What’s Humungous About?
Humungous prides itself on having a reputation of obtaining huge financial returns with low risk properties. In fact every Humungous venture MUST have these 2 critical ingredients: ’low risk’ and ‘high returns’. We’re in the business of making humungous profits, but not taking risks.
Sounds too good to be true, but put simply, if the project doesn’t have a low risk profile and high return, then we wont even touch it from the outset. That’s why it takes us a lot of time and effort to find the right properties to buy.
Our real estate is most often suitable for developers or builders, that’s because we tend to purchase properties that can be converted to development sites.
When we sell, we know what price developers or purchasers are prepared to pay for properties. We aren’t greedy, so we can sell the property at a reasonable price, Humungous makes a profit, and everyone wins. If everyone cant win, we dont sell, which means Humungous still wins because all our properties have a holding income.
So, what’s the magic formula? Well, there are heaps of things to consider but here’s a few:
Rule One: We only buy property that produces some sort of income from day one. That helps us to minimise our outgoings should we need to hold the property for any reason.
Rule Two: Every property must have the ability to add more value to it – typically by adding more dwellings, or buildings – but there are heaps of other ways to add value. That means the property is worth more than what we paid for it.
Rule Three: We won’t sell a property until it makes a reasonable return. If circumstances ever prevent a short/medium term gain, then we don’t sell it. We don’t have to sell it, because rule one says that we only buy property that is generating income. We just keep it and use growing rents or leases to fund the cost of holding the property.
Rule Four: We surround ourselves by a humungous amount of experience and resources to ensure that the other three rules are adhered to. From ‘buying’ agents or ‘off-market’ buying and selling resources, researchers, through to architects, town planners, accountants, legal advisors, financiers… The list goes on.
The bottom line is, all this amounts to minimal risk and humungous returns.
How Can Humungous Help Me?
Humungous is all about building wealth through property.. Wealth for you and for us. Don’t forget though, we aren’t financial planners. Consult a qualified financial planner to give you the best advice for your circumstances.
Here’s how you can get involved:
1. Subscribe To One Of Our Ventures
We have properties acquired by our own Property structures. By subscribing in the purchase process, you get a fixed share of the profits. The more you commit, the more you make.
2. We Will Find a Property For You
We have Property Buying Agents that can find the most suitable property to suit your budget and goals. Our agents have dozens of years in the real estate industry and investment expertise in all aspects of the market.
We’ll find a profitable property and hold your hand through the investment process.
Projected Profits
Many factors influence the our return on investment, such as; length of time to complete a development approval, time to sell the property, choosing the right time in the real estate market cycle, purchase price, sale price, etc, etc.. So each project will produce different rates of return but we have a model that we work by, which consistently produces similar results.
Our returns generally outperform other forms of investment. Contact us for the expected rate of return on our current projects.
The average turnaround time for a typical project is 1 to 3 years.
Why Should I be Involved?
Foremost, you’re backing our knowledge and integrity.
You may already know that we spend heaps of our time helping others to learn and experience what we know. This is a gold mine opportunity for both you and ourselves to get financial rewards – the reality is, we find the property and do all the work, you invest, and we both win. It all sounds altruistic and it probably is.
If you have any concerns investing in this, please speak to your financial advisor. In fact you’ll need to speak to an independent advisor before investing with us anyway.
Can I Claim Negative Gearing on my Tax as I go?
If we find a property for you it will depend on your profile and the property type. We can find properties that are positively geared, so you don’t have a problem with negative gearing. Generally, we find that a lot of positively geared residential properties have fewer capital growth opportunities. We prefer lots of growth, so our properties will generally have some degree of negative gearing.
Our properties that dont cost too much to hold onto and also have a good capital growth opportunity.
If you subscribe to one of our property structures, any negative gearing will be determined by the nature of your involvement, and also your financial circumstances. As always, you’ll need to speak to your financial advisor.
Is My Money Secure?
Yes, as far as unit holdings and the unit holder’s agreement goes. Refer to the Subscribers Agreement or Loan Agreement
If we find a property for you to buy, then it should be a very secure investment.
As with all outlays there are degrees of risk. Again, please get your finance advisor to check everything before working with us.
General Risk Mitigators:
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Each property should have a minimum current income to minimise any costs associated with keeping the property.
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The project should be well located. That makes for strong rental demand and easier, more profitable sales.
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There are very few operating overheads to eat up capital. (Its pretty much our time – at no cost, the cost of DA, and some maintenance).
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If the projected market price isn’t achieved for whatever reason, rental returns will either cover outgoings or at least contribute. Over time, rental returns tend to improve until such time as the property sells.
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We have access to some of the best people in the industry. That translates to lower risk, higher yield, faster turnaround, and Humungous returns.
What Aren’t I Seeing?
Hopefully nothing.
Happy Wealth Building!!!