Options for PPoR <10km from Perth CBD

perthguy said:
Saw that. I don't even mind the approved DA design. It's pretty good. Any idea how bad the front house is? Is the back block very steep?

For me, this is in a pretty good location. Value to be added with the front house through renovating... as long as it's not too bad. Potential income from renting out the granny flat.

Dislikes are a possibly steep back block + if it is so smart to build on the back, why did the vendor not do that instead of selling? What does the vendor know that I don't?
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Give Tom a call - he's a mate of mine and you might be able to find out about the sellers motivation for selling.
Some people will go through the motions of developing to make the sale more attractive, some people have the intentions then lose their mojo/job/desire, some people have relationship breakdowns ect ect
 
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westminster said:
Give Tom a call - he's a mate of mine and you might be able to find out about the sellers motivation for selling.
Some people will go through the motions of developing to make the sale more attractive, some people have the intentions then lose their mojo/job/desire, some people have relationship breakdowns ect ect
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Cheers. Good thinking.
 
westminster said:
Okay, got one for you
http://www.tcrealestate.ca.com.au/c...nfo4.cgi?clientid=tcreales&propertyid=5955397
Embleton is one of my fave suburbs and is one of the easiest for retain and build because the original houses are often to the front and small (no attached garages) and renovate well.
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Already under offer. I was interested in this one but wanted to view before purchasing. Wasn't sure of state of original house/granny flat. also with the slope on property. talk to some builders though and and got a few estimates of around 20k. So with all that that you could have made around 15% return according to my numbers. okay I guess - all you guns on here say 20% min though.

House was picked up sight unseen and offered over asking price by the way. just goes to show these properties are still very hot!
 
Just shows how hot the market is.

I got a look at this property prior to it being listed, however I was concerned about the slope of the block and also the front property which is so ugly would impact on value if building at rear IMO.

My g/friend who is a designer mentioned that when you get ugly, there is no choice other than hide the house or bulldoze it, she had a look at it and basically said you would need to place a new carport at the front and it would need a certain design and money being thrown at it. Just got too hard for me.

MTR:)
 
MTR said:
Just shows how hot the market is.
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Is it hot or was that a good price... or both? (answer: both)

There are others around:

$595,000 http://www.realestate.com.au/property-house-wa-embleton-115865603

$550,000 http://www.realestate.com.au/property-house-wa-embleton-115298223

$629,000 http://www.realestate.com.au/property-house-wa-embleton-115934335

I note the $550,000 is a potential retain and build requiring extensive and expensive mods to the house that well may be cost prohibitive.

Compared to the above, $579,000 for Doherty Street seems like a bargain.
 
A sloping block away from the road 1.5 - 2.5 metres can cost you $35,000+ in additional site works/retaining etc, does it really become a bargain??

To be frank I am not really that keen on keeping old front properties and building at rear, the only way I would be keen on this is if:

1. The property at the front had character/attractive, little work or not work required.

2. Higher end product, such as character home in Maylands, Inglewood, North Perth, Mt Lawley etc. People pay top $ for this stuff

3. Of course this being said, the numbers would need to stack up even it met this criteria.

Unfortunately these properties in Embleton are pretty average IMO, however I can see the attraction if you are happy to do the work and save this way.

Too much work for me for too little gain. Maybe 10 years ago I would be up for this and DH would be running around fitting new kitchens, seriously I am over working that hard, especially when it can be much easier.

Don't mean to come across like a tosser, just calling a spade a shovel, not for me that's all.

MTR:)
 
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MTR said:
A sloping block away from the road 1.5 - 2.5 metres can cost you $35,000+ in additional site works/retaining etc, does it really become a bargain??
Click to expand...
Probably not. I never ran the numbers on it.

MTR said:
To be frank I am not really that keen on keeping old front properties and building at rear
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IMO, it's usually a short term proposition to keep cashflow coming in. What I have seen is where there is a rentable (or rentable with work) house at the front and an opportunity to build at the back, you can generate positive cash flow. That retained house would likely have to be knocked down and rebuilt at some point. That can throw the numbers out and make them not stack up.

MTR said:
Unfortunately these properties in Embleton are pretty average IMO, however I can see the attraction if you are happy to do the work and save this way.
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I've only ever seen one that impressed me as a retain and subdivide in Embleton - Gatton Way. Listed for $435,000 - $475,000, on the market 48hours and sold with 18 offers for $552,000 in May last year.

MTR said:
Too much work for me for too little gain. Maybe 10 years ago I would be up for this and DH would be running around fitting new kitchens, seriously I am over working that hard, especially when it can be much easier.

Don't mean to come across like a tosser, just calling a spade a shovel, not for me that's all.
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To me, you are not coming across like a tosser at all. It's all true. The current batch on the market are overpriced rubbish as far as I'm concerned (without looking inside).

I'm just finishing up a 4 month (mostly DIY) reno of the cloverdale rental with my investment partner. While I find the work very rewarding, we are both exhausted, so I would not take on a major reno project for a few months. Still, it's worth it for me to follow the market so I know where things are at when I get finance to buy the next IP.
 
DANG IT!!! :mad: :mad: :mad:

I really, really, really wanted this one ***

http://www.realestate.com.au/property-house-wa-cloverdale-115851815

*** until a site inspection, then I probably would not have.

Anyway, likes:
* zero street appeal = opportunity to add value
* ready to rent out without any work
* nice big back yard for my new PPoR :D
* close to Belmont forum
* good price for a retain and subdivide in that condition

Not to like:
* one bathroom in a 4 bed house is dumb
* small laundry, so chances of converting to a bath/laundry combo are limited
* the house is too close to the boundary and would have to be modified to get 3m clearance. This could have been very expensive and would have likely made the whole deal NOT stack up.

Oh, well. Get my house rented and get the loan process started with the bank and I might actually be able to put an offer on the next one... :D
 
19 Sudlow is not stacking up at $629k.

http://www.realestate.com.au/property-house-wa-embleton-115934335

As a retain, you would have to demo the added on games room to get access to the back yard. Block has a slope of maybe 3m over maybe 45m. Is that a lot?

Although, it is closer to the golf course. I think that makes a difference in Embleton. It will be interesting if it hangs around. The only other "retain" and subdivide I know of that went over $600k was 28 McGregor St. http://www.realestate.com.au/property-house-wa-embleton-115204471

But there is a million dollar house next door so ...
 
perthguy said:
I am currently exploring options to purchase a PPoR to move into and live in long term. Because I cycle to work, my new house will preferably be located within 10km of the CBD. These are the options I am investigating:

1. Retain and subdivide where I would build a my new house on the back block. Pros: cheap land for my house + rental income from the front house. Cons: price, location, condition of retained dwelling. My budget for purchase would be around $600k which I think won't happen within 10km of the CBD. An example of what is around which IMO is $200k what I would be prepared to pay:

http://reiwa.com.au/Buy/Pages/More-...1&listingid=10410827&listingno=3412622&puid=0

2. Buy a block and build. Pros: I get what I want in terms of a house, stamp duty. Cons: size of blocks, price of land, location. I want a block around 350sqm or bigger with a budget of around $300k. Again, I can't see this happening within 10km of the CBD. It's just that for what I want to build, something like this seems very small:

http://reiwa.com.au/Buy/Pages/More-...1&listingid=10406423&listingno=3408215&puid=0

3. Buy an established good house. Pros: nothing to do, just move in. Cons: price, stamp duty, location, decor, lack of outdoor living area. My budget would be around $550k for something pretty good. For example, there is nothing much wrong with this... except the price:

http://reiwa.com.au/Buy/Pages/More-...1&listingid=10395588&listingno=3397370&puid=0

4. Buy and renovate. Pros: add value, select own decor. Cons: price, stamp duty, location. Budget would depend on the condition and potential end value. For example, I would tackle something like this if I thought the end value would make it worthwhile.

http://reiwa.com.au/Buy/Pages/More-...1&listingid=10407667&listingno=3409459&puid=0

Because I am going to live there for a while, I would like a 3 or 4 bed which must have two separate living areas, close to shops, parks and public transport, off busy roads, not too close to a school, not near a drain or drainage reserve with a bit of yard to play with. These properties are possibly quite rare within my budget.

Any ideas?
Click to expand...
http://reiwa.com.au/Buy/Pages/More-...1&listingid=10422820&listingno=3424626&puid=0
Does this suit your option 2?
 
Tulamalula said:
DANG IT!!!

I really, really, really wanted this one ***

http://www.realestate.com.au/propert...dale-115851815

I saw that one, ugly as sin on the outside. It's zoned R20, not in proposed rezoning and only 848sqm, how could you build a PPoR in the back?
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5% lot size variation. I actually liked that it has not street appeal... opportunity to add value. What I didn't like was no 3m side access. Could have been VERY expensive to fix.
 
perthguy said:
Potentially. I will have to check it out. I would be worried about noise from tonkin though
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You do hear the noise if you were out in the yard. I don't think you'd hear traffic while indoors. There's a few villa's around for sale - it would be worth checking out noise levels viewing them! Possible the new villa's on 380sqm are better value than the hassle of buying land and building?!
 
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