Hi all,
Just want to see what the views are on installing an air conditioner into an IP.
My sister has purchased a unit in Campsie (guess you could call it in Sydney's Inner West these days).
Unit is probably built around 1970's, so its the older red brick style ones.
Inside we have made the following renovations:
1. Ripped out old kitchen, retiled kitchen and put in new kitchen with poly doors and granite benchtop.
2. Toilet has been completely redone as well with tiles floor to ceiling.
3. New paint, new lights, new light switches, new power points, new door handles.
4. New curtains
5. New built in wardrobes.
The old stuff that was retained
1. Existing floors were tiled (whitish tiles), so these were left alone as they looked ok.
2. Windows and doors, other than repainting doors, these have not be replaced.
So overall, I would say the unit looks quite modern (other than the crappy door that opens on to the balcony).
Question is, should an air con be installed. I've noticed the other units in the street don't have air cons, but Im wondering whether installing one will attract better quality tenants (hopefully with minimal hassle and less turnover).
The numbers I've thought about are along the lines of
- $1,500 for 3.2kw Daikin unit fully installed
- By having an A/C i attract a better quality tenant and one who wont move every 12 months.
- So in the initial period, i might be able to rent it out 2 weeks faster (hence saving me $800).
- I hopefully wont have to find another tenant in 12 months time (saving me $440).
- As a result, the place may not be vacant for a period of 2 weeks (another $800 saving).
So $800 + $440 + $800 = $2,040.
An initial investment of $1,500 vs loss rent of $2,040 over 2 years.
Am i being unrealistic with my calculations and just wasting my time?
Just want to see what the views are on installing an air conditioner into an IP.
My sister has purchased a unit in Campsie (guess you could call it in Sydney's Inner West these days).
Unit is probably built around 1970's, so its the older red brick style ones.
Inside we have made the following renovations:
1. Ripped out old kitchen, retiled kitchen and put in new kitchen with poly doors and granite benchtop.
2. Toilet has been completely redone as well with tiles floor to ceiling.
3. New paint, new lights, new light switches, new power points, new door handles.
4. New curtains
5. New built in wardrobes.
The old stuff that was retained
1. Existing floors were tiled (whitish tiles), so these were left alone as they looked ok.
2. Windows and doors, other than repainting doors, these have not be replaced.
So overall, I would say the unit looks quite modern (other than the crappy door that opens on to the balcony).
Question is, should an air con be installed. I've noticed the other units in the street don't have air cons, but Im wondering whether installing one will attract better quality tenants (hopefully with minimal hassle and less turnover).
The numbers I've thought about are along the lines of
- $1,500 for 3.2kw Daikin unit fully installed
- By having an A/C i attract a better quality tenant and one who wont move every 12 months.
- So in the initial period, i might be able to rent it out 2 weeks faster (hence saving me $800).
- I hopefully wont have to find another tenant in 12 months time (saving me $440).
- As a result, the place may not be vacant for a period of 2 weeks (another $800 saving).
So $800 + $440 + $800 = $2,040.
An initial investment of $1,500 vs loss rent of $2,040 over 2 years.
Am i being unrealistic with my calculations and just wasting my time?