Dorien Forster

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Dorien Forster - PropertyTalk.com Interview

We have an interview from Dorien Forster. She is one of Australasia's most respected property investors, traders, wealth educators and speakers. Her and her company Global Business Ideas have been responsible for much of the success of many of Propertytalk's super investors.

•How do you start investing?

We moved to Petone, Wellington when it was still a lower socio economic area than Hamilton. We were able to buy two houses in Petone for the price of one in Hamilton.

•How long have you been investing for?

Buy and hold forever. Trading last 6 years.

•If so what experiences have you learnt during the differing phases of the cycle?

- To be a full time property investor you need strategies for all the different phases. 1. Boom – Don’t buy for long term hold. Do Assignments, Double Settlements, Cash Back Stop preferably based on the MAO formula.

2. Slump – Sandwich Lease Options. Buy up for long term Buy and Hold.

3. Recovery – Be picky about the area you are working in. Quick Renovations and flip.

•Any tips on how to survive a complete property cycle?

- Have strategies for every phase. - Do the opposite to what the media is advising. Reporters are not property investors.

•What are you top 5 tips for property investing?

- Stay away from council approval when starting out. - Learn several ‘No Money Down Strategies’ when starting. - Get to know what other property investors in your neighbourhood are looking for. - Know your own limitations eg dealing with tenants or not. - Delegate most of what you do. You are supposed to be the transaction engineer only, nothing else unless you enjoy the other job.

•What lessons/mistakes have you made along the way?

- Believing Real Estate agents. - Over capitalising on renovations. - Getting involved with anything that needed council approval.

•What strategies have you used in the past?

- Trading - Buy and hold - Renovations and flip - Sandwich Lease Options - Cash Back Stop.

•What Investment Strategies will you be using in the future?

All of the above.

• What is your most recent investment experience?

Bought a house for $120,000 painted the very bottom boards and ramp on the outside, painted the letter box, sold for $165,000 in three weeks.

• If you had to be a superhero who would it be and why?

We are already called “The Dynamic Duo.”

• Who inspires you and why?

Our American guru Ron Le Grand. Because he keeps it all so simple and easy to understand.

•What advice do you give to someone who is entering the property investment game?

- Know your own personality, e.g. patience with councils and pick your strategies accordingly. - Make up your personal investor rules and STICK TO THEM. - Don’t be afraid to make mistakes or losing a bit of time and money, it is all the cost of business. - Talking about doing it, is entirely different to DOING it. - Don’t waste time getting prepared to get ready to wait for the right moment for the perfect deal someday. Get stuck in now, no matter what the market is doing.