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Welcome to Finance Fundamentals: Property, Business, and Beyond – your ultimate guide to mastering the essentials of finance. Hosted by Todd Franzway, this podcast dives deep into key topics like mortgages, investment basics, cash flow management, asset finance, and business lending. Whether you're a seasoned investor or just embarking on your financial journey, join us to explore the fundamentals that drive success in property, business, and beyond. Let's unlock the secrets to financial empowerment together!
Welcome to Finance Fundamentals, Property, Business, and Beyond, your go to podcast for mastering the essentials of finance. I'm Todd Fransway, and throughout this series, we'll explore crucial topics such as mortgages, investment basics, Cash Flow, Asset Finance and Business Lending. Whether you're a seasoned investor or just starting your financial journey, join us as we explore the fundamentals that drive success in property, business and beyond.
Let's unlock the secrets to financial empowerment together. Hello and welcome to the show. Everyone, uh, Todd here again, uh, we've been doing a lot of talking re property investment today. We're joined by Simone from bloom building consultants. Simone's an expert in helping property investors manage construction and subdivision projects.
And she's here to share with us a little bit about that investment strategy, and how it can make such a big difference in your investment journey morning, Simone. Hi, Todd. Thanks so much for having me today. Okay, Simone. Well, let's dive right in. Can you start by telling us a little bit about your journey to arrive at Bloom Building Consultants?
Yeah, sure. Thank you. So, I have actually worked in the building industry for over 20 years. I spent 10 years with each project builder in the sales department, which I really did love. I loved my clients always love putting houses together with them. So, but what happens was once the client was finished in the sales process, they'd be moved along into the operations department.
And I think a lot of clients feel really lost once it goes through to their They're not sure where their plans are with council. They've got to do colour selections. They sent out a lot of variations with no one to really explain the terminology on the variations. They quite often feel pressured to sign the variations.
So that they can move to the next step. Sometimes that's moving to council. Sometimes that's moving to commencement of construction. I've represented some clients who have been building with these big project builders and sometimes up to 10 different set of plans. And each time I have to reach out and say to them, so what have you actually changed on this set of plans?
So I think that can be very confusing and very overwhelming for clients. Yeah. And I was just really frustrated. So I decided to go out on my own, start a business that I could really help people throughout the whole project, which has been fantastic, because I love seeing the houses that I get to have such a big.
Part of the design and seeing them finished and then seeing people move in and everyone's so happy and I do understand the language. So some people say to me, I don't know how you do what you do with construction, but I love it. I love construction. That's great. I can tell, I can see the passion.
That's great. That's really, really good. What does it look like? How does it, how's the customer journey look like from start to finish? So what we really want to start with is understanding what the clients want to achieve with their project. There's a few different things with investment, you can look at the capital uplift, or you want to have a look at a cash flow strategy, and that's really your side of things that clients need to work out where they're going with that.
You must have been listening to our previous podcast because we have a whole section about why, what's the investor's why, which I know you've got the similar kind of approach. We've Yeah, I think it's really important to start off with the why, because I think people get really lost in their projects when they don't understand what they want their out, their long term outcome to be, why they're doing it, what they want to achieve, what comes next.
And if you have, speed bumps in the road, That can be really detrimental if you don't understand your why. It can really stop the project and people won't progress forward. So understanding the why is the starting point. And then from there, once we understand what the client wants to achieve, then we have to pick the correct solution.
Project for them, so that they're either looking at, you know, there's lots of different options. For instance, I was looking at options today for blocks that we can do a subdivision, so buy in an existing area, subdivide the block, knock down the house, which would be part of the subdivision process, and then the clients would have the opportunity to build two individual houses on there.
But even that. Becomes more from there, they can build two double story houses with granny flats or two single story houses. The other option I was looking at is buying an existing house and building a second, dwelling out the back and then doing a separation of title so it can be a duplex and still be sold individually.
So again, the budget at the end changes according to the project and that has to tie in with the clients. Why am I doing this? And what's next? Yeah, absolutely. And so, well, there's so many different options. They're just purely looking at what you could say is a simple subdivision or duplex project.
What do you feel are the benefits for investor clients, about approaching say the, secondary dwelling or duplex style, project as opposed to just building a house and land, which many investors tend to do. Yeah. So it's really probably a lot easier to build a house and land, but we are seeing big areas of what's called greenfield developments, which are large tracts of land that developers just develop.
Great. Thank you. You know, block after block after block. So really for clients to see a great capital increase in their investment, then it's got to go through a cycle. Whereas if you're doing a development per se, so adding value to the block of land, then that's where you can expect to have some capital uplift and also an increase in the cash strategy.
So I, I am really passionate about that. And I think it is a little bit trickier. But the rewards can be so great. I like looking at central locations. I think it's really nice that you can look at where Brisbane, we've got the Olympics coming soon and people can really uplift their, in their investment.
Yeah. Yeah, absolutely. Yeah, that is I love that. I love that. And I love working myself with clients looking to do the same thing. So it's pretty rewarding seeing something go from start all the way through and clients having some pretty big wins. So one of the key benefits , of clients working with you and Bloom is not only the expertise that they get access to, but you save an incredible amount of time and take stress and worry away.
From the clients, how do you ensure the projects are kept on track? The thing is for me, it's my full time job. So why clients would use me is because they're busy with their businesses, their life, their kids, you know, doing their things. So I think what I bring to the table is both my experience, That I can keep things moving because I understand and have some really good contractors that I use as well.
So there's the confidence of my contractors, but also that, clients can get on with their life while I'm looking after their project and keeping it moving and I, not sure if I just said it, but it's my full time job. When an email comes in. I'm onto it and I'm answering the phone and I'm checking on everything and I've got my day to day lists and I'm following up and that's what's important to me.
If clients have trusted me with their project, I'm on it. Yeah. Excellent. I love that. I love that too. Now for the keen property investors out there that are looking to, delve in to this kind of investment strategy, what's the first step? Step they really need to take if they want to explore this whole, multi dwelling strategy.
So I think the first step in any property project is seeing a mortgage broker. Oh, that's me. Yeah. Okay. Very good. Please make sure you've got the money and that you can actually do it. I think one important thing is understanding how much cash needs to be set aside for the project as well. There are some upfront costs and people think, Oh, I'm doing an investment, but they don't necessarily take into account that I've got to pay for some things.
That's really important. And then again, just understanding what the project looks like for them, what their risk profile looks like. So, you know, it may be people whose kids have moved out of home and have a large block of land and they can. Build a granny flat out the back, which is a great return on investment and a low risk profile going through to people who want to do townhouse development.
Yep. Yep. So what you're saying is, people could almost be an unknowing investor. They're already sitting on their own development site. Exactly. Yeah. And it's really low risk on those sort of granny flat developments, particularly here on the Gold Coast. Yeah. Wow. That, that's good. Hopefully that, piqued some interest with some of the listeners.
So it sounds like to each, project you treat each client project with a whole lot of, care. How do you maintain that high level of care across multiple projects at a time? So I'm not doing. High volume within my business. I am really there's boutique. I am a boutique company So i'm not doing high volume and that way I can stay on top of everything Also, like I said before having the right contractors makes a big difference So there's efficiency in knowing that i've got a builder who's going to build really well I have a third party building inspector who comes in and inspects all my constructions during the construction phase They make sure that the Buildings are getting built to code, and that the quality assurance is there.
So I feel like when I'm working with builders who know that's going to happen and they're already achieving those outcomes, it's really makes the whole process a lot easier. I've got a great town planner that I work with in Brisbane. So that makes all of that so much easier. So it is a lot of fun. about having the right team of people, I think that's another one of our investment pillars is having a great team around you, which is part of the reason I've invited you to have a chat today. Part of our little A team, you know, that we, that we have working together. So actually before we kind of finish up, where can our Listeners go to learn more about you and your business.
Yes. So I've got a website www. bloombuildingconsultants. com. au. I also have socials, Facebook and Instagram, so they can find me on any of those platforms or they can call you. Thanks so much for joining us, Simone. It's been great hearing about your journey in the construction industry, how you've arrived at, Bloom and, and creating such a client centric focus for particularly that complex transaction of multi, dwelling.
I, I hope you've enjoyed yourself. Thanks It's been great. Thank you so much for having me today. No worries. Well, might have you along again sometime. Feel free to reach out to Simone, on her contact details or us at fransway. com. au if you need any numbers, run, or want any further information.
Until next time, happy investing. Thank you for joining me today for Finance Fundamentals, Property, Business and Beyond. We hope you've gained valuable insights into the complex world of finance and discovered some valuable nuggets to take with you. Remember the information provided in this podcast is general in nature and may not be suitable for everyone's financial needs, goals, objectives or even situation.
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