Hi All, had my chat with the agent. They are saying 10% return – which is a little short so they are only just pcf. But they are getting back to me with more details. But I have discovered that there is more than one for sale – all are tenanted with a waiting list for new tenants to move in. Only 150m to bank and shops and on bus route. The agent is saying you should make 30 – 80 pw depending on your tax situation – however these calculations are all presuming I offer 185,000 – if I offer less and its accepted then obviously i’m more in front. Does anyone know how depreciation will affect this deal – if its 10% return plus depreciation and building depreciates at 2.5% plus depreciation on f&f at ?% (don’t know how they depreciate fixtures and furniture) does this get it well into the 11 second rule then??? HG

Hi All, more info – its a duplex with current tenants in place for another 12 months, 2 years old, asking 185,000 with a net rental return of 246.00 pw. The agent states (and I know its true) that recent info in the area says to expect a 10% growth over the next 12 months, I am expecting a phone call back re the property after 4 pm today. HG

[] many thanks guys – found the link and now some of the posts will make some more sense. Hmmm – more reading. HG