You might have heard of Nathan Birch, the self-made investor who created a million-dollar-networth by age 21 and now at 25 years old has well over twenty properties. If you haven’t already, check out his website or his Facebook page. Anyway, this guy actually bought his first property at age 18, back in 2003, and that’s the deal we’re going to be looking at.

Now, I don’t have all the figures, but here’s what I’ve worked with…

It’s a renovation job, so it might just be similar to this hypothetical analysis I did a while back. Nathan was off to a good start, negotiating the property down from an asking price of $280,000 to $248,000. At that point he was looking at rental income of only $190 per week which in anyone’s terms, is going to be negatively geared.

This is where Nathan’s two separate renovation projects come in, costing $7,000 and $30,000 respectively. He’s improved the existing house and then converted it to a duplex, which as we’ve seen from my previous analyses, is a favourable situation to be in. The dual income should have him heavily in positive cashflow by this point.

This project increased the rental income to a combined amount of $550 a week. On a purchase price of $248k, plus stamps and legals of say 9k, and total reno cost of 37k, Nathan’s total entry price was about $294,000. $550pw return on this works out to about 9.7% yield – now we’re talking!

Of course there are things I don’t know about the whole deal that could swing that figure out either way, but we can still see he’s very likely to be in the black regardless.

Since then, Nathan’s achieved some great stuff, so make sure you check him out.

Take this as inspiration, too, if you like. If Nathan could do this at age 18, then surely with the right attitude and perhaps a helpful community of investors on your side, you can achieve your goals too.