Does anybody have any experience or opinions on ROI for Unilodge apartments in any of the capital cities? Generally speaking are they considered a good investment as a rental property?
Plenty of reviews on Unilodge apartments in this forum… welcome to search it
about 10 years ago they were selling for $115k to $130k. What about now? (for Sydney broadway)
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Depends on the size
ranging from 115k to 180k
not much capital growth thoughI just bought one. Unilodge Sydney, Utimo.
Cost me 238k, 47Msq, with two occupancy.
renting for 497.50 per week , Tenants in til July 2 2010i am buying for the rental return, i understand that i might even go down in the short to medium term. but i dont mind. it is a form of income. I just have to know that it may take some time to sell when it comes to disposing of this asset.
All i can say to fionaleesaunders is, you need to know what you are getting yourself into. i suggest go and talk to the rental management company, and ask what are the ups and downs of buying a particular unit. i found that he can tell me alot. ( i meet him after i settled mine)
I can't understand why you would buy something that you think may go down in value and will be difficult to sell. Really!
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Terry,
Most people will look at short term investments (i.e. being lured by GROSS return).
I have seen lots of asian/chinese flocked into this kind of investment as being promoted
high yield, city location, student accomodation etc etc etcIf you looked at just the unit itself, stand alone. it might be very silly. Why would i pour in 110k of my own money into something that might go down in value. I only got 60% LVR, and paid all the other closing cost.
But maybe if you took a step back and looked at where i was at in my investment journey, you may see some sense in it. I already have 4 properties that hare negatively geared. I am trying to replace my wifes working income. (by my rough calculations, i stand to make about $9000 net a year)
This unit will create more of a balance in my portfolio. and provide me income for when i need to start a family. So what if i sell it 10 years later and for the same amount of money?? This unit would have served its purpose, i have other investments in place to reap capital gain.Anyway, thats my defence. im no expert. just a novice. Still learning hence im here on these forums. and joined the 250k club.
Cheers
I am learning from people's opinion…
I always keen to know the reason behind….hi TLC
Thanks for that. I don't want to make you feel bad after already investing so won't say much more! $9,000 pa is good cashflow.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
No No Terry, I really appreciate your comments. I can see that you are very wise and very respected poster. There may have been better places to park my money, but for the cashflow perspective, this is the best that i could find!!
I have resolved to spend more time on my investments this year. My aim is to be finacially free by the time i am 35 years old. 7 years away. I need to find a mixture of captial growth, cash flow, developments, sub divisions etc. all sorts of investment to drive myself to freedom, all in 7 years time.
I am here to lean, I want to be more active, i want to organise a meetup of interested investors on this site, so we can actually meet. (if thats possible). Bottom line. i need to learn more.Hi,
Good posts. That's what we are all here for. Eventual finacial freedom and because we are passionate about property investing. Different people need different IP's for different reasons. Terry and GOM I would love ton know what little gold mines you are sitting on
Prosperous new year to all D
DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email MeHey guys,
I just bought one of these little properties in Unilodge too, $280k, 53sqms for $511 a week in rent (which has been locked down by Boston Uni for the past 6 years – They do a exchange progamme with Sydney uni.)
The management is amazingly professional and it's run like a hotel. All for a 6% management cost which is comparable to most agents fees.
These kind of things obviously won't yield massive capital gains, but if there is a downturn in the Sydney market, these should relatively hold their value… as long as rents don't go backwards. In my opinion, the market will more than likely hold flat for a while, so I thought it was perfect timing to get into this type of property.
It's positively geared and will pay itself off in around 10 years, for 30% down.
So I guess the reason why I bought it is the little downside to it. I see it as a defensive property.
Hammertime wrote:Hey guys,It's positively geared and will pay itself off in around 10 years, for 30% down.
Hi Hammertime
I sorta dont understand this, you say that it would pay for it self in 10 years, but when i do the simple calculations, 511*52 by 10 years, is only $265 720, wont recover the 280k that you have paid. NOT even taking into account all of the expenses associated with holding the property, Am i missing something, What do you mean pay for it self.
TCL
With 30 deposit included…. I think
Could Be, or maybe, in 10 years time, all the money that Hammertime invested is returned, bringing the cost down to nothing!!!
Note to Self: Must work out how many years it will take to recover all money invested in Unilodge. Will post later
Well.. you have to include inflation 3-4%
plus depreciation as well…
compound interests etc…so it is more complex calculation
Prosperous new year to all 
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