Let the market crash. This one is priced on something else.
Most houses are worth whatever the neighbours sold for. A nine bedroom HMO is worth what it earns. One is at the mercy of the market. The other is not priced on it at all. Sixty minutes with Neil Gibb on that difference, with the numbers on screen, then your questions.
Everyone is watching prices. On this one, the price is not the number that moves it.
Two houses on the same street. Only one is at the mercy of the market.
A standard house is valued on comparable sales. Whatever the place down the road went for, that is roughly what yours is worth. Nothing you do to the property changes it, and when the neighbours sell cheap, you are worth less. You are a passenger.
A nine bedroom HMO is a different animal. It is valued on the income it produces, divided by a capitalisation rate. The sales market can do what it likes. What moves your number is the rent roll.
That gap is the whole session. Not a prediction about where prices go next, and not a claim that anything is immune. A different pricing basis, worked through properly, so you can decide for yourself whether it is worth your attention.
This is about the nine bedroom product specifically. It is a building classification point, and it is not true of every property, including most of what you already own.
Most of the advice right now is about protecting yourself. This isn't that.
Investors are leaving the rental market. You've read the headlines, you've probably had the conversation at a barbecue, and if you own property you may have wondered whether you're the last one holding on.
Here's the part nobody is saying out loud: when landlords sell, rental stock shrinks. When rental stock shrinks, the people who need somewhere to live compete harder for what's left. And competition for rooms sets room rates.
That's not a forecast. It's supply and demand, and it happens whether or not the market ever gives you the signal you've been waiting for.
This session is about what that does to an asset priced on the income it produces, and why the same rent rise that changes everything for one investor is worth almost nothing to another.
A $25 a week rent rise, across nine rooms.
On an asset valued on what it earns, $25 a week isn't income. It's around $167,000 of value. At $50 a week, it's around $334,000.
Worked example only, using round numbers to show the mechanism, not a projection, an estimate of any particular property, or an offer. Actual figures depend on the property, its occupancy, its costs, how it is valued and the rate applied. Past examples are not a guide to future performance.
Six steps. No market permission required at any of them.
A standard house doesn't do this. It's valued on what the neighbour sold for, not on what it earns, which is why the same $25 a week is worth nothing to a normal landlord.
What you'll walk away with
The full chain from exodus to repricing, with the demand data behind it, so you can judge it for yourself rather than take it on faith.
Where the $167,000 comes from, what moves it, and how to run the same sum on a property you're looking at.
Build, refinance, and how much of your capital can come back out to do it again, with the real constraints named, not glossed over.
Real projects with real numbers, including what went sideways. Past examples are not a guide to future performance.
Worth an hour of your Wednesday if this is you
Come along if
- You have equity sitting still and you've been waiting for a signal to move
- You already own one or two investment properties and the numbers have stopped working
- You want cashflow now, not a capital-growth story that pays out in a decade
- You'd rather understand the mechanism than be sold a product
Give it a miss if
- You're looking for a passive set-and-forget with no involvement at all
- You want a guarantee, there isn't one, in this or any property strategy
- You need the capital back inside twelve months
- You're after tips on flipping or short-term trading
Neil Gibb
Neil founded The HMO Property Co to do one thing: put more people into homes they can actually afford, and pay investors properly for making it happen. The business sources, develops, furnishes and manages co-living homes across Western Australia and Melbourne, end to end.
He isn't neutral on this. He's said publicly that he doesn't need the market to go up, he needs landlords to leave. This session is him showing his working.
Let them crash.
That is the whole argument for the name. One live session with Neil, free. Everyone who registers gets the replay, so book the seat even if Wednesday is tight.
Save my seat
Takes about twenty seconds.
- Your join link, emailed straight away
- A text an hour before we start, that text is the reason people actually make it
- The replay afterwards, whether you make it live or not
Free · 60 min + Q&A