Off the Plan -Loss

How many bedroom and bathroom is it? What would be the expected rentals?

 

Gumtree is full of nomination sales in victoria. . mostly new estates. 5% discounts are easy to find. Will drop further..

 

It is a 1 bedroom plus 1 small study..

Expected rental about $400? but suspect too many completed ones will flood the market so could be Zero..

 

I'm in the same boat bought in March 2017 1 bed plus study for 635k in Rockdale NSW, Paid 10% deposit, and Stampduty already. The development has passed its initial sunset and now is on its final sunset which is 31 Oct this year. I'm losing my mind here first property tried to get in and got swept up with all the nice new brochures etc as you have mentioned. This has to be the biggest regret I have in my life. All I wanted to try to do it provide for my own retirement and not rely on super etc.

 

Agreed! I need to sort out this one first before doing anything else never going near an OTP again.

 

OTP always runs in boom and bust cycles. Unfortunately the bust cycle can usually be seen coming by those with contracts and there may be limited ways to address it. Its nice when the developer gives up on the project and kills it in due course. But they will take their time.

I have not seen any evidence and care should be taken (with legal advice) but if there is no risk of being sued but just losing a deposit may even be a cheaper outcome but you cant ask the developer if they will / wont sue. Its likely a right they can exercise for some time. There could be safety in numbers in some buildings. I heard of a client story where they advised the developer their new address was in Hong Kong (parents) and they told developer they left the country. The developer basically gave up and retained the deposit on default and nothing more was said. However they stayed in Australia. I wouldnt count on it being foolproof however. I imagine the developer could chase any loss within 6 years.