22 EBOR AVENUE
In this section, we take a dive into the nitty-gritty of the property - 22 Ebor Avenue, Mile End. We analyse the property itself, its surrounds and the numbers that matter. We also take a look at the comparable sales in the area and how they stack up against the property.
3 - Bedroom
2 - Bathroom
2 - Car space
Private Treaty (currently off-market)
$630,000 - $650,000
20th March 2020: $644,900
Rateable Land Value
Leased or Owner Occupied
$445,000 in 10/2013
Reason for Selling
Vendors Motivation To Sell
Vendors Preferred Settlement Terms
As short as possible
Types of Buyers (OO/Investors/FHB)
Owner Occupiers & Investors
None as yet
$630,000 - $653,900
$440 - $460 per week
Renovation Allowance (circa)
Distance to Public Transport
Bust Stop 5, Henley Beach Road: 280m (3min walk)
Mile End Train Station: 1.7km
Distance to Shops
Henley Street Shopping Precinct: 280m (3min walk)
Brickworks Shopping Centre: 1.7km (21min walk)
0.60% of properties in Mile End are vacant we like this to be under 2%.
Auction Clearance Rates
Ratio of Renters to Owner Occupied
47% are renters / 53% are owner-occupied and/or purchasing. We like renters to be under 35%. More owner occupiers generally mean properties are better looked after in the area and there is a greater demand for tenants
Building, contents & Landlord
Approx. $2,200 p.a
Property Managing Agent
Tax Depreciation Schedule
$770 + GST
Summary: Confirmed 1920's build freestanding cottage that has undergone a sound restoration. The execution of existing works is high, especially in the original component of the house. The kitchen area is a little tired and the presentation is lacking a little due to the current owner's furniture and floor coverings in the kitchen. The rear yard area provides significant undercover entertaining, lawn area and storage shed, in addition to the garage with drive through access. Bathrooms are a little tired with the main missing a bath, however, this would not stop the property from attracting a quality tenant and will provide the potential for additional value add.
Location: This home is located in the heart of our target region in Mile End, 4.6km from the CBD and easy walking distance to the central precinct of Mile End and Torrensville on Henley Beach Road. There is a bus stop providing city transport only a 280m level walk away.
Opportunities: There still appears to be potential for further value add by expanding the shared bathroom into the current "study" space to incorporate a bath and up-spec the presentation. This would enable us to more intelligently configuring the remaining space to increase functionality and presentation. A more subtle colour scheme and updated floor covering would also prove beneficial from a re-sale perspective. This home is also free-standing with plenty of off-street parking along the southern boundary which positions this home as a more appealing option in comparison to neighbouring maisonettes.
Risks: There is only one genuine living area, which is not uncommon for houses in this region and the existing bathrooms are awkwardly configured with a dated presentation.
Our Recommendation: This property sits as a very sound option for your investment strategy in Adelaide, although toward the top end of our budget it offers a free-standing home with a reasonable block size of 418m2 and a 3,2,2 configuration with the majority of the hard work completed, enabling the option for an immediate lease to be sought. If your review is satisfactory we would suggest actively pursuing this property prior to the home commencing a full marketing campaign.
We have completed the property valuation and as you can see, we are sitting between $630,000 - $653,900. Buying in at the max purchase price of $653,900 sees your total purchase costs at c. $189,455.00 (with a 20% deposit). We are comfortable buying in at this range, but ultimately we want to ensure we get it for a cost-effective as possible, whilst remaining competitive enough to remove the vendor's desire to take the property to open market. To achieve this, we may need to pay a small premium. So it's about offering enough to meet their expectations, without going too low they dismiss the genuine nature of our offer.
Logical: $600,000 - $635,000
Emotional: $640,000 - $660,000
Target: $630,000 - $653,900
Total Purchase Costs: $189,455.00 (with a 20% deposit) @ max. target price
Rental Return: $460/wk Monthly Holding Costs: -$49.60 per month
First offer: $639,790 on a letter of offer form which looks to be respectful of the owner's guide price but demonstrates we have given due consideration to the property and have started with our best and strongest figure.
BAFO: $644,900 (odd number shows we are scraping the barrel).
Deposit: 10% Once accepted, contract reviewed and B&P completed
Building & Pest: Completed prior to an unconditional offer
Settlement: ASAP: we will be guided by the lender
Additionally: We will request access to the property during the settlement period for tenant viewings, professional services and trades access. We will also request access to sales photography for the purpose of leasing the property online.
Fiona to review the numbers and recommendations and provide advice to proceed by completing letter of offer form (completed)
MC to submit offer to agent and nurture process to acceptance and keep Fiona updated along the way
MC to share the contract with your preferred solicitor for review once offer is accepted.
Once offer is accepted, engage building & pest report and bank valuation
Review building & pest report and provide Fiona with our advice/recommendations
Fiona to confirm the advice
MC to supply the Purchase Advice and COS for Fiona to sign via DocuSign. Fiona to complete in DocuSign
Fiona to transfer the 10% deposit to the agent's sales trust account
Contracts exchanged unconditionally (pending a positive bank valuation)