Hi Everyone
I'm a long time lurker, first time poster with a crazy idea that I'd appreciate some feedback about.
I am about to settle on a 2x1 duplex pair in Yokine, and anticipate a gross rental return of $620/week. The units are in average condition (built ~1975). The block is 769sqm and zoned R30 (duplex potential). I had been considering holding for a few years and developing 2 side by side dwellings which I'd then continue to lease out. This will require a big (~500k?) outlay in the future.
With all the discussion about granny flats, I am now wondering about the feasibility of constructing a granny flat at the rear of the property. I understand (from reading the forum) that a granny flat can be erected for around $100k. What do you think this could rent for? I would also consider renovating the existing units to improve the the rental potential. I guess the idea behind all of the items in this paragraph is a view to turn the property cash flow neutral with minimal (~150K) outlay.
Has anyone else has experience in this regard? Do you think the granny flat idea is worthwhile, or should I continue with my original idea of a side by side development in the medium term future.
Thanks to everyone for your participation in this great forum.
Tim
I'm a long time lurker, first time poster with a crazy idea that I'd appreciate some feedback about.
I am about to settle on a 2x1 duplex pair in Yokine, and anticipate a gross rental return of $620/week. The units are in average condition (built ~1975). The block is 769sqm and zoned R30 (duplex potential). I had been considering holding for a few years and developing 2 side by side dwellings which I'd then continue to lease out. This will require a big (~500k?) outlay in the future.
With all the discussion about granny flats, I am now wondering about the feasibility of constructing a granny flat at the rear of the property. I understand (from reading the forum) that a granny flat can be erected for around $100k. What do you think this could rent for? I would also consider renovating the existing units to improve the the rental potential. I guess the idea behind all of the items in this paragraph is a view to turn the property cash flow neutral with minimal (~150K) outlay.
Has anyone else has experience in this regard? Do you think the granny flat idea is worthwhile, or should I continue with my original idea of a side by side development in the medium term future.
Thanks to everyone for your participation in this great forum.
Tim