Sydney Students Units Broadway

These are continually advertised on Domain etc ,is there such a high turnover?
Broadway Sydney 1185

no i wouldnt touch them,in fact they are still the same price basically as a few years ago

all from 150k to 300k.

who as a investor has done well with them?
company title yes

 

good cashflow. prices stagnant. management fees. good earner but not CG.

 

I remember looking at these in 2010- their valuation has barely moved

 

I remember my searches in early 2000s being flooded with Unilodge ads - prices then were $150k-$200k.

It may suit a certain type of cashed up buyer, but not those looking to create equity and build a portfolio.

 

Copy and pasted my response in another thread:

I personally wouldn't do student accommodation like unilodge and the like.

1. Hard to get finance
2. Usually has a whole set of ******** covenants and bylaws attached to ownership that restricts:
- that is has to be managed by one management company that usually has ridiculous fees, they are making money off you, off the students, making money off maintenance, pretty much making money every time cash changes hands
- that when you renovate, you have to use their appliances and materials, they're making money off that too
- that when you sell, it has to be done through they're endorsed agents (read above- making money)
3. Capital growth is so little that it's not worth the headache.

All those fees and money made off you, all of a sudden the attractive yields become ugly. Capital growth is minimal.

Original thread here:

Should I buy an inexpensive "student apartment" as investment

 

10 foot.. no make it 100 foot pole. i rather buy a parking space and rent that out l

 

No CG -> hard to sell. If you want your cash back, may need to wait forever, or pay an buyers agent 10 times the commission to find a dumb dumb for it.