Collective Equity

How it works

Leveraging the power of bulk buying by collectively negotiating a discounted wholesale rate with a builder or developer.

This creates instant equity from day one creating unique financing opportunities for investors to recycle that equity.

Why would a developer want to sell in bulk, won’t they lose money?

In most cases the opportunity comes from a seller who is distressed and needs to sell quickly.

Often developers or builders run into financial difficulty. By presenting a bulk buy offer the properties can be quickly sold alleviating their cash flow problem.

How you can apply this principle

  • Get together 5 or more friends.
  • Approach builders or developers who are selling new stock.
  • Negotiate a wholesale purchase price for buying 5 or more.
  • Aim for a minimum discount of 10%.
  • Find an independent valuer to ensure the price is below market value.
  • Work with an experienced specialised finance broker that will structure your loan.

Word of warning

Be cautious of real estate agents and developers who will often flaunt a valuation that is above the sale price.

If one particular valuer happened to over-estimate the prices you could get caught out and pay more than you should, be careful of this.

However for a valuer to over–estimate 10+ properties they won’t be in business for long if they’re making mistakes like that.

Alternatively, you can enquire how you could use APPA to help facilitate to this for you. 

Complete this form to enquire further about collective equity.

    Your Name (required)

    Your Email (required)

    Your Mobile Number (required)

    Your Post Code (required)

    I'm also interested in:

    $84K Gov property grant
    Using Super to purchase an investment property
    Finding out how to unlock dormant equity in my home to purchase an investment property

    Do you own your home (required)

    YesNo

    What is your current property value (required)

    What is your current mortgage on property (required)

    Do you own an investment property (required)

    YesNo

    What is your household superannuation balance (required)

    What is your gross household income (required)