澳洲Australia property My recent IP acquisition (no. 4 now) | Sy


在澳大利亚 The pool at of an IP needs to be resurfaced (or so the pool doctor says), the cost was estimated to be $10K ($10,000), after recoverying from my impresssion of a cat coughing up a fur ball, it just seems far too much. Its just a standard poo I need some advice regarding a property purchase. Property - semi-detached house Bedrooms - 2 Condition - average needs internal reno to modernise Street - one of the best in suburb Location - excellent Close to schools - yes Transport - 50m


2nd IP purchase this year & here are the numbers for those who are interested...

2 bedroom, 1 bathroom fully furnished unit, small security gated complex of 8, located 3 kms to Cairns CBD.

$112,000 purchase price - will return $190pw (appraisal by PM). Owner paid $150,000 in 2007 & 2 other 2 brm units of same quality are for sale now at $185,000 each.

Wasn't even on the market - negotiated through an agent.

Just read recently that Nathan's got over $5m in holdings - sheesh, I got a long way to go :) Each to their own - if you're reading Nathan - top work mate!!

Happy buying!!! :D  

评论
What are the body corp fees and vacancy rates?

Brian  

评论
Vacancy rates are about 5%. BC for this complex is $2,050p.a.  

评论
Congratulations on the purchase,

Regards,

RH  

评论
BigCol said: ↑
$112,000 purchase price - will return $190pw (appraisal by PM). Owner paid $150,000 in 2007 & 2 other 2 brm units of same quality are for sale now at $185,000 each.Click to expand...
Was the owner desperate to sell? That's a huge discount.  

评论
alexlee said: ↑
Was the owner desperate to sell? That's a huge discount.Click to expand...
Hi Alex. Owner had to sell as bank was foreclosing (which they did anyway & my contract price had to be approved by the bank & mortgage insurers) - settlement ended up taking 3 months.  

评论
Nice work mate!

Thanks for the kind words.

I think your buying good stuff there. I have never been there before but personally belive that next few years after the dust settles it will go alright.

All you need to do is get the rents to $300pw and you will be laughing!

I see this as acheivable, just need to hold on at present, and at $112,000 its not too hard to hey?

:)

Good work.  

评论
BigCol said: ↑
$112,000 purchase price - will return $190pw (appraisal by PM). Owner paid $150,000 in 2007 & 2 other 2 brm units of same quality are for sale now at $185,000 each.

Wasn't even on the market - negotiated through an agent.Click to expand...
Nicely done. Why wouldn't the owner try to sell on open market? Or let the bank foreclose and sell on the open market?  

评论
Great buy Bigcol!!!

How did you find out about it when it wasn't yet on the market?

Did you build a relationship with the agent & let them know you were ready to purchase etc?  

评论
Awesome Buy Bigcol!!!

nathan - when u say get the rents to $300pw, do u mean through reno or by aggressive rent increases over time?

Think this is where i go wrong a bit, as my PM's are always pushing to be less than aggressive with rent increases (during and between tenants) making their jobs easier etc and my rent received curve looking v flat :-(  

评论
I mean natural market pick up in 24 months or so.

Its just like western sydney 5 years ago.

Properties like BC's dont need renos they are nice ones.  

评论
That's a steal BigCol, well done.  

评论
Nathan said: ↑
I mean natural market pick up in 24 months or so.

Its just like western sydney 5 years ago.

Properties like BC's dont need renos they are nice ones.Click to expand...
I gotcha Nathan...:)  

评论
mary&mat said: ↑
Great buy Bigcol!!!

How did you find out about it when it wasn't yet on the market?

Did you build a relationship with the agent & let them know you were ready to purchase etc?Click to expand...
I rang this agent on another property, & then she said the owner had 3 others that needed selling as well as the owner was near to being bank foreclosed: I made an offer on actually 3 of the 4 units the owner had, but withdrew from 2 properties; then proceeded to buy this unit as I own another unit next door & liked the location better than the other 2 units.

Most agents I've found are reluctant to keep in touch as they know I'm quite hard-nosed on pricing, so I just keep looking & make offers when I see something I like.  

评论
Thanks for the info Big Col :)  

评论
Post Reno Photos ready to rent out

Spent $2,200 on quick makeover - attached are the photos for show & tell.:)  

评论
BigCol said: ↑
Spent $2,200 on quick makeover - attached are the photos for show & tell.:)Click to expand...
looks good. there are lot of these types of places for rent, but few look as good. should give you the edge in renting it. what are you going to ask for it?  

评论
$190pw furnished, but I know I could get $200, but would prefer less vacancy & more selection from tenants.  

评论
Congrats on the purchase Big Fella.

How does this one fit into you property investment bigger picture?

What are you looking for from it and in how long?  

评论
Rixter said: ↑
Congrats on the purchase Big Fella.

How does this one fit into you property investment bigger picture?

What are you looking for from it and in how long?Click to expand...
Personally it's been a bad investment overall wise, but Nathan begs to differ - he's just bought into the same complex on another unit I was contracted to, but I withdrew because of personal reasons. I also own another unit next door - also been a bad investment IMO, but we'll see. I may flick once 12 months is up with tax 50%, or keep until next boom in 5 years time as it's the bottom of the market in Cairns ATM, & then sell - very cheap to hold, but not the best location, as I've only just found out in the last 2 months. Probably should've done a bit more DD - cheap isn't always the best - sometimes it's cheap for a reason! Anyway, onto the next one which will most likely be building a new house or renovating an existing house in a blue-chip suburb in the $400-$500k range.  

Property Investment

Australia property Selling Hints | Sydney

澳大利亚Hi folks I recall ready somewhere about what are some simple tricks for making your place more attractive during a home open. Im seriously thinking of selling my little pad and want to maximise my efforts. Any hints greatly appreciated. 评论 ...

Property Investment

Australia property Re-zoning | Sydney

澳大利亚What would the chances of a NSW Local Council allowing a community titled development (homes, community buildings, etc) on an area zoned Protected Agricultural land? Does anyone have experience in this area? Looking at the local council LEP, ...