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Pyrmont apartments

Discussion in 'Where to Buy' started by bobbyj, 30th May, 2016.

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  1. bobbyj

    bobbyj Well-Known Member

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    Does anyone own a unit in Pyrmont, 2009, NSW?

    I've been tracking some units there and they haven't seemed to have done that well like the rest of Sydney from 2011-2016.

    What are your thoughts on the place?

    I think it's a great suburb with community, transport infrastructure and all that jazz but it does come with the premium price tag.

    Not too interested in the short term picture (we all know Sydney has peaked but that doesn't mean we'll never invest in Sydney ever again) but just your views overall
     
  2. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    There has been some growth but surely there are better investments out there than units in pyrmont! Its a great place within walking distance to the city and not as expensive as Paddington. Why not consider a house?
     
  3. dabbler

    dabbler Well-Known Member

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    With all the units going up in and close to the city, units there would have to be a wait and see ?

    If everyone is wrong on the drops and problems coming, it is not going to race away it seems.
     
  4. larrylarry

    larrylarry Well-Known Member

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    Not sure what the percentage of renters in pyrmont?
     
  5. Sea Eagles88

    Sea Eagles88 Well-Known Member

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  6. bobbyj

    bobbyj Well-Known Member

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    Yeah my other source states about 63% renters
     
  7. Lollie

    Lollie Active Member

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    I own 2 x 2 bedroom units with parking in a low-rise building in Pyrmont. In the past 10 years they have more than doubled in value. Plenty of rental demand. They are hardly ever on the rental market for more than 2 weeks. Most tenants have stayed long-term. The only issue I have is the strata levies are $1100 per quarter.
     
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  8. larrylarry

    larrylarry Well-Known Member

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    what's your net income for this IP?
     
  9. Lollie

    Lollie Active Member

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    about $220 per week net each unit.
     
  10. larrylarry

    larrylarry Well-Known Member

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    Great yield. That's after taking into account of strata, water, property management fees, mortgage payments?
     
  11. Lollie

    Lollie Active Member

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    yes it is, but I've had them for 10 years so that's based on the original purchase price.
     
  12. larrylarry

    larrylarry Well-Known Member

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    well done. it all paid off!
     
  13. bobbyj

    bobbyj Well-Known Member

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    Interesting, sounds like you did well.

    I recently bought a 2 bedder in the Mcentral block on Harris st.
    This is more of a PPOR purchase hence the out of cycle purchase decision.
    Paid about $940,000 but I noticed it's only gone up 27% in the past 5-6 years whereas broader Sydney has done 45% at least.
     
  14. Sea Eagles88

    Sea Eagles88 Well-Known Member

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    So does that mean that your bought it under value ? If you bought it at 940K and it has gone up 27% then 5 or 6 years ago it was 740K. Had it went up 45% like the wider Sydney then it really is worth 1.073M
     
  15. bobbyj

    bobbyj Well-Known Member

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    Quite possibly but I think I paid market value.

    It was sold for about $727,500 in 2011.
    Vendors are selling as they're getting divorced and splitting assets.
    I didn't bargain the price down on this one.

    Onthehouse.com.au: Your Home for Property Research
     
  16. Sea Eagles88

    Sea Eagles88 Well-Known Member

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    I really like Pyrmont, its a really nice area with waterways for your walk/jogs, and short stroll to the city. And great entertainment venue at Star, but those gambling tables are very bad temptation.
     
  17. Andrewtfarr

    Andrewtfarr Active Member

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    Not quite pyrmont but my 1 bedder in ultimo has grown from 415k to 725k in the last 3.5 years. Strong rental at 675 a week (fully furnished)...Aftre taking out 200k in equity I'm still pocketing roughly $1500 per year nett cashflow...

    Add another $3 or 4k back after tax on this one too each year.

    With all the development in the surrounding suburbs I would suggest most of the growth in this area has probably already occurred in this cycle and I have a minor concern on rental with so many new apartments hitting the market soon.
     
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