Blocks of flats can be grouped into separate titles, unlike single dwellings. Costs depend on the current situation of the block and a number of factors including separate power meters, separate water meters, fire rated walls, council contributions, the list goes on! Regardless, the benefits generally far outweigh the costs. Your investment will increase in value if you divide your block into separate titles. This will also give you more options when it comes time to sell.
The 1,481sqm site currently accommodates three units, comprising of two x two bedroom units and one x three bedroom unit providing three streams of income, these properties have an excellent rent history. The site’s geothermal aspect and position offer great opportunities for redevelopment. You can add to, knock down or build new structures and redevelop. This property is worth a look as geothermal properties in this location and size are rare.
This can often cause your insurance to be invalidated and render the property unacceptable security to a lender. The number of households renting is on the rise each year, Tom Mc Cartney agent Manukau in homes owned by private landlords. This opens up a lot of opportunities to use property to build your own wealth.
In the US, multifamily real estate includes single developments with hundreds of units, and some investment companies own up to 100,000 units across multiple sites. NZ has yet to see multifamily investment of this magnitude. It may be down to the cost of building here or the high individual value of the units, meaning there is more profit to be made by selling each unit separately. But most likely, it doesn’t exist because no one has done it yet. The first multifamily residential investment in Australia is planned in Melbourne’s docklands.
In the case of single dwelling investments when your property is empty, there is no income being generated, thus leaving you out of pocket. When dealing with blocks of units, you have multiple doors providing multiple incomes. A vacant unit is a great opportunity to renovate while still earning income from the next units.
You may find some options are standard, but others may be more expensive. Before you choose a suitable investment property loan, you should be clear about your investment strategy. Always compare loans with similar features when looking for the right investment loan for your situation, and beware of choosing a loan with costly features you are unlikely to use. These are great options to make sure you’re still OK, even if the rules change or interest rates go up. A good mortgage adviser will assist you to find the investment property loan package that is most suitable to achieving your investment goals, working closely with your accountant and/or financial planner. With access to investment property loans from a large range of banks and lenders, your mortgage adviser may be able to save you time and money. Note that sometimes it won’t be possible to borrow the entire purchase price upfront.
Private developer, Salta Properties, intend to develop and retain ownership of a 27-storey, 260 unit complex. It is only a matter time before we see this type of investment in NZ. There are still smaller investment options available that can provide multiple income streams.