I'm currently looking at the NZ market and trying to decide where to buy. Having grown up in Christchurch, my attention naturally turned to this city. While its growth is certainly not spectacular, it is reasonably solid.
I asked a PM the typical question of "where should I buy?". The answer was reasonably predictable. But in "suburbs known for affluency", and stay away from "suburbs known for low socio-economic status", e.g. Aranui, Linwood, Bromly, etc.
However, on paper, the areas perceived as being "bad" look very good, in terms of their gross rental yields. This is all assuming that you can still attract good tenants in these areas that can provide a solid cashflow.
So the question is, have other people successfully invested in these so called "bad" areas? What percentage of applicants would be good, and what screening techniques do you use?
I asked a PM the typical question of "where should I buy?". The answer was reasonably predictable. But in "suburbs known for affluency", and stay away from "suburbs known for low socio-economic status", e.g. Aranui, Linwood, Bromly, etc.
However, on paper, the areas perceived as being "bad" look very good, in terms of their gross rental yields. This is all assuming that you can still attract good tenants in these areas that can provide a solid cashflow.
So the question is, have other people successfully invested in these so called "bad" areas? What percentage of applicants would be good, and what screening techniques do you use?
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