what's the catch?

[tess85]

I'm sure many of you know the phrase "if it's too good to be true, it probably is."

Just wondering, what is the catch with this property? Is it because it's in a Medina complex (and therefore like a serviced apartment which probably has high yield but nil CG?)

http://www.domain.com.au/Public/PropertyDetails.aspx?adid=2007402557

I'm trying to learn more about suitable IPs in Sydney. (reason for choosing sydney is mainly because that's where we're based, although we'll consider IPs in different cities later)

 

[Rolf Latham]

Hope u have lots of depsoit and a banker with long arms and shallow pockets.

We hate those things they are hard to get normal finance for, hence the limited market

ta
rolf

 

[tess85]

Thanks rolf. Yes I'd probably steer clear of them... I was just trying to get an idea of what the cheapest IPs out there were. I guess "cheap" doesn't necessarily equal "bargain"!

 

[Rolf Latham]

Hiya Tess

Yup, thats a good way to put it.

Same goes for many things ......

ta
rolf

 

[james_w]

I'm sure many of you know the phrase "if it's too good to be true, it probably is."

Just wondering, what is the catch with this property? Is it because it's in a Medina complex (and therefore like a serviced apartment which probably has high yield but nil CG?)

http://www.domain.com.au/Public/PropertyDetails.aspx?adid=2007402557

I'm trying to learn more about suitable IPs in Sydney. (reason for choosing sydney is mainly because that's where we're based, although we'll consider IPs in different cities later)

that'ts not that high return for that type of deal but yes very hard to get finance for I am looking at simlar for cashflow and the returns are $9500 for $55000 buy in

 

[BayView]

I'm sure many of you know the phrase "if it's too good to be true, it probably is."

Just wondering, what is the catch with this property? Is it because it's in a Medina complex (and therefore like a serviced apartment which probably has high yield but nil CG?)

http://www.domain.com.au/Public/PropertyDetails.aspx?adid=2007402557

I'm trying to learn more about suitable IPs in Sydney. (reason for choosing sydney is mainly because that's where we're based, although we'll consider IPs in different cities later)

The rental yield is only 5.58%.

Where is the good deal in that?

Keep looking.

 

[Sabitor_84]

that'ts not that high return for that type of deal but yes very hard to get finance for I am looking at simlar for cashflow and the returns are $9500 for $55000 buy in

Are you able to give further details on this deal?

Thats a very good return! Whats the catch?

Cheers,

Sab

 

[investor888]

Yes, rental yield is only 5.58%. Somehow I also get the feeling that the outgoings have also been understated. outgoings $260 per year. .
With a pool/spa/bbq, I think they meant $260/qtr. Similar unit up on domain has $317/qtr.

 

[james_w]

Are you able to give further details on this deal?

Thats a very good return! Whats the catch?

Cheers,

Sab

yep catch is you need quite a good bit of cash to buy all of them

also there studios leased back to the resort banks don't like em much if under 50sqm

 

[Carlin]

Yes, rental yield is only 5.58%. Somehow I also get the feeling that the outgoings have also been understated. outgoings $260 per year. .
With a pool/spa/bbq, I think they meant $260/qtr. Similar unit up on domain has $317/qtr.

I'd imagine that in the lease contract Medina would be liable for all maintenance and repairs.