QLD 4114 - LOGAN

Discussion in 'Where to Buy' started by gach2, 20th Nov, 2018.

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  1. TMNT

    TMNT Well-Known Member

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    its mostly those that bought well/luckily and did well in the Sydney/melbourne boom, complain that their logan investments are crap because they havent doubled in 3 yrs
     
  2. Daz1979h

    Daz1979h Member

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    Everywhere close to a major city is going to do ok in the long term. Australia’s population is still growing faster than most developed countries!
    Logan is only 20kms away. Yeah the demographics are bad,but you really think over the long term it’s going to go backwards? Bloody dreaming!!
     
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  3. Cate Bell

    Cate Bell Well-Known Member

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    There are 70 suburbs in Logan, it is about opportunity cost- and some suburbs are duds. Sometimes it isn't just about the distance, 20Km to live in Logan is not what most people in Brisbane would want to do, when you can travel that distance on the northside and live near the water with better schools and infrastructure. The only investors I know who are targeting Logan are BAs and intestate investors. I would rather invest a few bob more in Brisbane City Council, Moreton Bay or Redlands (I have properties in all these councils) and get much better capital gain, better return and tenant.
     
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  4. Rich2011

    Rich2011 Well-Known Member

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    I put this house under contract recently for a client in Logan. The sales history shows a pretty good return from 1999 to 2006! Can't happen again? History usually repeats itself... Considering the purchase prices and yields available at the moment I'd say there will be some very happy investors who buy well and hold long term.
     

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  5. Daz1979h

    Daz1979h Member

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    Ofcoarse nobody wants to live there now,but in 20-30 years 20km in Brisbane will be nothing! Who knows what the population of Brisbane will be then.
    We have 25 million people in this country (which is nothing),mostly wanting to live near our capital cities,land will slowly be eatern up over time and values will increase. Slow burn but who cares!
     
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  6. Scott Townsend

    Scott Townsend Well-Known Member

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    I just sold (2 months ago) my property in Kingston. Original purchase $240k 3x1 lowest brick and tile corner block. About a year later built a granny flat on the side - $160k (Was a big GF) about 100m2.

    I think we purchased in about 2014. Was getting about 5.5% originally then with GF we were at about 9%. Held for a couple of years. The GF was set up to be dual tenanted so we had 3 tenancies on one property. Found out this would probably be frowned upon by council and was a bit annoying always something a tenant wanted or a break in occurring.

    Agent said she would list it from $480k. Had spoken to a previous agent who said around $440k so I think the agent who we chose may have pulled a bit of a BS initial estimation to win business. The property would only be suited to an investor or large family. Ended up getting next to nobody to the open homes but she had a buyers agent she used and he had a client. They tried to come in at $420k which we knocked back. They inspected and saw a bit of termite damage. We got it fixed up and termites eradicated. It took a lot of bad work back and forth to get the agent up to a final sell price of $450k. The agent was pushing me to let it go and be rid of it due to termite presence - I think she wanted it done and dusted. What blew my mind was the fact there was a termite presence yet the buyers agent (who should have his clients best interest in mind) allowed them to go ahead with the purchase with a home with termites.

    Over all, we got a few grand gain each year with positive cash flow and still some depreciation, however a fair bit of maintenance and tenants wanting things done.

    Happy to have it gone and to put the money into developments and blue chip stock
     
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  7. sash

    sash Well-Known Member

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    100% agree....non locals are targeting lower socio Logan..period. 100% agree with what you have said about other areas and tenant quality.

    I remember 2 people telling me that Strathpine was not going to perform compared to Logan.....that was in 2015....bought for 301k...now over 420k.

    Some BAs plastered their stories in mags and became pied pipers selling the Logan dream. Boy were there a lot of silly rats..:p:D
    You should care...sure if you hold 20 years...you might turn a decent profit...but a lot can't wait that period of time.....that is being an amateur investor.
     
  8. Thedoc

    Thedoc Well-Known Member

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    And this is why you don’t invest in Logan. Dud investment.
     
  9. strongy1986

    strongy1986 Well-Known Member

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    You can make and lose money investing anywhere
    Many areas of Logan are fairly undesirable which is reflected in the market price.

    i think anyone that holds in logan right now and believes in the Brisbane market would be naive to sell before the city sees its next big upswing (who knows when that will be?)

    I think that based on current prices across the city that from this point in time Logan should tick upwards (or down!) at the same percentage rate as most other locations in Brisbane

    5 years ago i did not believe this would happen and its proven to be the case
    My theory was that Logan was comparatively expensive compared to much nicer suburbs. At the time you could buy in good areas for 350-400k. These places have probably all moved 50% and are now all double the price of similar stock in Logan
    I think over the medium term Logan being half the price of these other suburbs makes sense
     
  10. sash

    sash Well-Known Member

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    Yes rising tides will float all boats but some of the spruikets bought over 10 places in Logan. Imagine the opportunity cost.....if they would have their money they would have made money.
     
  11. thinkup

    thinkup Member

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    Where do I find the historic capital growth for Logan suburbs? I can't see it on REA.com. anymore, looking for the last 15 years thanks
     
  12. thinkup

    thinkup Member

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    I bought in Loganholme 4 years ago for 270 and did a 15k Reno, its valued around 420 so have made around 120k and is CF positive.

    Good to see you posting here Tom, you showed me around a property many years ago, good to see you have gone your own way.
    all the best
     
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  13. thinkup

    thinkup Member

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    LOL someone from Central coast lecturing the masses on Logan's future

    I see very little has changed around here
     
  14. TMNT

    TMNT Well-Known Member

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    ive got 5 in logan,

    could I have done better in other suburbs, yep definitely
    have mine dropped, no
    am i regretting, no
    am I having tenant problems, the odd one yes
    would I do it again, probably
     
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  15. Tom Rivera

    Tom Rivera Property Manager Business Member

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    It's a small world! Thanks!
     
  16. Scott Townsend

    Scott Townsend Well-Known Member

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    Haha ok Doc. That’s your opinion and you are entitled to it. Perhaps though, at the time, my strategy was cash flow and to be pulling $760pw from a $400k investment could be considered as a reasonably good investment.

    Cheers
     
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  17. The Gambler

    The Gambler Well-Known Member

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    As someone from there and grew up there I want to have as little to do with the zip-code as possible. The place is getting worse in my opinion. Compared to 30-40 years ago there is now multi generational unemployment.

    Emotionally I could never bring myself to invest in the area. Surely there has to be better places to invest in. I guess somebody has to own those houses though and for some it's a decent investment esp. in terms of cashflow.
     
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  18. MyPropertyPro

    MyPropertyPro REBAA Buyer's Agents Sutherland Shire & Surrounds Business Member

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    I bought a 4,2,2 at the end of 2013 in Meadowbrook for $328,000. I've since had it painted, re-carpeted and installed 2 x reverse cycle air conditioners and it's renting for $430 p/w.

    Median price for 4 bedder in Meadowbrook is around $440-$450k currently so I'm pretty happy with the result both in isolation and as an overall fit to my portfolio.

    I think a lot of people expect areas like Logan to perform like Sydney and over the last few years more people than ever have expected that. These sorts of areas are never going to be boom and bust but are slow burns that often are great additions to an overall investment strategy.

    As someone has already posted, there is also a lot of planning and development going into and around Logan and I'm pretty confident that the whole area between Brisbane and the Gold Coast will metropolise in the same way the area between LA and San Diego did through the 60s and 70s. Provided the actual property isn't a dud, I wouldn't be selling just yet.

    - Andrew
     
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  19. TMNT

    TMNT Well-Known Member

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    It's hard but you shouldnt be emotionally attached/detached from your investment.

    For all my ips, i would never live in any of them, even the postcode
     
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  20. Shawn

    Shawn Well-Known Member

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    Bought a 3/1/4 in Slacks Creek for $320K in 2015.
    It's probably worth a little more today $340K or so ; but that doesn't bother me.

    Yield is 5.65% and can place GF on it eventually.