Hi Friends: I bought a property in Burnie, tasmania around 2007. It has allways been rended from day 1. it is a 3 bed room h ouse on a 700+ sq m block. Recently pained. Attracts $205/ week rent. I repayed 10% of the purchage value and now paying interest only about +- $700/ month (real estae fee on top). When I wanted to sell the property, teh real estate agent tells me the selling price woud be less than the initial price I paid to buy the property 7 yers back. I am a bit surprised to hear that. How can it be a negative growth after 7 years? What should I do? Please advise.
Thanks
SharifHi Sasharif
You could approach a number of REA in the area to get a feel for the market at the moment. Remember that 2007 was before the GFC and house prices don’t always go up, they stagnate sometimes and decrease at other times. You could also use websites like onthehouse.com.au to see what they approximate the selling price to be, or get an RP data report for the address.
You could otherwise keep holding it until prices return to the level you want, but that’s crystal ball gazing.
Cheers,
ChrisA1
Persistence is 'to keep on keeping on, no matter how hard the going may be'
Thanks for yoru reply. I will follow it up with other REA. Thanks again.
Hi Friends: I bought a property in Burnie, tasmania around 2007. It has allways been rended from day 1. it is a 3 bed room h ouse on a 700+ sq m block. Recently pained. Attracts $205/ week rent. I repayed 10% of the purchage value and now paying interest only about +- $700/ month (real estae fee on top). When I wanted to sell the property, teh real estate agent tells me the selling price woud be less than the initial price I paid to buy the property 7 yers back. I am a bit surprised to hear that. How can it be a negative growth after 7 years? What should I do? Please advise.
Thanks
Sharif2006/2007 (I bought 3 IPs there) was the end of a property boom in tassy, due to economic reasons (the greens) unemployment has risen, the forestry industry was shut down which didn’t help (amongst other things) also I believe 70% of people in tassy get most of their income from the government (unemployed, pensioners, students, public servants etc), tassy is probably the worst state to invest for growth in my opinion due to above reasons, however you can get good cash flow stuff. The good news is the recent change in state government to Libs is seen as positive for business, consumer confidence etc but it early days. I have sold all the IPs 2 for what I paid an 1 for a small profit in the last 2 years.
I suspect your RE agent is on the money, get a few appraisals done to be sure.Thanks ten_burner for your feedback. Much appreciated.
Hi Friends: When my property is being managed by one REA, can I approach other REAs to give me an assessment and apprisal about the selling price? If so, what is my obligation about informing my property manager? What is the due process of selling the property through a different REA? Your advice will be highly appreciated. Thanks.
SharifHi Sasharif
You can always go to different agencies to the agency that is managing the property. It is smoother to use the same agency as the one who is managing the property as the sales team can easily talk to the rental team, but you can always use whatever agency you like to sell the property. If you decide to go with a different agency, you just need to let the PM know that so-and-so from x agency is selling the property and they will need to work out arranging inspections etc.
Cheers,
ChrisA1
Persistence is 'to keep on keeping on, no matter how hard the going may be'
Thanks ChrisA1. Much appreciated.
Regards
Sharif
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