NSW What do you guys think of this unit in kingswood 2747 for renovation and sale

Discussion in 'Property Analysis' started by Sigemup, 5th Apr, 2019.

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  1. Sigemup

    Sigemup Well-Known Member

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    Hi guys

    Read that kingswood is not a top area but what do think of $190,000 for this.

    4/158-160 Great western highway , kingswood 2747 nsw
     
  2. Car tart

    Car tart Well-Known Member

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    I’m beginning to think that you are trolling this forum.
     
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  3. neK

    neK Well-Known Member

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    Agreed.
    Seems that there’s a new thread from this person each time asking people what they think of each property.
    Almost like a BA has given them a property and instead of thinking for themselves, they are hoping this forum gives them the Magic answer.

    Either that, it’s an assignment they have to complete.
     
  4. neK

    neK Well-Known Member

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    @Sigemup i think this a great property and highly undervalued and you should pay top dollar for it. In fact all the properties you have asked about are great value and you should buy all of them.
     
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  5. Sigemup

    Sigemup Well-Known Member

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    Thank you meK ! Already bought the previous one you said was great. Gonna buy this one too !!

    Thank you !!
     
  6. Sackie

    Sackie Well-Known Member

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    Don't buy all the deals...leave some for mee!
     
  7. bmc

    bmc Well-Known Member

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    Kingswood was ok but i would go for the Premier (has the bucket seats)
     
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  8. MikeyBallarat

    MikeyBallarat Well-Known Member

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    Pfffttt. Statesman or bust.
     
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  9. Scott No Mates

    Scott No Mates Well-Known Member

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    I'll have the Caprice
     
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  10. bmc

    bmc Well-Known Member

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    together with a Pipe and Smoking Jacket
    upload_2019-4-5_18-55-26.png
     
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  11. Scott No Mates

    Scott No Mates Well-Known Member

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    @bmc - that jacket is really smokin'....Yeah baby!
     
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  12. Sigemup

    Sigemup Well-Known Member

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    And I am supposed to be the troll ??
     
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  13. Clyde

    Clyde Well-Known Member

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    You're NOT taking the Kingswood......

    I just shampooed the hubcaps.

    And leave the money on the the fridge
     
  14. Car tart

    Car tart Well-Known Member

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    Come on guys! I just spent 5 hours looking up
    Premier, Statesman, DeVille and Caprice on Domain!

    They don’t exist!

    Belmont, Monaro, Tarago and Tarana do though.
     
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  15. Sigemup

    Sigemup Well-Known Member

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    Aside all the trolling, can someone tell actually why this is not a good one for renovation ? Newbie trying to learn basics of this.
     
  16. Car tart

    Car tart Well-Known Member

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    You dont need to post to find out.
    It’s as simple as
    What are selling prices for the finished product.
    Less
    Purchase price
    Purchase costs ie stamp duty, conveyancing
    Renovation costs
    Holding costs
    Opportunity costs
    And agents commission
    If the end figure is not the profit you are happy with, then don’t buy it.

    I do not buy properties more than 20 mins away from where I have lived or worked. You can’t be knowledgeable about every suburb in australia.
    Buy only what you’re comfortable with.
    Buy within your means.
    Invest where the government invests big.
    Look for areas with little residential vacancy.
    Don’t buy a problem that’s going to frustrate you. Ie bad tenants, a pool etc.
    Dont buy properties with too many rooms as it will become a share house.
     
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  17. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    buy reno sell = flip ?

    in the current market possibly = flop

    ta

    rolf
     
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  18. Sigemup

    Sigemup Well-Known Member

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    Thank you Tart,

    I looked at the prices for 2 bedroom units in that area and it is about $350,000. If I do not put more than $220,000 to buy this, the parameters you mentioned would be met from what I think. Hence my question about why the forum members do not think it can make profit ?
     
  19. Trainee

    Trainee Well-Known Member

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    Whats your reno experience? If none, are you getting someone else to do it (higher cost), or doing it yourself to learn (bad outcome, lower sale price). In this market, reno returns can easily be <$1 for $1.

    Do you have a plan (what to do to it), accurate budget, people lined up, schedule? Do you work a job? When do you have time to do it? Buffer if it goes over budget or takes longer to sell?

    350k median is probably lagged (ie current sale price is <350) and might be skewed by new stock. Big main street older block will likely be below median.

    Why are you doing it this way? Because you think reno and flip is a good way to make fast profits? Because you dont have the resources or patience for buy and hold? Whats the end goal?

    What would you consider to be a good outcome if you buy this? Eg reno and sell for 15% profit on cost including all expenses, or 40% ROE or whatever.

    If you havent thought about any of this, well.....
     
    Last edited: 6th Apr, 2019
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  20. Sigemup

    Sigemup Well-Known Member

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    Hi Trainee,

    Yes thought about those aspects - not going to be buying right away. I am only analyzing the strategy. The $350,000 is based on some of the 2 bed units sold around there recently that look similar. Of course I need to actually look at the area to know more about it. But if you actually look it has big road on one side but the other entrance has a smaller road and big park / ground there. Besides I am not looking to pay asking price on this property. Definitely do not think it is worth that much considering all the costs that would be involved in making a profit.

    There is a post I found below: If you look at his first property at Merrickville, he seems to have received similar feedback. (Of course I know it is not exact similar property.)

    Financially free at 32 – My 10 year property journey

    Just looking to find the right property to do the first reno and very much a newbie - hence even basic points from experienced ones would help in knowing things I may not have considered. (of I also do my own research as well)


    I appreciate the comments that have relevant points in the replies above and Thank you guys. This is the type of notes I was looking to see why some would think this is not a good property for renovation.