Join Australia's most dynamic and respected property investment community

My investments in Rocky...

Discussion in 'Property Experts' started by Deepsquat, 21st Sep, 2016.

  1. Deepsquat

    Deepsquat Member

    Joined:
    11th Oct, 2015
    Posts:
    8
    Location:
    Melbourne
    Hi guys,

    Hoping for some advice if anyone can help.

    I own 2 investment properties in gracemere, Rocky.

    Im hindsight I purchased when the market was at its peak in 2014.

    They are 3BR townhouses on very small blocks in a gated community. Its very well maintained , targetting FIFO.

    Obviously the market isnt great and will stay flat for a while as I can understand.

    The fees are really high to hold these properties, high BC, rates are $4k per year each and they are nearly fully mortgaged.

    Im hoping to get some advice as to how I can best estimate my current and future position and a strategy for these properties. They have been losing big the past 18 months, hoping to decide whether to ride it out or take a hit now and try and sell etc

    Im a novice invester and can now see the many errors I made .

    Im Looking to move on and make it a learning experience but not wanting to make a further mistake and dump and run or stick it out too long with dud investments.

    Any advice would be very greatly appreciated, many thanks :)
     
  2. See Change

    See Change Timing Lord Premium Member

    Joined:
    18th Jun, 2015
    Posts:
    2,140
    Location:
    Sydney
    Hard to know what to do , depends on what you can sell them for . I've bought in rocky before and may again but it's too early , even for me . Vacancies are high , lots sitting on the market so I haven't checked what happening in the local economy .

    That would be a factor for me .

    What is happening in the economy ?

    How are the local businesses track ? Any new industries , investments , people buying farms etc ?

    If there was signs of a recovery that might sway in favour of holding .

    Rocky is unlikely to move until Brisbane has moved further , so you could make a case for selling in rocky and buying in Brisbane and you may well make up what you've lost and more before rocky moves again ( which eventually it will do ) .

    Cliff
     
  3. TMNT

    TMNT Well-Known Member

    Joined:
    23rd Jul, 2015
    Posts:
    1,383
    Location:
    Melbourne
    sorry to hear of your situation, but thank your luck stars that your not as bad as the people that have lost 40% on their purchase price
     
  4. MTR

    MTR Well-Known Member Premium Member

    Joined:
    19th Jun, 2015
    Posts:
    7,299
    Location:
    Perth, Melbourne, USA
    Sorry to hear this.

    I would start with finding out the value of the properties today, what is selling, chat to local agents in the area. Once you have this information at least you can work out a strategy from here, which way will be best for you
     
    Luke T likes this.
  5. Deepsquat

    Deepsquat Member

    Joined:
    11th Oct, 2015
    Posts:
    8
    Location:
    Melbourne
    Thanks for the input guys. Ill get a valuation asap and see how im looking.
    Keep you posted!!
     
    ellejay likes this.
  6. dan2101

    dan2101 Well-Known Member

    Joined:
    8th Jul, 2015
    Posts:
    330
    Location:
    NSW