NSW Newcastle 2018

Thought it would be worth starting another tread on Newcastle for 2018. Lots of big things still happening, over 2billion of projects still in the pipeline.

If you haven’t been to Newcastle for a while it’s worth doing a drive around, construction is happening everywhere as the cbd shifts to the West end of Newcastle.

Key projects for 2018.

Light rail completion

Watch as the track arrives for Newcastle light rail

East end mall developement, stage 1 has been sold out, a total spend on all 4 stages of $750m compromising of 4000 apartments.

First stage of East End unveiled

Lume apartments Honeysuckle
Harbourside’s Lume sold out in five days

Wickham development
Another $100m lodged in apartments boom

Store building demolition
Government confirms Store demolition for buses, high-rise

Adamstown
Townhouses, tall towers and more


My picks for best growth in 2018 -

Hamilton

Broadmeadow

Adamstown

 

As a long term resident and local investor. I am concerned that there will be a oversupply of apartments here in Newcastle . With so many coming online in the near future - I am concerned that it would put downward pressure on apartment prices as well as rents .

Moving forward as a investor - it seems that a house with some land would be the better investment here in Newcastle

I would be interested in other people’s thoughts on this matter

 

I share the same sentiment. A house with some land component will do well in the long term.

 

Yeah i agree,

Avg house on greater than 600 sqm within 10km of the city will do well.

Merewether median 1.3 mill
Adamstown median 711k
Broadmedow median 660k

Thats a big price difference considering these are adjoining suburbs that are within
5 min drive down glebe road.

Newcastle west will become a dark ghetto of downsizing retirees and investors who read a domain article.

My predictions for 2018,
Coffee shops, botox clinics and fitness sheds will continue to thrive.

 

https://www.linkedin.com/pulse/earl...ecialist/?trackingId=rmO4prU4aqfPMabfinJceA==

Real estate agent hyping the west

 

@lightbulbmoment Newcastle West is already a dark ghetto, surely this will only improve. The main issue is the methadone clinic opposite KFC, I don’t see this as ever going as it’s in a new purpose built building.

Looking at the numbers from the last time a unit oversupply hit Newcastle. Prices did nothing from 2004 to 2013, it’s something I wouldn’t be touching this late in the cycle.

I do hear people still say you don’t make money buying units, I’ve seen plenty of 2-3 bed apartments selling for high 800’s in 07-08 that are now going for 2m+. Just be caution with strata as some building are 25k+ per year, add in at least 1 special levy and your not going to be making a lot of profit.

400sqm2 is a decent block in most Newcastle suburbs, especially areas like Wickham / a Tighes Hill / Maryville. Newcastle councils minimum block size is 200sqm2. Plenty of potential for R3 Corner blocks or houses with 12.5m + frontages.

 

Yeah i agree

 

I have been telling friends to buy a house with land - as close to Merewether beach as you can afford. I have been in Newcastle since 98 and that recommendation appears to have worked well over the past 20 years

 

For IP purposes I liked Gateshead West and Windale.
I noticed the oversupply of units in Newcastle CBD, who is going to move into them?

Newcastle to me is like a bigger version of mount druitt and I should know i drove taxis there for 4 years...

Mind you the educated lives in Merewether..

 

Did you know@Ald? He also drove taxis in Newcastle.

 

I am a big fan of the whitebridge area which the median grew 21% in 2017 and it had the most number of sales (@46) since 2003.

Right next to the fernleigh track, glenrock and the beach

 

I ride my bike through the suburbs of newcastle all the time . By far the nicest areas are hamilton south / hamilton east / junction.

Love all the classic style brick an weatherboard houses. Most Gardens are immaculate and people want to preserve the area and a house proud. These are my fav areas

Unlike merewether where its black and grey boxs on top of each other everywhere.

 

mount druitt 35kms from the ocean newy right on it??

Geographically windale is well placed over time will do well. (20 years)

 

For those holding newcastle/lake macquarie properties will you sell to pay off home mortgage or you see further upsides in the future?

 

Spot on! The heritage parts of Hamilton South/ East & The Junction are my long term picks.
People will get sick of worry what is going to be build next door to them in Merewether.

 

Hamilton is becoming a Heritage Precinct. At least the part East of Beaumont St. I found out when I went to demolish .....

 

I'd bet the top picks for Newcastle in 2018 are:

1. Hamilton ($700k+)
2. Broadmeadow ($650k+)
3. Glendale ($450k+)
4. Dudley ($700k+)
5. Kahibah ($600k+)

Edit: Houses only - Don't like units in Newcastle right now

 

Quite a few of the agents seem to be tipping Broadmeadow this year as a mover. Theres some infrastructure developments going to be happening there as well in the near future by the look of it. What streets in Broadmeadow do you like @tomlemke ? I also don't mind Kahibah...Ive looked around there a bit recently but a lot of it is mountain goat territory... its not easy to get a block there that isnt on a steep slope and the houses that are on the flat seem to be tightly held. Paying half a million out there at Glendale scares me a bit....you can pay a bit more than that and you can have Eleebana close to the lake with good schools.

 

Usually small blocks in Broadmeadow...unless you fancy workers cottages...

 

I'm looking to sell one in Waratah West very soon and debt recycle into shares. I think it will benefit from from a cosmetic Reno first though.

I'm feeling like I really need to get cracking and list it ASAP before market slows though.