Kent Cliffe replied to the topic *Perth people who have subdivided in the past couple of years* in the forum Help Needed! 6 years ago
An exact figure is always hard to obtain because it depends on the block and also the WAPC conditions often set by the Local Council and utilities. For example, in Armadale you may have to retain a 100 year rain storm on site in soak wells, this could be $7k+ worth of work depending on the block, works needed and soil type etc.
There are a few areas to consider, but with any negotiation it isn’t just limited to the items discussed:
Settlement Date: Motivated sellers generally like a quick settlement, Home Sellers to Home Buyers like a settlement date that coincidence with the settlement of the property they plan to buy. Also, rent backs are quite attractive to some…[Read more]
It funny when people talk about ‘growth areas’. There are two distinctly different types of growth which aren’t related – despite the spruikers trying to make you believe otherwise. When most people think growth, they think of areas which are having a huge amount of properties being built and guess that this ‘growth in dwellings’ will translate…[Read more]
For clients I have switched my strategy a little due to the rapid growth in some metro markets.
The main fundamentals are:
Stay within a 15km ring of the CBD, unless going coastal.
Target areas with a low base
Seeking areas with low supply on market (Balga etc. traditional has high transaction volume)
Target land value (70%+)
It is great you have come to be online forums to ask about where you should go from here. Despite the overwhelming support for subdivision, it is not the instant rags to riches that most people suggested it to be. I will try to debunk a few myths and hopefully share with you a clearer direction.
Well selected inner city villas and…[Read more]
Best of luck with the renovate and flip project. As well as working at Momentum I renovate/develop property on the side to help generate further income to feed into my passive portfolio. There is a group of property investors that meet on a monthly basis, you might like to attend. http://www.propertymeeting.com.au
I can't stress this enough,…[Read more]
I can give you some pointers as I am often dealing with agents on the opposite side of the fence. The good agents are the ones which make my life a little harder than normal.
Get a few different agents to appraise your property and get a feel for the market. No matter how attractive it sounds ( even if they could have a buyer) …[Read more]
Hi Vegas,Rivervale has some great fundamentals as posted about above. However, the suburb is very different on what you're looking at buying. As I wouldn't buy an apartment there, but a villa or house might be okay. This is of course dependent on your budget. Also, location within the suburb is very important as parts of it have a very high…[Read more]
Hey Bacon,We have a PM arm to our business and I can give you some info on the corporate leases:- They tend to like fully furnished properties that are kept to a good standard. That means linen replaced frequently, repairs be tended to fast, furniture is of a good standard etc.- The apartments are better centrally located, but anything in the…[Read more]
Hi Laury,It's traditionally hard to get advice, because as you can see most of the commentary is coming from the Eastern States. Not that they are bad, but they wouldn't know the difference between Balga and Bunbury. Also, a lot of what people say is opinion, not data/research. Firstly, I would recommend working out what you want. When I often…[Read more]
Kent Cliffe replied to the topic Holiday House / Short Term rentals Perth – Pro’s / Cons in the forum Pros:Higher RentHigher 8 years, 3 months ago
Pros:Higher RentHigher Deprecation.Residential Tenancy Act doesn't apply on leases <60days or for Holiday Accommodation.High end market is often corporate tenants. Cons:Higher management fees & advertising costs.Higher maintenance costs.Costs to maintain furniture.Most banks don't take rental income into account if lease is <6m or not a proper…[Read more]
Hi Laury,I would recommend rather than using TIC for your next purchase to pick someone from: http://www.rebaa.com.au/ Take action when you feel comfortable about carrying the cost per week. There is some opportunities around Perth Universities. However, often this benefit has already been factored into the property price. For clients who have a…[Read more]
Hi Luke,Yeah I agree our supply constraint isn't as bad as Sydney, but at the same time we aren't yet the size. If we keep our population projections we will be the size that Sydney is today in 30 years+/-.The Metropolitan Regions Scheme is to grow Perth along the coast, down towards Mandurah and up to Two Rocks. There is green-field land…[Read more]
The problem with opinion is that everyone has one and only hindsight will prove correct.I'll sight my sources:- Tight rental market pushing up rental yields. Median Rent: $400/wk Vacancy Rate: 2.5% http://reiwa.com.au/Pages/Home.aspx – Tight labour market pushing up wages (we are currently the second highest paid…[Read more]
Hey,It's correct what Derek said, the Perth market isn't a big place for auctions. I wouldn't like to put numbers on it, but probably about 1 in 20 properties are auctioned the rest are sold by private treaty. There are some current economic conditions which make Perth a great place to invest right now:- Tight rental market pushing up rental…[Read more]
Hi Daniel,Have you thought of talking to a Stock Broker regarding your situation? Most managed funds have a 3+ year timeline for investment. If you get a good broker and explain your plan, they would be able to point you in the right direction. Most of my clients who use a broker and me personally stay away from IPOs and pay the broker on…[Read more]
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