Hi everybody,
I just wonder if anyone has ever bought IPs which are right on the train track? Would it be harder to find tenants? Do we need to lower the rent to attract tenants? Anyone can enlighten me on this issue? Thanks.
ali
Hi there
I note that we once lived in a rental property in Mount Waverley in Melbourne which was very close to the train line that goes out to Glen Waverley.
After a while the train noise becomes a given and just becomes background noise. I don’t believe we were offered any rent reduction because we were close to the train line – we paid market rent.
Perhaps a property manager in your area can give you some recommendations.I personally do not believe that you would have to decrease the rent for a property thats right on the train tracks. From my experience only a handfull of people would worry about not staying next to the tracks whereas a majority wouldnt mind staying next to the tracks. In areas like Caulfield, GlenHuntley and Carnegie (all in vic), properties next to the tracks are doing fantastic owing to the large population of international students – Saying from personal experience.
I would be careful.
If it isn’t a long time investment then its a risk because these houses never value. I have seen houses on the railway line sell for $220k around salisbury in QLD where the average is now up around $400-$500. Rent didnt seem to be affected though.
Hi Ali,
Maybe it depends on the city/area. I live in Melbourne and there has been a shortage in rental accomodation, and so rentals have gone up in a lot of places (even by the train line).
But in other areas, (for instance, Salisbury QLD in the previous reply) the situation may be different.
Kelly
Had an IP in Cannon Hill Qld that actually backed on to railway line. It was a brand new replica Qlder. Got absolute max rental and couldn’t (well actually they did very reluctantly) get tenants to move cos they just loved the trains. Value was not affected and Govt actually built one of those huge sound barriers so cannot now see trains or train line.
I have lived right in front of a train line, and although noise does fade into background with time, you do need to be in right area or have the right property to keep pace with the rest of the suburb. Exercise caution.
BrianI recall staying at my relatives house, which was right opposite the train line. Everyone in the family loved staying at the house, and didn’t even notice the noise from the trains. Except for the odd steam engine that would go past, but it was a great event rather than an intrusion. So it depends on who your tenants are. On the other hand the value may not appreciate as quickly as other areas.
But if you get the right rent coming in then you may not mind that.
Best of luck[angel]JULES1
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