Hi Everyone,
I wonder if anyone could help me with this one
I bought a weatherboard 2 bed house in the NSW country 8 months ago for 108K, land is about 650sqm
Currently renting 160/wk, I was told y agent that i could sell it for 120K now, it seems to me it is not a good time to sell.
Should I sell or not? or should i renovate?
I reckon selling it for 120K, I won’t make anything after agent commission & legal
Thanks
Just personally, if it was mine, I’d hang on to it. You are right that there wouldn’t be much left in the sale for you. Not only commission and legal but taxes will eat into your potential profit. Maybe some minor renos to increase rental return and value of the property. That’s just the way I see it.
Regards,
SonjaEven if you sold it at a profit now (and the profit would be tiny after expenses), do you think it would be worth it after all the research/hassle of buying it in the first place? I’d say hang on to it for at least another 9 years, 4 months
To me the answer lies in why you initially bought the property and whether or not it is doing the job you wanted.
Bear in mind the agent’s ‘sale price’ may be a little ambitious in order to secure your listing.
Any profits you are planning to take at the moment will be eaten away either through agents fees and/or CGT liabilities. If you plan to sell then wait until 12 months have expired so that any CGT liability is halved.
Property is not a get rich quick scheme and 8 months is a very short time frame in the life of a property investor.
It may be useful to identify the locality as others may have some detailed information about the area that may help in your decision making process.
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping.
Why would you sell it?
The agent only wants to earn a commission.
If you have too sell that is a different story. And if so, why not sell it privately.
Can you subdivide the block?
Byronent
Adelaide SAcan you put up an internal wall to make three beds from two?
How old is the decor? Can you paint and throw on some new handles/fittings?
If the zoning is village and the block is big enough, you may have a dual occupancy option (two houses connected by a breezeway or something like that)using one of the many free houses for removal.Again if it is village zoning, what is the demand for commercial property in town? a few hundred dollars for DA might inmprove your returns with a commercial tenant.I agree with all of the forum thoughts. The only one to make money here is the agent with his commission selling it for you and then again when he resells.
Jenwren is on the money with her increasing value tips, could easily do any of these to add $’s build equity and start increasing your port folio!
Cheers
Jenny[biggrin]
Jenny1
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