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5th property - where to invest?

Discussion in 'Where to Buy' started by AlexV, 10th Jan, 2017.

?

Where to invest in 2017? House - purchase price $700K-800K

  1. NSW

    2 vote(s)
    6.1%
  2. QLD

    17 vote(s)
    51.5%
  3. VIC

    14 vote(s)
    42.4%
  1. HUGH72

    HUGH72 Well-Known Member

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    I would suggest Adelaide, Brisbane or Hobart, weakish local economies suggest flat/steady growth only.

    Melbourne possibly but it isn't flying under the radar, strong recent price growth suggests otherwise. Outer suburbs may be an option but current yields in inner/middle ring suggest value is harder to find.
    I could be wrong but nowhere really stands out in particular, individual deals which make sense might be the best option.
     
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  2. HUGH72

    HUGH72 Well-Known Member

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    $240-$350k in Adelaide and your options are almost endless.
     
  3. Gockie

    Gockie (FB): Peter Thornhill share investing enthusiasts Business Member

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    Welcome to the forum! Love this... ok, I haven't said this out aloud on the forum before but I had 5 in Sydney in the middle of last year. Soooo good. Right time and place. :D

    Agree. Always some gems out there in most areas. Bit harder to spot though if you are looking very broadly and not at specific areas. But perhaps have a criteria and if it matches...

    For me recently it's been bayside purchases, (Airbnb-able and long term growth), and the next purchase after that is likely commercial, for the yields. I think long term I need to not just buy in Sydney and Brisbane though....
     
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  4. neK

    neK Well-Known Member

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    Nice work on the 4 properties. What type of properties are they?
     
  5. AlexV

    AlexV Member

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    Townhouses in Marsfield and apartments in Lane cove and Chippendale. Need a house now ;-)
     
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  6. Gockie

    Gockie (FB): Peter Thornhill share investing enthusiasts Business Member

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    I have a friend with 2 townhouses in Marsfield too. .. they've done well. I live a hop, skip and a jump away. And i've got an apartment near one of yours too. :D Definite keepers!

    Re: house... If you buy Sydney you'll surely incur land tax. Buy elsewhere (or use it as your PPOR!)
     
  7. AlexV

    AlexV Member

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    Yes there was good growth in Marsfield! :)
     
    Last edited: 10th Jan, 2017
  8. JL1

    JL1 Well-Known Member

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    FWIW, I run a few checks on ABS data as its released each month/quarter. November 2016 dwelling approvals came out this week, and as a part of my analysis i looked at approvals per person 11/2015 vs. 11/2016. Interesting results (and sorry for size of the image).

    Melbourne is pretty much the safest market to invest.
    Sydney is heading towards strong supply, but bear in mind most of the new supply is apartments (read - lower occupancy dwellings).
    QLD has gone way on units but it is now easing, will be interesting to see how much though.
    WA is getting better despite super-weak population growth. If migration outflow levels off, it will shape up quite well
    SA... just ask yourself - when they're building 1.2 new dwellings for each new person in the state (including births), does it sound like a good investment?
    [​IMG]

    Now bear in mind that VIC has a high number of unit/townhouse approvals, backyards are becoming rare in Melbourne. IMO if you can get a yard and apartment-like rental yield, you've got yourself a pretty hot long term investment.
     
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  9. RetireRich101

    RetireRich101 Well-Known Member

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    Chippendale....
    Central Park , opposite UTS is selling 60m2 1 bedder for a $1m
    Welcome to Sydney pricing..
     
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  10. Gockie

    Gockie (FB): Peter Thornhill share investing enthusiasts Business Member

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    I've got to say, I'd want one (or perhaps 2) at Central Park...
     
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  11. AlexV

    AlexV Member

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    I have a one bedder in Central Park. Thinking about doing Airbnb maybe in the future...
     
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  12. Gockie

    Gockie (FB): Peter Thornhill share investing enthusiasts Business Member

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    As long as you don't have any issues with the building management! And I know those buildings have on site management.
     
  13. Corey Batt

    Corey Batt Finance Strategist Business Plus Member

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    A cool thing about this forums software is you can search by tag - we've put the same tag on each so you can find all of the threads in one page - people can find it on this link: adelaide suburb review | PropertyChat
     
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  14. MTR

    MTR Well-Known Member Premium Member

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    Yes, I think you are spot on, Melb is the safest market in Australia at the moment.
     
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  15. MTR

    MTR Well-Known Member Premium Member

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    You will find that it is not in the main investors buying that is the difference in Melb market.
    Flying under the radar on PC... yes, it has been, please check out all the threads on Brissy and Adelaide, nothing wrong with this, but the action was in Melb, and now PC is waking up to it.


    MTR:)
     
  16. DaveM

    DaveM Adelaide Buyers Agent & KFC Strategist Business Member

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    Depends on if you want to lump an oversupply of apartments in cbd/cbd adjacent suburbs in with the rest of the housing market in a city of 1.1m residents.
     
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  17. Perthguy

    Perthguy Well-Known Member

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    Thanks @Corey Batt. That's a great resource!
     
  18. JL1

    JL1 Well-Known Member

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    I'm not sure where you're implying the overbuild is focused, but here is something to consider.

    Here is SA's population growth June 2015 - june 2016, noting that the downward trend of recent years indicates full year 2016 numbers will actually be lower than this:

    • Total change: +9,262, of which:
    • Natural increase: 6,497
    • Overseas migration: 9,163
    • Interstate migration: -6,398
    • Total change minus births: 2,765

    Nov 2016 approvals summary:

    [​IMG]

    If every single new person including babies bought a property, there is still too many.
    If every single new person excluding babies bought an apartment, there are still too many without even considering houses.
    If every single new person excluding babies bought two houses and an apartment, there are still too many.

    I don't believe there are enough FHB's to make up the gap there, especially when that age group likely make up a considerable chunk of the interstate migration numbers.

    No matter how you slice Adelaide, they are over-approving and over-building in all categories.
     
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  19. Whitecat

    Whitecat Well-Known Member

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    As the responses to the poll suggests, I recommend Brisbane. For $700k you can buy a very nice located house with good land potential.
    Bne has huge infrastructure coming on board/commenced and is historically undervalued relative to Syd/Melb.
    Melbourne may still have a bit more steam reports suggest but it's already high up there in price. Bne the 3rd largest city is an absolute bargain atm.
     
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  20. MyPropertyPro

    MyPropertyPro SE Qld Property Management & Investor Services Business Member

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    It depends very much on your long term goals including your yield requirements to meet this.

    I have property in almost all states in Australia so I'm genuinely not biased by the location of our business, but for my money if I was heavily weighted in NSW I would still be choosing SE Qld for the current cycle point and achievable yield as my first point of diversification. There is plenty of growth to go and there's still great rents available on prices in your desired range.

    - Andrew
     
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