2021 Geelong/Armstrong Creek? vs Mickleham

Hi Prop Chat readers,

Getting ready to take the dive and purchase a first property in 2021.Though I've been stuck in a bit of analysis paralysis.

I've been looking around Armstrong Creek or Mt Duneed as a possibility (regional), or Mickleham (closer to melbs). Price point works for me around/within the 530k mark. Basically, i've been looking at new estate areas with house and land packages, looking for the new build & the depreciation element, low maintenance etc. Strategy is a long term hold and looking for capital growth. I'm also not opposed to finding land separately and then engaging a builder.

What I'm getting stuck on - is if there are any warning signs in the stats I'm missing ie currently armstrong creek has good vacancy rate, rental yield etc. I've also been looking at pop growth, future infrastructure investments and so on.

I guess what I'm asking is for those of you who may have been in a similar situations - getting ready to take the plunge & doing their own analysis, is there anything in hindsight you wish you knew? Other factors to consider/things to be aware of.

Feel free to ask q's - or make suggestions. Happy to listen/read

Thanks everyone!!

 

Despite low vacancy rate as per your message, lots of new properties are for rent at Armstrong Creek, so competition is high.
You can do a very simple thing. Record the avail properties now and then monitor how they move for a month or two. My suspicion is that many would still be available but I might be wrong. I think when this estate started several years ago, the price tag was totally different, now it gets expensive & hence rents go up but who is gonna rent in that area for that money

 

Good points. The better parts of AC and Mt Duneed rent out very quickly and get good rents too. I suggest the OP speaks with the agents in the area to get a feel for how things are on the ground. I have property in the Villawooed estate in the area, never without tenants and good rent (thankfully and I bought in 4 years ago)

 

Yes, this is what I expected. Four years ago your house was 100K cheaper at least or even more. So, considering your price paid for your house, you can always go down with rent offered, whereas now in that estate a house would cost 500K min, hence a landlord would ask for rent to be 450 per week accordingly or even more. Four years ago a situation was different in that estate, so good timing for you

 

They are both good even if I wouldn`t buy as per today`s prices. Merrifield potentially better growth in the long term due to industrial and city centre, however, this is just guessing. Maybe Geelong, beach, regional will smash Merrifield ;-)