12/16-20 Hampton Court Road, CARLTON NSW 2218

We made an offer on this apartment for $721,000 and got turned down this week
– http://www.domain.com.au/for-sale/-hampton-court-road-carlton-nsw-2218-2012079562

Its a nice apartment but small for a 3br at 96m2 (check out the floorplan magic for the kitchen converted to 3rd bedroom from January to today below)

I think $721,000 is a reasonable price on something that will probably rent for $580pw (4.1% gross yield)

I also bid that price knowing full well that 12/16-20 Hampton Court Road, CARLTON NSW 2218 sold in January 2015 for $531,000
-http://www.domain.com.au/sold/12-16-20-hampton-court-road-carlton-nsw-2218-2011679621

But I figured after stamp duty/capital gains/carpet/paint/bathroom and kitchen that it was a fair increase over the original price.

At the end of the day the vendor probably will be getting a better offer….but whoever buys it is going to be having difficulties justifying the purchase price when mortgage rates go back up to 5-6% and only making 25k a year after expenses (but before interest) so it will be costing an investor about 2k per month in servicing costs over and above rent.


Unless rental rate income goes up dramatically in 2016-17 there are going to be some awesome bargains happening in Sydney as interest rates go back up.

Google maps updates

Loving the new Aerometrex close up imagery on google maps for Sydney  .....unfortunately the one part of regional country NSW I really want great images of is still the old cnes   :(

City taxes !!

Our coop got its tax bill for this coming year last week.

The new city taxes for July 2015/16 for the coop they have gone UP $1495.04 PER QTR !!

Our entire years taxes last year was $27,115.84

This year they are $32,892.10

This is for a small 4000sq ft 6 studio apartment coop in Brooklyn heights !!

WTF??

Rental yields in Sydney drop like a stone

Cant disagree with this article - http://www.smh.com.au/business/the-economy/rental-growth-slowdown-signals-residential-property-bust-on-the-way-20150626-ghxkdr

Yesterday in Sydney we were outbid on a property (well it went for more than I wanted to pay) and eventually sold for $692,000 rent was $450pw gross rental yields (3.4%) and that’s before management and expenses $6400 (2.6%) and interest $31,000 (-2%) so basically it would have been costing you $14,000 a year to service.....not bad.....but not great.

Eg if long term capital growth was 8% then its going up $55,000 per year for $14,000 servicing costs but if we have a capital increase flattening as happens at the top of a boom eg 2% per year…..then you are only just breaking even.

ABC political meddling

Hey Tony ....go suck it

Independent and choosing to question ANY political party regardless of how you feel.


- http://www.smh.com.au/comment/abc-is-a-public-broadcaster-not-a-state-broadcaster-20150625-ghxt5m.html

The knives are out for QandA

http://www.news.com.au/entertainment/tv/tony-abbott-calls-qa-a-lefty-lynch-mob-as-abc-agrees-to-external-review-of-the-show/story-e6frfmyi-1227411028293?from=public_rss





lol want to know what a grave judgment is.....invading Iraq, supporting the USA overthrow of middle east, over throw of Libya, funding and continued support for the USA insisting their own version of political "religion" is right, allowing marines to be based in Darwin pissing off one of our biggest trading partners.

 
Basically unless you are a north shore boy speaking the governments version of #TeamSpeak you're a danger to society.

You know who I think is a security risk.....having Turnbull running the country and making any decision higher than what should be on the tuckshop menu this week
- www.LivePoliticalChat.com/dean.collins

Verizon getting sued by deBlasio

Is it wrong being so happy that Verizon is getting sued for not delivering as promised to NYC residents in order to get tax benefits.
First thing that deblasio has done I've actually agreed with :)

- http://arstechnica.com/business/2015/06/verizon-ordered-to-finish-fiber-build-that-it-promised-but-didnt-deliver/

Cash for smugglers

Yep they did it, guilty as sin based on this photo.
https://t.co/muVjxOzM8g

Nice to know this is where our tax dollars are going.

Scrap stamp duty? Yes, then tax the family home

Michael, you must be off with the fairies OR you're being paid by some lobby group - I tell you what how about you also "tax" every Australian shareholder.
If this tax comes in then all that will happen is Australians will dump property and move into equities.


Stupidest idea I've heard this week.......and its only Monday.

- http://www.smh.com.au/business/the-economy/scrap-stamp-duty-yes-then-tax-the-family-home-20150615-gho0gt.html

Forbidden Colours

Its that kind of a day :)

https://www.youtube.com/watch?v=x1YkHJJi-tc