keep or sell villa in Yokine Perth

I currently have a vacant 2 bed room villa in Yokine Perth . Looking for tenants for the last month with no luck , asking for $ 250 per week with 2 week free rent , but no luck.

There seems to be a lot of competition in this suburb , and would like to know if it is worth keeping property or selling. Capital growth in Yokine is 2% over a period of 10years.

Thanks

 

Real Estate & Property For Rent in Yokine, WA 6060 (Page 1) - realestate.com.au Wow 127 properties, rarely see that many in one suburb!

Real Estate & Property For Sale in Yokine, WA 6060 (Page 1) - realestate.com.au Theres 151 available for sale in the area, so you'll be up against lots of competition either way.

Regardless of whether you sell or rent, you either have to beat people on size/features, or beat them on price.

What do you owe on it?

 

355,000

 

It costs money to sell, and it costs money to buy back in. Weigh it up - what are you going to do with your equity if you sell? If your next move has growth expectations, test those expectations with others. if they are not realistic, you'll end up in the exact same position, minus a good $30k of fees.

You will be able to find a tenant if you keep dropping rent, so calculate your break even point. If its costing you money each week, there will be a point where its not worth holding on to. Up to that point, keep dropping your asking price until you get a tenant. Maybe its $220/week. So it costs you $1,500 a year more than expected (excl. tax offset). Is it worth $10k+ selling fee and then a purchase tax to buy back in later for the sake of saving $1,500/year?

Edit: point is, put some numbers behind your decisions. Emotional responses to temporary situations nearly always loose money.

 

1 month is not long for a house to be empty in Perth at the moment, so I would look to maybe drop the rent further - even $10 will have it come up in a different bracket on RE.com I believe? And get advertising on Facebook - it's so effective and people don't utilise it enough! Share it on the buy and sell pages, join all of them and get the unit out there.

I got my last tenants from FB (via my PM) and had very little interest from RE.com.

 

Thanks for your feedback.

 

Thanks for your feedback.

 

I would sell it now,you may getting even less next year,reason is you don't have enough tenants in Perth,by 127 empty rentals in Yokine alone
good luck ,you need it

 

What makes you think there will be less prospects next year?

Reason i question it is because there are less properties available than this time last year, completions and approvals are both at multi year lows and still falling, jobs have now been up since september and price falls are only 2% year to date. IMO all leading indicators are that market has bottomed, so curious as to why some think its going to get worse

 

Timing - i was just checking the news and it looks like NAB agrees with me


Bust to boom for Perth property prices

 

Always avoid the round figures. Supermarkets figured it out years ago.

$245 looks much better than $250, and $395 better than $400 even though there is only $5 difference. And the lower figure may put you into a different search range.
Marg

 

so many rentals here,prices still going down mate ,if you think holding on is a good idea well then go for it
but i would not listen to the TV gurus from Perth,just see the facts there,empty rentals in so many suburbs ,in some suburbs not this many at all that's why the prices quit high there
I am renter by the way,my rent (went from 350 to 275) will come up in feb next year ,i will be looking for a better house
for the same money what paying now in a better suburb

 

Its a mind boggling rental market in Perth atm. Hope that virus doesn't engulf the rest of the cap cities.

 

lac that happen,when all thinking about the same ,houses more houses more houses
and of course they are still building here like anything

 

Yokine is a great suburb, that 2% growth over 10 years is not correct, its too broad.

Yokine as did other suburbs boom between 2013/14, that's why I hate stats, they will never give a true indication on what happens on a micro level and as the stats are too broad.

I own a development property in Yokine so familiar with the area. Which pocket/location, its split into 3 sectors, excellent, good, average.

Unfortunately oversupply of rentals and properties on the market so either way its going to be tough.

As mentioned previously how low can you go? price point will rent it out, shoot the competition out of the water. Not too many choices at the moment.

Alternatively, have you looked outside the square will airBNB work? no idea just asking

 

I would keep and drop rent so yours is the cheapest for rent. Advertise on Gumtree, Facebook as well as realestate.com. Do usual checks to choose a good tenant.

 

@MTR Could you please outline the excellent/good/average areas?

 

I believe wordsworth ave is the best location.Anything that is near Joondanna or Coolbina. So stuff bordering Nollarmara should be worth less.
Caveat: Near or on main or busy roads will decrease value, whilst park and city views will increase value. So some parts near nollarmara with park /city views might trump main road properties near the city end. Maybe MTR can confirm?

 

You are right from my research and discussions with re agents and recent sales, property/land achieves higher prices in this precinct.

Also very desirable is the pocket near the Yokine golf course