Garage Necessary?

[jackstar]

I made an offer today for the purchase of my first IP. The property is in good postion, good condition etc. My only concern is that it only has single carport no garage. What sort of impact may this have on rental appeal and resale down the track? Any comments welcome?

 

[jingo]

I made an offer today for the purchase of my first IP. The property is in good postion, good condition etc. My only concern is that it only has single carport no garage. What sort of impact may this have on rental appeal and resale down the track? Any comments welcome?

Hi jackstar,

It really depends on what the tenants are looking for in the area you have purchased. If for example your property is in the inner city, a carport would be an excellent asset, and would be sought after by prospective tenants. If, however, it is in the burbs where the majority of houses come with some form of off street parking, or a carport, then it may be advantageous to have a garage.

You could try asking a few property managers in the area you have purchased what tenants are looking for as well.

Failing that, is it possible to turn your carport into a garage with a little modification?? If not, would it be possible to have a garage built at some stage in the future?

I personally would rather receive slightly less rent and leave the property as it is, with the intention of using any extra funds to help with the purchase of another IP!!

Regards Jason.

 

[jackstar]

Thanks Jingo
Plenty of food for thought.

 

[s_t]

jackstar, it likely will reduce rental appeal etc a little, but as long as that is factored into your offer (and rent), then it shouldn't be a problem.

My IP (a house) has no garage or carport! It isn't a dump either - very attractive house! I would have had to pay more to buy it if it had a garage/carport though. It is in the outer Brisbane area (Narangba) and I get an excellent return (>5% gross).