Hi,
I recently joined this site.
My husband and myself are in the process of looking for our first property investment. We've actually started looking a year ago.At first, we considered DHA but it didn't pass the valuer (their price bit higher than the market), so we didn't push through.
Second, we went to house and land package from real estate agent with 6mos guaranteed rent etc…, the value for the land was reasonable but the building turned to be overpriced as per the evaluation report from our lender (or lender's valuer), so we didnt push through as well.
Now, we're thinking of getting a land then build.
We found a block of land in Parafield Gardens, there's new development going on that area.
Does anyone know if the suburb is good place to invest?
This will be our very first time to build a property and this will be our very first piece of investment, any advice/tips are much appreciated.
Thanks.Hi guys, here's where you have to make the big decision! According to the net Parafield Gardens (5107) can expect 12.2% growth in the coming year.
28% people rent vs (27% Adelaide) and there where only 7 properties for rent on one particular site I checked ranging from $210 to $300. So far ,so good.
There are now about a zillion questions you need to find answers to (promptly) in order to find out if you do want to part with your cash. We built last year and there are plenty of benefits if you can pull it off and get a reliable builder to finish the job promptly.
Ask your solicitor about some horror stories of people buying land and the builder or developer going belly up. You need to know both sides of the story.
Forget any building work commencing the this year and probably all of January.
You can get clauses in your building contract that state the building will be completed by a certain date and you will receive payment if that doesnt occur. Better then nothing
Some of the questions are, why do people live there?
Is there a local school / hospital?
I noticed its near an airport, would this be a turnoff for some folk / noise?
What rent do you expect?
What does the local council have to say? Is there tip / highway / shopping centre planned?
With a new property it may attract a more stable tenant and it certainly has the tax benefits through a depreciation schedule.
Lastly talk with your team Solicitor / mortgage broker / accountant.
What sort of repayments are you expecting? Fixed rate / interest only ? Can you tolerate to 'feed it' for a protacted period?
So good luck and get busy. ByeThanks for your advice and for the info projection of the growth in that area.
We placed hold on a block of land and looking forward for the contract.
We plan to have this investment on Interest only, whether fixed or variable we dont know yet (which one is better?)
We might also re-structure our current home loan from variable offset into fixed and variable (so we can still offset to portion of the principal).Does anyone can recommend builder? who can deliver quality house but not so expensive?
cheers,
Eva
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