Woman In Focus – Angie Flemming

Meet Angie Flemming, businesswoman, property investor and mother of 4 young children who has managed to build a $1.5m property portfolio in just a few years.

Inspired to take control…

In 1995 Angie had no money in the bank and a debt of $12,000…”I was in a long term relationship with my then fiancéewho is very independently wealthy.  I was ‘set for life’ until I decided to leave the relationship…with no assets and $12,000 debt to purchase a second hand car.  It was at this time I realised that had I maintained my independence throughout the years we were together, I would have accumulated some wealth in my own right”.

“It was time for me to create my own wealth and security.” And this is how Angie’s property investing story begins…

A lesson learnt…

It was in 1997 that Angie took out her first mortgage with her partner to purchase a waterfront property in Brisbane for $500,000.  Biting off more than they could chew they managed to find the finance…“We scraped together the deposit mostly on credit cards and loans from our businesses.  My first property!”

In 1998 using the cash available after selling her business, Angie independently, purchased another property; a studio apartment with harbour views in Sydney, for $200,000.

Everything was going smoothly until a few years later, when the relationship didn’t work out.  This was when Angie made her first mistake…selling the waterfront property that she jointly held with her partner. “…my relationship didn’t last so in 2001 and now with a two year old child, I made the ’emotional’ decision to sell the waterfront property which had doubled in 4 years.  Only I didn’t quite get market value as my ex bought me out…I gained close to $200,000.  That property is now worth at least $2 million”.

In 2002 Angie also sold the Sydney property for a profit of $110,000.

Angie now uses the “set and forget” strategy when it comes to investing in property.  “I have now learnt to hold the property”. 

“Certainly not to be ’emotionally’ involved in the project has been a learner and I expect one for other investors.”

With valuable lessons learnt Angie moves forward…

With gusto the property investing begins…

In 2002 Angie purchased a property with a rundown brick house in Coorparoo, Brisbane, for a steal.  “No-one would touch it so it was a bargain at $230,000”.  The house was demolished and a new house put in its place, at a cost of around $200,000.  This property has recently been revalued at $1,000,000.

Before	After

In March this year Angie, her husband and some close friends decided to buy a reno together in Toowoomba. “Our friends had attended Reno Kings workshops and had already done a couple of projects themselves” and Angie had just completed the One Day Property Women Workshop.

Toowoomba was chosen because:

• it meant a low market entry level with many property priced under $200,000
• it is a major regional centre
• it is 1.5hours from Brisbane still making it accessible

“So we bought the “cheapest” house in Toowoomba at the time.  We didn’t quite anticipate the makeover that would be required to restore this Queenslander cottage!  From a two bedroom shack to a 4 bedroom family home with full restumping, recladding and remodelling.”  After 4.5 months the property was rented and refinanced with some amazing results.

Property Purchase Price:	$150,000
Renovation Cost:	$24,000
Current Market Value:	$250,000

In just 4.5 months due to extensive renovations the property has increased in value by $100,000!  A gain in value of $4 for every $1 spent.

First Toowoomba Property

Front:

Before	After

The seed had been planted and the next purchase was the 2nd cheapest house in Toowoomba. Lots of work was required on this property as well, however with experience behind them…this project ran like clockwork.  “This block is zoned dual occupancy and has potential for a second dwelling down the track”.

This 3rd property was purchased for $162,000, and after the renovation totalling $24,000 it is now worth $260,000.

Property Purchase Price:	$162,000
Renovation Cost:	$24,000
Current Market Value:	$260,000

Again an equity increase of $4 in every $1 spent.

And just look at the results…

Front:

Before	After

Back:

Before	After

Kitchen:

Before	After

In a very short period of time this Property Woman has turned her life around and with the help of her husband and friends has managed to build a property portfolio worth $1.5m and equity of $868,000.

Her strategy has been to purchase run down property in major regional centres with comparatively low purchase prices, renovating them immediately and then using the increase equity to do it again.

Angie has taken control of her future…“I feel empowered again!  It was a matter of overcoming the fears and now I feel I am on track and in the driver’s seat.  Two recent renovations and my confidence levels are up.”

Dreaming big…

In the next five years, the goal is to have 15 investment properties “who knows, maybe more” with additional streams of income available to allow her to work part-time with her husband working full-time on property investing.

“We will be living in our own principle place of residence (PPOR) with pool, tennis court and footy posts!  Our children will be more independent allowing more time for us.  There will be joy, fun and spontaneity in our lives.”

Angie’s Tips:

• set and forget
• cookie cutting…use the same colour scheme, tiles and kitchen cabinetry for every job that way if there is anything left over you can use it in the next project
• buy in bulk – where possible buy from auctions, trading posts etc.  There are many purchasing options available…you do not have to pay retail.
• treat it as a game…ask yourself …”What is the worst thing that could happen?”  If you can live with that, just do it!
• have fun!

Angie’s thoughts on the current market:

For the optimistic, now is a perfect buyers market and there are deals to be had.  Significant increases in rent are already apparent and further increases are predicted by market analysts. Don’t listen to the media gloom and doom.  Of course, do your own sums to make sure additional purchases fit with your planning and financial strategy.  Learn to “swim upstream”.