G'day boys and girls,
Some of you may or may not know we are building a PPoR atm, and it looks as though we are going to need more funds in order to finish it off to a standard that we would like; not a budget finish of elcheapo fittings and fixtures.
On top of that, our overall cashflow position is somewhat at a not so good stage right now; we need some cash...
So, we need to offload some IP's, and one of them in particular - I believe - would be a good buy for someone who is starting out, or needing a good cashflow IP.
Here is the story of it:
Address: 3/59 Roberts st, Kalgoorlie. Built 1991 from memory (depreciation ).
We have owned it since 2003.
It is in a complex of 4, a 2x1 unit with a courtyard and SLOG in Kalgoorlie; not too far from the main drag. Brick construction and airconditioned.
Body Corp fees of $1406.60 per year (includes sinking fund)
Council rates of $1384.89 per year,
Water rates of $130.20 per year (plus tenant usage).
Management fees of $119.90 per month. (fees in WA are a disgrace)
Currently tenanted for $240 per week, which is well under market.
It needs work. If it was in normal condition, it would be worth approx $200k, according to the PM. My research of similar properties confirms this, but please do your own.
But, it needs about $5-$7k of repair work done on it apparently, which we are not in a position to undertake right now.
So, based on this present condition, the agent believes it is valued at around $185k. However, it has been on the market for a month, with no offers so far except one - $150k cash in 30 days. Too low; even for us in our predicament. Not thast desperate. It is currently being offered at $179k.
It was tenanted at $270 p/w before the work was needed - about a year ago, and in my estimation it would immediately be able to rent for this amount or maybe more - approx $285 per week after the repairs are completed.
So, if you are interested and can manage a decent, serious offer with a short settlement, I would like to hear from you.
Please feel free to fire any questions at me you want, and I will respond, or if I can't I'll contact the agent for the answers.
What are the repairs needed? Is it related to the 2010 earthquake?
INVSTOR said: ↑
What are the repairs needed? Is it related to the 2010 earthquake?Click to expand...Not earthquake related.
There is a piece of cornice breaking away in one room, and dust has been filtering through this into the room and on the wall.
There has been a leak in the shower recess which caused some decay in the skirts and plaster near it. leak has been repaired, but not surrounding damage.
The carpet is in need of replacing, and needs a paint throughout.
Otherwise not too bad, and is still rentable
so it's just a tired old bird looking to be offloaded?
Aaron Sice said: ↑
so it's just a tired old bird looking to be offloaded?It is tired, and we have not hidden that fact. It is yer veritable "hidden jewel".
current tenants?Click to expand...
As stated; the current value should be $200k, but based on current condition should sell at $185K. No secret there.
However, we need to sell for other projects, so there is the info for you.
We have been offeered $170k on a 60 day settlement, and will accept that. We need the cash. No secret there.
The new owner will only need to spend $7k maximum to get a rental return of $270 or more per week.
Now, to me; that is a bloody good investment; Purchase all up of approx $179k including purchase costs, with a rent return of $270p/w after renos