If you had an additional 3k to spend

[Spud1]

Hi All

I am about to start building my 3rd IP, well I'm not personally building it but have bought a 500m2 block & am getting a spec home (3-2-2) put on it.

The house will be in a nice area of Geelong in the Highton suburb walking distance to Waurn Ponds shopping centre, and a couple of minutes from Deakin Uni & the new ring rd

If you had a spare cash would you spend it on 1 or 2 of these items, or do you have other suggestions.
1) Ducted vacuum $1200
2) Washing machine $800
3) Plasma TV with surround sound $2,800
4) Alarm system $1000

Thanks
Spud

 

[wylie]

For a rental IP I would possibly put in an alarm, but only because I have had one in the last three PPORs. I have never had a tenant ask for one, so I would not even really think it necessary, but a "nice to have" thing.

If I was renting, I would like to have an alarm but would not expect one.

I wouldn't be putting in the other items for a tenant.

 

[The Y-man]

None of the above.

Does it have a remote garage?
Garden? (presentation is important)

Otherwise, keep the money.

Cheers,

The Y-man

 

[BayView]

If the money is to be used for the IP, it would be possibly the ducted vacuum, but otherwise none of the above.

Instead I'd park it in the Loan Offset account if you have one, or straight onto the Loan if you don't, ready for the next IP and reducing the interest bill a bit.

 

[Dazz]

I'd sock the cash away in readiness for paying the CR, WR, LT and Ins.

 

[GoAnna!]

Unless you know it won't rent without "it" or will give you significently more rent with it then I'm with Daz. Hold onto your cash. Trust me....the bills will come

 

[LynnH]

None of the above! Straight into the offset account with it - there will be banks, councils, etc who will be more than happy to relieve you of a few of your $$, as GoAnna says

Cheers
LynnH

 

[Spud1]

I need to clarify a point the money I was looking to spend is not personel cash I have, but rather the balace left over in the construction loan.

Would you spend it or leave it?

 

[wylie]

Leave it.

I don't believe any of those things will get you extra rent. Some of them may make it easier to rent your house over a house without them, but I would put the money away for the next project.

 

[poppy]

Definitely the alarm system. I would not waste money on any of the other items. If/when someone wants to break in to the property, the alarm system will also help protect your building and landlord-owned contents. Brand new properties are a major target for break-ins, especially if there may be a delay between completion of the property and having the tenant move in.

 

[tubs]

I agree. If you have to spend it, the alarm system would be the most attractive to tenants. Ducted vacuuming might be OK as well.

Not the TV or the washing machine. These things will break, and YOU'LL have to fork out money to get them fixed. Or they'll get stolen at the end of the lease.

 

[Spud1]

Thank you for all the replies,
I must admit the alarm system was the one I thought the least of. But I guess tenants want to feel secure if it was is their own home just as owner occupiers do.

 

[skater]

I'd leave it.

The more "gadgets" a house has, the more $$ you will have to spend on maintenance down the track.

 

[Pushka]

The only thing I would get, if I had to spend the money, is the alarm system. But then, you would have to pay for monitoring each month too!

 

[caterpillar]

Window locks, security doors and/or an alarm. Security is a win/win for you AND your tenant.

 

[steveadl]

Definitely not a washing machine or plasma!

For $3k or there abouts, you should be able to get a nice pergola (shade cloth only) put up on the side/back of the house. Good for the tenants in the summer, and looks better next time the valuers come around.

 

[eKwatee]

or do you have other suggestions.

A client of mine bought a house with a built in plasma and their landlord protection insurance wouldnt cover it and they couldnt get separate insurance for it.
I would buy built in robes to the bedrooms and an automatic drip irrigation system to the gardens if drip irrigation is allowed to be used in your state because of the water restrictions.

 

[The Y-man]

Whatever you put in, it is generally expected you need to maintain and repair/replace.

Cheers,

The Y-man

 

[pursefattener]

I would sock it away to as Daz says . The bills will come soon enough . Personally i would not consider a tv or washing machine in a pink fit !

Ironically, I am thinking of spending about 3k on a ride on mower at the moment . Any suggestions as to what sort ? Just for my own lawns ...

Shawn