all I ask is what it costs for you to listen to this show. I've been advised by consultant. I need to get the five hundred five star reviews and I tunes to hit some of my crazy goals so please do me a favor gone in. It and subscribe and give a five star review it. He could write what you like about the show W. Even better and this is a live show to please ask your questions for Nick to answer. You're ready. I'm ready all right. So first question is what got you into Real Estate Amanda. It's a long question. Make it real quick for you. So I grew up in northern Virginia and Yo Download their tells twenty four years old two thousand fourteen. My job really started slowing down. I was doing outside. Sales Selling Franchises fantasizes and that started to Slow Down Franchises of frozen yogurt. So if you remember the frozen yogurt craze like two thousand eleven to two thousand fourteen I was a guy that would sell you a franchise. Yeah so in that. Craze has died off You know my jaw was slowing down. My lease was coming to an end of Virginia. And I had you're like by brand saved my name and I said well I get another job here or I can Inside another are just your take my banks and move and so I put everything in the back of my car and drove down to Austin Texas with no With no job up no No real money. I had five grand. You know how fast Bob GRANDPA's in this world. Oh Yeah and You know on the drive down. So what am I going to do. You know it's kind of a fresh start so he I was like well. Where's the where's the money at right it's going to be in technology Or real estate or oil because taxes and I was like well I probably missed the. Oh don't loyal I don't have any like stellar ideas for a great APP and so real estate. It was landed in Austin Your got into Got My internet. I'm a one bedroom apartment there in the hood and I started watching youtube videos so other hoods awesome not really anymore when I got there. Still Kinda Outta sketchy in the in the party down. I was living in Gotcha. So this is two thousand fourteen two thousand fourteen when you decided to take a leap all right so when will talk about how. Oh you got to your first deal. Yeah you're after you're consuming a ton of content on Youtube I started taking action. Handwriting Mailers your a handwriting bandits is going and putting them out running out of money real quick And so I would go on seller appointments Year rejection after after rejection after rejection basically went flat broke by the grace of God. I was able to get a job at indeed dot com which was able to tide me over Through my bursts deal so I didn't get my first deal took me eleven months from the Thomas. Starting this was not like a part time effort. I mean I was going going hard eleven months and I remember walking down the street. One day I was actually on my lunch break from our from nine to five job and one of the sellers went on appointment with like eight months back said Hey we'd like to move forward on your with your with. Your offer is an inherited house. I had it all right great so I basically at tear down out in the country By we got such a great price. I think we contract it for eighteen thousand dollars and sold it for thirty thousand dollars is made in May twelve thousand and because I was doing really well at indeed dot Com are head You plenty of money coming in and took all that twelve grand branding put it right back into marketing. And so that's that's really what helped snowball Yad deal. Two three four and sewn Gotcha. So you're doing franchise sales for frozen yogurt correct Imagine themselves training. I did for that. How does that translate into meeting the sellers inside their houses? Oh it's huge. I mean if you don't know how to talk to people you don't know how to sell your good luck doing anything in this world right. You're going to have to have some sort of social your skills especially when you're dealing with the public public and in this business you're dealing with a highly emotional sale with with the franchise sales here we're dealing with people. Making large investments and to open up a franchise in real estate. We're dealing with people making large decisions on selling you a Lotta Times. The largest purchaser of their life You know that translated a huge into into real estate so when you're selling franchises yours solemn me we'll kind of like typically what. I hear from franchises. Twenty five thousand nine hundred fifty thousand right right so much trying to buy into frozen yogurt. What do they pay out of pocket? so you know the franchise costs all lane. You're at minimum like two hundred and fifty thousand well. It depends on the store location where you want to be. But most like you're gonNA be in the threes so you're selling some aradio product a couple hundred grand correct that's pretty comparable. Then exactly the real estate yet were really really picked. The best goes up though was when I started doing inside sales at indeed dacha indeed runs a top world-class top like sales organization. And they do your corny. Dale Carnegie Training It's like wolf of Wall Street inside sales banging the bones all day. And that's it's where I really cut my teeth and got the bulk of my sales experience. gotcha okay so two dozen fourteen. You left about a year later. You got your first deal. So that's like two thousand fifteen grand right so two thousand sixteen year real year first year or when did you quit indeed Late Two thousand and six. I didn't know actually I waited till April brought two thousand seventeen. Because that's what I was getting baroness. I was checked out long before. Okay so two thousand sixteen. What kind of volume are you doing? I do sixteen doing. We went two or three deals. A month okay Still Working fulltime societal. Yeah I mean I didn't treat it as a side hustle You know I basically I spent all my time. I'm outside of indeed All my nights all my weekends on real estate and really take a break because my whole goal was to get out of there as fast as I could. Yeah I knew every second. I can invest into my business. Faster I get out of the Corporate World Gotcha and there's a lot of people right now right that are kind of trying to transition from working a job into into gain into wholesaling. So what were some of the things like that. Were you. Were looking at to help you make transition where you're looking for a certain amount of deals for months on a net perma month. What were your or asserting your bank or your goals to to quit? Yeah unwanted sixty thousand liquid in my bank account which is not not a lot of money but back then. That's where my living expenses were Anita. Carry my youtube. Marketing costs at the time in my living expenses for ninety days. Yeah that's if I give myself a ninety day runway away sixty grand. We'll do it then. I'M GONNA be okay jank myself. I'm knockin mixing stuff. Happening Ninety days. All right cool so when you're making that transition. What were your best ways of getting deals at that time it's always been PBC for me So yeah two thousand fourteen. I said one of the best investments made was I invested right into the Dan Barrett if you guys know him he's a big PBC guy and he taught me everything he knows on PBC actually went and met up in Connecticut. Yeah we're GONNA work trip for indeed I- i- skirted out of work. Early drove up to Middletown Connecticut where lives and He really helped me get going and learning how. PBC WORKS IN DD PBC company too so You're really dug in deep on that early and that's paid off for me. Yeah even to this day so so for guys that are listening to the. PPC is elaborate with that is yeah pay per click advertising so all the major search engines out there you can pay to be at the top of the search results so Anytime somebody's you search for term. Say We buy houses Selma House Bass whatever you can bid to be in those top spots for that premium visibility Ludi so you have a much higher chance at getting click on that On that on your link rather than it being like you know however many pages back in organic search results right right okay. And you're still leveraging. Paper Click today. Oh Yeah it's our. That's my biggest biggest way. We deal man. That's tough I so I was using paper Klay from two thousand twelve into last year until the became like forty five dollars a click. Then as like I cannot afford to do this anymore so props to you for still doing that So one of the things. I found really interesting when I watched you speak at in Houston wholesaling life incredible presentation. One of the things you talked about was hiring on autopilot Can you talk about how your experience at indeed helped you basically get to three interviews a day. Yeah we'll my whole job at indeed was talking to yell. Large large companies that had age art art apartments and I'm talking to BP's HR Yo- Large large HR Corporations and studying they're hiring funnel and how they actually actually get people into these fortune five hundred companies and so really they treat it just like we treat seller leads. It's how many leads can we get into the top of the funnel. So how. How quickly can we qualify those leads? Then once they're qualified get them in through the interview process and get into the higher. Yeah so I really resonated with that and took a lot of not only the knowledge that I got from talking to these companies but also the knowledge on the back end from learning. How indeed actually worked So with those two skill sets parlayed well into being able to hire very effectively for for my business So you know. I remember the presentation of one of the things that People don't realize how much translates to our world. He right so we know archaic is it. We know we talked to this many homeowners. We're GONNA get dismay appointments. We're going to get as many contracts we're GonNa get this many closings correct and is the same exact thing Recruiting you WanNa talk about that. Yeah I mean made us a candidate that applies for your jobs like a lead right. Yeah how many candidates does it take to get a qualified interview right so you have leads to interviews or candidates to interviews and then from those interviews. How many interviews does it take to get a higher right right so so it's the same exact? KPI's as us on your the acquisition side of our business from the higher. How many actually stay are we Very fortunate we've actually never had anybody quit really only fired people so when they come in they tend to stash. We've been blessed with hiring good people people ask well. How do you get people to say? Because I know that's one of the big fears for a lot of holes. I was like man has come in his everything about my business. He's going to compete against me. Well how do you allay that. Fear your Your vision in your dream has to be big enough for everybody else's to fit within side. Yeah that's the number one. Thanks if they come into your business. And then they weren't offshoot and do their and then obviously you're not providing them enough opportunity to come into your organization his Asia and make a nice living for themselves so they didn't come in and apply for the business to to go and do their thing necessarily and also we make them sign. Non Compete Beats nondisclosures. So they're locked in for two years or they're you know we're Gonna I will enforce a non compete in my head too. Yeah Yeah Okay now you're based in Austin But you were saying off camera. You D like four dollars a year in Austin correct. Yeah so what does Your Business Look so we are nationwide so when I mean nationwide anything that's in a major metropolitan area or suburb or basically anywhere there sustainable population ovulation where we can find buyers. Were doing deals there. Yeah so we. We target nationally so the United States of America is our our market their target market. Yeah that's that's our market And it's essentially an inside sales Organization so we have leads come into the business. Our acquisition reps are are speaking with those leads all over the nation with the data that we have. Now we're so blessed because your with your prop stream zillow solds like weaken comps comps. Anything anywhere so the fact that. There's no real reason that I can see a my mind. Why we need to be geographically limited to one area and we we built out processes and systems on the back end to get this deal soul to get pictures to deal with showings all of that so he had Maga Center you that work with us? They've never seen a house and they've done deals all over the country so target markets states. But how many many like metropolitan areas. So you know. There's thirty three hundred counties in the United States that yes yeah. Thirty three hundred counties in the United States and nearly two hundred fifty maybe two hundred seventy five of them are the only ones that have like a sustainable population like the rest of them are like rural or like super to Sherry Jerry markets that We won't touch it's really you know the top two hundred fifty to three hundred counties in the U and U Marketing in all those counties. Yes yes yeah. Wow Yeah okay. So then you're asking it's gotta be pretty crazy to compete in that many markets and I would imagine. Yeah I mean we spent quite a bit. You don't tape paper. Click spend like thirty thousand a month on PBC Yeah You gotTA remember my campaigns. I've been running since two thousand fourteen so never find and he go up. Put a lot of work into him. So they've run really well now to be very competitive And then you know We do a lot of direct mail. We do a ton of SMS like like a lot of SMS so for for these guys how much is a lot SMS. I mean we'll drop like forty thousand s a week. Yeah And there were. Actually she rampant that up right now. So yeah it's just that we're trying to bring more. Va's on this quickly as we can at this point and more same thing nationwide nationwide yet. So I'll help pull list two counties you load them up into we're using Leach Right now And just bought new blaster and we got really good as that you your filter down those leads and and get us over. Quality leads into our area. Gotcha so I know you talked about you. Built that systems and places and just run out for me talk. Just first question comes to the mind is let's say hypothetically I go to the city where I don't have a lot of context. We'll just say some somewhere in middle of Arkansas right. I don't know anybody there but I'll doing pay per click. They're doing SMS there. How am I moving the property? Call the realtors. Civilised is that that was because what ended up happening is I never really wanted to be nationwide. I was trying to do deals in Austin and San Antonio but like I was having a really hard time with my cost per elite and things like that and I was getting leads organically from all over the United States and so you after a little while you know I'm just going to take a crack at one of these like weird leads yes I think. He doesn't like Harrisburg Pennsylvania. I call this lady I get it under contract and I'm like what am I gonNa do with it now. So the only thing I knew how to do it this time it was like two thousand fifteen two thousand sixteen I was like I'm just going to start calling all the realtors and see if they got you know if they know any investors that are looking for off marketing investment deals. And so. That's what we do to this. This very Eh. Yeah simple said overcomplicated. Don't overcomplicate it. I mean we. We have other ways to that are more sophiscated. Different facebook strategies and you're going and buying everybody's cash buyers list has a cached buyers list available you if you guys got a cash buyers. Call me because I'll probably by by No it's super simple. I mean those. There's realtors are going to have your doctors and lawyers. That are going to pay higher a lot of times that are buying one or two deals a a year. You'd be surprised. All right. Yeah deals win will move will move. Because we'll go through a realtor who has somebody like a pocket buyer Gotcha What were some of your early challenges you know you you you quit? You got your savings right till seventeen. You quit You're all in or some of your challenges when you first started. Yeah I mean uh we're not. I started like full-time is very scary like when you quit a full-time job as making two hundred twenty thousand dollars a year at indeed really. Yeah job to quit. I wasn't because I couldn't have a boss. It was killing me. This is the money then make up for career so it was like. You're one hundred percent ban on yourself which I was confident in my -bility but I knew that failure wasn't an option at this point I already have like your bill my way up in Austin a little bit kind of like added a primordial being like a broken did not want to go back there. Yeah so You know that That fear probably lasted for like you know six months if anybody that's listening right now has a corporate job. And they're about to quit know that you're going to be scared shitless pry for like six months But you'll be all right. Just get up every morning. Show up to work and do the best. You can Dan and and that will go away after awhile. That fear subsides So one of the things that I wanted to emphasize for the show was putting the right people in the right seats right so we talked about. India's paper click went. Yuck I remember you saying like fifteen cents click to maximize your budget. So you've set the campaigns in indeed Young over like some of the things he did for the titles to to to make sure that you've got everybody absolutely so the one thing that that you need to understand about indeed is couple major key points is that it's a search engine like Google is so if you don't have a keyword rich Title or Keyword Rich Job description. It's not going to know where to put you so it's trying to pair up. Whatever the job seekers type into the search Bar So if somebody types in brain surgeon you're acquisitions job should not appear in. Yeah right but if somebody type sales as long as you put you know sales professional or you have any all these sales buzzwords in your job description and your job title you're gonNA show up in front of them so whenever you post a job on indeed it ages out based based on time so as new employer Ski Person Sales Job Your job is GonNa get pushed further and further in the back of the searchers almost kind of like craigslist exactly. Yeah just like craigslist. But there's a couple of ways to get around that you know worn by sponsoring your jobs So when you sponsor your jobs you know indeed they're gonna WanNa have you you sponsor your jobs at a on a simple budget. Don't do that. So you can rewind this if you need to go through this real quick. Is You're going to your sponsor your the job on it a balanced budget and you're going to set the CPC's at fifteen cents. So that's the lowest that the That indeed would let you put your CBC's He's down to so what that's going allow you to do is to thinks you're going to get a spot in the In the sponsored section at the top of the search results also spot in that we're Ganic section section but then it's it's going to do that but it's all which gets you more traffic but then it's also allow you to fly under the radar Of the kind of the indeed you search quality police so you can do some cool stuff with that now if anybody from indeed listening to this right now It's probably not going to be good. They're gonNA shut the strict straight down. I'll just tell you 'cause I it's it's good as of right now so Sponsored jobs that way in what you're going to need to do is you're GonNa want to create five other variations that same exact job you harm for an acquisition manager. You'RE GONNA want five different job. Titles and five different job descriptions. And you'RE GONNA WANNA post all of them into your into your account right so By doing that you're going to be dominating the the searchers all page and everybody that's looking for sale job is going to be your clicking on your ads. You'll get way more traffic by doing that. So remember this is a like Khalid business right trying to generate as much traffic as you can't hear your position so you get as many qualified candidates to start interviewing right away. Yeah and I was so excited when you were talking about Houston because I'm a total nerd. I did all my own paper. Click campaigns right. I did all my Google paper optimization on my own so I'm familiar with like how how to you know create a so that they searched for we buy houses and only houses shows up and we said like I can just do like. Why have I not been doing that it? It was super super obvious once explained but I would never come up with even though I know works really well over here for Google for being Never go just do the same thing and indeed. Why wouldn't you right right? That's all it does. Is it tries to pair what. They're what they're searching for whatever's in your the job right. Yeah it's crazy effective it is and I've had great luck with it so now that you've got the indeed add going you know. We talked about the The funnel right this many Candidates this many interviews leaves miss many hires the hiring process one was really impressed by was And I kinda give you a hard time about this in Houston but you basically outsource your presentation right leverage wherever you can right. Yeah so you know like here's CONAN speaking part the presentation. Now we're gonNA have Aaron and Brandon and Brandon. Now Erna Brandon can get this presentation right so you you've been able to Replace yourself effectively with good people. But how are you interviewing in such a way that you can replace yourself with quality people versus just another guy that doesn't quite fit in the culture. Yeah I mean I'll take you quickly through a hiring process so you get all these resumes that come in and who likes is going through resumes. Nobody absolutely nobody so you need to get that as a business centre. Get that off your plate immediately. We we've had multiple people that are that that have worked for us to go in on a part time basis. And we'll call these candidates. You do a brief. You know phones with them before sending them in for an interview suber important according to do that because that calling and scheduling and all. That is a huge time and energy suck. Anybody was some common sense. You can have them do that. You know you you can do it with Va.. But I'd advise not to because this is the first impression of your company Yeah I had my sister Alexa doing and when she was in college and She did a great job at it. You're brandon his mom's doing it for us right now. You can have a spouse anybody who's got your part time hours that wants to screen through these resumes. I can do it. Yeah and so once they found. You know what you're looking for. They're going to schedule for an interview. And just pop a calendar invite in your calendar and attached to resume couple of quick words by author a good candidate and the people are just going to start showing up. Yeah right and so you know when they show up. We've got a three part interview process so the first first interview this preliminary interview in our office were asking all the basic interview questions will make question is why are you here. As a first thing I asked and then we go through. We have a ton of near that interview last about straight to the chase straight to the chase that lasts about fifteen minutes. I interviewed you. We can tell within ten to fifteen minutes if they're going to be viable for a second interview and so If they aren't by back for a second interview I that's actually a practical practical interview so what we found is before we'd have people that would interview awesome and then we get him on the phones and then they were duds. We'd had the buyer learned real quick so that was super frustrating. So we said okay. Well the second interview is going to be a practical interview where they're going to need to get on the phones talk with sellers unless you see how they conversation with people in the pit you know with the guys in the office and see if they choke right. So that's what we do. We'll bring him in. We'll have him call some trash leads AIDS and see how they see how they do and it's also a good opportunity for them to meet the team. See how they by the team And you know we. We also used as an opportunity to have them sit down and do all the personality assessments when they're in the office so it's kind of a a that second interviews a big interview for whoever they're coming back that's really there make or break. Yeah Right. They're going to have to go and do the phone screen. They're going to do the personality assessments. They're going to have to buy with the team and then we usually make them play game of ping-pong too so just to see how they interact or something. And I I love this part about the practical interview you because I I'm. I'm an entrepreneur on the eternal optimist. Everything is GonNa work right like everything's perfect case scenario and so ah hired so many people are like man. This person can change my life. They're going to be incredible. And you see me like this guy is going to be a Rockstar and total duds. You know there's no reason to it either. I mean if I was betting on horse I play. You know all my money on this one and then they they point so that's why I was like well. We have when you start doing this practical interview and we know with a pretty high degree of confidence after that how they're going to be an employee for the company and we've also had people with Alec. This person's name is shot but it seems like it really want job. Excuse me shot and crush it. Bright is just you just just can't predict a so it's good thing we don't bet on this correct. Yeah we lose money but you don't know until you until you know right right exactly. It's better to do that on the second interview in narrowed away before you make a hiring decision and then you have to fire him. You know a couple of weeks. You're frustrated you know it's never fun to get somebody starting then have to pull the plug on no cerebral especially. It was a lot of strain on the miniature to yes. Yes so Right now with you being nationwide. What does your company look like? So right now we're The CEO of the company and then We have our COO brandon so he sees acquisitions and dispositions so uh everybody's reporting reporting to Brandon On acquisitions we have four full-time acquisitions over there. And then on dispositions we've got a full-time dispositions and and a fulltime transaction coordinator Yep so You're were worst rowing slow right now. We've got fired a bunch of people so right now we're Orlean were mean and we've got really really good people that are that are doing a great job you really lean. Do Thirty deals thirty plus a month yes was just for for acquisition. Yes Yup his on the phones to okay so he you'll pick up to three contracts week himself and same with everybody else man. That's really impressive. All right so One person had a question here. Dan Preda what are you looking for in a sales candidate So I like to see that. They've got commission mission sales experience. What I've noticed is like when you're hiring for these people like yeah you'll see a lot of people that come in and they look like the rockstars that got a lot of great sales experience in like Sas? Ask If you don't know what's ashes. He online based tech companies. We get a lot of this candidates in Austin. There fail miserably really. Yeah don't hire process. You're looking for people That have commissioned sales experience. We want Self starters that are Hungary Obviously Suwan I mean that's really I mean it comes down to personality after that all right. Yes so we need Folks folks that have that internal drive And have had sales experience before in the past is not entry level job. No it's it's a tough job and free as don't know SAS is basically software as a as a subscription and you're looking at these kind of people that sell like Comparable in our business probably managers life insurance or property property insurance people that are happy selling things that cost thirty to forty bucks a month. Yeah I mean the best way to answer this question. I'll tell you the background some of our top performer. So you're like Aaron. He came from timeshare sales before that. You're brutal job right tyler. He came from a car sales Then Chris using in high ticket sales He was actually working for a high ticket. Sales Company selling courses and things like that so like Super Commission heavy job. uh-huh that it's like eat what you kill you know you have to be seasoned to be working in that environment. That's why see Sass doesn't work because a lot of times. These people from Oracle are coming from like High Bass Ace job super cushy with all kinds of benefits and this is more like a startup environment. Oh yeah this is why would you kill him. You can't describe it any better. Yeah all right so We we kinda hinted on it but you know how much volume are you doing right now right now. I mean thirty thirty five a month. Because we're at right now look actual actual deals and I know you're you know you're all these different places but like what are what are. Where are you doing really well right now? in terms of geography or in terms of Agassi. Yeah well we do really well in the southeast. So you know the Louisiana the Anna the Alabama's Florida's Texas New Mexico Oklahoma. All of that South East is all really hot right now but we do a lot of in the northeast too. I don't like the northeast very much like New York Illinois. We still do a lot of transactions up there but they're attorney states. Yeah and they're paying the by. You got transfer transfer taxes attorneys so we that's still a lot of our brand butters up there in the northeast but my favorite and what I like. The best is down in the down in the southeast Further a lot nicer down there to the I heard someone saying I wasn't a mastermind like you know we're we're Phoenix. And we're exclusively in Phoenix and these people are tired tired of us. Mary hired of us. And it's funny the mother calling someone Alabama's I know that's not this person but I hope you find them much different seller down there in New York. No No York and they're probably threatening you over the phone absolutely all right. So we're talking about your gift for acquisitions One full disposition transaction corner virtual assistance. You have virtual systems we do so we have a virtual assistants on DESPU DESPU and they help out with pulling lists on him buyers on facebook you doing s different. SMS blasts Basically googly any kind of data mining. Which is super important for buyers? Either doing all that so we have a full-time DESPU. Va and then on Marketing we have all of our Sherpa. Va So there you know. On all day just tighten back and forth with people texting them until they are qualified lead and then in passing over to us so we'll find finding buyers on facebook. What's that about so you've got all the major facebook groups that's where everybody's hanging out right so it's it's like how can we go in and find out who the players are and get them to buy our deals and so if we could be in national we've gotta deal and let's say Baton Rouge Louisiana Louisiana I'm going to get to the local baton rouge? Rei Group and go to the search bar on the left so on all the facebook groups. There's a search bar and just type in you know Baton Rouge or whatever that city is in find everybody. That's personally deal in there and do you think there's people comment on those deals are buyers uh-huh yeah you're gonNA look at in town on those messages. We this is what the Vitas they're gonNA look at intent on what those measures like hey. PM me the details. where like they leave their email address because they're interested in person that deal so what's our? Va Do he's going to go ahead and copy their profile. Send a friend request tomb and then I go back through and sent him a message. Hey yeah this is neck. I just gotTa deal in Baton Rouge. I'm in Austin. Are you still buying their question mark. And they'll do that two hundred people overnight while we're sleeping and then we come you know coming in the morning and we got it in box full of neo byerly dhs that awesome ter- so then you got so you got this list of buyers. What Sierra me using to manage all of them so we use polio exclusively so in terms of the buyers less? It's like 'cause we have ever two point nine million buyers in our database so there's no real viable storage solution for that. If anybody knows reach out to me I've talked to some pretty smart mines on trying to get a database to house it and be able to sort it and you have filtered effectively beret now. We're using good old-fashioned Google sheets okay for for buyers and it's effective. I mean then take us that much longer. You know we can pull are less pretty quickly so it's not killing us but I know there's a better tool out there just I haven't found the right And then once you've got like let's say we'll go back to baton rouge example right. You've got this probably locked up. How are you blasting? How are you communicating with this large number number of buyers Sms Okay so SMS is going to be the most effective your email we all know about you email deliverability email. How how that goes? I know a lot of you'll do email. We still do email. But if you want the eighty twenty it's sms so sms out and then If they're interested they're gonNA call us back back in. No we take. That conversation. Didn't go from there. Gotcha and then. You're you're not the only person that's nationwide. There's lots of guys they're partner going virtually nationwide right. So what would you say. Set you apart From from your fellow nationwide virtual wholesalers. I mean I don't I I don't really know any other people that are doing doing the nationwide as much. I'd like to network and connect with them and I don't know any of them personally. Gotcha so I don't know I was just been showing up to work every day and trying to trying to get better every day. I don't know if there's anything that I'm doing differently or better than anybody else. Yeah year. Yeah we're just we're just showing up every day and working very cool. Very cool Chris Jackson says that sellers and south would just give you the damn house. Yeah that's true All right so So Preto had a follow up. So how many phone calls contacts. Talktime is easier salespeople required for each day so fifty calls a day is the minimum on the call requirements A an hour and a half. Tom also minimum on their two for acquisitions on a Despu we don't really metric him like that. There's a lot of communication that goes back and forth on email and We're not giving win them. Call metrics but we are monitoring their activity pretty heavily on dispositions as well got you now you're KPI's what are they like you know for or for your business where some. They're different than everyone else would you say. KPI's that are different than us Doing for the virtual. Yeah I mean and when you're doing virtual you gotta know like there's going to be fallout rights if you're doing deals here in Phoenix which you are like you got a huge conversion once it's under contract. It's probably pretty much. Yeah you can start spending the money right. That's not how it is nationwide. So I know Raphael your bargains. He's taught me this. It's one out of every two contracts is GONNA turn into a deal. Yeah he said that when we're in Houston and Houston and it blew my mind. It's true it's one hundred percent true. Yep so whenever. Have you doing this over the phone in your dealing with virtual There are so many variables that go into the back of the transaction that it's fifty percent and it's translated for us you know we've we've looked at it and we keep it. We actually tracked this complex and we look at this your daily weekly basis and it's it's one added to now is that actually closed on contracts so for these guys are listening to show that that may not be familiar with puck down. You'RE GONNA talk. That is yeah. Pluto is just a data visualization station tool that you can use to Visualize your KPI so you you guys were asking about like talktime dials. You could actually connect plateau go to your call rail and sea up on the screen you how many dials does disrupt half how much talk time do they have etc.. WHO's the leader on the team? So we do it on acquisitions and dispositions. We've got a bunch of other cool board built out too but Yelich my favorite one. That's the most common is acquisitions board so it shows does your each acquisition rap. How much money? They've gotten assigned revenue. How much money? They have an assigned revenue where they're at for the Mont and then leaderboards into so. They're all super competitive. You know these are all like awesome sales guys. They're all talking. You Know Shit. Tear each other trying to get to the top of the leaderboard and how it helps. Keep everybody accountable the same direction and we have goals on there for the month so definitely check it out if you guys haven't seen before it helps out if you've got an office One one thing that we've talked about offline as well as your competitive You're competing in a physique competition. What does that yes? Oh you're back when I was in Virginia Did I was nationally qualified in NPC. Men's physique so yeah I was in the gym all the time. I started my career off as a personal trainer Doc. Id didn't have the grades to make the college. My Mom told me not to go. Yes she's she's like what are you WanNa. I WANNA trainer for you. Yeah you're not going to. College is a personal trainer. I played sports in high school so after high school I just started working out all the time being a personal trainer in the gym twelve hours a day and then I had eddie was a hey you should compete and sounds like all right so you started doing the die and I competed in my first show probably like seven or eight years ago and I I show I got second place so that you qualify nationally and then kind of kept going from there and then it became too much of a commitment like once I moved to Austin. I was hustle and get this business going. Let that go by the wayside but Y- that disciplined and your focus into that has definitely translated into to business. Well that's what I wanted to talk about. You know like being some someone that's competing at a high level in one field can definitely translate. We trying China to move into another industry so what were some of the biggest things I have helped you go from competitive I don't know bodybuilders right word. Yes that too you know wholesaling. Yeah I mean you you know you go in the gym every you have to go there every single day just like work rain you gotta go every single day even on the girl. Yeah even if you're jacking you look great. You still gotta show up every single day and keep putting the work in and keep getting better like perfection is the you're never gonna get to perfection so you can always continue to get better but that consistency in daily focus. is necessary in business. You look at Arnold Schwarzenegger who started off as a bodybuilder order than when it was the highest paid actor of all time and then was the governator right and he directly attributes like bodybuilding and the principles of body A to be in your successful in other fields. And it's absolutely true you've gotta you'll be Not only consistent you have to work work your butt off off and you can't you can't slack. So there's just a fundamental. Is you learn from going to the gym every day. Yeah so one of the things I love to Susannah resume is debt collection. If you're a debt collector you can degrade in this. Business should add bodybuilder sport. Sports you asked me earlier. What were some things I look for? I kind of your airheaded out on it. But sports is huge sports bodybuilding. I any kind of like competitive Nature Sport or field will bode well. You won't be with that competitive edge. You know it's funny I've I. I hired multiple athletes that were D.. One athletes I have to have NAT translated. Well I thought for sure. Like you're Doin' athlete. Fleet you should have what it takes a good deal when athletes should attract that too. Yeah all right so guys please ask your questions Social Services wants to know what is your ESA message say for buyers it just says hey just got off market property and whatever ever city you need a move at a sat. Give me a call when you get a sack Pretty simple for sellers For sellers. There's so many different variations Gary Asians of openings. You got continually switch it up and I don't even really get in there. I don't I don't know you'd have to have to reach out to the Brandon or somebody else selection now right And then Lynn wants to know how you doing comps in nondisclosure states. I mean you look at villa. Soldiers still got all the data on it we're in Texas nondisclosure state propel EEO zillah salts prop stream There's three main tools that we use. Gotcha And Jasmine Green wants to know. Are you getting pitches at properties that you get under contract. Yes we'll have the seller take pictures for us On on the wrap-up scrip once they do the Docu sign hasten hasten next step in the process are transaction coordinator is going to be reaching out to you she's going to go ahead and requests and pictures If you can go ahead and take those now and then get them over to her. That'll help speed the process process up on the back end. Yeah she'll be reaching out to introduce yourself in the next twenty four hours but If you're at the house now go ahead and take those pictures. And then I'm gonNA give you the email address to email another ever to awesome yup and then this could be I could just be naive here. You know be. Ot Jesus boots on the ground. There you go yes boots on the ground nobody nobody. We don't use boots on the ground. Yeah Nah that's that'll slow you down like that whole boots on the ground Philosophy I don't really subscribe okay wholesaling so less. What is your philosophy is like in you just know the ground so like Whoa? How you How you different than or what are you doing differently friendly? If you don't have boots on the ground yeah we're just getting contract Getting pictures from the sellers reaching out to the buyers we tell the tell the sellers like hey our local partners I are GonNa come out there to verify. The property condition matches the pictures after they verify the asset. Then we'll go get closing at that point so we're sending the buyers in as our partners which smooths over that whole issue with the salaries Gotcha And straightened Brown wants to know. How's the telephony sunny system worked out for them on Eliezer people can handle? Do you give any tell. Oh yeah so. We're using smartphone. I oh now. It's a two dialer that integrates with polio. I I know a lot of people use then call in their integrate. Now they're now great but the API is just like super complex. A lot of back end stuff. That doesn't play Nice Ace and I didn't want to go through the hassle of setting up. ZAND call because there wasn't any inherent benefits so we decided you smartphone. I Oh and it's been excellent like the amount l leads everywhere. Churn through is crazy and it can pull custom less from your podium. So your foot like right now you would say I know Aaron. He's got like sixty one conned tax which means people that he hasn't been able to get in touch with in his book. He can go to smartphone. Create a campaign for no contact. It's GonNa pull all those leads and and then he hit play and it's just GonNa Crank through all those people that he hasn't been able to get in touch with this in his book. You have like sixty one. People like ten minutes and if somebody picks up it'll paused paused campaign. It's pretty high speed so yeah we just which we just added a smartphone to airport you Alex and wants to know what are the best words of advice to those just starting out Just starting this business. Best Words of advice is. Don't do not underestimate the amount of sacrifice that you're gonNA. I have to go through in the amount of pain. You're going to have to go through. I'm just going to tell you straight up. Yeah you better have some skin and You know that you're going to fail. Eleven months I deal. Oh and like the amount of heartbreak and pain and everything is is real. This is this is business right now. I don't care what business you get into whether it's real estate or or selling iphones here for yourself. You're going to have to go through a lot of your trials and tribulations. So if you know that going in You can you mitigate the failure rate. Because you're never you're you're always getting better as long as you learn right so I love that because as the don't know what you don't know you'll so many times I finally got that I deal and it's something old blow up that you've never heard of and that's just the way it is. It still happens to me to this day. We're still today. Yeah Yeah we're dealing with the situation right now that we didn't know that's how it works and so actually everybody Jerry Dasa's Kinda coaching through that situation right now All right so what else is there. Summing when wants to know title do you know what company to use other states. So there's a couple apple nationwide title companies I recommend clotheslines settlements. They're good in the majority of the states Also there's another company called Cli. There's czar to title companies reasons. Cli a little bit heavier now just goes clothesline. We inundated them with business and are referred. A lot of people ever to said. Don't expect communication to be very prompt all the time. But they're they're good as well. They're investor-friendly and They're called clothesline. Settlements there at Rockville Texas or Cli author. Also I think there are not Rockville. Maryland and then see allies in Bethesda Maryland. But they they're nation title. Gotcha and Arnold was. No where did you get your customized estimate shirt This is from this from Ryan at tr. GM said he hooked it up. If you hit them up on instagram he might he might send and you once. Yeah Yeah All right so dylan wants to know. Current trying to get a virtual deal may twenty one thousand calls so far contacting nights. Twenty eight also doing argument. I'm an SMS without deal any tips is doing rbm an SMS without a deal Yeah I mean it comes down to volume because because like it takes a lot of RBM a lot of SMS I'll just be I'll give you some. KPI's on Rem is like twenty three to twenty four hundred dollars the deal on rbm and then on Esperanto for him pretty low pretty low from what numbers here like. I'm here most people think argument doesn't work for them anymore. So that's it's really good. Yeah I mean. We've we've had experimented around and we're doing right now it's about twenty three twenty four hundred dollars really good Yep And then SMS. Ya He is. You'RE GONNA have to go through a lot of A lot of sellers to get get to it because these leads are not. PBC where you're going to get on the phone in like shut these people down and get them to sell their house to you They take more nurture. It's kind of like a direct mail. Lead right RBM and SMS are like Iraq a male uric even though they're reaching back back out to you and showing intact Your sale cycle on them isn't going to be ever night so those leads that you've already talked to need to be followed up right you know. So don't throw those leads away. You nicotine a follow up. Some of them will pop. It's a ninety day cycle. Same thing with Colin right like yet the amount the people that are gonna see a close on the first call on Colin very low now. So you're looking at ninety days so don't get discouraged on it. Just keep ball and this leads Emmanuel Livingston Watson I know who should be your first higher after going from a one man show acquisitions so you need to get somebody to get on the phones start working right beside you and taken this inbound seller calls making outbound seller calls whatever talking to sellers all day long that's going to do is allow. Allow you to talk to more sellers if you're going to continue to do acquisitions which I think you should in the beginning But it also gives you some bandwidth to work on dispositions setting up marketing And you're doing other things you're bringing on additional hires and things like that so gotcha acquisitions Maximus got a question So you get your bias from realtors. How much commissioner are you paying them or is it a set fee? We just don't attack your fee on top makes total sense And an iris wants to know anything. You've done differently in the beginning to cut down on time to get your first deal. Yeah I would have got a coach a lot faster. I try to put myself through Youtube University piecemeal everything together. You know watching everybody's videos and I was smart enough. I can figure this out I can put it all together other but obviously I punish myself by doing it that way. If I had to go back today one like I would have just took that five brandon and I had given it to Sean Terry because it's back in two thousand fourteen. He yeah he was one of my major mentors. He is the one that got me out of my not. Have Five He I should have used used a mentor. Right away rather than trying to piecemeal everything to myself off youtube even free content from facial right one hundred percent and man who knows how many people Sean Terry has helped came in. Imagine what the number is. He's The godfather man. God Yeah for sure All right so you know. We talked about the multi-million right so like two million coming in There's a question hope you don't mind me asking him like you know. What do you get to keep? Because you hear all these guys on my doing. Mass numbers of deals This much revenue but no one really talks about which bring home. which is I would argue the most important number one hundred percents is your Brad? Chandler came in my office last week and gave me a good but kick in on. That's great you're doing a lot of top line but which your bottom line and so we're running at twenty one percent profitability surge margin as of last quarter which we should be in this business thirty to forty percent. You know it's okay right now because unread line and my business to scale so it up. So I'm dumping more money into systems and people and payroll and marketing and a lot of one time expenses that come along with that stuff. So that's that's going up right now. Last quarter q three or twenty one percent. Yeah Yeah I know it's funny. That's who I was gonNA suggest Brad Chandler when you're saying yeah. I don't know a lot of the guys who are doing well Nash nationwide. He's one of them. He came in. He came down to Austin and hung out with this last week. I got a lot of fun. Yeah awesome awesome all right so Are there any you know tool systems as like man. You guys are listening right now. You guys need to use these tools any recommendations terms of tools. uh-huh yup call rail podium. There's going to be your fundamental tools on top of that you're going to want to be Having a solid way ADA comp deal so you're prop stream is really powerful right now if you're not using that That's worth the subscription costs. Obviously Docu sign he. The basic tools to run your business. I think outside of that You start to get it gets convoluted depends on what path you really WANNA take. Doc Right and your business and why but those are the fundamental tools that I would suggest. If you're getting started Gotcha and what is your why my why is four hundred so yeah Forbes four hundred Yup now one hundred one hundred but right now four now just know my wife is you know I wanNA have Enough time and options do whatever I want when I want with the people I want to do with. Yeah so I was always kind of rebel growing enough. I didn't like a Doherty's I'm still kind of the same way I wanna do what I want when I want to do it with the people I want to deal with and I don't want anybody to tell me otherwise. Oh I love it right. I mean that's the reason why we got into this business and I think a lot of forget. That's why we got his business because we've actually become a slave to the business right and I don't mind I'm working a lot especially to get there But yeah and Angolan why is to have the ultimate freedom. Yeah but you today. I mean they're back in Austin crushing and right now they're bringing a contract so I could have talked about you know like just getting robot that can you drive around the office and I probably wouldn't even have to be there But right now I got really good people so you know if you are scaling up a business and you pick really good people. That's the Nice thing as it gets you. Freedom Yep one hundred percent what is your biggest struggle right so now Biggest struggle right now is Being able to increase my headcount without decreasing profitability. Because there's a learning curve to win you bring people on. There's like a ninety day cycle and I wanNA grow I WANNA grow and we've got leads coming in and I don't want to scale back marketing so I'm hiring people but I'm trying to be very strategic hiring he you know Your five year vision I don't see why this can't be here two hundred person organization If if we do it smart So yeah it's just kind of keeping my self in and check in not doing anything dom going out and hire twenty people at one time right. Yeah yeah there's something that's funny. That happens in real estate where you know we go into this mode of scaling and we start bringing all these people and all that does is just makes your profitability goes down. Yeah adds more stress. I had to fire a bunch of people for that reason. Yeah so yeah. Yeah that's the balance right. Is You have to. You have to keep a balanced approach to scale your business. You can't just go show in organically start adding bodies to your a business and I think if you just dump a bunch of money and dump a bunch of people into your your office. It's going to translate into money in your bank account. It doesn't work out that way. It would be great if it was. That'd be awesome. What go get a big line of credit and just say cow In the Alex wants to know what SMS platform are you using so on dispositions. We're using text magic right now on your Steve. He's got a really good recommendation with slingshot. We may try that You know we've used a ton of other platforms right now. Attacks Magic is doing the job deliverability. Good measure an-and Dylan wants to know what are the main list that you were targeting. The main list. We're talking to hi equity here. Same thing really every starting to because when you're doing so much volume on SMS rbm. It's hard to get data eight out there like I've already pulled all the niche list and run thrown so now we're just blanket in high equity Strand Brown wants to know. What's the best advice for building a great company company culture Give him alcohol now. Now in all reality it's giving them the vision and the your core values of front showing them your where we wanna go painting a picture And how you were all gonNa grow together. Yeah is extremely important so everybody is rowing in the same direction all the time. We've got a really really good people in the office. They're cool like whenever you're hiring somebody who your honor family member so you gotTa make sure you WanNa hang out with this person forty hours a week to. Yeah so everybody gets along really good. Make sure you hire people that are not only going to be do. A great job are also going to be a culture fit for you like as an operator. You're going to want to be around him a couple other. Quick tips is Music Music. There's very important especially in sales. You stay energetic all day long. So were in their here with the music every single day. We keep the AC down. Stay a away. Drink a lot of caffeine during the day You know it's a higher energy sales Environment Ping Pong table you happy hours and Team outings and things like that so all that your health from the company culture and music keeps us going in the right direction. I love it. what is your superpower Superpower is mm-hmm. I just don't give up the I think that's the main thing is just let Lewis. I'm just relentless I if I want something like you're you're GonNa have to kill me to not get it really my only superpowers. I'm not smart. I barely made it through high school. you know of knowledge super good on the sat test taking i. It just comes down to like if Set a target for myself. I'm just going to relentlessly chase it down and I know how to take a punch in the mouth. I know how to fall down seven times. Get back up a And that's really at like I'm not scared of failure here. I'll run into a brick wall over and over regain until I get through it. Yeah yeah that's fantastic Francisco was annot How would you go about finding a mentor? And maybe not for you and your your stage right now but you're beginning stages how would you find a mentor. You don't WanNa find somebody. That already has the things that you WANNA have for yourself so Not all mentors are created equal rights. You have to find. Somebody has your same core values. They have the life that you WanNa have and make make sure that they're actually doing deals. Yeah so sad that we have to add that doesn't it. Unfortunately there's a lot of good ones out there but there's a lot of ones that ah you're gonNA WANNA do your research on before spending money right. Yeah and it's funny like there's things you can. You can find out Google googling the name if you just google their name there. Are we things that you read that. Surprise you exactly What is the greatest lesson? You've learned Greatest lesson than I've ever learned learn. I think is probably from for my mom. She said half the battle just showing up ray so super simple advice but show up every single day. uh-huh yeah I still go to work. Every single day braggart work every single day until the Dumb eighty years old grandfather's multi multimillionaire. He still shares up to work every single day. Yeah Yeah so You know half the battle is just showing up and be inconsistent. Even if you don't know what to do go to work and show up and figure it out right right yeah So you know I guess that earlier. You know the reason why I wanted you on. The show is that you're talking about scaling hiring someone and this is the last one of the last steps right to growing businesses scaling. You know we talk about how to find your first seller how to how to market how to get into earlier how to close losses things but I think you know having having culture and building people up like that's like the last like the last ages at least what I found so far. You know like the last piece of the puzzle where life just starts getting a little easier easier. How did you build out what you have? How did you learn those things? What resources could someone go fine to become a better leader? Better business owner entrepreneur. Yeah I never really took like a leadership Class object model people that have already had successful businesses before and watched how they he oh conducted themselves in front of their employees and You really I just treat people the way. I want to be treated my employees. They don't work for me. They work with me and we're all moving in the same direction. And I just try to. You know be the best possibly can for them. Make sure they're getting paid you. Ask them how they're doing more. We're into him and if you do that you've got the right people they're gonNA they're gonNA take care. You know I love it so I want to leave you with a want you to leave the listeners with one last long and make a few quick announcements so thinking about what you WanNa leave the listeners with Guys were only two three weeks away. Three weeks away from New Orleans Chris Russo skillet on December. Sixth through eighth of you guys want to check that out go to bitterly slash two zero one nine skill And then Maxima were Doing doing our workshop January tenth through twelve as two and a half days. We're GONNA go over everything in our business Howard. Doing four to seven dollars a month in Phoenix. I argue one of the toughest markets gets in the country. So if you WANNA make twenty twenty year year go to disruptors DOT COM and see the workshop makes sense for you. That's D I. S R U P R s And in this coming Friday hi Dave we got caught wild load another guy and Phoenix as doing a lot of deals quietly and then in two weeks ago Ryan Alaba coming in from Pittsburgh Pennsylvania. He's GonNa talk about how he built his flipping operation. I had got a chance to meet him in a mastermind. And what he's doing in Pittsburgh. It's just crazy so with that last thoughts last thoughts is You don't be afraid to fail and scare money. Don't make any money and remember. Success is is not like a like a stock chart a goes up. You'RE GONNA fail. Whatever you decide to do you're GONNA fail horribly? Probably the first time you're GONNA go through of self loathing and you get out of that real quick and you figure out what you did wrong. Then you make another plant and you're probably going to fail again and it's just this perpetual loop bird remember Success is a gradual series of loops going upwards. Yeah Yeah so you're gonNA fail forward and you'RE GONNA learn and the Union try again and you probably GonNa Fail L. Again and it's just gonNa keep going like that forever and ever but as long as you use use it learn from it get back on the horse and try again. You're GONNA be alright. I love it so if someone wants to get a hold of. How did they do that? I just find me on Instagram at Nick Perry. Rei Is Probably the best way to get in touch with me. You're happy to help happy to Talk to you guys if you need any help with your business awesome. Thank you very much. Thank you guys for watching thank you. This is a lot of fun awesome.

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