Hi guys,
I'm a new (wannabe) investor
I believe you guys mostly are more experienced. I really hope that you guys would mind to give some advice:
Yesterday I went to see a property which is advertised for $440K-$470K
I havent done many inspections, but have done my research mostly based on reports that I could find from reastate.com.au, etc, and the last 2 houses in the area which looked quite similar in structure & size to this house were sold for $400K(Aug 09) and $420K(Oct 09-this house looked very well maintained & decorated a bit like a display house).
The house that I inspected yest is 8 yrs old, currently tenanted. I havent called for any building + pest inspection yet, but it seemed ok, only the carpet might need to be replaced and the cooktop looked dirty.
So based on this, I concluded that $420K is the fair value for the house, or $430K the most.
However, I chatted with the REA yest, and he said the vendor has rejected an offer of $420K. Hmmm....
My questions:
1) Have I done my research wrongly? Does $420K-$430K seem right to you? Or you guys reckon that they price might've already gone up since Oct last yr?
2) Should I offer >$420K straight away? Let's say starting from $425K? Since REA said $420K was rejected before?
3) Should I do any building + pest inspection for a 8 yo property?
Please.. please help me...
Thank you in advance
I'm a new (wannabe) investor
I believe you guys mostly are more experienced. I really hope that you guys would mind to give some advice:
Yesterday I went to see a property which is advertised for $440K-$470K
I havent done many inspections, but have done my research mostly based on reports that I could find from reastate.com.au, etc, and the last 2 houses in the area which looked quite similar in structure & size to this house were sold for $400K(Aug 09) and $420K(Oct 09-this house looked very well maintained & decorated a bit like a display house).
The house that I inspected yest is 8 yrs old, currently tenanted. I havent called for any building + pest inspection yet, but it seemed ok, only the carpet might need to be replaced and the cooktop looked dirty.
So based on this, I concluded that $420K is the fair value for the house, or $430K the most.
However, I chatted with the REA yest, and he said the vendor has rejected an offer of $420K. Hmmm....
My questions:
1) Have I done my research wrongly? Does $420K-$430K seem right to you? Or you guys reckon that they price might've already gone up since Oct last yr?
2) Should I offer >$420K straight away? Let's say starting from $425K? Since REA said $420K was rejected before?
3) Should I do any building + pest inspection for a 8 yo property?
Please.. please help me...
Thank you in advance