Investment in block of 5 or less flats

[Mike S]

I am interested in purchasing a small block of flats / units somewhere. I would prefer something newish, pref brck etc. lower maintainence and so on as I live overseas.

Does not matter if it is a regional (non Cap City) area, not essentail but would prefer costal, perhaps north of Brisbane to say Rockhamton Townsville, or South of Perth around Safety Bay, Rockingham, Warnbro etc etc.

Looking for good returns as the priorty is to generate revenue but not junk that is over priced and not likely to develop any capital gains if even over time.

I did look at Bundaberg and could get some nice 4x ground level flats / units 6 years old, brick for $240,000 returning around 9 - 10% Per annum gross. Possibly not great cap growth ret's?

I can afford more but value is the key and I think more rentals in a single owned premise ie 4 / 5 flats may be easier to manage and provide beter scale of economy buying?

Better closer to water I guess but which are the choice hideaway area's ready to boom, Mckay?, Safety Bay, B'berg. Rocky etc etc?

Any thoughts would be good and / or any websits that may deal specifically with Flats / Units / Duplex / triplex's etc much appreciated

 

[gailh]

Hi,

For choice, you couldn't go past Rocky, as they have so many flats. They also have a shortage of rental properties at the moment, so tenants are pretty easy to come by. The area is meant to grow because of the new Magnesium mine being built there, but who really knows what effect it will have. Some businesses, like Office Works, have opened there recently and the University has expanded. But it has been in a slump for a while.

The rates are quite high in Rocky, so be sure to factor that in to your cash flow equation.

There's a RE agent in Rocky called Frank Brady who was very helpful to me when I went up there to look for flats and he also emailed details of flats for sale to a friend on mine who was interested. All of the agents cross list so he can put you onto any flats for sale in Rocky. He has a website, so he's easy to find.

Good luck

Gail

 

[Mike S]

Thanks a heap Gail I will surf around the NET and see what I can dig up.

Are there any preferred Beach areas there?

 

[brcw]

Yeppoon is Rockhampton's beach precinct, but its already a bit pricey. Mackay's beaches (Slade Point, Bucasia, Blacks Beach) look interesting. Try a www.domain.com.au search and you'll find a few unit blocks in the high $100k's to mid $200k's.