Where would you buy for yeild?

Just curious, can I ask.....

rehab=reno ?

What are the other costs ?
Insurance
Property tax
Some form of strata or community fee
Managers costs

 

yes rehab = reno (rehab is the term used in the US for reno)

Other costs
Insurance - approx $500 year
Property tax - approx $800 year (known as county taxes)
Strata (referred to as HOA, home owners association) - approx $800 year
Property management fees - standard for Georgia, 8% management fee , leasing fee one months rent, 1 weeks renewal fee.
Leases are minimum 12 months (no 6 month leases)

 

Sounds alright, so the only unknown is the currency.

Why type of tenant do you get if the housing is so cheap, but willing to pay so much rent ?

 

Tenants are screened to ensure they meet our criteria. We have had good success with properties in this subdivision we have 3 other properties close by and have managed to keep long term tenants in them.

 

For me the 2 biggest risk factors would be currency and how stable the underlying asset is. But I know the CF is quite good speaking to a lot of reliable people who are doing it.

 

Thank you for asking. Queensland. Brisbane. Inner city multiple rooms (one that is rented through a PM for less fuss for her).

 

Hey buddy thanks for the post. Its been awhile now and I have basically told her I don't want to be involved as I don't feel comfortable with the who scenario.

But I like the places/strategy you mentioned.

 

She could go to areas like Gregory Hills and find a dual occ for low 900's...maybe. The yield will be OK, but not great. Might get 2-3K CF+ . For great yield from dual occ (8-9K CF+ ) she needs to look outside Sydney - especially if she isnt open to building a granny flat.

If she wants yield + Sydney, consider an NRAS apartment in Harris Park or Merrylands for 600Kish - it would address her yield needs in spades and leave her with 300K to invest in other assets such as 100K x 3 ETF"s or LIC's for example, or a cheap and cheerful outer Brisbane dogbox.... and she could reinvest the surpluses from the Sydney apartment to pay for a reno or granny flat ... but you said she doesnt want apartments.

Strong Yield and Sydney and House only , with no appetite for value adding ...... She is going to have compromise on something or she will get 100% of nothing....

 

wow 70 yo and wants to park cash into property! whats her time horizon?

has anyone mentioned air-bnb ...

 

Yup I agree and decided not to get involved after I realised what she wants is impossible and refuses to compromise . Told her (in a nicer way) leave me out of it.