137 View Road, Sunnyvale, AUCKLAND, TOWNHOUSES 

  • Well designed, high quality, low maintenance townhouses in strong rental demand location

  • 8 x 1 and 2 bedroom townhouses

  • Opportunity for additional capital growth before settlement in late 2021

  • Prices: 1 bed $555k - $565k, 2 beds $705k - $720k

  • 67% of dwellings in this suburb have 1-3 occupants and 20% have annual household income of $100k+

  • The West Auckland market is a consistent long term performer.

  • Extensive investment in public transport and motorway widening is progressively reducing commuting times to the CBD

 
 

INVESTMENT OVERVIEW

Strategy: Off the plan
Upside: Growth prior to settlement
Rent: Unfurnished / Furnished
Lending: 80% LVR
Deposit: 10%
Deposit type: Cash, equity
Title: Freehold

THE PROPERTY

Type: Townhouse
Beds/Baths: 1+1, 2+2
Carparks: on-street parking for 1 bed and off-street parking for 2 bed
Internal floor area: 1 bed 56 sqm, 2 bed 84 sqm
Land size: 1 bed 66 - 108 sqm, 2 bed 61 - 83 sqm

SUBURB PERFORMANCE

Dwelling type: Townhouses
Market rents 1 bed: $280 p.w.
Market rents 2 bed: $496 p.w.
Median gross yield: 4.2%
Median sale price 10 years: +132%
Median sale price 20 years: +311%
Capital growth (20 years): 7.7% p.a.

SUNNYVALE UNIT/TOWNHOUSE MARKET PERFORMANCE

Unit/Townhouse median sale price October 20: $720,000

Unit/Townhouse sales volume: 103 per year

Unit/Townhouse days to sell: 47

Unit/Townhouse sales value: $79 million per year

Market data sources: Real Estate Investar, Tenancy Services, REINZ, One Roof

FIRST HOME BUYERS

Dwelling: 1 bedroom townhouse
Purchase price: $555,000
Deposit: 10%
Weekly cost to own: $558
Occupancy: Sole

FIRST HOME INVESTORS

Dwelling: 2 bedroom townhouse
Purchase price: $705,000
Deposit: 10%
Weekly cost to own: $509
Occupancy: With flatmate/s

PROPERTY INVESTORS

Assessed rent 1 bed: $430 - $470 p.w
Assessed rent 2 bed: $550 - $600 p.w
Year 1 cashflow: 1 bed +$15 p.w
DSR: 1.4
Gross yield: 3.8% - 3.9%

PRICE AND AVAILABILITY SUMMARY

Note: The NSA/Net Sqm/Int. SQM area is calculated from the mid-point of the inter-tenancy wall to the external face of the façade as per PCNZ Guidelines.

ANALYSIS ASSUMPTIONS

  • Loan length: 30 years

  • Interest rate: 3.0%

  • LVR: 100% Investors / 90% Home Buyers

  • Rates: $2,100 - $2,400 p.a

  • Insurance: $1,650 - $1,800 p.a

  • CPI: 3.0%

  • Capital Growth: 7.7%

  • Legal/Loan fees: $2,000

  • Rent: Market rents appraised by property manager

  • Body Corporate / Owners Levy: $200 p.a

  • Property Manager: 10% of rent

  • Vacancy Rate: 1 week p.a

  • First Home Buyers/Investors current rent: $280 - $400 p.w.

 
 

PROJECT OVERVIEW

Located on View Road in Sunnyvale, these Townhouses are perfectly positioned for trains, buses and motorway connections and are walking distance to local shops, cafes and other amenities. It is with no doubt that finding new homes at an affordable price point is only going to get increasingly harder as the City’s population grows.

On the Ground Floor, the kitchen, dining and living areas are open plan. There is a Washer/Dryer Combination conveniently located within the kitchen and a large storage space under the stairs (additional storage space also upstairs). On the First Floor, there is 1 full size bedroom, which includes a large built-in wardrobe. Also on this level is a full size bathroom. On the Second Floor, there is 1 full size bedroom, which includes a large built-in wardrobe. Also on this level is a full size en-suite. Outside is a low maintenance private courtyard, which includes a Clothesline, Storage/Bike Shed and power supply.

AUCKLAND OVERVIEW

Auckland home buyers need to get in quick - city house prices could leap to record highs by this time next year, one property pundit predicts. Infometrics economist Paul Barkle says that while Auckland house prices have stagnated for close to two years they are set for an almost 10 per cent jump next year followed by sustained increases through to mid-2022. Behind the forecast price rise is an acute shortage of houses. By Barkle’s estimate the city needs at least 45,000 more homes. But the news is not so rosy for homeowners outside the Super City, with national prices poised to ease next year from current record highs.

“By the end of next year we expect house prices in Auckland to be 9 per cent higher than in December 2018 compared to a slight decline in national prices of roughly 1 per cent over the same period,” Barkle said. Should Barkle’s forecast play out, it would push Auckland property values to new highs. Last month, the city’s median price reached $867,000 - or 3.7 per cent below the record price of $900,000 set in March 2017, according to the Real Estate Institute of NZ.
(Exert from Article originally appeared on nzherald.co.nz on December 29, 2018)