What I've Learnt From Buying $200M+ Worth Of Real Estate

The great news here is that you don't have to buy $200 million worth of real estate to learn these tips. 

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I'm going to share with you 8 tips that you need to think about when you go out and purchase property. 

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If you're interested in building a sizable portfolio so you can retire early, then definitely keep reading.

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Key Learnings From Buying $200M+ Worth of Real Estate

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Now, luckily for me, I not only have my portfolio that I've been building over 11 years, but as part of running one of Australia's fastest-growing buyers' agencies, we've bought over $200 million worth of real estate. That equates to hundreds and hundreds of properties for investors like yourself. So, when it comes to learning from people, knowing what works, what doesn't, and different structures, we know a thing or two because we've been doing it for almost 5 years now.

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Be sure to note down all eight of these tips. 

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If you’re getting bored halfway through, please still go all the way through because there are nuggets of gold throughout—even the last one, which could be the most important. So, let’s jump in.

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Number 1: Your Strategy Needs to be Fluid.

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If you go out there and say: Look, I'm going to have a strategy session; I know what the strategy looks like, that is only applicable in today's terms. 

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Therefore, your numbers, your age, and the current climate are what that strategy depends on. 

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In establishing the buyers' agency, I always knew that the strategy session couldn't just be a one-off thing; it needs to be fluid. 

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As we have clients who have purchased over seven, eight, nine properties with us over the last couple of years, we always have to tweak a few things. The market changes, and we also have life events. 

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Some of these clients started buying individually, then with a partner, and eventually had kids. Every step on that roadmap means you need to keep it fluid. That’s why having those sessions ongoing means you can always keep tweaking to reach the end goal in the fastest and most efficient way.

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If you simply think: you can create a strategy, put it in a box, and say: All I need to do now is execute on that, you’re definitely going to find yourself lagging behind and making more mistakes. 

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You need to be adaptive in this market, which is why, even today, as I buy more property, I sit with my team to strategize on what my portfolio needs to look like.

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Number 2: You Need to Team Up

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Now, for some people reading, you might already be in a position where you have the cash available, all the equity, as well as the borrowing capacity to go and purchase property. 

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Yes, you should go out there and start with speed. 

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However, others may be in a position where you have the mindset that you want to invest but don’t have the resources available to you. That’s why I say you need to be teaming up. 

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This could mean either:

• Teaming up with your partner; or 
• Getting a guarantor loan. 

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Getting started on your first property is by far the hardest thing you’ll have to do in building a portfolio. So, the sooner you get started, that property can then be in the market for as long as possible, and it will then grow in equity. That equity can then be used as a deposit for the next property, and you can continue repeating that process. 

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However, if it takes you 3 years to get into the first property, you’re already 3 years behind. So, if you have these options available to you now, I would suggest going out there, teaming up with people, and getting started.

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Number 3: You Need Multiple Properties

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I know I’ve made a very popular video—it's actually the most popular video on my YouTube channel—about how you can retire with two properties. 

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Although that is true, it does take time, and a lot of you have been asking: How do I retire in 10, 12, or 15 years? 

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With the strategy of having just two properties and relying on them alone, you’re looking at a 20+ year wait. So, if you're patient and okay with that, then two properties might be all you need. 

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However, if you want faster results and want to own more real estate here in Australia—which is by far one of the most valuable assets, and Australians are obsessed with it—you’re going to want to get started earlier and compound that growth even faster. 

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Now, I'm not saying you need 10+ properties to get there. I'd say that based on the averages of those we’ve been speaking to over the phone, you’d need anywhere between three and seven properties to reach your ideal goal.

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Number 4:  Avoid Buying Your Principal Place of Residence (Owner-Occupancy) For as Long as Humanly Possible

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Now, I say "humanly possible" because, as humans, we have emotions, and one of those emotions is: I don’t want to rent; I don’t want to be kicked out; I don’t want to have to move to a different place because my rental lease is over.

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I get it—I honestly do. I’ve been renting for the better part of four or five years, and I’d like to have my own house one day as well. 

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However, the longer you can avoid making the mistake of buying your principal place first, the wealthier you’ll be. 

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The reason I say that is because of a beautiful thing called borrowing capacity.

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When you go out there and purchase your own principal place of residence, it absolutely destroys your borrowing capacity to build a portfolio worth millions and millions of dollars. 

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Now, you may not have interest in building a portfolio that large but that's in today's terms and as I go back to the first thing your strategy needs to be fluid.

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Why? Because what happens if you are in a job right now that you absolutely love and you're like: this is my growth trajectory, everything is going to be great.

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However, the company goes out of business, and you suddenly find yourself in a new job that doesn’t fulfil you. Retirement begins to sound more appealing, and you start envisioning it within the next 5 to 10 years. But since you purchased your own property, you may have unintentionally limited your ability to take on more debt and invest in additional properties.

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Now, despite this, I know many people will still choose to buy their own home, and that’s okay. I have friends who’ve done the exact same thing. Some of them are struggling financially, but they’re still house-proud—and that’s a completely personal choice. 

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For me, I prefer rentvesting, and I believe it’s the fastest way to get started and build a portfolio, especially for young Australians in their 30s and 40s. This approach gives you choice and flexibility.

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If you’re genuinely interested in purchasing property with a clear, logical approach and a goal of retiring through real estate, the only way to truly do this is by considering the following:

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If you’re from Sydney and think: Well, the Sydney market is growing faster than any property I could buy elsewhere, that’s simply not true. 

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You may not be looking in the right locations or have the knowledge needed to know where to look. With the right team, you can access profitable markets. 

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Believe me, there are suburbs in Sydney I would love to live in. I keep track of those areas, and while prices there are higher, the percentage growth is actually much lower. 

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For example, if my desired suburbs in Sydney grow by 5–8% annually, my portfolio, which outperforms that by 3–4% every year, puts me in a better position to re-enter the Sydney market down the line.

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People often see Sydney as the “golden goose” of real estate markets because it’s the most mature market. 

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However, when you look at the numbers, you might be surprised. 

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My property portfolio in other states has often grown more, simply because I chose the right assets at the right time. So, ask yourself: do you really need an owner-occupied home now, or can you forgo it for the next 2–3 years while you build up a solid investment portfolio?

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Number 5: Move With Speed

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If you're sitting there thinking: Okay, I need to buy property; I need to do my research; I need to talk to the right people, it’s most likely going to take you at least 3 months. 

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While you might think: That's actually not that bad, imagine if you could enter the market within the next 2 to 3 weeks. 

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Wouldn’t you rather do that? Because, again, time in the market is better than timing the market. If you can get in and stay in the market for as long as possible, you'll make significantly more gains. 

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The faster you make gains on the first property, the quicker you’ll be able to buy your second, then your third, fourth, and fifth properties. 

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I would even say, if I could purchase all my properties in the first 2 years, I could sit back for the next 8 years, letting those properties move into positive cash flow territory. 

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Once the machine is built, I can live life the way I want, travel, enjoy, and eventually have a portfolio yielding me a solid income, giving me real choices.

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Statistics show that 66% of people who get a pre-approval end up reapplying because their pre-approval lapses. 

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Generally, a pre-approval from a bank or broker lasts about 6 months, which means that 66% of people aren’t buying property for at least 6 months. This delay isn’t necessarily by choice. It often happens because people can’t find the right property, emotions get in the way, or they miss out on properties due to competition.

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One major reason people miss out on properties is because of buyer’s agents. 

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Running a buyers agency myself, I know exactly why agents often prefer selling to a buyer’s agent over an individual buyer—it happens every day. 

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No matter how many articles you read, the reality is we’re on the ground, doing this daily. We’re constantly in touch with more agents than any single individual could be, and we have a team dedicated to executing deals time and time again, which builds confidence in our relationships with agents. 

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If you step back and think from the agent’s perspective, they’re likely to feel more comfortable dealing with a buyer's agent than with a mom-and-dad investor nervous about buying their first investment property in a state they haven’t even visited. 

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Agents would rather work with a buyer's agent who has prepped clients, guiding them through the entire process. 

For the sales agent, this means they’ll have less work and won’t have to manage a nervous buyer. That’s what we do—our client account management team is fully equipped to guide clients through the process, helping them understand:

• What’s essential;
• What is not important; and 
• Which points are crucial to getting the deal across the line.

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While 66% of individual buyers take 6 months or more to make a purchase, 100% of our clients purchase within 3 to 5 weeks. That’s the kind of speed you want on your side, especially when entering hot markets during a growth cycle.

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Number 6: Go Further With a Team

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You could walk into your bank tomorrow and accept the loan they offer, thinking that’s your only option. 

However, if you go to a broker, they’ll reverse-engineer the process, looking at your income and all potential options to align you with the best choice across various lenders. 

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In these two scenarios, it’s highly likely that working with a mortgage broker will increase your borrowing capacity—possibly by $300,000 to $500,000 more.

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If you need help with any of this, feel free to email me at ravi@searchproperty.com.au. 

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The same goes for an accountant. You could do it yourself or outsource it—just like a business. 

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One of the biggest lessons I've learned is that those who go on to build portfolios of seven, eight, or even nine properties are the ones who operate like a business. They treat their portfolio as its own machine, driven by ROI, with no emotions involved.

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When it comes to a buyer's agent, there’s a fee involved, and let’s be real: most people don’t want to pay that fee because they feel they could do it themselves. 

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However, take a moment to write down exactly what you can do versus what a buyer's agent could do for you. 

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Be honest with yourself, and make a pros and cons list of paying that fee. You’ll often find that the value a buyer's agent brings far exceeds the cost—meaning it’s not really a cost but more of an investment in your entire process.

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Number 7: Be Careful Who You Listen To

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I’ve heard it so often: “Ravi, my friend told me this area isn’t good to buy in,” or, “Ravi, my dad said this isn’t the right way to go.” 

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That’s fine, but let’s add some context: Who is working in this day in and day out, specialising in the data, doing the research, and using a strategy relevant to today’s market rather than something that worked 20 years ago? 

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Answer these questions, and I think you’ll know exactly who to listen to.

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For example, I wouldn’t advise anyone on shares because I don’t invest in them, I’m not active in that field, and I’m not interested in it. It’s important to match the advice you’re listening to with the right expertise. 

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If someone doesn’t have that expertise, why take their advice?

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Number 8: Action Outperforms Education

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You can read books, attend courses, and watch videos, but a plan without action is useless. 

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Education is all around us, but we need to be on the ground, actively involved. 

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The best way I can explain this is personal to me: I could watch countless videos on perfecting push-up techniques to maximise muscle growth and learn all about timing protein intake for optimal gains. But if I eat junk food and skip the gym, that knowledge means nothing. 

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The same goes for real estate investing and your personal development. 

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You have to take action, take risks, and get real results. 

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I hope you've learned so much from me in this article, and share it with someone who needs to hear this. 

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I’ll catch you in the next one. Thanks, everyone!

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