here is deal of week. i ride past this place
http://www.domain.com.au/Property/For-Sale/House/VIC/Blackburn-North/?adid=2009071085
buy 650k. rent would be easy $550 due to how many bedrooms and renovated. 7 bedrooms makes a huge house on its own.
sub divide back small block. one on opposite corner has already done this.
30k subdivide. + planing costs.
Plans and permits to build new 2 - 3 bed town house. maybe 250k.
rent off back place maybe $380 to $400.
gross rent for both. around $900 to $1000 pw.
so you spend 900 and now gross in upto $1000 pw. sounds fair for melbourne metro?
--
real value after build and market picks up.
Front house 750
back house. 450 - 500
Gross profit on deal should yield minimum 200k?
is this how you fast track your equity?
the same arrangement in frankston or werribee because of land being much lower would be difficult to make 20 to 50k equity in end so the whole exercise is worthless.
http://www.domain.com.au/Property/For-Sale/House/VIC/Blackburn-North/?adid=2009071085
buy 650k. rent would be easy $550 due to how many bedrooms and renovated. 7 bedrooms makes a huge house on its own.
sub divide back small block. one on opposite corner has already done this.
30k subdivide. + planing costs.
Plans and permits to build new 2 - 3 bed town house. maybe 250k.
rent off back place maybe $380 to $400.
gross rent for both. around $900 to $1000 pw.
so you spend 900 and now gross in upto $1000 pw. sounds fair for melbourne metro?
--
real value after build and market picks up.
Front house 750
back house. 450 - 500
Gross profit on deal should yield minimum 200k?
is this how you fast track your equity?
the same arrangement in frankston or werribee because of land being much lower would be difficult to make 20 to 50k equity in end so the whole exercise is worthless.