160 episodes

Residential property is the only asset class we live in, it is where we raise our family's, and it is our most expensive investment, yet property advice remains unregulated. Our objective is to educate time-poor professionals through deep insights from our experts who have provided thousands of Australians with personalised advice and education spanning two decades. In a climate where we are overloaded with information and one size fits all recommendations from the media, well-meaning friends and family and so-called advisers, we will distill the raw truth from the ill-informed.

So join the Property Planner, David Johnston, The Property Buyer, Cate Bakos and the Property Professor, Peter Koulizos as they take you on a journey of discovery through the maze of property, mortgage, and money decisions to empower you to create your ideal lifestyle!

The Property Planner, Buyer and Professor PropertyPlannerBuyerProfessor

    • Business
    • 4.9 • 96 Ratings

Residential property is the only asset class we live in, it is where we raise our family's, and it is our most expensive investment, yet property advice remains unregulated. Our objective is to educate time-poor professionals through deep insights from our experts who have provided thousands of Australians with personalised advice and education spanning two decades. In a climate where we are overloaded with information and one size fits all recommendations from the media, well-meaning friends and family and so-called advisers, we will distill the raw truth from the ill-informed.

So join the Property Planner, David Johnston, The Property Buyer, Cate Bakos and the Property Professor, Peter Koulizos as they take you on a journey of discovery through the maze of property, mortgage, and money decisions to empower you to create your ideal lifestyle!

    #160: Top tips for purchasing in a cooling market - Listener question!

    #160: Top tips for purchasing in a cooling market - Listener question!

    Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaI

    https://propertyplanning.com.au/propertyplannerbuyerprofessor/

    In this week's episode Dave, Cate and Pete take you through:

    Market update
    1. NSW land tax to put a floor under property prices
    Looking at quarterly results, the two major cities with the biggest price falls have been Melbourne with 1.4% decline and Sydney with 2.1%. However, NSW will soon be implementing an optional land tax over stamp duty for first time buyers entering the market, which is likely to encourage some first home purchasers to dip their toe in the water and this in turn could increase demand.

    2. Pre-auction offers
    Cate shares some hot tips for our listeners in preparation for today's episode on how to manage pre-auction offers in a cooling market and sometimes a better outcome will be achieved if you wait until the auction.

    3. Inflation may take longer than usual to come back down
    David shares an interesting theory on why rising rates may not be enough to curb inflation. Our lost life experiences over the last two years means that not even rising rates and increased mortgage repayments can curb our desires to go on holidays, see friends and spend extra money on getting social.

    How to tackle cooling markets
    1. A question from our listener
    Some questions for the pod about how to approach a flat/cooling market.
    Cate what should you do when you are the only one to show up to an auction and or bid?
    Peter, how do you approach comparables when prices are falling?
    How do you take advantage of seller FOMO?
    I also think a whole pod on climate risk (BAL levels, flooding, future temperatures in capitals) would be good. Keep up the great podcast.

    2. When you are the only one at the auction, what are the risks that buyer psychology can pose? The trio discuss how buyer psychology can get in the way and cause obstacles for an opportunistic purchase. If the research has been done and the property is a winner, then ignore the white noise in your head that's saying there's something wrong with the property. It may just be your lucky day.

    3. How to value properties in a cooling market
    Pete explains how valuers actually assess the market value of a property and how comparable sales are used. More importantly, what adjustments valuers make in a rising market vs a falling one.
    You might apply some decreased percentage overlays to the historical sale prices. The same applies in a rising market, if dealing with a property that had 1% month on month growth, you will need to overlay this growth.

    4. Why falling markets are the best time to buy
    Dave touches on market cycles and why in a falling market, you're likely never to get such a good price on a property ever again.

    5. The fear of over-paying
    We can tie ourselves in knots over paying too much for a property. However, if you hold the property for the long-term, this amount will appear to be comparatively miniscule in the end. A reminder to our listeners, to purchase a property, you have to be willing to pay more than anyone else for it!

    6. Why research is the cure all
    The trio discuss the worst-case scenario of purchasing a property and paying more than what a lender thinks it's worth. Cate explains why this is very rare and quite mitigated if the homework and due diligence is done. Now is not the time to cut corners. Roll up the sleeves and get through as many properties as you can.

    7. What do you do if the vendor'...

    • 37 min
    #159: Methods of sale and what do they say about the property and/or the state of the market?

    #159: Methods of sale and what do they say about the property and/or the state of the market?

    Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaI

    https://propertyplanning.com.au/propertyplannerbuyerprofessor/

    In this week's episode Dave, Cate and Pete take you through:

    Market update

    1. NSW state budget announces introduction of annual land tax to replace stamp duty
    Stamp duty has already been abolished in Canberra, but Canberra only has one hundred thousand homes. It will be interesting to see how Sydney fares on a much larger scale with one million dwellings. The introductory measures will be in place for first time buyers only, who can opt to pay land tax annually of $400 + 0.3% of the property value.

    2. Attitudes towards the property market diverge
    The reality is that there is a segmentation in the market currently between those who haven't ever experienced interest rate increases vs those who have. Cate explains how this affords great opportunity for anyone who is willing to take the plunge in certain segments of our market.

    3. Crypto currencies take a dive
    Increasing inflation has led towards large rate hikes in the US, with the most recent 75 basis point increase announced this month, which is the highest rate increase in 29 years. This in turn puts pressure on shares and crypto currencies. Bitcoin has fallen by 70%, whilst some crypto exchanges have ceased the ability for people to access funds and make redemptions, almost like a bank denying withdrawal of funds. This is a sure sign that the crypto currency market is facing some serious headwinds. Dave shares the potential upside that these falls represent for those who own property.

    The various types of sale methods and reasons why each are adopted
    1. A question from our listener
    Hi guys, thank you for such an informative, but entertaining podcast. I've just listened to the episode on "off markets". I am just wondering if you can offer some insights into how to navigate when a property is "on market" but is listed as EOI (expression of interest), rather than a price range? Why might a vendor do this? Do you put your best price forward and declare all your cards, or is there still an opportunity to negotiate? Is it a case of Pete's rotten apples potentially? Thanks team

    2. What are the typical methods of sale around our nation?
    Cate takes our listeners through a brief recap of the various different sale methods used and what factors impact the choice of sale method.

    3. Best and highest offer - should you show all of your cards or go for baby steps?
    The trio discuss what happens when the highest offer is actually really low and the vendor isn't happy with the outcome and Cate shares her tips on when you should actually submit your best and highest.

    4. Why wouldn't you auction a property?
    The trio discuss the market conditions and reasons why a property is selected to be sold via auction. More importantly, when you should not sell a property via auction.

    6. As a vendor, what sort of guidance and rationale should you be looking for with your agent when you are considering the various methods of selling?
    The trio discuss how to field real estate agents and the key questions to ask.

    7. What does it mean if the price guide changes?
    Listeners beware! Cate reveals what a reduced price actually means (and it's not more dollars in your pocket).

    Visit the show notes - https://propertyplanning.com.au/methods-of-sale-and-what-do-they-say-about-the-property-and-or-the-state-of-the-market-ep-159/

    • 40 min
    #158: How interest rate cycles have impacted the property market since 1990 when the RBA first started targeting the cash rate and some predictions on what will happen this time

    #158: How interest rate cycles have impacted the property market since 1990 when the RBA first started targeting the cash rate and some predictions on what will happen this time

    Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaI

    https://propertyplanning.com.au/propertyplannerbuyerprofessor/

    In this week's episode Dave, Cate and Pete take you through:

    Market update

    1. Comparing the history of Australia's property market downturns and increases
    Pete shares a sneak peak of data that he has collated detailing the extent of Australia's three strongest years of property value growth and declines. Without giving too much away, prices are likely to drop, but there is no need to panic.

    2. What are the capital growth drivers when interest rates increase?
    Cate shares her Sunday blog detailing the drivers of capital growth when interest rates are on the rise and predictions for the property market. Check out our show notes to read the blog!

    3. NSW stamp duty abolition in limbo
    David shares news from NSW, where the State Government is looking to abolish stamp duty and transition to land tax. Plans will be announced in the State budget next week, however the Federal Treasurer has confirmed that there are unlikely to be any handouts for tax reform. Watch this space...

    Interest rate movements and property values

    1. Do interest rate movements impact the property market?
    In this episode, the trio sink their teeth into data going back to 1990 to answer the question whether increases or decreases in interest rates have an impact on the property market.

    2. Floating the Aussie dollar and targeting the cash rate
    David sets the scene with a brief history of why the Australian dollar was floated in 1983 and the benefits this brought to our economy. Seven years later in 1990, the RBA started targeting the cash rate of overnight loans between the banks, which has a powerful influence on other rates in our economy, ie: mortgages.

    3. Cash rate cycles since 1990
    Since the RBA began targeting the cash rate, Australian's have lived through five rate lowering cycles, four increasing cycles and we've just started rate increasing cycle five. What can be gleaned from history to inform the future? The trio unpack each cycle and most importantly, what happened to property values and the broader economy.

    4. Property predictions
    Dave and Pete stick their neck out and make predictions for the property market: how low will values drop and how long will the current rate increasing cycle last?

    Visit the show notes - https://propertyplanning.com.au/how-interest-rate-cycles-have-impacted-the-property-market-since-1990-when-the-rba-first-started-targeting-the-cash-rate-and-some-predictions-on-what-will-happen-this-time-ep-158/

    • 54 min
    #157: Market Update May 22 - RBA increases the cash rate but it's no reason to panic! What is the wage price spiral, why Australians are ahead on their loan repayments, the current state of the economy, unemployment, rentals, consumer sentiment and more

    #157: Market Update May 22 - RBA increases the cash rate but it's no reason to panic! What is the wage price spiral, why Australians are ahead on their loan repayments, the current state of the economy, unemployment, rentals, consumer sentiment and more

    Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaI

    https://propertyplanning.com.au/propertyplannerbuyerprofessor/

    In this week's episode Dave, Cate and Pete take you through:

    Market update

    1. Cash rate rises by 50 basis points, but the sky's not falling in
    The RBA raises the cash rate by 50 basis points to 0.85%, with an expectation that rates will increase by the same amount next month as well. However, this is no reason to panic. The cash rate was at 1.50% pre-covid, so there is still some room to move and the reality is that the cash rate was never meant to be as low as 0.10%. This was an extraordinary measure put in place to tackle the challenges that global pandemic brought.

    2. The wage price spiral
    The trio discuss the possibility of a wage price spiral caused by high inflation. If wages increase in line with inflation (5-6%), it embeds inflation further and that's when the probability of job losses is increased, which is a worse outcome than slightly lower wage growth. This is an increased risk if minimum wages are increased, as employment awards and enterprise agreements are raised by the same percentage, effecting a vast amount of wage growth.

    3. The current state of the economy
    Whilst many home owners may not like the prospect of increasing interest rates, however the economy is a strong position, which is why the cash rate has been increased. As stated by the RBA, the Australian economy is resilient, growing by 0.8 per cent in the March quarter and 3.3 per cent over the year. Australians are well ahead on their mortgage repayments, with a median of 21 months of repayments in savings, even with a 2% rise in mortgage rates, this would only reduce to 19 months. There is an upswing in business investment underway and a large pipeline of construction work to be completed. The terms of trade are at record highs, the lowest unemployment rate in almost 50 years and jab vacancies at high levels.

    4. The latest home value index results
    The trio discuss the index results for May, which show Sydney and Melbourne on the decline, while Canberra went slightly backwards but a negligible amount. Astoundingly, Adelaide is still going strong with 1.8% increase over May. The market is well and truly slowing down for the other capitals and regions alike. As they say, all good things must come to an end, as we enter a period of 6 to 18 months of excellent buying opportunity.

    5. Rentals and vacancies
    Rental markets continue to remain tight, with each capital city under 2% for vacancy rates. Those are expected to get tighter with the flow of new migrants to Australia. Builders will not be able to pick up the slack and increase supply to meet the demand, with fixed priced contracts in precarious positions as a few major builders go under. Now that prices are flattening, yields are growing even faster, with Melbourne now leading the charge for units, adding on 10% in the last year for asking prices.

    6. Listing numbers on the decline
    Total listings are down for every capital city and in a change of gear, old listings (listings on the market for longer than 180 days) are increasing. This means that the up-take of the less desirable stock has slowed down for much of the nation, only in Brisbane are buyers still snatching up whatever they can. The upshot is that buyers are taking their time, FOMO has lessened and there is not as much pressure from other competing buyers.

    7. Consumer sentiment continues to dive
    The house price expectations index, which typically lags behind market movements, is catching up with the market and starting to reduce. Th...

    • 47 min
    #156: Property Planning Case Study #3 - Should our 'Next Purchase' be the holiday home or an investment and how do the financial outcomes marry up with our short and long-term goals?

    #156: Property Planning Case Study #3 - Should our 'Next Purchase' be the holiday home or an investment and how do the financial outcomes marry up with our short and long-term goals?

    Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaI

    https://propertyplanning.com.au/propertyplannerbuyerprofessor/

    In this week's episode Dave, Cate and Pete take you through:

    Market update
    1. First signs appear of inflation slowing down in the US
    Dave shares some promising news from the US about the rate of inflation starting to cool, with the core index rising by only 0.3%. Share markets have picked up the pace with this positive development. Australia is well behind the US inflation cycle, but is also lower on the inflation scale. Watch this space.

    2. Caution for landlords thinking about rent increases
    Vacancies have been tightening across Australia and rents have been rapidly increasing, with many cities under stress with tenants scrambling to find a home. Cate shares a hot tip for the nation's rental providers looking to increase their rent. This is an important balancing act for our landlord listeners, as asking rents should be in line with the market rate, but hitting tenants with a substantial increase can cause problems as well. This point is particularly for those who have good tenants and have kept rents below market, but applying fair and consistent increases that don't shock our tenants is really important.

    Case study #3: Do we purchase a holiday home or an investment property?

    1. The conundrum
    This case study follows the journey of Tom and Linda, who wanted assistance with working through the various pros and cons on how to best achieve their long-term financial and lifestyle goals. In terms of their next purchase, they weren't sure whether they should start building their investment portfolio or purchase a holiday home as they are satisfied that they are living in their long-term home.

    2. Introducing Tom and Linda
    Dave shares Tom and Linda's key circumstances and of course, their lifestyle and property goals which are driving their decision. Tom and Linda are a couple in their late 30's with two children under 4 years old, living in one of Australia's major capital cities. Their initial plan was to purchase an investment property now, another investment in two years and a holiday home two years after that - very ambitious! However, the desire for a holiday home now to create life-long memories with their two children were holding them back and delaying their decision.

    3. Modelling the scenarios
    Two scenarios were modelled for Tom and Linda, one to purchase their holiday house now at their preferred price-point of $800,000 and the second for one or two investment purchases for a total of $1.8 million. Yes, you read that right, $1.8 million. Can it be done? The trio discuss the pros and cons of each scenario.

    4. So, what did they choose to do (and what was the compromise)?
    Tune in to find out which scenario Tom and Linda went for, were they successful and what was the compromise?

    5. Critical considerations for wistful holiday home purchasers
    The trio discuss the pull and longing for many Australian's to have a holiday home all of their own. But before taking the plunge, it's imperative to crunch the numbers and understand the compromises to your bottom line, so you can make the decision with absolute clarity. For further insights, take a listen to episode #81 "Holiday houses - delirium or dream?"

    Visit the show notes - https://propertyplanning.com.au/property-planning-case-study-3-should-our-next-purchase-be-the-holiday-home-or-an-investment-and-how-do-the-financial-outcomes-marry-up-with-our-short-and-long-term-goals/

    • 39 min
    #155: Plotting Australian property market movements from 1970 to now - the impacts of recessions, inflation, financial deregulation, population growth, unemployment rates and analysing what could disrupt the drivers of price increases?

    #155: Plotting Australian property market movements from 1970 to now - the impacts of recessions, inflation, financial deregulation, population growth, unemployment rates and analysing what could disrupt the drivers of price increases?

    Got a question for the trio? - https://zfrmz.com/uLtjhyBskV96PY6eJfaI

    https://propertyplanning.com.au/propertyplannerbuyerprofessor/

    In this week's episode Dave, Cate and Pete take you through:

    Market update

    Market update
    1. Quality properties garner competition despite market cycles
    Cate shares her experience of bidding on election weekend, which as expected, was quieter than usual as prospective buyers took to the polls and enjoyed a democracy sausage. However, one property in particular which ticked many boxes saw a very competitive auction, which reinforces the basic principle that quality properties will garner interest and competition whether the market is rising or experiencing a lull.

    2. The results of US cash rate increases
    Dave shares some surprising data from the US which has gone through 14 cycles of cash rate increases and 11 recessions. Stay tuned for next week's episode, for a comparison with Australia's history of rate increases and how they have impacted the economy.

    3. Government shared equity scheme
    Pete encourages our listeners, whether first time buyers or parents with adult kids, to check out the government's shared equity scheme which is set to be introduced on the 1st of July this year. There will be income caps and property value limits, but for anyone looking to get a foot in the property door, this could be a good initiative.

    Plotting Australian property market movements
    1. A look at Australia's price spikes
    Since the 1950's, Australia has seen 3 periods of stellar growth. The most mind-boggling being 1950, where prices grew 111%! What were the drivers of growth and how have these forces changed over time?

    2. Disrupting the property market
    Fast-forward to today's drivers of capital growth, it seems that proximity to the city will continue to be a key factor for desirability, competition and property price growth. With more households sustained by double incomes, convenience and being close to amenities has been more important than ever. The trio discuss what could shake up the status quo.

    3. Diving into Australia's recessions
    The trio discuss the recessions from 1970's to now, what caused them, what were interest rates doing at this time and how these features compare with our nation's situation today.

    4. How financial deregulation has impacted the property market
    The trio look back to 1980's which saw an upheaval in banking regulation and how this impacted the economy and property market. After all, Australia held the mantel for the country with the longest period of time without a recession.

    5. How has population growth impacted capital city prices?
    Does population growth have a direct correlation to capital growth? The trio dive into the data to answer this question.

    6. How have capital city prices on the ladder changed over time and which cities displayed more volatility than others?
    The trio discuss the movements of capital cities from 1970 and how each have performed. Interestingly, Perth has been near the top of the ladder a few times, highlighting the power of employment, natural resources and availability of high-paying jobs. Check out our show notes for a great infographic that shows the growth of capital cities in inflation adjusted dollars.

    7. Why property is a great asset class to invest in
    The trio discuss the history of property prices in relation to inflation and why investing in property is a solid move and a great hedge agains...

    • 41 min

Customer Reviews

4.9 out of 5
96 Ratings

96 Ratings

Wayfarer76 ,

I’ve learnt so much, thank you

Through to this podcast I have been able to gain so many useful insights into buying property. I’m not overstating it when I say it gave me the confidence to find and buy a place, something I had wanted to do for a long while. Thanks for all your tips, goal setting info, and really giving an understanding of the difference between a ‘holiday home’ and buying something to rent. I also like the hosts disclose when they have a conflict. Stay fiercely independent.

podlist123 ,

Excellent podcast

Always great to hear insights from seasoned property experts. Especially like the gold nuggets (takeaways), listener questions and the multiple property examples used as part of each topic. Keep it up!

caitfarmer5252 ,

Best property podcast

Really useful advice, genuine presenters who are down to earth, love their approaches and sharing their experiences!

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