Sales and Property Marketing
EPM is an independent property aggregation service offering a wide list of properties in emerging economic zones, Australia wide, with a special focus on the NSW Central Coast Lake Macquarie and Newcastle. We help bridge the gap between developers providing quality and investment grade properties and property buyers Australia wide via a network of professional Accountants, mortgage brokers, financial planners and real estate agents.
Property Structure Advice
One of the most important considerations in purchasing property is how you choose to own the property, “the structural decision”.
This decision is about how to structure, the affects of how much income tax to pay on your rental and other income, as well as capital gains tax upon the sale of the property.
As a buyer, you can own property in anyone or more of the following structures:
- Standard discretionary family trust;
- Unit trust;
- Hybrid trust;
- Self-managed super funds; or
- An interposed entity that is a combination of one or more of the above.
At EPM, we have a team of in-house Certified Financial Planners™ and Chartered Tax Advisers™ who can work with you and your advisers to come up with the optimal holding or ownership structure for your property.
At EPM, we look after your property as if it were one of our own. Our experienced team has been in property management industry for approximately 27 years. With significant expertise and care, we are able to lease your property with integrity, care and attention to detail. At all time, we ensure that we help you screen and select the best qualified tenants for your property and on a going basis, ensure your property is maintained at the highest possible standard. We believe that property management is not just about collecting rent, it is the total care of your property.
We can work with your existing mortgage broker to ensure we are all on the same page when it comes to your property acquisition. We also have a wide network of professional brokers around Australia we can refer you to. Where required, we also have our own in house brokers who are experienced with every facet of lending including SMSF borrowing strategies.
We can provide you access to more than 30 lenders including:
- St George Bank
- Commonwealth Bank
- ING Home Loans
- Liberty Financial
- La Trobe Financial
- Macquarie Bank
- FAST lend
- Westpac Banking
Property Development and Syndication
Our property development and syndication service, groups several investors into a unit trust. Each trust is a set up for a specific project. The unit holders contribute money to the trust. We then use that money to source investment grade land which we subsequently structure as a house and land package and/or townhouses development. The final product is sold and the profits are distributed amongst investors and EPM in accordance to a pre-determined profit split.
The process is diagrammatically illustrated as follows:
Our property sourcing and development process is as follows:
- Sourcing Properties
EPM uses its established networks to source potential properties that are compatible with the EPM Property investment strategy. We know that three-quarters of a property investment outcome is determined in the purchase phase, and we take a careful approach to each new investment.
- Preliminary Due Deligence
Based on information provided by the vendor and EPM Property market research, financial modelling is completed on properties that meet the investment criteria using a standard cost model. From this model, we prepare an expected full profit and loss statement, balance sheet and cash flow statement for the project. Sensitivity analysis is used to quantify the effects of price movements on expected income and return.We may also hire third party professionals to investigate subject property and provide due diligence reports regarding the project feasibility, market conditions, topography, and land caveats or easements.
- Information Memorandum
An Information Memorandum is compiled to communicate the benefits and risks of investment in the property to investors. The Information Memorandum contains information that you, the investor, require to make an informed-decision about investing in the project.We will then seek investor’s approval to proceed with the project. Where the approval is not granted within the specified time frame, we will give any disagreeing investor the chance to withdraw funds and proceed with the purchase. If an investor does not respond to the approval request, it will be assumed that approval is granted.
- Expression of Interest
A written expression of interest is lodged with the vendor, specifying any special conditions needed to address issues raised in the preliminary due diligence. The expression of interest is subject to satisfactory detailed due diligence.
- Conditional Contract
If the expression of interest meets with vendor approval and due diligence is satisfactory, a contract is entered into by the newly established unit trust, subject to the conditions that a satisfactory valuation report is obtained and any other conditions arising from due diligence.
After a satisfactory valuation report is obtained, finance is approved and other special conditions are met, the Syndicate purchases the property, using investors’ funds. Units are issued to investors and the Syndicate commences.
EPM Property provides quarterly update to investors about the progress of the development.
- Completion and Sale
EPM will endeavour to sell projects off the plan. Once sold, investors are invited to withdrawal of capital and profit or reinvest into a new project. The trust is therefore closed and a new trust is commenced.
- Property Marketing
Once we have developed properties on behalf of our investors, we market these properties for sale to the wider Australian market.