The new investor playbook - Owner occupier properties with investor yields
Ten townhouses at Bayside Frankston priced from $885,000, moments from the beach with very strong rental returns. Invest today, sell at an owner occupier premium tomorrow.
Has the property investment playbook changed? possibly, with the new tax system. To access capital gains tax concessions and negative gearing benefits investors can only buy brand new. So savvy investors are now asking about their exit position, and oftentimes favoring owner occupier grade properties, over high yielding investment properties. In rare instances investors can have both. Bayside townhouses is exactly one of these opportunities.
With today's yields estimated at close to 4.5% Bayside Townhouses would cost less than $150 per week to hold and are forecast to return over $1.5m in rental income and equity uplift over 10 years putting close to $900k in your investors pocket after costs. These are family sized homes, in a go ahead area, just 400mtrs to the beach. So when the time is right to sell there will be a queue around the block at auction day.
Unit 7 at $885,000, held as an investment
- Out of pocket, a week
- $148
- Cash to complete
- $231,761
- Equity after ten years
- $1,052,484
- Return, ten years
- 11.7%
- 20% deposit ($177,000) and 6.20% interest, interest only for five years
- an investor on $120,000 a year, including the Medicare levy
- held 10 years, let at 2% vacancy with 7.7% management
- capital growth of 7.1% a year, which is Frankston house medians from the Valuer-General, 2014 to 2024
Location
Frankston · Inherited from the estate — schools, retail, transport and employment within reach.
| John Paul College | 1.2 km |
| Kananook Primary School | 1.2 km |
| Frankston Primary School | 1.5 km |
| Building a world class hospital for Frankston families (under construction) | 1.2 km |
| Frankston station | 900 m |
| Kananook station | 1.7 km |
This lot's position
