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Your Latest Purchase

Discussion in 'Where to Buy' started by MTR, 17th Jul, 2015.

  1. MTR

    MTR Well-Known Member Premium Member

    Joined:
    19th Jun, 2015
    Posts:
    7,299
    Location:
    Perth, Melbourne, USA
    Hi All

    Curious, anyone purchased recently, say within the last 6 months?

    If you care to share, I would be interested in what and where members are buying at the moment and your strategy with this purchase.

    I guess I will start with my latest purchase

    Melbourne middle/outer East - development site.
    Submitting plans and permits to Council (5 townhouses)


    MTR:)
     
  2. Hodor

    Hodor Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    736
    Location:
    Homeless
    Sydney. For me to live in.
     
    Bayview likes this.
  3. WinDyz.

    WinDyz. Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    155
    Location:
    Hidden Leaf
    Sydney - Westmead 2 bed 2 bath unit
    Strategy is to hold for at least 15 years. Currently it's cashflow neutral to positive (before depreciation).
     
    kevilian, Bayview and Mayjong like this.
  4. D.T.

    D.T. Adelaide Property Manager Business Member

    Joined:
    13th Jun, 2015
    Posts:
    5,569
    Location:
    Adelaide, SA
    Latest purchase was a block in adelaide to develop into 2 houses. More details to be written up once more progress is made :)
     
    Bayview, 2FAST4U and MTR like this.
  5. EN710

    EN710 Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    2,095
    Location:
    NSW
    None. Darn it.
    Waiting for equity access.
     
    Esh and Tim86 like this.
  6. 2FAST4U

    2FAST4U Well-Known Member

    Joined:
    3rd Jul, 2015
    Posts:
    913
    Location:
    Adelaide
    Adelaide- Salisbury Downs
    3 bedroom house for buy and hold. It's on a >800sqm block so it has future development potential down the track.
     
    Bayview, Xenia, D.T. and 2 others like this.
  7. MTR

    MTR Well-Known Member Premium Member

    Joined:
    19th Jun, 2015
    Posts:
    7,299
    Location:
    Perth, Melbourne, USA
    Another developer, great, look forward to this.
     
    Gibson likes this.
  8. MTR

    MTR Well-Known Member Premium Member

    Joined:
    19th Jun, 2015
    Posts:
    7,299
    Location:
    Perth, Melbourne, USA
    Great, are rents increasing/holding in Syd??
    In Perth after our boom cycle the rents actually crashed, I think down 10% from the last report, nasty stuff.

    MTR:)
     
  9. WinDyz.

    WinDyz. Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    155
    Location:
    Hidden Leaf
    Hi MTR,
    The current rent when I purchased already neutral cashflow for me. Just renewed the agreement with 20 dollars per week increased and they accepted it :D

    The market value for rent in that area is still around 20-30 dollars higher than what I asked. and according to sqmresearch the vacancy rate is 1.2%, so there're definitely more growth to come.
     
    MTR likes this.
  10. Roosterman

    Roosterman Well-Known Member

    Joined:
    25th Jun, 2015
    Posts:
    53
    Location:
    Brisbane
    2 bedroom unit in Clayfield, Brisbane, long term B&H, just settled.

    130sqm on title (includes 30sqm garage). 1970's block, solid as a rock, fully renovated top floor unit.

    $395k purchase price, tenants on new 12 month lease at $370 per week.

    Will cost me around $1500 per year to hold this property at current rates after tax and depreciation.
     
    kevilian, Bayview, Whitecat and 2 others like this.
  11. DanW

    DanW Well-Known Member

    Joined:
    26th Jun, 2015
    Posts:
    400
    Location:
    Sydney
    Manly QLD, was actually a November contract but settled in February (long story).
    1 block back from the Esplanade / waterfront (mudflats front :))

    Strategy: Buy neutrally geared, for long term capital growth.
    Short term part of strategy was to buy this "problem property", fix the problems, and get immediate equity from buying under the street's median.
    Next door had sold for 130k more previous year, which gave us a good idea of the correct pricing and potential.

    3br house, was raised and built under but with no occupancy (final) certificate. Also had lots of maintenance issues, and a fence falling down which caused the pool safety certificate to not be renewed. The failing fence was a potential neighbor dispute due to some trees.

    They failed to sell a few times over a long period, and going through a divorce were keen to be rid of it. We went under contract before knowing about the certificate, but were able to negotiate based on conditions that they undertake the work necessary for final certificate.

    Problems:
    * No final certificate
    * Expired pool safety
    * $5000 of maintenance required, inside and outside
    * Fence replacement on one side needed
    * Neighbor dispute regarding fence
    * Long vacancy period
    * Dated kitchen was not liked by tenants

    Solution:
    * Get final cert after contract, before settlement at Vendor cost
    * Resolve neighbor dispute by dealing directly and reasonably and address all their concerns, sharing the cost 50/50 but also including their retaining wall for minimal cost. They happy, we happy.
    * Renovate the Kitchen while vacant, to prevent future vacancies

    Was alot of trouble, but was able to draw another $35k back from the revaluation 4 months later, possibly to buy a small Logan townhouse (if can get more finance).

    Learnt alot on this one, it was the most costly and troublesome IP.. but is a good long term hold.
    Wouldn't have been able to do it without our excellent PM - Property Management HQ! They did so much for us on this one.
     
    Mac Fields, Bayview, oracle and 10 others like this.
  12. D'Mo

    D'Mo Well-Known Member

    Joined:
    24th Jun, 2015
    Posts:
    101
    Location:
    Sydney
    4 bedroom house, Algester, qld

    Hoping to ride the Brisbane wave
     
    Bayview likes this.
  13. Depreciator

    Depreciator Moderator Staff Member

    Joined:
    15th Jun, 2015
    Posts:
    720
    Location:
    Sydney
    A one bedder in a really great location in Marrickville for $370K bought quickly. It was in the paper that week as Sydney's cheapest purchase. I'm looking forward to doing a reno on it.

    Scott
     
    Nightowl, Hwangers, Jacque and 12 others like this.
  14. DanW

    DanW Well-Known Member

    Joined:
    26th Jun, 2015
    Posts:
    400
    Location:
    Sydney
    Nice one, how did you manage that?

    There must be a good story here :)
     
  15. Greyghost

    Greyghost Well-Known Member

    Joined:
    23rd Jun, 2015
    Posts:
    1,259
    Location:
    Melbourne
    Latest is:
    March 2015
    Highset 5br (actually 6br), 2bath, wide frontage, 814sqm block in Bris
    Need to change tenants and splash some paint around
    Rental appraisal @ $450-$500pw..

    Pending engineer report, settling on another in Bris on 30/7:
    Highset 3br, 1bath
    Rental appraisal @ $420pw
     
    Bayview likes this.
  16. Depreciator

    Depreciator Moderator Staff Member

    Joined:
    15th Jun, 2015
    Posts:
    720
    Location:
    Sydney
    Yep, good story. But one best told in person. It was due largely to my conveyancer who worked the agent and the fact that I made a quick decision and could write a cheque for the deposit before anybody (including me) had second thoughts.
     
  17. Be Developer

    Be Developer Property Developer Business Member

    Joined:
    19th Jun, 2015
    Posts:
    1,078
    Location:
    Australia
    Bought a deve in Melbourne in Feb, yet to settle.

    working on 12 apartments!

    bought few for clients... will need another thread to list them all! (few already mentioned in various thread)
     
  18. Magnet

    Magnet Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    247
    Location:
    Sydney
    3 bed, 1 bath Deception Bay, QLD 600m2
     
  19. Brady

    Brady Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    452
    Location:
    Adelaide, SA
    Give us a sneak peak, where are you up to? Have you started construction?
     
  20. WilliamB

    WilliamB Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    114
    Location:
    BRISBANE
    Hi gang,

    - One in Manly West QLD. DA is with BCC for sealing then building 2 new homes. Was hoping to get them completed before Chrissy but not going to happen now.

    - Two in Western Suburbs QLD, both Splitter blocks. Both renting currently but will probably build two homes on one this CY and the other early next CY.

    I feel we got these JUST in time before people started going silly in both of these areas for "land". We feel for the prices that we have seen on some blocks that unless the buyer is a builder, money will not be made, or worse.
     
    larrylarry, JK200SX and DanW like this.