New Home Forrestfield

Hi I am currently gathering information at the moment about building a 4x2 home in Forrestfield WA as a investment property. My reasons is that I know the area quite well, there is money being invested in the area and I am looking at purchasing new so I can get the most of the depreciation out of the investment as I am in the higher tax bracket

just wondering what other investors thoughts are on the area and it potential for capital growth?

packages I am looking at are around $450 k turnkey
 
Forrestfield typically has larger lots.

Is the $450k for a house and land package on a newly developed 300sqm lot? Not necessarily bad but does make the comparison to a lot of other houses in the area difficult.

What rent return are you expecting?
 
the house and land package is for a 440 square meter block, the house and land package is for $423k but add a extra 30k for landscaping carpets all that stuff.

rent would be at the moment would be from $500 - $550 as there isn't a lot of brand new houses to rent in the area except for the new estates in Wattle Grove and the one on at the minute is asking over $600

maybe you can ask another question of mine also, while the house is being built you are obviously paying off the land, is the Interest on the loan Tax deductable even though it has no tenant?
 
Top