VIC Property bought by BA

Discussion in 'Property Analysis' started by kmrr, 23rd Jan, 2020.

Join Australia's most dynamic and respected property investment community
  1. kmrr

    kmrr Well-Known Member

    Joined:
    1st Jul, 2015
    Posts:
    153
    Location:
    Melbourne
    Hi all. The below property was recently bought by reputable a BA Agency in Melbourne. I have mixed feelings on this purchase so please help me understand.

    I like the area and I like the street.

    I don't like that it has no car parking and I don't like the floor plan! It looks like they've removed the plan from the advert however it's a slim build, 2 bedrooms at the front, kitchen and living room that open up to the yard at the back (great). The bathroom was however at the rear behind the living room.

    Does an isolated bathroom turn you off as much as me? How do you view not having a car park in this area?

    135 Kent St Flemington.

    https://www.google.com/url?sa=t&sou...Vaw1H6cep89fI-rJvAOht8l-R&cshid=1579761975295

    I think it sold for circa 780k. The sale price has also been removed.
     
  2. spludgey

    spludgey Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    2,556
    Location:
    Sydney
    I'm not a huge fan of BAs, but if the price you quoted and the Domain estimate are correct, then I'll have to seriously reconsider my opinions, given that there's a $165k difference between them!
     
  3. The Y-man

    The Y-man Moderator Staff Member

    Joined:
    18th Jun, 2015
    Posts:
    8,892
    Location:
    Melbourne
  4. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

    Joined:
    15th Aug, 2005
    Posts:
    7,522
    Location:
    Gold Coast
    q be

    what was your brief ?

    ta
    rolf
     
  5. The Y-man

    The Y-man Moderator Staff Member

    Joined:
    18th Jun, 2015
    Posts:
    8,892
    Location:
    Melbourne
    Bathroom - no. Most period homes in the area had outhouses and external laundries and the kitchen was the back of the house. Over time, adding the bathroom was often easiest by using the plumbing that was in the kitchen - i.e. tack it onto the back of the house.

    Car park - street parking is completely normal for the area, You can get free street permits from
    Parking - Moonee Valley City Council

    The Y-man
     
    kmrr likes this.
  6. kmrr

    kmrr Well-Known Member

    Joined:
    1st Jul, 2015
    Posts:
    153
    Location:
    Melbourne
    I presume a carpark is less necessary when they're that close to the station and street parking is ample (I havnt google earthed this yet) . I remain cagey and I still think it would be odd to walk from a bathroom post shower through a living room to a bedroom.

    ?
     
  7. The Y-man

    The Y-man Moderator Staff Member

    Joined:
    18th Jun, 2015
    Posts:
    8,892
    Location:
    Melbourne
    I have an IP (similar house) as well as a friend who lives in the area. Observations:
    1. my tenants don't have cars. They do have bicycles
    2. the train is impossible to catch in the mornings (totally full - unable to get on during peak) - people normally give up and go for the tram (so buy closer to the trams)
    The Y-man
     
    lightbringer and kmrr like this.
  8. Wendy Chamberlain

    Wendy Chamberlain Well-Known Member

    Joined:
    1st Jul, 2015
    Posts:
    96
    Location:
    Melbourne
    This type of house and layout is very typical of the area. Assuming you've purchased an an IP, then you're tenants are likely to expect this layout for the era/style of house.

    As Y-man said, being inner city, a car park is not always expected by tenants as there are public transport options close by or they park on the street.

    If a PPoR, the property does look like there is scope for a reno to potentially move around the internal rooms to suit the layout you want.

    Rolf is asking what the brief was that you gave the buyer's agent to work with. Did you specify you must have parking? Did you not see a floor plan or have the room layout explained to you by the BA? Did you not express your concerns about an isolated bathroom not being ideal for you?

    It seems odd that they'd go ahead and buy you a property if it was totally off the brief of what you had instructed them to find for you. After all, they should be following your instructions and if the house was not a fit, you say so and move on to the next one.

    Provided you bought well (price wise) and a building and pest inspection raised no major red flags, you'd expect this type of property to be a nice, solid investment that would consistently rent well and appreciate nicely over time.
     
  9. Simon Hampel

    Simon Hampel Founder Staff Member

    Joined:
    9th Jun, 2005
    Posts:
    10,137
    Location:
    Sydney
    I think the OP is actually referring to a property purchased by a 3rd party - not themselves.

    ... as such there was no "brief" from the OP's perspective.
     
  10. kmrr

    kmrr Well-Known Member

    Joined:
    1st Jul, 2015
    Posts:
    153
    Location:
    Melbourne
    That's correct Simon. I did not purchase this property but know it was bought by a 3rd party using the service of a Buyers Agency.