Beachgurl, actually the property I'm looking at is in South St Marys. However I have decided against putting an offer for it. It's on Pages road with the backyard facing Pages Road. It's incredibly noisey. I feel it will not be a good investment in the long term. Doing my numbers shows $500 negative gearing before tax and I think I can do much better if I am to have so much going out....thoughts?
St. Marys South, NSW
- Thread starter n_san5
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Beachgurl, actually the property I'm looking at is in South St Marys. However I have decided against putting an offer for it. It's on Pages road with the backyard facing Pages Road. It's incredibly noisey. I feel it will not be a good investment in the long term. Doing my numbers shows $500 negative gearing before tax and I think I can do much better if I am to have so much going out....thoughts?
Pages Road... is that the renovated one listed by LJ Hooker?
I looked in that complex once a while ago at a 3br for $220k rented $310pw, the exterior photos conveniently crop out the kicked in colorbond fences, rundown lawns and other tenants who have otherwise detroyed the common property.
Better off in streets like Hall St, Barker St, Atchison St, and Saddington St. Pages road is a rat run from GWH through to Mamre Road.
I looked in that complex once a while ago at a 3br for $220k rented $310pw, the exterior photos conveniently crop out the kicked in colorbond fences, rundown lawns and other tenants who have otherwise detroyed the common property.
Better off in streets like Hall St, Barker St, Atchison St, and Saddington St. Pages road is a rat run from GWH through to Mamre Road.
Dave, it's the run down complex as you describe...
Since I no longer intend to buy it, here is the link: http://www.realestate.com.au/property-townhouse-nsw-st+marys-109241516
The front photo makes it looks so new. However I don't understand the visible sewerage pipes in both the laundry and the toilet?! I've never seen that in so many properties that I've seen over the past couple of years! This one is listed by LJ Hooker (you are right). Too noisey in the backyard. I'm sure with the area changing it COULD be a good purchase for the long term...The vendor is apparently realistic as he is going on an America trip (he lives there and the place has shabby furniture). But would it really be worth $260k-$280k after renovations (as the agent claims)?
Out of curiosity, what is your view of Putland St?
Since I no longer intend to buy it, here is the link: http://www.realestate.com.au/property-townhouse-nsw-st+marys-109241516
The front photo makes it looks so new. However I don't understand the visible sewerage pipes in both the laundry and the toilet?! I've never seen that in so many properties that I've seen over the past couple of years! This one is listed by LJ Hooker (you are right). Too noisey in the backyard. I'm sure with the area changing it COULD be a good purchase for the long term...The vendor is apparently realistic as he is going on an America trip (he lives there and the place has shabby furniture). But would it really be worth $260k-$280k after renovations (as the agent claims)?
Out of curiosity, what is your view of Putland St?
It was $259k and dropped to $249k a week ago. Why would you need to spend $5-6k on it, it woukd lease as is for $300-$320pw.
It would not be worth anywhere near what the agent says it would be, the rest of the complex would drag it down. From what I recall, only one owner occupier was in the complex, rest were rented, so there was never any votes to get any work done as the investers never showed up to AGM's.
The one I was looking at in the complex sold for $220k so I doubt that one you saw is worth much more. And even that sale took a while.
Putland/Saddington have lots of older style units in them. Some OK buying, those white brick places are on all the time. You can buy something in there for $175-190k for a 2br, paint, bunnings kitchen, new carpet, rent for $290pw.
It would not be worth anywhere near what the agent says it would be, the rest of the complex would drag it down. From what I recall, only one owner occupier was in the complex, rest were rented, so there was never any votes to get any work done as the investers never showed up to AGM's.
The one I was looking at in the complex sold for $220k so I doubt that one you saw is worth much more. And even that sale took a while.
Putland/Saddington have lots of older style units in them. Some OK buying, those white brick places are on all the time. You can buy something in there for $175-190k for a 2br, paint, bunnings kitchen, new carpet, rent for $290pw.
Dave, I believe it needs new blinds and a good carpet clean. The walls and doors are not as clean as they appear in the photos. The doors, laundry and toilet AT LEAST need a paint however the walls in the rooms and lounge can be washed with sugar soap. I was estimating painting the whole place, blinds plus carpet clean to be around $5000-$6000 (keeping in a margin for small handyman and electrical works that tend to arise). The agent actually said it could rent for $340 as it is - which I now doubt. I don't know St Marys that well. This one has a lot of noise issues...
When I asked the agent how they calculated the asking price - he said "comparables" and since the vendor bought 3 years ago the price has appreciated 5% - Clearly suggesting if you offer $242k, it will be accepted. Yeh right! As you say another one sold for 220k, why should this one be 22k higher?! Was that one 3 BR too?
Also, believe Putland St has a newer high density block too...which has had some units on and off market frequently in the past 6 months.
When I asked the agent how they calculated the asking price - he said "comparables" and since the vendor bought 3 years ago the price has appreciated 5% - Clearly suggesting if you offer $242k, it will be accepted. Yeh right! As you say another one sold for 220k, why should this one be 22k higher?! Was that one 3 BR too?
Also, believe Putland St has a newer high density block too...which has had some units on and off market frequently in the past 6 months.
The agent is just doing his "astute investor" patter. Sure other townhouses in the area are renting for $330-350 but they are a lot nicer and arent in such a rundown complex.
The one I saw was 3br, needed new carpet, but it was leased with 4 working labourers sharing so you wouldnt bother. As were others in the complex. Others in the complex had similar numbers of people living in them, almost all rented, and who didnt care.
Yeah there are some newer ones in Putland St, eg 10-12. You can find a motiviated seller and buy a 2 bedder in there for 220-240k, they will rent $290-320pw depending on position in the block.
Re North St Marys, pick your streets. There are some good family streets and some downright nasty ones. As someone said, the near to North St Marys shops the nastier. There are a couple of 3br units in a complex across the road that have been on the market for over a year.
The one I saw was 3br, needed new carpet, but it was leased with 4 working labourers sharing so you wouldnt bother. As were others in the complex. Others in the complex had similar numbers of people living in them, almost all rented, and who didnt care.
Yeah there are some newer ones in Putland St, eg 10-12. You can find a motiviated seller and buy a 2 bedder in there for 220-240k, they will rent $290-320pw depending on position in the block.
Re North St Marys, pick your streets. There are some good family streets and some downright nasty ones. As someone said, the near to North St Marys shops the nastier. There are a couple of 3br units in a complex across the road that have been on the market for over a year.
What about a little further down the train line - werrington and kingswood also seem to be performing well with lower entry points and similar yields to St mary's?
Some offerings < 200K for a 2 br with +265 a week rents
