I am intending to purchase a 3 bedroom house around south eastern side of QLD (Kingston, Woodridge, Loganlea, Marsden, Logan Central or Kuranby). My rental manager is willing to manage the property for me on per room basis and the insurance is covered (no students due to restriction of insurance policy). I would like other’s opinions on this:
In this strategy, I am not competing with students looking for people to share house with? Does this strategy make sense to anybody?
[biggrin]
Cheers
johnWant to join financial independence before 31 years old, currently 25
Maybe it’s past my bedtime but I don’t really understand…..sorry!?[blush2] Who, apart from students, would be interested in renting just a room, anyway? Sorry John, I am unsure exactly what strategy you have.
Redhaven.
RedHaven
I am intending to rent out each room individually to either working professionals or welfare recipients, all utility rates will be included in the rent..
Cheers
johnWant to join financial independence before 31 years old, currently 25
Someone who works professionally would have the income to rent their own premises. And if they wanted to share, they would rent with a colleague or friend of their own choosing.
Based on experience of renting my properties and renting myself, I think the concept is not reading the needs of your prospective tenants. However, I am happy to proved wrong if it works for you.
I would suggest this is not a good way to “join financial independence” in 6 years.
Cheers, F.[cowboy2]
A friend of mine lives in a share house and loves it.
She enjoys the social interaction with people of different backgrounds, but can still retreat to her own space when she wants to.
She says it is a great alternative to the high cost of renting a place of her own.
From what I have seen, it works well and there is a demand for this type of accommodation. (Empty rooms are filled quickly).
Also a great way to boost +CF, rather than renting the house out as a whole to one person or family.
Your strategy makes sense to me! [thumbsup2]
Regards,Sharon
Hi John,
I agree with Sharon. I also have a friend who lives in a share house and loves it. The couple who own it apparently have 2 in Melbourne and have included all utilities in the rent, plus they cook all the tenants a hot meal every night. I couldn’t tell you if it’s making any money, but the house is always full.
Landt.If you read an article at the bottom of the front page of today’s Age entitled ‘Lonely? No chance, say young women sharing digs’ I think you’ll find that it holds true to people share renting. The article’s main focus is more on how women are less lonely than men. That aside, it talks about how room mates sharing enjoy it. I know I did.
Cheers,
Gatsby.Managing one tenant per property is hard enough sometimes leave alone 2 or three. Be very careful as sometimes the $$ on offer get chewed up by increased maintainance or insurance or other costs due to several tenants that “dont care coz its not mine”.
Not something I would do.
DD
PS146 Certified Financial Planner
Don’t sweat the small stuff,and it’s all small stuff!!
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