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cheaper to buy than rent

Discussion in 'General Property Chat' started by MTR, 7th Jun, 2016.

  1. MTR

    MTR Well-Known Member Premium Member

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    Its cheaper to buy than rent, I am sure this is a major attraction for FHB.

    It may be worth looking at areas that are still relatively close to CBD and provide good infrastructure but still excellent value.

    My 4 townhouses I sold in Thomastown, Melb I believe have jumped up another level.
    The highest price I achieved was the front townhouse which sold for $370,000.

    Here is a link, admittedly not sold yet, but very interesting time indeed.

    1-4/126 The Boulevard Thomastown Vic 3074 - Townhouse for Sale #122288858 - realestate.com.au


    MTR:)
     
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  2. Cactus

    Cactus Well-Known Member

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    I'm confused have you sold for $370k or are they on the market for $429? Or are you referencing two different sites in thomo?
     
  3. MTR

    MTR Well-Known Member Premium Member

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    I sold as I was building, all sold OTP, it's taking a bet each way by selling you reduce risk if markets turn. However seems not to be the case.
     
  4. ashish1137

    ashish1137 Well-Known Member

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    Nice MTR,

    Would it be too much if I request numbers?


    Edit
    Do you build yourself or hire builders?
    Do you live in melbourne and thats why you opt for dev's in mel?

    Regards
     
  5. Azazel

    Azazel Well-Known Member

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    Of course it is, but they can't afford to save for a deposit right?
    Do you know if any of your purchasers are first homies?
     
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  6. Cactus

    Cactus Well-Known Member

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    Ok so you sold OTP, and now they are being resold buy speculators for $60k profit ea?

    I have sold OTP too, but I was super greedy. I don't think I've left much on the table.
     
  7. MTR

    MTR Well-Known Member Premium Member

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    I placed my properties on the market as soon as construction commenced, generally speaking you are selling for slightly less, trade off is if market turns you have your bases covered.

    In saying this we achieved more $ than expected, I believe due to location very close to rail.

    My thoughts are that this lower entry is Ttractive to FHB and has moved again
     
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  8. Cactus

    Cactus Well-Known Member

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    Yer fair. I sold mine to lock in healthy profit. Development has its risks and although market is moving up you never know when the music stops, can be better to present to banks when going for more finance too.


     
  9. MTR

    MTR Well-Known Member Premium Member

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    I agree, I have had the markets turn prior to completion of 3 developments, fortunately it was in the early stages.
     
  10. Azazel

    Azazel Well-Known Member

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    What did you do, just entertain some lower offers?
     
  11. MTR

    MTR Well-Known Member Premium Member

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    No, I just made sure the specifications were of a higher standard in the area and it attracted buyers, the price I achieved was higher than market value.

    I think when markets turn its pretty much dependent on timeframe, if it just starts turning then probably not too bad from my experience but as stock increases then of course we have too much supply and buyers can low ball. However if it were the Perth market today nothing would save me I would be down 10% on sale price this I am certain of.

    MTR:)
     
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  12. samiam

    samiam Well-Known Member

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    @MTR
    is it too much to ask - where and when are your next/current projects? selling otp? :D
     
  13. Azazel

    Azazel Well-Known Member

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    Well there you go, not what I would have immediately thought of.
    That's why I'm not a developer at the moment ;)