6 weeks and still no tenant QLD

I have just hung up from an agent with our house listed and it has been empty for nearly two weeks. This is Coorparoo, and there are a lot of houses for rent at the moment. Things are slow.

We are dropping the rent a little to get it filled.

I did ask her thoughts on advertising it as "first week free" and she said it is not something she would recommend, as it sounds like we are desparate.
 
My thoughts if I were looking to rent somewhere there....

I couldn't see a floorplan on there. Not a big deal, but just adds to the overall picture of the place.

It's hard to tell which rooms link up to where eg in some pics you can see the bedroom is off the living room etc. I can't see many pics like that on the ad.

There was one pic where it's a small room & the window in it looks to right up against the wall. It just looks a bit 'funny' (not haha). Could they photograph it from a different angle or not show that room at all?

Also agree with what others have said about the darkness of the pics.

Not sure why there are multiple shots of under the house area...this makes me think there's something wrong with the house that the agent is focusing on this storage type area.

Hope feedback helps :)

Good luck!
 
Redcliffe Peninsula

That initial rent was just too high in the present market for this property. Redcliffe peninsula rents are very slow at the moment and rental stock is larger than it has been for some time.
 
....was first said that it would easily rent for 355pw, I have just recently lowered the amount to $345pw, now I’m thinking I should lower it again....
The biggest lies I'm told on a daily basis are all regarding rental potential, I ask and write down everything I'm told but you could throw a dart and get similar accuracy level to what the selling agents tell me. Find a specialist rental PM or two and see who nails a few rents accurately, keep their details on file :)
 
The biggest lies I'm told on a daily basis are all regarding rental potential, I ask and write down everything I'm told but you could throw a dart and get similar accuracy level to what the selling agents tell me. Find a specialist rental PM or two and see who nails a few rents accurately, keep their details on file :)

are you inferring there's PMs out there that accurately predict rental yield, based on their superior understanding of rental stress, interest rate movements, unemployment, ratio of recent sales to OOs vs PIs, and credit supply!!!! ;)

A perhaps more reliable source is the rental tenancies authority's stats.

For post code 4019, (Clontarf/ Humpybong/ Margate/ Scotts Pt/ Woody Pt)
for the March2010 quarter, a 3bed house comes in at 320pw, which is the same as 12 mths ago.

For 3 bed houses, there were 85 bonds lodged last year and 88 this year.
So demand seems stable.

SQM's april jump for 4019 shows a reduced vacancy rate with a higher number of listings. This implies an increase in supply.
 
are you inferring there's PMs out there that accurately predict rental yield, based on their superior understanding of rental stress, interest rate movements, unemployment, ratio of recent sales to OOs vs PIs, and credit supply!!!! ;)

A perhaps more reliable source is the rental tenancies authority's stats.

For post code 4019, (Clontarf/ Humpybong/ Margate/ Scotts Pt/ Woody Pt)
for the March2010 quarter, a 3bed house comes in at 320pw, which is the same as 12 mths ago.

For 3 bed houses, there were 85 bonds lodged last year and 88 this year.
So demand seems stable.

SQM's april jump for 4019 shows a reduced vacancy rate with a higher number of listings. This implies an increase in supply.
Good points WW :)

I could say more about the prediction of $355 for the subject property but think the evidence is speaking for itself.
 
are you inferring there's PMs out there that accurately predict rental yield, based on their superior understanding of rental stress, interest rate movements, unemployment, ratio of recent sales to OOs vs PIs, and credit supply!!!! ;)

A perhaps more reliable source is the rental tenancies authority's stats.

For post code 4019, (Clontarf/ Humpybong/ Margate/ Scotts Pt/ Woody Pt)
for the March2010 quarter, a 3bed house comes in at 320pw, which is the same as 12 mths ago.

For 3 bed houses, there were 85 bonds lodged last year and 88 this year.
So demand seems stable.

SQM's april jump for 4019 shows a reduced vacancy rate with a higher number of listings. This implies an increase in supply.

Bear in mind, for some investors even if a Comparative Market Analysis based on current market conditions was provided with backed up data - they will still consider the real estate agency which provides a higher rental appraisal.

I came upon one of these owners the other day and he told me other agents have given him higher appraisals...how?
 
I came upon one of these owners the other day and he told me other agents have given him higher appraisals...how?

Which is why I think it is so important to use a local PM. They should have the best view on what a place can rent for. They are the ones fielding the rental demand in their area every week. If a local PM gives a higher appraisal, two reasons for it....they either know better and have the volume to see rental demand building, or are BSing. :)
 
Good news

Couple of days back, I finally rented out the house. Haven't been able to up date the progress on the forum as the internet is really slow over here in PNG.

So at the end of the day I rented the place for $335 or was it $330, not sure as I'm waiting for an update from the PM. now, that's 20 dollars less than what was first said to me from the Buyers Agent and Property manager. But never mind, I'll know better next time.

so I took ownership on the 19 April and the lost rent total is about $2,650, now if I got appropriate guidance or wasn't so greedy, I could have rented it immediately as I had access to the property a couple of weeks before settlement. However, that's small stuff and as I have read many times here on the forum, keep your eye on the big stuff (something like that)

Thank you everyone for your feed back and support,

My next goal is another property in Queensland this year, but unfortunately I'm probability changing jobs at the end of August and this will slow me down on getting bank approvals for a loan. But somehow, I'm thinking, really there is no hurry as the market is said to be slowing down and maybe going flat for a whilst. Bargains :)
 
I guess 2k loss so far from income isn't much compaired to what's happening on the stock market

Stephen

Mate just like the property market is an overall market with numerous individual properties performing in their own micro world,
so is the stock market an overall market with numerous listed companies.

I'm not fussed at all with the stock market, my gross yld on equity (ie gross dividends less interest cost) is around 12%:eek:

I get PAID to wait.
 
It's had over 600 hits.......getting stale for rental.

I don't know the area nor have the time to search for comparable rents for you. If you (and your PM) have started too high for the market's pockets, no surprise at the result.

Have you considered dropping the rent to an amount that is not a multiple of 5 or 10. I often use a "9" in my figures. A bit like a $9.99 item, sounds better than ten dollars even though it rounds up.

If all else fails after the next rent drop, consider a week rent free rather than dropping rent even further. That way when lease is up, they are already on a higher amount rather than having saved the equivalent of say a weeks rent through a reduction alone

Gives you a better dollar/price base to increase rent from at that time depending upon market conditions.


Now this is the man you should be listening to.
A wealth of experience, been there and done that.
Lots of people will give you opinions, but personally i focus on those with LOTS OF EXPERIENCE.

(not that i am suggesting others dont have the experience, i dont know the others, i have seen player post for a long time, and he speaks 'sense' with experience)
 
However, that's small stuff and as I have read many times here on the forum, keep your eye on the big stuff (something like that)

Nope, it's important.

The comment about keeping your eye on the big stuff implies future returns say over next 15 years will be like the last 15 years. This is very unlikely. So you should try to minimize your costs and maximise your yield all the time.
 
Nope, it's important.

The comment about keeping your eye on the big stuff implies future returns say over next 15 years will be like the last 15 years. This is very unlikely. So you should try to minimize your costs and maximise your yield all the time.

You are right, you do need to keep an eye on the small stuff as well, I just like that saying becouse it makes it OK that I lost about 6 weeks rent due to bad advice and lack of action on my behalf.:(
 
Mate just like the property market is an overall market with numerous individual properties performing in their own micro world,
so is the stock market an overall market with numerous listed companies.

I'm not fussed at all with the stock market, my gross yld on equity (ie gross dividends less interest cost) is around 12%:eek:

I get PAID to wait.

Thats a hell of a yeild! Were you buying madly when the all ords was nearer 3000 points?

I bought some telstra for yeild recently below $3.00. I'm thinking battered down stocks with good yeilds and full franking could be a good idea. Hopefully their yeilds remain intact.

With regards to rental vacancies. Once you've owned a commercial property 6 weeks on a resi is a breeze. You gotta do what you can but it wouldnt stress me too much.

MJK:D
 
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