Furnished or unfurnished unit?
- Thread starter Perchy
- Start date
Furnished units are good for overseas/interstate students, recently divorced men who left the furniture with the wife, single men in general, youngsters who have just moved out of home and that's about it. If you're in a mining town they're good for men who stay 3 weeks on 1 weeks off and the wife is back at home in the city.
Women like to choooooose their decor, so unless you've got really upmarket funky furniture you're going to turn off women and couples and the rare man who likes to decorate.
You can slap me for all the cliches now
Women like to choooooose their decor, so unless you've got really upmarket funky furniture you're going to turn off women and couples and the rare man who likes to decorate.
You can slap me for all the cliches now
It depends completely on the property itself, the location, the demand for furnished.
If its well located and meets the market its in then yes there is definitely a premium paid for furnished. I have four and they are very rarely vacant. They are 5 star upmarket. I am about to a add lower market one in as there is a shortage in that catagory in that area.
But the wrong property in the wrong location will mean long vacancies and lower yields. You need to know your market.
If its well located and meets the market its in then yes there is definitely a premium paid for furnished. I have four and they are very rarely vacant. They are 5 star upmarket. I am about to a add lower market one in as there is a shortage in that catagory in that area.
But the wrong property in the wrong location will mean long vacancies and lower yields. You need to know your market.
Just be careful to have the furniture checked after each tenant.
We inspected an upmarket property for sale many years ago. The owner lived in USA and it had been rented fully furnished. The asking price was far too high, because the owner included $20K of furniture (this was in the early 1990s) he had put in the unit two years previously.
Trouble was, the existing furniture showed no resemblance to the inventory list supplied. The furniture was worth about $2K total. Obviously the "genuine leather lounge suite" had been removed at some stage and a very cheap suite substituted, and similarly most of the listed furniture had been replaced with obviously inferior and worn items.
Marg
We inspected an upmarket property for sale many years ago. The owner lived in USA and it had been rented fully furnished. The asking price was far too high, because the owner included $20K of furniture (this was in the early 1990s) he had put in the unit two years previously.
Trouble was, the existing furniture showed no resemblance to the inventory list supplied. The furniture was worth about $2K total. Obviously the "genuine leather lounge suite" had been removed at some stage and a very cheap suite substituted, and similarly most of the listed furniture had been replaced with obviously inferior and worn items.
Marg
As GoAnna said, I think it mainly depends on who the target demographic is.
The apartment block I live in is mainly rented out furnished. Its suits young professionals that don't have thier own furniture and like to live in the CBD. 2bed unfurnished is $420/w and furnished is $530/w. So you can see the incentive, especially when you get a good deal on your furniture then claim depreciation.
You may want to look into corporate letting? You rent to a company who pay the unfurnished rate, they provide the furnishings, then after 3yrs you can keep the furnishings... then you receive the furnished rate
The apartment block I live in is mainly rented out furnished. Its suits young professionals that don't have thier own furniture and like to live in the CBD. 2bed unfurnished is $420/w and furnished is $530/w. So you can see the incentive, especially when you get a good deal on your furniture then claim depreciation.
You may want to look into corporate letting? You rent to a company who pay the unfurnished rate, they provide the furnishings, then after 3yrs you can keep the furnishings... then you receive the furnished rate
