I have found a property with a house and a unit on the one tittle. They are asking around 400k for this and the projected rental income would be around $560PW between them.
I have a few issues however: -only 10k deposit (and thats if I redraw it out of my first IP loan…) Although I have around $113k equity from my first IP. -I cant decide if I miss this property and sign up to the RESULTS program or buy this property and join results in 2010?
I purchased my first IP in 2004 that was valued at $250k but I scored it for $240k as it was my nans house. My parents lent (cough, gifted it too me…)me $50k for a deposit. The original loan was from GE finance for 192k. Last year i refinanced to Mystate(a local company), once again I went with a P&I loan. My current rate is 5.21%. This loan was for 189k and I currently owe around 179k, so basically I have 10k redraw. The house was valued at 295k in 2008. I currently lease this for 285 PW but thats going to go up to 300PW very soon…
SO…., do I buy the House/unit and even strata tittle them and sell one to reduce debt or do I just go and sign up for the results program? The property seems to good to miss considering your getting 2 properties for almost the price of one… The almost non exsistant deposit has me a bit worried too…
As a builder, id personally totally avoid it. The going theme in the building industry is that "asbestos is safe if you dont damage or disrupt it"…
What a absolute load of crap that line is….
Any house ever built always has dust left over (more so older dwellings!) in the ceiling spaces and wall cavities. You can imagine the asbestos dust up there from when it was built and from the wind and sun breaking it down!!!
Even if they remove the sheets, you are still risking this dust being exposed to whoever is inside the house. Multiply this by 100 if you have or fit downlights, the amount of dust these things let in is unreal
Some will argue that the asbestos removal firm will vacumn the dust up – and the good contractors will, but there is only so far they will go. It s the sort of situation "where do you start and where do you stop" haha.
Personally I Dont think it will go ahead – well not just yet anyhow, until the Walker corp convince the haters that it is a good idea.
Personally I like the idea as I think the area is gross, but it does need a lot of planning and some form of protection would be needed if these blocks were to shift in the future causing damage to the houses that they build there. But yeah, with Glebe Hill estate up the road, Rokeby and Clarendone Vale may be worth looking at in the next boom as the bogans sell up to make a profit and move to the outer suburbs – just like they have done with Mornington and Warrane which scrubbed up quite well after the last boom.