There's a unit I'm veiwing on Sunday that I'm a little unsure of how to go about negotiating to buy.
The history of this unit:
It is a 2/1/1 16 kms from Sdney CBD, internal area 115m2, balcony 19m2. Went to auction in November and was passed it in the high $200's, tenant then signed a new 12 month lease at $2000/month. The unit is semi-furnished and the tenant sub-lets a room, and would be happy to continue on the lease and sign again once it is finished (discussed this with current PM). The rent is high for the area.
The unit is now marketed at nearly $350K (a big jump from the auction), is above median and most comparable sales for the area and for the building.
At $340K the property becomes neutral cf after tax and depreciation at 7% interest.
Any thoughts on this property in terms of offers, negotiating, is it risky as the rent is above market (more standard rent would be ~$400 - $420 wk)
Thanks
The history of this unit:
It is a 2/1/1 16 kms from Sdney CBD, internal area 115m2, balcony 19m2. Went to auction in November and was passed it in the high $200's, tenant then signed a new 12 month lease at $2000/month. The unit is semi-furnished and the tenant sub-lets a room, and would be happy to continue on the lease and sign again once it is finished (discussed this with current PM). The rent is high for the area.
The unit is now marketed at nearly $350K (a big jump from the auction), is above median and most comparable sales for the area and for the building.
At $340K the property becomes neutral cf after tax and depreciation at 7% interest.
Any thoughts on this property in terms of offers, negotiating, is it risky as the rent is above market (more standard rent would be ~$400 - $420 wk)
Thanks