Rutherford IP has not been rented from xmas

[Jaggannath]

Over Christmas is always slow ... however ... the market in general is slow in the Hunter Valley atm due to issues with the mines - and with interest rates being so low that many people are buying instead of renting.

I remember thinking when you said you'd bought in Rutherford that it was a gamble with what is happening in the mines, but kept my powder dry because I figured you'd factored that in. I feel the Hunter will be slow for a while yet.

Rutherford has largely been oversupplied for a few years, mainly because of the mining downturn, but also because of all the building in the newer parts of Rutherford and Aberglasslyn.

Not to mention a lot of building near Kurri and the like

 

[Macca]

I think the problem is that you are trying to rent in summer without air conditioning, Rutherford can get Very hot.

Install AC into living area, switch on 15 mins before open house

Worth $10 a week extra rent and gets tenants before those not AC

 

[EN710]

I remember thinking when you said you'd bought in Rutherford that it was a gamble with what is happening in the mines, but kept my powder dry because I figured you'd factored that in. I feel the Hunter will be slow for a while yet.


Not to mention a lot of building near Kurri and the like

I can hold on the property for a while, I guess it was frustrating due to previous problem. The property itself is on the lower price range, so when the area gets better it will hopefully see some more CG, otherwise it will still be affordable for in case I want to sell.

I think the problem is that you are trying to rent in summer without air conditioning, Rutherford can get Very hot.

Install AC into living area, switch on 15 mins before open house

Worth $10 a week extra rent and gets tenants before those not AC

Will have a look. If this property is rented without issue in 6 months, I will install AC when it become vacant (or if tenant request, I can add additional rent)

 

[EN710]

RE Aircon
Would something like this work?
http://www.2ndsworld.com.au/convair...cycle-split-airconditioner-white-id-CV25ODU25

 

[nww]

RE Aircon
Would something like this work?
http://www.2ndsworld.com.au/convair...cycle-split-airconditioner-white-id-CV25ODU25

Its only a small unit.
You really need someone to measure the house and recommend the size.
You also need to be aware some older houses need an upgrade to the meterbox
which includes a new wire from meter to roofline connection to be able to run larger appliances.

 

[EN710]

Just a quick update - property rented now after I reduced the rent to $260

It's been vacant for 3 months and lesson learned. Better lower rent than such a long vacancy!
$20 less per week = $1400 a year
3 months vacant = $3K worth of rent

 

[DaveM]

Yep I have had that a few times, vacant in a dead/temp oversupplied market. Just undercut everyone, get it leased, then claw it back with rent increase over time