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Retirement living for cash flow

Discussion in 'General Property Chat' started by hash_investor, 4th Jul, 2016.

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  1. hash_investor

    hash_investor Well-Known Member

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    11th Oct, 2015
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    Sydney / Canberra
    I have seen retirement living dwellings advertised at high yields in various areas. They seem to be pretty good for cash flow purpose.

    Any senior investors benefiting from this atm? @Beano

    I know its another CG vs CF debate but lets see if someone wants CF only?
     
  2. Steven Ryan

    Steven Ryan Mortgage Broker Business Plus Member

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    I'm curious too, actually. Including how management works (I have a vague feeling these places have on site managers, high fees and minimal control to the owner – correct me if I'm wrong).

    I've always written these off believing a strategic reno, granny flat or dual occ build or NRAS would be a much better option for cashflow with much higher probability for capital growth to boot.
     
  3. Beano

    Beano Well-Known Member

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    Brisbane
    This sounds very much like the way hotels operate
    You own the property and lease it to the operator
    Problem I see is if the operator does not renew or decides to pay you less than before and you can't rent to others.
     
  4. HUGH72

    HUGH72 Well-Known Member

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    Can only be purchased at lower LVRs, no control, may be subject to numerous conditions, watch management fees, may take longer to sell if required and limited CG.