- boogeParticipant@boogeJoin Date: 2011Post Count: 48
I thought I found a cheap IP in a regional Victorian town, as i read further it turns out it is “College lease land”. I see there are a couple around in the same suburb.
I’m not interested in purchasing….but does this mean you basically only own the house and not the land? Or is there more to it?
I can’t see why you would bother.crustyParticipant@crustyJoin Date: 2010Post Count: 127
Yes you own the house but you probably have to pay a lease fee of, 5% of freehold unimproved land values and rates(which increase). I dont think they are a good idea as they onlly give a net yeild of about 2, have low LVRs, about 50% and are difficult to sell.boogeParticipant@boogeJoin Date: 2011Post Count: 48
Hence why they are dirt cheap!IP FreelyMember@ip-freelyJoin Date: 2008Post Count: 353
Found these couple of links: