A tool to navigate the market – RPA Compass

247 B.C. is when the first compass was made.

No one currently living was around to verify this event, so we need to rely on the drawings and notes handed down over time.

Fast forward to 2018 A.D.
This year saw the creation of the next generation of compass.

One designed to direct its user to success in the property market and keep them safe from the common traps and pitfalls along the way.
This compass I designed, and while I might be biased about how good it is, lets see what you think:

Looks fancy hey.

Like any tool it means nothing if you don’t know how to use it. So, follow on and I will outline how this can radically change your property decisions, for the better.

The compass does four key things:
1)  Places you specifically, on the compass ring, according to the investment lifecycle.
2)  Outlines the normal flow of markets and what to expect.
3)  By overlaying monthly updated charts from independent research houses, shows you what to do in each location market and when to do it.
4)  By inputting market cycle data, our compass shows you when to exit and enter markets.

Investment lifecycle

I will fully break this down on another scribbles, but lets just say that each person aims for a few similar goals in their investing life.

a) Getting something cheap as possible – like a first home
b) Generating Cashflow
c) Actively working their investments to create greater value

When you place yourself on the outer compass ring that represents where you are in your investment life, it helps you identify key actions later.
(There is a process for this I will cover in coming months)

Once you know if you are chasing discounted deals, cashflow or value uplift, it will help on the next steps.

Market Flows

The outside circles show normal market activities. Watching what is happening, will help you line up with what opportunities await in that market.

External chart overlay

By overlaying the monthly property clock from HTW, you will see what actions to take in each listed suburb. For example, if HTW have a town listed at 6 o’clock (say Brisbane in the image below), then you should be looking for cashflow opportunities.
(Here is an example from September 2019)

If something is listed at 3 o’clock on the HTW clock (Newcastle in the image above), overlay that on our compass. It will tell you to purchase at a substantial discount.
(The very inner shapes of my compass, show you what activities to undertake in that market, snatch and grab, construction, land banking and creating property)

Cycle Data

If you follow cycles macro and micro, simply take that data and line it up with our compass on its own, or with the external data. You will then know when to enter and exit a specific market, what activity to do, or reverse it and look for an activity that you want to achieve, and the compass will show you what suburb in which to conduct that activity.

How do you use this info?

This simple tool does many complicated things. It forms part of our discussions with our clients and is a leading indicator that helps them stay on track and achieve their desired outcomes.

Firstly placing someone on the lifecycle ring, creates focus on where they are and what they need to be looking for next.
Secondly, awareness of market flows and actions makes for more educated understanding of what is happening around.
Thirdly, if the decision is made to purchase, using an independent data source like HTW, overlaying that data means that you can very quickly decide what to do in a specific region or town.
Lastly, aligning the compass with market cycles and activities, you can reverse the discovery process and identify towns with opportunities before they move along in their individual cycle.

Knowing where you are at, what the markets are doing, individual towns in which to pursue specific strategies and when to enter, be active and exit markets, is a pretty special thing.

What is this worth to you?


It is yours for free!

Use it how you like.

Throw it in the bin or pin it on your wall.
It makes no difference to me, but it might make a difference to you…

Just don’t tell me I never gave you anything!

If you want more information about buying property, need strategic advice or our buyers agency service, then contact us here or call now on 1 300 66 77 89.

Since 2004, Scotty North has been helping people buy the best properties for their needs at prices that simply speak for themselves.
Scotty has been instrumental in bridging the gap between financial planning and traditional real estate transactions through his property advice model.

Scotty North is a Qualified Property Investment Advisor (QPIA), with accreditation’s in financial planning, mortgage broking and real estate.

By carefully considering his clients’ goals and planning for market changes via demographics and trends, Scotty designs a future proof outcome not only specific to the client’s needs but dynamic in its execution with performance indicators and exit strategies built in.