Beyond blue chip: How data identifies superior property returns
InvestorKit, one of Australia’s top-rated buyer’s agencies, consistently achieves outsized returns for investors for both residential and commercial properties using data to identify top-performing opportunities. Now, founder Arjun Paliwal has released a book sharing his insights and methods.
BRANDVOICE – PARTNER CONTENT
Arjun Paliwal, founder and CEO of InvestorKit, knows what it takes to build a diversified property portfolio that outperforms the national market. And as a regular media commentator, podcaster and best-selling author, he’s keen to share his insights.
Having had a less-than-satisfactory experience with buyer’s agents when building his personal property portfolio, the then 26-year-old Paliwal realised successful residential property investment needed to be based on data.
“There are things they did well and things they could have done better,” says Paliwal. “They had a very different strategy, a ‘buy and hope’ approach. That wasn’t the way I’d had success. I realised their missing element was data.”
Knowing the missing element could build wealth that outperformed the market, Paliwal launched InvestorKit in 2018.
Today, its 90-strong team travels Australia searching for data-driven investment opportunities.
The company’s dynamic approach has gained industry accolades. This includes recently taking out the 2025 Real Estate Business (REB) Innovator of the Year – Residential Buyer’s Agency award and being named REB Buyer’s Agency of the Year in 2023 and 2024. Paliwal is a regular guest on The Weekend Today Show, and his podcast The Property Nerds recently hit 1.5 million downloads.
To date, the company has handled more than 2,200 purchases, has guided clients through more than $1.3 billion in property transactions and created more than $500 million in equity growth for clients. InvestorKit’s teams have also developed trusted relationships with real estate agencies nationwide. Around 68% of the team’s residential property deals are made off-market, before real estate agents list online.
InvestorKit’s success is leading to an increasing demand for commercial property investment – a significant growth opportunity for the company in 2026 as residential clients transition to building serious wealth. The year ahead will also see the company integrate finance into its client offerings.
Data-led differentiation
Where most buyer’s agents focus on local market knowledge, InvestorKit invests nearly $1 million annually in its own internal research division, analysts and software. This ensures that data is unbiased and that clients receive informed analysis. “Too many people use their position and status to get people to trust them. I say trust the data, trust the facts. Smash the myths and trust the data. That’s the key,” Paliwal says.
By using artificial intelligence (AI), machine learning, analytics, and data science to make smarter investment decisions, InvestorKit consistently outperforms Australia’s property market, delivering returns between 1.75 and 3.4 times the national average, based on purchases made for its clients over the last seven years.
“Too many people use their position and status to get people to trust them. I say trust the data, trust the facts. Smash the myths and trust the data. That’s the key.” – Arjun Paliwal
Data also allows the company to focus on borderless opportunities, refining where its clients will achieve the best returns. “We see 88% of the clients who work with us buy property in a state outside of where they live. We’re turning Australians into borderless investors,” he says. Of 15,000 suburbs nationwide, InvestorKit has only purchased real estate in 340 (2.2%)
Data that breaks inertia
Clients typically include business owners, banking or finance professionals, with a household income of $300,000 or higher. They’re aged between 30 and 55, own their own home, and realise they could have more equity but are unsure of how to achieve their goals.
“They’ve worked hard, and they’re not sure if they want to pull that debt back up, because it’s scary. Then, if they do use debt and equity, they’re not sure where to go, how to avoid mistakes, or which areas to research.” It’s this uncertainty, he says, that leads to poor decisions.
“The person who needs our help the most is that homeowner sitting in a good position who’s trying to figure out what move to make,” Paliwal says. “On average, we found that clients need around 3.54 investment properties to meet their six figure passive income goals.” Currently, 94% of Australia’s property investors own just one or two properties, so many opportunities to create passive income are being missed.
Property myths exposed: What the data actually reveals
Myth 1: Invest in real estate near water
Data shows water doesn’t equal better growth. Blue-chip real estate costs more and won’t necessarily generate higher returns.
Myth 2: Buy near a train station / a specific school/ shopping centre
Data shows it’s pricier to purchase and won’t necessarily provide optimum returns.
Myth 3: Upgrade to a new home but hold onto the original investment
Data shows ‘accidental’ investors concentrate risk by having two properties in the same city.
Myth 4: Buy an apartment as an investment property
Data shows loan borrowing capacity can be used up by an underperforming asset.
Myth-busting with statistics
If accurate data is available, what’s holding potential investors back from building generational wealth? The answer is that real estate purchases involve human emotions. A lack of knowledge sees decisions being made based on emotions, opinions, beliefs and the influence of family and friends.
One myth Paliwal continually hears is a client’s desire to invest near water, i.e. a beach, or a quality school or train station – he says blue chip properties are expensive to buy and won’t provide desired returns. “You just paid more to buy that nice thing you wanted. It doesn’t necessarily mean you made more money,” he says. For example, he points out that Albury, Wagga Wagga and Bendigo have 30-year averages that match some major cities for capital growth.
Pitfalls lie ahead for potential investors impressed by hype. “That approach is a great motivation for action, but it’s a horrible motivation for investing outcomes, because you might want a desired outcome, but you don’t want the debt that comes with it,” Paliwal says. “There are no shortcuts.”
Paliwal’s new best-selling guide to property investment, Driving the Data: How You Can Dream, Buy and Thrive in the Property Market, written while he was recovering from heart surgery, urges investors to trust the data for smarter investment decisions.
“You can never compare your investment appetite to anyone else, because age, income, financial habits and risk appetites are different. But you can make the best decisions using data. And if my book does that for you, then job done. Excellent!” he says.
To buy Arjun Paliwal’s new book Driving the Data: How You Can Dream, Buy and Thrive in the Property Market, go to investorkit.com.au/driving-the-data-book/
The information provided does not constitute financial advice. To determine whether property investment is suitable for your circumstances, please consult a qualified accountant or licensed financial planner.
Want to see more Forbes articles on your feed? Tap here to make Forbes Australia a preferred source on Google.
Look back on the week that was with hand-picked articles from Australia and around the world. Sign up to the Forbes Australia newsletter here or become a member here.