Advice - Perth

[b7277]

Hi, Are these suburbs good for investment. Need your thoughts on the same.
and from an investment perspective, is a studio apartment a good investment.

Kingston Avenue West Perth WA 6005
Yokine WA 6060
East Perth WA 6004

Regards Biju

 

[monalisa]

from an investment perspective, is a studio apartment a good investment.

No, not a good investment.

 

[b7277]

No, not a good investment.

Thank you for responding monalisa. Since i am learning about investments, why do you say its not a good investment. What are the things you consider when looking at an investment property.

 

[D.T.]

Thank you for responding monalisa. Since i am learning about investments, why do you say its not a good investment. What are the things you consider when looking at an investment property.

Studios have a small target audience. Theres a very niche demographic thatd want to live in a studio which makes rental / resale difficult. Additionally, some banks policies may prevent you from lending at a suitable LVR.

Most studios are also part of large apartment complexes. This means you'll be competing against other owners in the complex whenever your studio/appartment is available for lease or sale.

 

[b7277]

Studios have a small target audience. Theres a very niche demographic thatd want to live in a studio which makes rental / resale difficult. Additionally, some banks policies may prevent you from lending at a suitable LVR.

Most studios are also part of large apartment complexes. This means you'll be competing against other owners in the complex whenever your studio/appartment is available for lease or sale.

Thank you for responding. I came across this http://www.realestate.com.au/property-apartment-wa-east+perth-114391091 and i just thought it is within my budget and before i go ahead wanted to seek some advise here.

My brother in law and sis in law are in perth and currently staying at a friends place. My strategy was to buy something like this where they can move in and pay the morgage as rent (breakeven). Thoughts please.

 

[D.T.]

Thank you for responding. I came across this http://www.realestate.com.au/property-apartment-wa-east+perth-114391091 and i just thought it is within my budget and before i go ahead wanted to seek some advise here.

My brother in law and sis in law are in perth and currently staying at a friends place. My strategy was to buy something like this where they can move in and pay the morgage as rent (breakeven). Thoughts please.

I wouldn't rent to family regardless of the property type or deal.

 

[MTR]

Thank you for responding. I came across this http://www.realestate.com.au/property-apartment-wa-east+perth-114391091 and i just thought it is within my budget and before i go ahead wanted to seek some advise here.

My brother in law and sis in law are in perth and currently staying at a friends place. My strategy was to buy something like this where they can move in and pay the morgage as rent (breakeven). Thoughts please.

Think this is a bedsit and if under 50 sqm could be harder to secure finance which has been mentioned, which also means harder when you go to sell, just something you may want to consider. You can buy one bedders over 50 sqm.

You could also try:
Mt Lawley
Highgate
North Perth
Inglewood
Dianella

As far as areas you mentioned all good, however you will get more bang for your money in Yokine. Try to find older units, smaller complex if 2 bedder around 70 sqm. They are around but it may involve you aligning yourself with an agent in the area, or use 3 agents to keep them honest, make sure you get onto their data base so you know about it prior to hitting the market, also set up property alerts for areas of interest. Also, make sure the strata fees are reasonable as this could blow out your cash flow.

MTR

 

[Jake D]

I wouldn't rent to family regardless of the property type or deal.

I've previously rented from my brother. He's currently renting off me. It has worked, and is working, well for us.

But yeah, I can see how problems could arise.

 

[INVSTOR]

I think Yokine is still good value and is currently undervalued. Go for a big courtyard, I wouldn't bother with the units there since the villa's are good value with decent land component. There's plenty of demand for rentals, nice area.

 

[MTR]

I think Yokine is still good value and is currently undervalued. Go for a big courtyard, I wouldn't bother with the units there since the villa's are good value with decent land component. There's plenty of demand for rentals, nice area.

I agree with you, Yokine is very good value atm

 

[HD_ACE]

^^^ what they all said.

Whats your overall budget? Dont forget about buying costs.

And what sort yeild do you need?

Cheers

 

[b7277]

250k-300k is my budget at the moment as i recently bought an IP in sydney.

^^^ what they all said.

Whats your overall budget? Dont forget about buying costs.

And what sort yeild do you need?

Cheers

 

[one world]

Biju, I know you'd hate to hear this but the time to be buying was a decade ago.

After inflation and holding costs, its hard to make money buying all but the lowest decile of Perth property.

 

[b7277]

Biju, I know you'd hate to hear this but the time to be buying was a decade ago.

After inflation and holding costs, its hard to make money buying all but the lowest decile of Perth property.

Ouch! that hurt I understand. Very valuable inputs from everyone. I found out that property which caught my attention was 40sqm