My Latest Exchange TODAY! $32k, $18k reno, Val $130k (when reno'd) rent $200pw.

As for the security, it has builders fence


That ATF fence doesn't look the most challenging in the world to scale....seems from the photos it was there when the damage was done.


Dunno Nathan, for me even the impressive spread between val and purchase cost isn't enough to make it worthwhile.


Total cost of say 35K to acquire, plus 18K reno = 53K.


Val of 130K, can extract maybe 80% (with Bank's attitude nowadays who knows, I gather this postcode won't endear them too much) = 104K.


49K worth of fat. I imagine you'll need to park a bit of it off to the side for future damage...problems...as the kids (adults ??) who did this aren't exactly going anywhere in a hurry.


Depends how much you value your time, and what level of stress you can handle, and what you are prepared to put up with. WW's suggestion of a big family of Fijians sounds good, except if they start carrying on, you might have trouble.


You are obviously good at this type of thing given the comments on the forum from other posters, so it must work. I cannot imagine holding / controlling hundreds of these to make it a substantial business model however.
 
I have one of those now, very similar figures (val is higher, others are the same). I've had two of those before, but not such good figures on the older ones.

If Nathan's holey house came up for sale at that price in my town, I'd buy it.

*someone* has to buy the renovator's nightmares :)
 
Thanks guys....

It is in nsw fastest growing regional centre, therefore see long term cap growth aswell.

I will not be visiting the property, the renos are conducted remotely and I will do occasional stop in to see progress.

the way i look at it is $70k fat if i sell for a few hours in total of phone calls. While $70k is more then most annual wages, even 24hours worth of calls/effort, seems like a good comparison.

Funny thing is I have just started decorating my walls in my newly renovated PPOR, and I have the deeds for these cheapies framed on my lounge wall for motivation :) I beleive a 20% return pa on cashflow is good, as too a 120% return on capital is I was to sell...

I will keep posted with after pics.

I am about to upload another exchange i bought last week aswell so keep an eye out.
 
Nope, its a semi-coastal town actually.

Orange is just a price thing at present, the population isnt growing that fast at present, just prices on rumours...

Its in the hunter/coffs region.
 
Very inspiring.

Make sure you post the after pics.

As for being worth the effort, even if it only got you 20k after all expenses, for a few hours on the phone, its better than sitting at a desk for 4 months or so, working for a wage.

Well done. I may have to put you on my list of "I wish I had the time & guts to do that" list.
 
the man makes a profit, and still manages to put profit into the deal for the purchaser.

if it's win-win, i like it - it shows smarts.
 
That's a large area.:eek:

Kempsey, perhaps?

Hehehe, it is a fast growing area and a lot of potential for growth in all the Hunter region. Nice roads straight to Sydney too.

But I'm a little skeptical if a house is worth $130k it could get $200 a week rent plus how long would a house in the town take to sell?. Some small towns take a while to see homes get sold. But I like what Nathan is doing, very inspiring and sure to make a huge profit one way or another.
 
....and a few other rental returns, various Vic regional areas (cities + town), no compromise to growth it still goes oooon....our latest few rent rises:

-cost $154,000----rent $250

-$145,000----$300

-$71,000----$140

-$157,000---$320

-$89,000---$170

-$90,000---$170

$55,000---$170
 
Nice numbers OO. Great stuff.


Looks like a gross yield of 10.38% p.a., and if you take 20% off for total statutory and variable outgoings, it still makes 8.30% nett yield.


I'm impressed !!
 
Why not? It all depends on the area. One I purchased a while ago now was $25k, getting $140pw rent.:D

WE purchased a home for $10K and receive $150 week

Really, were these purchased recently or many years ago? I know you could buy a cheapie for less than $50k but it would be way out in the sticks.

Nathan or anyone else who might know, would you get renovation quotes before you put an offer on the place?
 
I already know what to budget for as cost base.

If you take too long these deals dissappear.

When found you must 98% of the time be prepared to sign on the dotted line unconditional exchange.

I always budget for any of these coincidentals.
 
Back
Top