Unfortunately, she bought on top of the market and is trying to sell at the bottom.
Some mistakes include:
The suburb is not too bad but it favours houses, so for me why would I buy a unit when > % are houses.? Also, the median for units has increased but mainly new ones, so old are out of favour when there's choice.
Small area and placement not for my liking or criteria, very compact and access straight into kitchen, so no appeal. Most renters in the complex..
So lots of mistakes cost, but only when you sell, unless she is willing to wait and see if markets turn?
IMHO, bad investment from the start, I wouldn't buy it at all, so perhaps better to offload and learn from the mistake. Next step would be to educate herself more!
If she only stuck to Michael Yardney's preferred investment strategy she would not have invested there!
1. Buying a property below its intrinsic value
2. In an area that has a long history of strong capital growth
3. Buy a property with a twist ? something unique, special or different and
4. A property where she can manufacture capital growth through renovations or
redevelopment.
The answer is NO to all!