Hi everyone!
My husband & I paid our homeloan
and are now looking for an investment property. We both work fulltime and have no kids yet. We wish to buy for the long term. I am currently researching Mandurah as I noticed many nice properties near the water for under $400K. The prices in Mandurah have come down considerably, but I am concerned about the rental income and vacancy rate. I am not buying for positive cashflow, rather for capital growth, however, it would be much easier if the rental income could pay as much as possible of the interest as the lesser the rent the more we have to fork out each month. The vacancy rate in Mandurah is also higher than it is in other suburbs, my question is, do you think Mandurah will improve rental income & vacancy rate and therefore capital growth after the rail line and new freeway go through or is this just a myth? It's believed that many more people will like to live in Mandurah then for its lifestyle near the water & convenience of the train & freeway to go direct to Perty City.Thank you kindly for your input and any info you may have that I am not aware of yet.
Kind regards,
Eliane
Hi Eliane,
Cashflow can be a hard thing to find but I think we have found the answer by turning one of our townhouses (4 yrs old) in Victoria Park into short-term holiday accommodation. I started on the 1st May and so far have 6 bookings at $180.00 per night. The minimum stay is 3 nights but most people stay for 7 nights. Not only do we get the benefits of Captial Growth but we also have CASHFLOW. Cleaning takes about 3-4 hours per stay and the townhouse is fully self contained.
This could be something to consider.
Katrina
and are now looking for an investment property. We both work fulltime and have no kids yet. We wish to buy for the long term. I am currently researching Mandurah as I noticed many nice properties near the water for under $400K. The prices in Mandurah have come down considerably, but I am concerned about the rental income and vacancy rate. I am not buying for positive cashflow, rather for capital growth, however, it would be much easier if the rental income could pay as much as possible of the interest as the lesser the rent the more we have to fork out each month. The vacancy rate in Mandurah is also higher than it is in other suburbs, my question is, do you think Mandurah will improve rental income & vacancy rate and therefore capital growth after the rail line and new freeway go through or is this just a myth? It's believed that many more people will like to live in Mandurah then for its lifestyle near the water & convenience of the train & freeway to go direct to Perty City.
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