PROFILES REVISITED
MICHAEL BURGE
IN THE POST-LOCKDOWN environment, the Rotorua market has gone nuts, says investor Michael Burge.
But rather than wait for a market slowdown that Burge says is unlikely to transpire, he’s gone ahead and purchased three properties, this time in Tokoroa.
Not only has he had to venture outside of his Rotorua investment stomping ground, he’s also had to break his own rules, investing for cashflow rather than for value-add potential.
“[A deal] doesn’t have to have the value-add as long as the cashflow is high,” he says.
One property that fit his criteria was a unit in Tokoroa, which he snapped up for just $170,000 in December. The weekly rent is $380, giving him a yield of almost 12%.
He also purchased a three-bedroom house in Tokoroa for $182,000 in November last year, which he completed a $40,000 renovation on, including replacing the flooring, fencing, kitchen and bathroom.
‘Everyone always talks about “I want to get ahead” – like they’re behind, effectively. I feel ahead, I’m not
