Hi all,
I’ve just finished renovating my 2nd IP and thought I’d post some details and photos. I purchased the property in February this year and settled in May. The plan was to use the FHOG and declare it as a PPOR, which gave me 6 months to complete the renovation before renting it out. I work a full time day job Monday to Friday and only had the weekends to renovate, so I figured (hoped!) 6 months would be enough time. Luckily I finished the job with 1 week to spare
I did most of the work myself (with the help of mum and dad) except for sanding/polishing timber floors, installation of blinds and some plumbing work.
Here are the details:
Purchase price: $269,000
Renovation costs: just under $8,000
Holding costs (rates, water, interest, etc): roughly $10,500
The property was rented at $180 p.w. when I bought it. I had 4 property managers give me a rental appraisal 3 weeks ago ranging between $275 - $370p.w. I suggest you shop around when it comes to PMs and don’t just go with the highest appraisal, because some over-quote. The house is now advertised for rent at $320 p.w. and I have already received 1 rental application in the first week. It’s amazing how much rents have increased the past 6 months. Back then I estimated the property renting for $230 p.w. once renovations were complete. So I’m quite stoked at $320 p.w
Property prices in the area have also risen some 30% in the past 6-12 months. I purchased just after things started heating up and was lucky for picking this up so cheaply. Competition was and still is quite fierce in the area. The house 2 doors down sold for $435k two months ago. It too was fully renovated, although the owners did a bit of a rush job and its looks quite tacky. Another ugly brick house sold down the end of my street, on the corner of a busy main road for $400k two weeks ago. Oh, and just last weekend the exact same style house as mine on same size block about 100m from mine sold for $450k! It had an older kitchen but had a separate dining room which mine doesn’t. Going by recent sales, I would estimate mine to now be worth $400-450k.
Here is a list of work that was done:
* Rip out old carpets, blinds, junk, etc
* Cut down the huge pine tree in the front yard and also the rest of the jungle in the front/rear yard. I couldn’t believe how much junk there was. I don’t think the previous tenants ever cleaned/maintained the yard or the inside for that matter!
* Replaced some rotten weatherboards and completely painted the outside top to bottom.
* Completely painted the interior top to bottom
* Kitchen, laundry, toilet and rear corridor floor has been newly tiled. Boy was this a pain in the rear! I will never tile again. Although it came out looking very good. Hehe.
* New Holland roller blinds fitted
* Existing hardwood timber floors in lounge, 3 bedrooms and corridor were sanded and polished
* New toilet fitted
* New upright gas stove/oven installed
* New laminate bench tops in kitchen and bathroom
* New basin in bathroom
* New taps in kitchen and bathroom
* Kitchen and bathroom cabinet doors painted with White Knight paint. Kitchen splashback tiles also painted with White Knight. I was impressed with the results – it looks like a new kitchen now. I used a roller for the doors however used a brush for the tiles. You can see some steak marks on the tiles. I probably should have used a roller!
* New internal doors and chrome handles fitted
* Make and install new doors for the built-in-robes in Bedroom #2
* New exhaust fans fitted.
* Re-point parts of the roof
* Landscaped gardens front and back.
There were a few other bits and pieces but I won’t go into the finer details.
I’ve just finished renovating my 2nd IP and thought I’d post some details and photos. I purchased the property in February this year and settled in May. The plan was to use the FHOG and declare it as a PPOR, which gave me 6 months to complete the renovation before renting it out. I work a full time day job Monday to Friday and only had the weekends to renovate, so I figured (hoped!) 6 months would be enough time. Luckily I finished the job with 1 week to spare
I did most of the work myself (with the help of mum and dad
) except for sanding/polishing timber floors, installation of blinds and some plumbing work. Here are the details:
Purchase price: $269,000
Renovation costs: just under $8,000
Holding costs (rates, water, interest, etc): roughly $10,500
The property was rented at $180 p.w. when I bought it. I had 4 property managers give me a rental appraisal 3 weeks ago ranging between $275 - $370p.w. I suggest you shop around when it comes to PMs and don’t just go with the highest appraisal, because some over-quote. The house is now advertised for rent at $320 p.w. and I have already received 1 rental application in the first week. It’s amazing how much rents have increased the past 6 months. Back then I estimated the property renting for $230 p.w. once renovations were complete. So I’m quite stoked at $320 p.w
Property prices in the area have also risen some 30% in the past 6-12 months. I purchased just after things started heating up and was lucky for picking this up so cheaply. Competition was and still is quite fierce in the area. The house 2 doors down sold for $435k two months ago. It too was fully renovated, although the owners did a bit of a rush job and its looks quite tacky. Another ugly brick house sold down the end of my street, on the corner of a busy main road for $400k two weeks ago. Oh, and just last weekend the exact same style house as mine on same size block about 100m from mine sold for $450k! It had an older kitchen but had a separate dining room which mine doesn’t. Going by recent sales, I would estimate mine to now be worth $400-450k.
Here is a list of work that was done:
* Rip out old carpets, blinds, junk, etc
* Cut down the huge pine tree in the front yard and also the rest of the jungle in the front/rear yard. I couldn’t believe how much junk there was. I don’t think the previous tenants ever cleaned/maintained the yard or the inside for that matter!
* Replaced some rotten weatherboards and completely painted the outside top to bottom.
* Completely painted the interior top to bottom
* Kitchen, laundry, toilet and rear corridor floor has been newly tiled. Boy was this a pain in the rear! I will never tile again. Although it came out looking very good. Hehe.
* New Holland roller blinds fitted
* Existing hardwood timber floors in lounge, 3 bedrooms and corridor were sanded and polished
* New toilet fitted
* New upright gas stove/oven installed
* New laminate bench tops in kitchen and bathroom
* New basin in bathroom
* New taps in kitchen and bathroom
* Kitchen and bathroom cabinet doors painted with White Knight paint. Kitchen splashback tiles also painted with White Knight. I was impressed with the results – it looks like a new kitchen now. I used a roller for the doors however used a brush for the tiles. You can see some steak marks on the tiles. I probably should have used a roller!
* New internal doors and chrome handles fitted
* Make and install new doors for the built-in-robes in Bedroom #2
* New exhaust fans fitted.
* Re-point parts of the roof
* Landscaped gardens front and back.
There were a few other bits and pieces but I won’t go into the finer details.
