Somebody is doing a flip near me in Marrickville

Flips wont make any sense in Australia when markets turn.. Just watch what happens in the very near future TV shows. Making a prediction and I could be wrong, but we wont see too many of these in Oz on Oz property.

They don't work well in Australia unless rising market because the costs kill investors, stamp duty, selling costs and CGT. Its not fair, if Government got rid of stamp duty we would have half a chance. In US they work well in all conditions because there is no stamp duty, CGT is not an issue if you continually buy.

MTR

 

Uh oh, I noticed today when I was walking home they have now given it to an agent:

70 Renwick Street Marrickville NSW 2204 - House for Sale #127155674 - realestate.com.au

So the DIY selling thing didn't work for them. They'd be getting a bit concerned now with Christmas so close.

 

Yes, absolutely, holding costs will hurt.

Problem you really want to have this sold late November, everyone has checked out at this time of the year.

 

And they're using an out of area agent. Doing it right again.....not!

 

Are you serious? Wow, they dont have time to get it wrong....
dont sound too savvy, makes me wonder if they have it listed at the right price

 

Plenty of agents alot closer to Marrickville

 

I recall they mentioned when I spoke to them that lived over that way, so the agent might be a mate and doing a special deal on the comm. The agent is quoting $1.34m. The profit margin is getting skinnier for the flippers. I hope they get rid of it before Christmas, but it's looking unlikely - after this weekend people's heads will have shifted.

 

I was wondering why the initial link wasn't working...and oh no they've gone with Harris Partners who are the non typical 'Jenman model' agents in the area. In my experience, not who you'd want to go with.

Tidy reno though, I would have probably left the attic alone since its really only practical for storage (you go up there and no one below can get through the hallway) & given the windows some nice blinds/sheer curtains to hide the converted aluminium frames.

The styling, marketing and agent fees are going to be eating further into their profit margin. Interested to see the end result.

 

any updates @Depreciator, watching this one closely. I believe this will be a lesson on how to get it so wrong, ie timing and feaso....I could be wearing egg on my face, I hope so. I hate seeing investors losing money.

MTR

 

The attic would be the perfect place to 'retreat' to on a 36 degree day....not!

 

It's still for sale. This property in the same street exchanged yesterday at $1.525m:

52 Renwick Street, Marrickville, NSW 2204 - Property Details

- Unrenovated, but tidy.
- Better section of the street.
- Parking, but only for a very tiny car, so that's a bit of hoax.
- Similar size land
- Freestanding vs attached
- 3 beds vs 2

The buyers of that house yesterday would have looked at the one down the street. They would have decided the better position + freestanding + extra bedroom more than compensate for the lack of reno.

Scott

 

I converted a similar 14 sqm attic in one of my IPs in the Inner West a few yrs ago (think I spent $15K fully lined, floored, skylit and joists reinforced) and it, without a shadow of a doubt, lifted the rent by at least $150 pw.

We can't/don't sell the space in the ad as a bedroom but people perceive things in different ways.

And yes, the ladder opens up to the hallway.

 

I would't pay anywhere near $1.5m but would have picked this one too. Bedrooms and parking (even for just a Mini Cooper) are much more important than a renovated joint (with a bedroom less).

And for $1.52m, further proof that the market's not dead yet.

Re: number 70, I think the problem with that one is intertwined with the renovation itself....which lacks a bit of, I don't know, taste...from the windows to the front door. Not what Inner West trendies pay a premium for.

 

Three months ago at auction, I reckon it would have gone for $1.6m. There were only a couple of contracts out and the owner wisely took a pre auction offer. It was a good decision with Christmas so close.

 

[QUOTE="Re: number 70, I think the problem with that one is intertwined with the renovation itself....which lacks a bit of, I don't know, taste...from the windows to the front door. Not what Inner West trendies pay a premium for.[/QUOTE]

I agree, the facade is a bit Cherie. A more classic terrace look would have been better.

But inside is very nice. Very livable

 

I just think they made the mistake of picking the middle ground between a cheap tart up vs going all the way.

Personally, I would have chosen the former 9 times out of 10. $15-$20K reno, done (aside from the fact that I never would've tried flipping this in the first place).

 

No, im all for the cheap tart up. Once you involve Councils and architects ur in for a world of hurt

 

The prob with cheap tart up on a $1m flip is the end buyer isn't going to pay any more. I've done cheap cosmetic on $150k studios (back when they were $150k eek) and that's worked well.

 

All is forgiven in a booming market..... problem is the tide has changed

 

Any updates on this one?