Ideas for value add to an apartment

Sorry it's 700 per quarter .Any less I will be wary. Thanks for the input about bath tub. A 3 bedder very near school is probably more popular with young families .

 

I think storage in kitchen and laundry would be high priority. We'll let's see if the numbers stack up for this property but kinda excited about its prospects.

 

Best of luck with it

 

Thanks @Chilliblue I tried calling agent but he didn't pick up. Day off perhaps? I'd like to know if any offers made so far.

 

Agents often take off Monday or they have their office meeting.

 

He actually called me and asked what I thought. No one has made an offer so far. Arranged for another appointment this week to view the property with my wife. Thereafter, I might make an offer.

 

The other thing I haven't mentioned is that there is a new block of 52 units being built 50 metres away and all sold to Chinese investors I think and another 30 or so new apartments to be built in next 12 months. While I think the current 30 plus year old unit is good value, I wonder what the impact might be in 12 months time. Did you have to wrestle with this?

 

I generally would not buy near a new development. Tenants will move across the road and pay an extra $10pw rent for a nicer, newer building. You might find slightly higher vacancy?

 

@Propertunity Yes, that's my concern too. At least for now, with the building still being built, the numbers are good for this old IP. Having said that, the newer apartments of similar specs to this old IP command much higher rents as I surveyed the surrounding new apartments. At the moment only this IP with the specs on the market and another newer property with similar specs for rent. Obviously once new developments are built, there will be another 50 odd apartments fighting for tenants.

 

Thanks for all the input. My wife and I had a look at this particular unit again and we really can't do much to make the kitchen and bathroom any bigger except for an update, which still isn't worth the effort in terms of return. The new 52 units look so flash compared to this 30 year old apartment. Tough rental competition ahead especially when these 52 units are to be rented out.

 

what is the price of the new vs the old? (purchase)

and respective rent?

 

New 700s (450-500)
Old 550 but agent asking mid 600s (400)