[SOLD] Keen Vendor Means Your Gain- Potential 11.4% Gross Yield
11 Frank Street, Koutu, Rotorua - $262,525
Keen vendor means your chance to obtain a high yielding investment with room to add value and increase yield.
What are the chances of finding a property that is advertised as two three bedroom homes that actually has one that is a four bedroom and should have been advertised and rented as such! Average market rents in the area are $250 p/w for a three bedroom home and $330 p/w for a four bedroom home.
Two solid homes in good rentable condition with tenants in place, so no need to worry about finding a tenant over Christmas and we can recommend a good property manager and an added bonus is they are on one title so no extra rates to pay.
Front home is three double bedrooms with a fourth single bedroom. The interior of the property is tidy, carpets in reasonable condition, and paintwork is a bit marked but nothing too major. Lovely open plan living/dining kitchen area with ranch slider for good indoor /outdoor flow. The kitchen even has space to add a dishwasher, with a formica benchtop and plenty of cupboard space. Bathroom is a little tired and would one day benefit for the addition of a new vanity unit but it has the added benefit of both a bath and separate shower. The toilet is separate.
This home is perfectly suitable to rent as is and there is no delayed maintenance required apart from the spouting being cleaned. To add value in the future the walls could be repainted a lighter colour and the curtains could be replaced, add a dishwasher and change the fencing layout to create better privacy.
The rear house has a very large lounge area opening onto a concrete patio area. This lounge area could potentially be made smaller and an additional bedroom created and rent increased. A bright and sunny kitchen with plenty of cupboard space complete with a range hood and stainless steel bench top and also room to add a dishwasher. This area has a breakfast bar opening into the lounge/dining area. A more recently renovated home the bathroom has a newer vanity, shower over the bath and glass shower screen. Three good sized bedrooms open off the hallway.
Each house has its own single garage, the cladding at the front of these need a little maintenance.
To add additional value to the property it would be worth rearranging the fencing. The driveway area is particularly wide and would allow for the front house to be fenced to provide additional privacy and safe area for the children to play. Potentially this would also allow for separate access to each home.
The vendor of this home wants it sold quickly due to a change in circumstances. There is scope here to get a good yield and with very little expense add value and increase yield and equity even further.
Frank Street is a lower socioeconomic area of Rotorua but it is close to town, the hospital and the local park.
These homes represent a great yield for the area and will be popular as a rental for this demographic. Rental houses are in short supply and having a four bedroom home with a good yard will be very popular.
Debbie Van Den Broek
Licensed Salesperson - REAA 2008
021 131 6119