Again defence housing
- Thread starter saibaba
- Start date
Is that before the 15% management fee or afterwards.
If not then $212 pw for a $318K in Laverton doesn't sound so great a deal!
If not then $212 pw for a $318K in Laverton doesn't sound so great a deal!
Last edited:
Check out some of the previous threads about DHA- including a number by myself ("been there, done that").
15% management fee is correct- but does not include GST.
I'm surprised there is a rental guarantee of an amount. The situation has always been that they guarantee that you will get your rent 100% of the time (less management)- but the amount of the rent is determined by an outside valuer.
My expereince has been-
.revals are below market because the markey is only limited to investors
.rents are below market
However, maintenance has been excellent.
In the end, you lose a lot of rent to pay for the guarantee and for the repaint and recarpet.
It was a good start for me, because I had a peace of mind as a newbie investor- but I had not even discovered Jan's books, let alone this forum, when I bought the property in 1997.
The property has done OK for me, but I would have done better if I'd known what I know now.
15% management fee is correct- but does not include GST.
I'm surprised there is a rental guarantee of an amount. The situation has always been that they guarantee that you will get your rent 100% of the time (less management)- but the amount of the rent is determined by an outside valuer.
My expereince has been-
.revals are below market because the markey is only limited to investors
.rents are below market
However, maintenance has been excellent.
In the end, you lose a lot of rent to pay for the guarantee and for the repaint and recarpet.
It was a good start for me, because I had a peace of mind as a newbie investor- but I had not even discovered Jan's books, let alone this forum, when I bought the property in 1997.
The property has done OK for me, but I would have done better if I'd known what I know now.
Hi Saiba,
are you referring to Laverton Victoria??? if so, $300k+ is WAY TOO EXPENSIVE for the area... would stear away from it... as per the other posts, once you take out the 15% mgt fees the yield is WAY TOO LOW... can't see you getting good capital growth on something that sounds over priced....
Good luck...
Cheers,
MannyB.
are you referring to Laverton Victoria??? if so, $300k+ is WAY TOO EXPENSIVE for the area... would stear away from it... as per the other posts, once you take out the 15% mgt fees the yield is WAY TOO LOW... can't see you getting good capital growth on something that sounds over priced....
Good luck...
Cheers,
MannyB.
Thanks all for the replies.
It is actually in Point Cook, close to Aircraft station(Zone 1) and the Golf club. The management fee is 16.5% (includes GST) and the rent $260 is before the management fee.
This house was built in 1996 and the approximate cost of the construction was 170K.
I am not sure how the capital growth will be in future in the Point Cook area.
It is actually in Point Cook, close to Aircraft station(Zone 1) and the Golf club. The management fee is 16.5% (includes GST) and the rent $260 is before the management fee.
This house was built in 1996 and the approximate cost of the construction was 170K.
I am not sure how the capital growth will be in future in the Point Cook area.
Hi Saibaba,
I'm glad to hear you weren't referring to Laverton
Well Point Cook has done very well in the last couple of years due to it being next to Sanctuary Lakes & has easy access to the WestGate Freeway (whatever they call it these days), hence good access to the City... The train station is also handy, but you wouldn't walk there from Point Cook, you would have to drive your car & leave it @ the station (car may still be there @ the end of the day, minus the stereo)...
Well, the area has had good growth in the past & due to land availability slowly being reduced, anything is possible... with that kind of yield & from your description, I'd personally wouldn't offer more than mid-high $200s... I personally think that you will get some good capital growth down there if you hang onto it long enough (due to future development plans in the area, including the RAAF base, new roads, shops, etc...)...
Good Luck & keep us informed on how you go...
Cheers,
MannyB.
I'm glad to hear you weren't referring to Laverton
Well Point Cook has done very well in the last couple of years due to it being next to Sanctuary Lakes & has easy access to the WestGate Freeway (whatever they call it these days), hence good access to the City... The train station is also handy, but you wouldn't walk there from Point Cook, you would have to drive your car & leave it @ the station (car may still be there @ the end of the day, minus the stereo)...Well, the area has had good growth in the past & due to land availability slowly being reduced, anything is possible... with that kind of yield & from your description, I'd personally wouldn't offer more than mid-high $200s... I personally think that you will get some good capital growth down there if you hang onto it long enough (due to future development plans in the area, including the RAAF base, new roads, shops, etc...)...
Good Luck & keep us informed on how you go...
Cheers,
MannyB.
Hi Saibaba,
The yield is horrible, but the good news is if this war on terrorism continues your sure to have tennents.
Thanks to all for the information on defence force housing it seems too expensive expecially if you includes rates and stratas if any.
But each person walks down their track in IP's.
to the quote:
"you would have to drive your car & leave it @ the station (car may still be there @ the end of the day, minus the stereo)..."
Im glad to see it happens in elsewhere too without the authorities doing much about it.
Respect, Peace, Out.
OPM-addict
The yield is horrible, but the good news is if this war on terrorism continues your sure to have tennents.
Thanks to all for the information on defence force housing it seems too expensive expecially if you includes rates and stratas if any.
But each person walks down their track in IP's.
to the quote:
"you would have to drive your car & leave it @ the station (car may still be there @ the end of the day, minus the stereo)..."
Im glad to see it happens in elsewhere too without the authorities doing much about it.
Respect, Peace, Out.
OPM-addict
Hi Sai,
I reckon you'd do better investing in a block of apartments in Puttaparthi.
I reckon you'd do better investing in a block of apartments in Puttaparthi.
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