How To Find/ Purchase Ex-Housing Commission Properties?

[Connolly]

Hi all,

Other than the standard channels via realestate.com.au how do people find ex housing commission homes to purchase.

Living in WA there is an independent website that sells of ex-com stock but seems over priced relative to condition and area.

Looking interstate I see that some regions use realestate.com.au to offload however knowing that some other members of the forum have been able to negotiate directly with the housing commission entities to purchase is this something that still occurs or are the limited channels denoted above all that exist?

Further more would like to hear thoughts from those that have ex-commission homes in their portfolios and how they have worked out for them .

Appreciation in advance

 

[D.T.]

Some real estate agencies have won the rights to sell off any housing comm stuff that comes up for sale. Find out who they are and ya might get to be first in line.

But otherwise, why bother? What are you trying to achieve with this?

 

[Connolly]

Cheers Dave,

Area I'm doing DD on has high proportion on commission housing on massive blocks.

Seems lot of the sellers have overpriced their properties relative to the market in my opinion.

Just an avenue I thought might be worth exploring as I have seen some pop up over past few months and all seem to be selling for 30k less than what any private vendor is asking-

 

[nhg]

I use to call the department of housing and ask who won the contract to sell their properties in areas I was interested in.

Then get that agency to keep me updated.

Ex housing commission stock is overpriced though. As above. What are you hoping to achieve?

 

[thatbum]

Not a lot of DoH stuff comes on the market in metro Perth.

Apart from the usual channels, you can also make friends with local agents who tender out for the DoH listings, or someone working inside the Department.

I have to say though, I'm pretty sure all sales go through the normal channels anyway - like realestate.com etc.

 

[MTR]

Hi Connolly

I really just stumbled across State housing, some 10 years ago now I heard about the new North which was the project/redevelopment of Balga. Government had Sattlery involved in refurbishing the old unit blocks in the area and upgrading/renovating the houses on large land component and selling off to FHB. Similar scenario happening in Girrawheen and Koondoola today, I think under this scheme very few remain now.

Most of these markets have gone absolutely nuts, and they continue to grow. Proximity to the city, cheap as chips and development potential, its a no brainer. Now if you purchased 2 years ago you would have saved yourself around $100-120K.

There are other areas of course where government is selling off State housing which I believe present some great opportunities for growth, ie Lockridge, Medina to name a few.

Investors may also want to look at Landcorp, government body developing land with private companies. Heads up, schools that are now closed and government selling off land, these are little gems, if you can get in. Get onto their website.

Here is one not my favourite but pretty damn OK, land to be released shortly, generally speaking you can pick up deals in prime locations at cheaper prices, however at the moment everything is over subscribed so you really have to work it.

http://www.google.com.au/url?sa=t&r...LjHpcGZqrEaS-xqu7-wEnTQ&bvm=bv.65397613,d.dGI

Cheers
MTR

 

[Connolly]

Thanks for all the responses guys. All helpful stuff; can't believe didn't get on this forum earlier.

Ok so strategy is buy underpriced banged up properties (houses only an min 600sqm blocks) then we Reno, reval an repeat. Have been able to purchase 3 positive cash flow IP in short amount of time- will finish up current Reno in next month so just looking at channels to get the next one.

Cheers guys

 

[MTR]

Try to find properties that are earmarked for rezoning ie Koondoola, Girrawheen, you then have the option to develop and add further value. Larger the block the better of course, if you can find over 728 sqm that would be noice.

Cheers
MTR

 

[mrdobalina]

I really just stumbled across State housing, some 10 years ago now I heard about the new North which was the project/redevelopment of Balga. Government had Sattlery involved in refurbishing the old unit blocks in the area and upgrading/renovating the houses on large land component and selling off to FHB.
Cheers
MTR

This was our key strategy when starting out 10 years ago. They were brilliant. Completely refurbished on large development sites. Bought 4 of them in 1 year

 

[MTR]

Its a winner

 

[hss]

Sorry off topic..noob question..

How do people view a property in terms of house number when planning to buy? For ex: House number 50, YY Lane and 51a, YY Lane. If both 50 and 51a (no strata but has a battle axe home behind) have similar block size, frontage and house, would the price be the same? I am trying to understand the general psychological perspective. Would 51a take more time to sell? If cheaper, then how much it could be in %?


Thanks

 

[westminster]

Hi all,

Other than the standard channels via realestate.com.au how do people find ex housing commission homes to purchase.

Living in WA there is an independent website that sells of ex-com stock but seems over priced relative to condition and area.

Looking interstate I see that some regions use realestate.com.au to offload however knowing that some other members of the forum have been able to negotiate directly with the housing commission entities to purchase is this something that still occurs or are the limited channels denoted above all that exist?

Further more would like to hear thoughts from those that have ex-commission homes in their portfolios and how they have worked out for them .

Appreciation in advance

I find that like Deceased Estate and Mortgagee In Possession that ex DOH blocks tend to be auction and everyone turns up for a 'bargain' and it sells for a higher price. Sigh!
Especially the reno ones after everyone watched The Block

Refurbed ones like the Satterly ones tend to be fixed price but the others tend to be auctions. So you need to have done your due diligence and have finance sorted and terms of the auction negotiated (like lower deposit etc)

 

[bob shovel]

I've also wondered about this why can't it be like flip men or the pommy show where no one shows up to auctions or no bidders and everyone gets a bargain. I'm sure the lefties blame Tony Abbott, but that's another story

 

[hss]

Perth Median price Mar14

http://s125.photobucket.com/user/pintoo022002/media/perth_zps077a2543.jpg.html

Could not make it very nice but will try with other maps

 

[skater]

I've also wondered about this why can't it be like flip men or the pommy show where no one shows up to auctions or no bidders and everyone gets a bargain. I'm sure the lefties blame Tony Abbott, but that's another story

It has to do with timing. I've got a few auction bargains, but they were purchased when property was not the flavour of the month.