A property mogul who came from humble beginnings has snapped up a home almost every month since COVID-19 hit – boosting his portfolio to $8million.
Eddie Dilleen, 28, from western Sydney, was working at McDonalds and living in a ‘rough’ neighbourhood when he bought his first property aged 18.
With property prices plunging amid the pandemic, the real estate guru seized the opportunity to expand his collection – which now stands at 25 investments.
Eddie Dilleen, 28, from western Sydney, has bought a home almost every month since COVID-19 hit- bringing his 25-strong investment portfolio to a whooping $8million
Mr Dilleen said his six new properties in Queensland were a mix of houses, duplexes and townhouses as well as one commercial listing.
‘So, since COVID-19 started I’ve added almost $2.5m to my property portfolio bringing the total value close to $8m in property I own,’ he added.
His latest buys include a $135,000 Logan townhouse bought in March and two Ipswich duplexes for $410,000 in April.
In May, he paid $133,000 for a two bedroom Ipswich villa, before splashing out $200,000 for a commercial property in Logan in August.
This month he added a two bedroom unit in Surfers Paradise to his portfolio, on an unconditional contract of $210,000.
While COVID-19 wrecks havoc on the property market, Mr Dilleen said he was not concerned it would impact his portfolio as he invests using a strategic formula, which ensures his income is always higher than expenses.
Around $300,000 of his almost $500,000 a year rental earnings are always kept aside for emergencies, while $200,000 are spent on mortgage expenses.
The real estate guru paid $410,000 for Ipswich duplexes in April (pictured)
Mr Dilleen bought an Ipswich two-bedroom villa (pictured) for $133,000 in May
Mr Dilleen said the three features he looks for in an investment are ‘good cashflow or high yields, capital growth and buying at a discount price below market value’.
The self-made millionaire became ‘passionate’ about buying property during his teens, to ensure he had a secure future.
‘I grew up in western Sydney and came from a family where no one actually owned property at all,’ he previously told Daily Mail Australia.
‘From very humble beginnings, a pretty rough neighbourhood, that was my driving factor. I didn’t want to have to struggle and grow up how I did.’
Living at home in Mt Druitt, he bought a two-bedroom apartment over an hour away in the Central Coast, north of Sydney.
He rented out the $130,000 apartment for about $220 a week and made roughly a seven per cent rental return.
Mr Dilleen’s next investment property was in Adelaide, followed by Brisbane and then the Gold Coast.
Pictured is the Logan townhouse (pictured) Mr Dilleen purchased in March for $135,000
Mr Dilleen added a commercial space (pictured) in Logan to his portfolio in August for $200,000
The investor recommends purchasing within metro areas as properties are cheaper.
His tips for building a portfolio are to start off small, by purchasing something to get a foot in the market and to try not to be emotional about where you buy.
He said to focus on rental return of properties and buy property below market value by looking for those who want to sell fast.
His fifth tip is to read property investment books and do research to create a strategic buying plan.
‘I worked out a formula and strategy, it came down to a lot of research and I read a lot of different property investment books even though I hated reading it at the time, I forced myself to learn a lot,’ he said.
‘I built up to it, I started off small, with the small properties and gradually the equity increased.
‘It’s better to be in the market than on the sidelines waiting or to say it’s too hard and not try at all, that’s not the best attitude to have in life.’
MR DILLEEN’S FIVE TIPS
1. Start off small
2. Try not to get emotional about where you buy
3. Focus on rental return
4. Buy property below market value
5. Read property investment books