Looking on Realestate.com.au & came across this :-
http://www.realestate.com.au/property-house-nsw-lethbridge+park-112587643?rsf=emailalert-propdetails
3 bedroom house in lethbridge park with a granny flat out the back asking $410000.
Developer purchased in sep 2012 For $235k, put a GF on the back, so with a quick calculation total cost inc closing costs & GF build etc would put it at around the $345k mark, after selling costs @ $410k ( if he gets that) I calculated a very rough estimated $32k profit after cg tax & sale fees etc but before income tax & excluding holding costs?
What do you guys think? I'm not sure it was worth the headache to buy develope & sell so quick.. I think he should have held it for a few years and made the most out of the positive cash flow.
would love to hear your thoughts.
Waz
Hi Waz,
Are you familiar with the area? Pros; Good cashflow. I think they have been modest with a return of $32,000 per annum and you will get good depreciation on the back dwelling however Luxford Rd is busy road and too be honest not a pleasant rd. I also don't think that you can subdivide the dwellings at a later stage due to the land size.
I think this a good buy if it can be picked up in the mid $300's.
TheFinanceShop | Elite Property Finance
http://www.elitepropertyfinance.com
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