These two properties ( a duplex) were bought in 2007. As mentioned in a previous post it was one of my first investments and I went for something relatively well geared.

So far, I have added value by renovating two bathrooms and am now strata titling the two units.  Rent seems to fluctuate with the state of the mining sector. At one stage I was getting $660 per week.  $330 per side up from the original $510 (combined) at purchase.  I am waiting on a revaluation when I complete the strata titling exercise, but expect around the $520k mark off the original $450 purchase price.  Less than I would have hoped, but Mackay has been impacted by the global financial market.

One thing I have found is that there has been a fair amount of maintenance (1981 build) and a lot of rental turnover.  Net result is that it this particular investment takes up more time than I would like and although it is well geared, expenses seem to offest some of these benefits.  I will do a comparison post when I have done my tax returns and give you a live example of a common question of old v new.  My new investment properties by comparison have been minimal effort and I have found a 3 bed townhouse gives some good stability with tenants.

I still remain positive over the medium to long term prospects for this investment, but so far these two properties have caused me a few headaches…

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