Ben Everingham – Kallangur QLD

Kallangur

Ben Everingham’s 4th investment property is a 4-bedroom, 3-bathroom dual occupancy house that we built in Kallangur, Queensland.

Property features

  • Land size – 300 sqm
  • Dual occupancy (in this case a double story house that can be rented as two properties)
  • 3 bedroom, 2 bath (down and upstairs)
  • 1 bedroom, 1 bath (downstairs)
  • 25km to Brisbane CBD
  • Major infrastructure projects due to commence in next 3 years

Financial features

Capital gain

  • We have achieved a capital gain of 11% since commencing this project in early 2014
  • We estimate we will achieve an additional capital gain of 8% in the 2014 – 2015 financial year

Rental yield

  • We are currently achieving a rental yield of 7.39% in 2014

Rental return

  • 2014 – $560 a week

Current valuation

  • 2014 – $465,000

Like what you’ve read so far? Join over 9500 investors and Subscribe to our FREE MONTHLY NEWSLETTER here.

Why did we purchase this property?

  • Immediate capital gains ($60,000+ on the completion of construction)
  • Strong rental yield
  • Strong demand for rental properties in this area
  • Strong investment into local infrastructure (shopping centers and transport)
  • Distance to Brisbane CBD (<30km)
  • Passive income source at current interest rate

What did we learn from purchasing this property?

  • Dual occupancy properties will always drive a higher rental yield, they may also sell for a premium
  • Its possible to build new properties and make immediate capital gains
  • Buy in areas with strong rental demand
  • Think out side the square
  • Build something slightly nicer than any similar new housing stock in the area
  • Understand your market. In Kallangur and the wider Brisbane market there is an under supply of quality, affordable new housing.
  • Build for your future tenants, not for yourself
  • Build relationships with land developers, you may be surprised what they’ll do for you. We got a $20,000 saving on this block at the time of purchase
  • Find a mortgage broker you can trust, you’ll be surprised how much money you can borrow with the right broker on your side
  • Build a team of advisers (accountant, solicitor, mortgage broker, builder and quantity surveyor)

Want to learn more about Ben’s property portfolio?

Like what you’ve read so far?

Join over 13,000 investors who have subscribed to our FREE MONTHLY NEWSLETTER here.