How old is old?

Hey guys I was wondering, as long as you do your due diligence with building report and electrician's report etc, does it matter how old the house is?

I understand anything after 1987 you could claim depreciation for 40 years(correct me if I am wrong), but if a property is decently built and requires minimal repairs, and is well priced due to the age, would you snap up the property and set aside a maintenance budget of say 2,000 annually?

P.S. I think its in the wrong thread but cant move it

 

There's different types of old. Really depends on how they are constructed. Same old houses you hardly have to touch them, others are a money pit.

 

You calculate how old "old" is, the same way you do with "how long is a piece of string"

Identical method.

Repairs are a funny thing & often relate more to who is in the place & new places can often have defects that you will discover as time passes, so I think it is a fools game to assume a new place will be better than 40 year old place, for example.

 

Is it just me or does the title not really have to do much with the thread?

I've got a property that's over 90 years old. In fact, I don't have a single one that's 1987 or younger.

 

I tried moving it @spludgey !! Interesting, I am still learning, and lots of opinions that I should always go for the newer builds. Do you have a maintenance schedule/checks, or do you just fix whatever comes up?

 

@dabbler @Biz Would you largely rely on the building reports pre-purchase? I am quite sure you don't just buy and pray it doesn't break down for these older properties!

 

That's one thing but you are looking for more than that. Avoid properties with old hot water system, old aircon, dodgy wiring and plumbing, fireplaces, electric gates, trees too close to the house, downlights, too many bedrooms (encourages more people to stay) etc. dodgy old roofs, especially concrete tiles. Timber Retaining walls or fancy gardens is another, decks too. Actually anything with a lot of timber, avoid all that.

If you can avoid all that, give the place a tidy up or quick reno and be careful who you rent it to you should be ok. Dabbler is right, a lot depends on the people renting it. There are some wrecking *******s out there.

 

Some also just complain non stop, or are home all day and nothing else too do, or are very hard on everything.

I vary what I do according to price, buy conditions and if place will/may be home or just an IP. I largely inspect places myself, some I may just do pest on, some neither.

B&P reports sometimes are also used to show vendor they need to adjust, even when it shows nothing I do not know.

Lot of aspects to consider

 

Well you have me old... or @James McIntyre old, or @skater old.... or @Westminster old.... take your pick. All are still standing

 

I am amazed by the 400 odd year old houses and neighbourhoods you can find in some European cities. We just don't have them here ~sigh~

 

There's an enormous amount of variables that go beyond the age of the house.

You really have to look at each individual homes characteristics (location, construction, etc.) and current condition, @Biz just gave a great list. There's nothing like a character home made of hardwood with timber stumps and VJ walls... Assuming you don't need to rewire, restump and reroof the whole thing! That said, newer homes come with their own range of issues... slab on ground, brick veneer, pine frame = termites and underpinning.

Also, be SO SO SO CAREFUL with building and pest inspectors! Many of them find it beneficial to buddy up with the selling agents, and even some of the honest ones can miss major issues. If possible, make sure you talk to someone who comes with a personal recommendation and who you feel you can trust.

 

Ohh, thats a gem of a reply right there @Biz , considering many of these old houses have a fireplace,would a fireplace be more of cleaning than structural issues?Adds a bit of charm imo. Would definitely avoid timber thanks!

 

No idea what your ages are, but dont be silly, wiser by the year is the right word!

 

Hmm, I am thinking of going without a BA, but arrowpoint would be the one I have heard PC members throw around a lot so will most likely be going with them!

 

If it's a nice old fireplace with a brick chimney you could stipulate in the lease it is for decoration only. Anything that is going to get used, forget it. Those wood burners with the steel pipe sticking through the roof are junk. They have a habit of leaking too. You wouldn't get more rent for it anyway unless it is in Thredbo or something haha.

 

The older I get, the older "old" is

 

It's not only the potential maintenance problems that you should consider. Chances are an old home leaks air like a sieve and the cost of heating and cooling the property will be high, and will only continue to increase substantially in the future with rising electricity costs.

A cheap house with high utility bills may make the house unaffordable to live in for a homeowner, or unattractive as a rental to tenants.

 

I was talking about something similar today and I have found that tenants living in a character house will actually put up with it's quirks more than a tenant in a new house. For example a sticky wooden window is put up with but a tenant in a new house with a sticky window would report it in 3 seconds.

I like old houses, providing they are structurally sound, as they are rare and becoming more so. If they have previously been restumped, rewired and have a sound roof then they can be great. It's just something to be aware of - those renovations may indeed give depreciation as well.

According to @DaveM I'm old. I might need rewiring soon and my stumps are uneven but I have a lot of character

 

Your hip was rewired already wasnt it?

 

Re: heating and cooling, it's more of a function of building materials and orientation.
Wooden houses cool down and heat up much more quickly than double brick or sandstone, costing more energy to maintain at a constant temperature. Roof Insulation will minimise the transfer of heat. And big west facing windows getting a lot of sun will get very hot in summer for most climates whereas north facing windows are ideal year round.

I will say, get the wiring checked out for older places, it was something that came up as an insurance concern when we bought our place. I think it's solid as a rock though as a house... It will last forever...