If the property is 40+ years old there is no building write off, and unless some major new stuff has been added to the place ( aircon, stove, carpets, etc) in the last couple of years there is nothing there either

Barry

You are in for a class 3, so fire hose reels, exit signs, etc, 1b is 13 or less

My broker said that he has insured a old church over here converted to student acc so it is commercial not residential and was under 2,000, he ran me through all the reasons why they can etc, so will pm his details to you.

To Mr Wolf, I have 8 rooms, return 1,100 p/w, my average investment cost me 100 p/w to hold, rates, insurance, management etc, this one is 300 p/w elec/gas/water/internet

Barry

Hi
I brought in Palmaston, Darwin 7 yrs ago, Delfin estate, purchased 227k now 500k+ rent 490p/w, speaks for itself.

Bary

Hi

I have student accomodation in Adelaide, 8 bedroom house, if you want the return it does not come for nothing, sometimes I don't have any hassels for 3 mths, then all at once, it is basically having 8 seperate tennants.
Don't have a lot of time now, however if you want to list questions, either pm me or on here I would be glad to help.

Barry

Hi
By the look of your user name you are a builder so I take it you understand the build regulations on this type of house, as in more than 5 individual tennants its a 1b, if council has approved this you should be able to show it to a insurer and all should be fine. I have student acc in Adelaide and have policies with CGU and they were told what type of house it is. If it is not council approved or set up as a 1b don't worry about insurance as they would not pay you out once they found out anyway

Have fun

Barry

Hi Tom

I remember when Dysart was under $100k for a house and during the last boom before the GFC these houses tripled in price. The main thing with these areas is to get somewhere where new mines etc are happening. The qld gov has a web page that covers all these areas telling you existing and new mines etc, sorry can"t find the link, start with Bowen Basin/ qld gov type search. Dysart and surrounds have come back a bit in the gfc, with prices, rental returns and employment, if you look any existing properties with a lease they still hold a good return, any looking for a new lease are now not as good a return.
Because these towns rely on 1 thing to survive you need to understand coal and the future of coal and base your decision on that.
As far as your deposit for a ip you will need 20% + costs, so for a 400k purchase you will need 50k approx, even at 80% lend I would believe some borrowers would want lmi

Have fun

Barry

Well I have just joined so I am able to comment on this topic.
There are heaps of cf+ properties available!
I brought sept last year, with a 13% return. Either those who know stuff don't want others to know, or want $ to tell.

Have a look at Port Hedland, WA
Have a  look at Morranbah, QLD

Understand what is going on in these communities, one is coal based the other iron ore. Do not jump without understanding first.

I have a house for sale in Adelaide for $550,000, it returns $1,100 PER WEEK.  A normal house costs me $100 a week to own for costs like rates, insurance, maintenance etc. This one cost 300p/w, so you do the numbers.

I am an investor only and I make my living from property, I do not develop or renovate, just buy houses.

Maybe this sort of thing has been said before, I couldn't read all 16 pages. Hope it sparks some interest