I own a 2 br unit in a large regional centre at what is a pretty good address. There are 9 units in the complex, all on one level.
My problem is with the occupants of one unit in particular – I feel that the value of each unit in the complex would increase by at least $10k if they were to move out. They are raising 3 young girls in said 2 br unit, have visitors at all hours of the day (usually to buy drugs), leave rubbish and toys strewn all over common property, and, quite frankly, after recently viewing the inside of the property from the front door, I wouldn’t raise a dog in there, for fear of its health.
The police have previously been informed about the drug issue and conducted their own surveillance but did not gain any conclusive evidence.
If DOCS were informed about the conditions they are raising 3 children in, I am almost certain they would remove the children, but that would result in the nieghbours staying there…
Apparently they live there rent free, as the place is owned by an elderly relative, or has recently been signed over to them.
I would like ideas on how I might encourage them to move out – I have thought about finding out exactly who owns the place and giving them a reasonable offer, but this is perhaps a bit drastic…
I also wouldn’t mind putting them on the tenant blacklist if possible, purely to save any other investors the problems they would certainly face if they were to move out of where they live now.
Anyone else with similar experiences?
Age doesn’t negate effort – you can never be too young or too old.
I like the offer side of it.
You could do some due diligence and prove that all units may rise in value if they were gone. If so maybe some of the other owners would join you to make the offer. Call it the Neighbours From Hell JV
Regards
JohnInspired Finance
(02) 9944 7776Hmmm…
The more I think about it, the more I like the offer idea too – especially if I can get it at the price it is worth in its current state.If I could use its current state as an excuse to put in a very low offer, I could spend about $20k on it to increase its value by about $60k and then lease it (TO GOOD TENANTS) for a rate that would probably be CF +ive, or break even at worst.
If at all possible, I’d rather the occupants (whether they do or don’t own it) didn’t know it was me who was offering to buy the unit…
Any ideas on that???
Thanks heaps!
Age doesn’t negate effort – you can never be too young or too old.
You can get real estate agents to act on your behalf to purchase.
You can use a company trust structure to purchase and ask the RE agent to make sure that your name is not on the contract anywhere. The biggest problem is the address, so you would need to register at a family members address.
If you already have a company trust structure, a change of address is easy, and a rechange of address before settlement. Talk to you solicitor about the ramifications of just using a different address on the contract.
But if you do not have the structure already in place, then this is an expensive item to set up unless you get to use it. I take it there will be other purchases, so the structure can be used elsewhere if the offer fails.
Regards
JohnInspired Finance
(02) 9944 7776Thanks so much!
Wasn’t sure if it was possible at all – will speak with my solicitor and REA about it.
I personally will be moving out of the block to lease out the unit I currently own, hopefully in the next 6 months or so, so the change of address issue will occur naturally and the rent I earn will further assist in obtaining finance.
Thanks again – feel free to add any further advice if I’ve missed something or similar experiences.
Age doesn’t negate effort – you can never be too young or too old.
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