They were 75km outside of Melbourne when they received a call from their son’s school. He had been hit in the head with a cricket bat and needed a ride to hospital. With a business to run, Mark and Amanda were both tied up and had to ask family to pick up their son.
That was the moment when a light bulb went on, and they realized it was time to find a better way to live. They had started five businesses across outer Melbourne, not all of which were successful, and the returns simply didn’t justify the responsibilities and all the time spent driving around.
They were sitting on some investment properties with modest positive cashflow but couldn’t do much while waiting for them to grow. They knew they needed more knowledge before they could take the step into full-time investing.
A customer at one of their businesses had had some success investing in rooming houses, and he gave Mark a tip about real estate educator named Dymphna Boholt. Mark dragged Amanda with him to a one-day event, and that was the beginning of the education they’d been looking for.
Although they were short on cash, the seminar helped them find start-up funds right in their backyard. They realized that they were sitting on a dual title opportunity with their PPR, which had a tennis court and a valuable ocean view in the backyard. They gave up the view, got some cash, and hit the property market.
By specializing in developing rooming houses, they were able to build both a successful management business and a profitable real estate portfolio, with over $500K in equity and a passive income of $100K annually.