Apartment on sunshine coast

Hi. We are looking at purchasing a unit in a high rise on the Sunshine Coast. Can anyone tell me any financials that need to be considered beforehand...eg body corporate...rates... can you only stay yourself a certain amount of days per year and are you requires to pay for your stay? Any other things that could sting us? Any advice is greatly appeciated. Thank you.

 

Hi Chantal. Not tying to be rude (and its a good thing you are reaching out), but your questions suggest you have an extremely limited knowledge about the investment you are about to make. I would suggest you speak to someone trusted / independent (not the agent trying to sell this to you) who has a deep knowledge of property investment. Till then please hold off making any purchase. If you don't understand what you are doing don't invest.

Whether you will find someone here kind enough to help out I am not sure.

 

Heaps!!! If you don't understand the investment....don't do it!

 

Welcome Chantal

First thing to consider:
Do you want to get yourself a holiday unit or start an investment career? Some other reason?

Then:
Why do you think an apartment in a Sunshine Coast high rise will get you started on this path?

If you want to access a holiday unit for your private use, there are far better ways to do this than buying one. Just rent for a few weeks whenever you desire. It is much cheaper, simpler, and you wont have any stress.

 

Sounds like a serviced apartment/holiday let?

Higher management fees, higher wear and tear, requirement to provide additional items and keep them updated if it's fully furnished which eats into cashflow. Lower LVRs required, difficulty offloading as they only appeal to a limited market. Limited ability to add value, who sources tenants?
Short, as in weekly leases or standard resi lease of 6-12 months? B/C fees, sinking fund balance etc.
It's a bit hard to discuss much further without more information.

 

You mention body corporate fees and council rates, which aren't so much hidden as unexpectedly high. Those two items in QLD can take most of the rent.

As @Angel says planning to combine your investment property as a holiday destination is usually more hassle than its worth

 

High-rise holiday apartments in QLD generally don't make for the best investments.

Look to invest in better locations - and utilise Air BnB for your holidays

Cheers

Jamie