Hi,
Background:
31 years of age and have been residing in the UK for 7 years. Wife and I returning to jobs in Auckland (city centre and Pakuranga) in April this year earning 175k combined income pa, planning to have children in a couple of years.
Assets:
Purchased a 3bdrm IP in Hamilton in 2006, added a minor dwelling the same year. Total project cost was $380k and currently returns $330 + $300 pw, so 8.5% pa. It is currently valued at $450k.
In 2013 I purchased another 3bdrm house close to a shopping mall on a 1011m2 section for $310k, currently rented at $360pw and valued at $350k. The plan is to either sub divide this into 611 and 400m2 sites. 400m2 site with existing dwelling on road front and a 611m2 will be an empty site that would be developed to include a 3bdrm relocatable and 2bd minor dwelling. The catch for this to happen i need to obtain the neighbours consent to access right to use a shared driveway which runs up side boundary and services 3 other below average quality houses behind this site. I only require consent from one neighbour for this and have not yet approached them. Their driveway is still gravel so I would suggest that I pay for a new drive and landscaping Bla bla. The other option is just to add another minor dwelling which I wouldnt need the neighbours permission.
We also have around $80k cash. So in summary we have assets of $880k with a mortgage of $500k.
Opinions sought from Auckland property owners and investors are, should we:
1. Sell these properties and purchase a $600-700k personal place of residence in Pakuranga or Papatoetoe (walking distance to train station). Or another suburb!
2. Keep Hamilton properties and complete minor dwelling or subdivision project to increase rental returns of 8- 10% and we then rent a house in Auckland close to where we are working. Then look at purchasing in Auckland in 5 years time.
3. Sell one Hamilton property (won't make any capital) and purchase a 2 bdrm flat as a personal place of residence in Pakuranga or Papatoetoe for $425k.
Thanks
Background:
31 years of age and have been residing in the UK for 7 years. Wife and I returning to jobs in Auckland (city centre and Pakuranga) in April this year earning 175k combined income pa, planning to have children in a couple of years.
Assets:
Purchased a 3bdrm IP in Hamilton in 2006, added a minor dwelling the same year. Total project cost was $380k and currently returns $330 + $300 pw, so 8.5% pa. It is currently valued at $450k.
In 2013 I purchased another 3bdrm house close to a shopping mall on a 1011m2 section for $310k, currently rented at $360pw and valued at $350k. The plan is to either sub divide this into 611 and 400m2 sites. 400m2 site with existing dwelling on road front and a 611m2 will be an empty site that would be developed to include a 3bdrm relocatable and 2bd minor dwelling. The catch for this to happen i need to obtain the neighbours consent to access right to use a shared driveway which runs up side boundary and services 3 other below average quality houses behind this site. I only require consent from one neighbour for this and have not yet approached them. Their driveway is still gravel so I would suggest that I pay for a new drive and landscaping Bla bla. The other option is just to add another minor dwelling which I wouldnt need the neighbours permission.
We also have around $80k cash. So in summary we have assets of $880k with a mortgage of $500k.
Opinions sought from Auckland property owners and investors are, should we:
1. Sell these properties and purchase a $600-700k personal place of residence in Pakuranga or Papatoetoe (walking distance to train station). Or another suburb!
2. Keep Hamilton properties and complete minor dwelling or subdivision project to increase rental returns of 8- 10% and we then rent a house in Auckland close to where we are working. Then look at purchasing in Auckland in 5 years time.
3. Sell one Hamilton property (won't make any capital) and purchase a 2 bdrm flat as a personal place of residence in Pakuranga or Papatoetoe for $425k.
Thanks
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