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Sharon invites her good friend, Anna Guy into the studio to talk about Anna\\u2019s personal experience with property investing.\\xa0

Anna and her husband bought their first home in 2003 in the inner-west of Melbourne. Two years of living with Anna\\u2019s in-laws allowed them to save for the deposit, and after six months of house-hunting they settled on a lovely period home close to the city.

Although the original plan was to renovate their home, three-years later they realised they held a lot of equity, so they used the money to instead buy their first investment property.

They looked in the same suburb, and bought a house that now - just over ten years later - has doubled in value.\\xa0

In 2007, Anna bought a three-bedroom house in South Frankston, where she had been hearing good things about opportunity. Her plan was to on-sell it to a developer, but things didn\\u2019t work out that way.

After sale, she discovered there was an easement running through the back of the property. She didn\\u2019t have a conveyancer or solicitor look over the contract, and this is one of the lessons she has learned on her investment journey. They kept the property for five years, and then sold it off, ultimately losing money.

Up until now, Anna had been heading down the path of looking for long-term capital growth. She now shifted her focus to developing, and teamed up with a friend whose father was a developer. In 2013 they bought an old house in Newport, back to Melbourne\\u2019s inner-west.\\xa0

They went into the auction with a plan, but it all went out the window in the heat of the moment. They were desperate to do the development because of the limited opportunities, and so went over their original budget.

Over the next three years, they put three townhouses on the site. This was double the time they had estimated in their feasibility study, due to delays with administration errors and an extended hold-up by a telecommunications company.

Through this experience, Anna learnt that it would be better to make a decision about how to handle a development: either be a real hands-on project manager or stay out of the way and let the builder take care of things.\\xa0

They made a good profit, but due to Anna not getting proper advice on how to set up structures, she had a big tax bill. She learnt it was like a full-time job, but she was glad she did it. Although she may have made more had she just bought the property and held onto it as an investment.

Then, for property number five, Anna bought a place in Adelaide. This time she got heaps of advice from a property investment company who advised that Adelaide was the place to buy.\\xa0

This was the most expensive purchase yet, but the property is now negatively geared, and with the fantastic equity she has from her first two purchases, she isn\\u2019t worried and looks forward to the future growth the place will bring.

Next up, Anna looked to Ballarat. She found the perfect property, and while it needed renovating, that was what she was after. She signed a contract pending a building and pest inspection, and she was glad she did.

The inspection found that there had been a fire in the roof space that had left the timber eaves charcoal black. She was advised to walk away and was relieved and happy to do so. She was able to leave emotion out of the equation, and this is how she approaches all her business now.

Just recently, Anna won an auction in Ballarat. She got some great advice beforehand about how to manage the auction, which included:

Stay calm;

Have a limit and stick to it;

Wait in the wings and enter the bidding late;

Be consistently inconsistent with bidding increases; and

Be confident.

She plans to renovate the place over Christmas and then put a tenant in it. Her and her husband would like to hang onto it long-term.

Sharon finished her chat with Anna by asking her why she is in the property investment market in the first place. Anna replied that she is doing it all so she can have choice. What she means by this is she might need to head back home to England to spend time with family, or maybe she can bring her nephew out to live with them for awhile. And she certainly doesn\\u2019t want to work until she is old and grey.\\xa0

Additionally, she wants to have the choice about where she lives later in life. She is looking forward to one day having her dream home. Anna is not too sure what that looks like, but it does have a walk-in robe and ensuite bathroom. Is that too much to ask?

To learn more about how Performance Property Data can help you with their comprehensive nationwide market research, head on over to http://www.performancedata.com.au

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About your host, Sharon Taylor\\u2026

Sharon heads up the research division at Performance Property Advisory. She is responsible for the aggregation of economic and property data sources, as well as deep analysis of the data to provide quarterly reports on each capital city of Australia.\\xa0

These reports identify between 5 and 8 submarkets in each capital city, and provide an opinion as to the short term performance of each submarket. This information is vital for clients to maximise the performance of existing assets, and also for selection of new blue-chip investment locations.

About Sharon\\u2019s guest, Anna Guy\\u2026

Anna is a licensed real estate agent who now works in property investment ensuring clients\\u2019 property portfolios achieve maximum return on their investment.

Having been involved in the Melbourne property market since 2001, she has a unique insight into the local real estate landscape and the role that property acquisition plays in wealth creation.

Anna holds a Bachelor of Science (Psychology), is a long standing member of the Real Estate Institute of Victoria (REIV) and an active property investor.