Client sees exceptional capital growth on first investment property
In September 2011 we purchased a property for a client in West Auckland for $435,000.
In October 2013 our client had the property re-valued by an independent registered valuer for $660K, based on other sales in the area. That’s a $225K capital gain in 2 years – 24.8% capital growth per annum, compared with the Auckland average of 11%.
Our client came to us wanting to build wealth. In our plan session we designed a strategy that focused on capital growth. We then translated that plan into a capital growth focused buying profile. This targeted approach is already paying dividends and the capital in this property is allowing them to make a second purchase.
For more information on capital growth vs yield read: Why chasing capital growth over yield could lose you money.