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Hi - New to this site so no idea wether I can get advise here or not...
Bought a property in sydney back in 2002. it wasnt initially bought as an investment property as such, but as a home but we did hope it would make some money for us of course.
The property is in the inner west (forest lodge, which is in between Glebe and annandale) so good location. It is currently rented at a good rate and the rate has increased by almost $100 per week in 3 years.
We rented the property when we returned to the uk 3yrs ago and now have a property in the uk also as our home.
We took the decision to rent the property rather than sell it at the time because at that precise time the market had slowed considerably. We were told we would have trouble selling and would perhaps have not even recovered our initial investment after factoring in costs taxes etc.
The thing is we would really like to sell the property as it is now costing us a subsantial amount of money each month (on top of the rental money).
Obviously this is due to mortgage rate increases on top of historically low rental yields.
I guess Im asking for feedback as to what to do with this property as it has been a disaster IMO from start. It costs us too much money to keep and Im not sure we will ever re-coup this, especially in the light of the current forecasts of doom for the australian market.
Do we hang in there with gritted teeth waiting for the holy light at the end of the tunnel, or offload this white elephant now and cut our losses?
Happy to give extra info if it helps.
Thanks in advance
AJP
Bought a property in sydney back in 2002. it wasnt initially bought as an investment property as such, but as a home but we did hope it would make some money for us of course.
The property is in the inner west (forest lodge, which is in between Glebe and annandale) so good location. It is currently rented at a good rate and the rate has increased by almost $100 per week in 3 years.
We rented the property when we returned to the uk 3yrs ago and now have a property in the uk also as our home.
We took the decision to rent the property rather than sell it at the time because at that precise time the market had slowed considerably. We were told we would have trouble selling and would perhaps have not even recovered our initial investment after factoring in costs taxes etc.
The thing is we would really like to sell the property as it is now costing us a subsantial amount of money each month (on top of the rental money).
Obviously this is due to mortgage rate increases on top of historically low rental yields.
I guess Im asking for feedback as to what to do with this property as it has been a disaster IMO from start. It costs us too much money to keep and Im not sure we will ever re-coup this, especially in the light of the current forecasts of doom for the australian market.
Do we hang in there with gritted teeth waiting for the holy light at the end of the tunnel, or offload this white elephant now and cut our losses?
Happy to give extra info if it helps.
Thanks in advance
AJP