NSW Any advices on Central Coast?

Discussion in 'Where to Buy' started by Dii, 9th Mar, 2021.

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  1. Dii

    Dii Member

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    Hey all,

    I'm currently living in Sydney but I'm planning to buy my first property in the Central Coast. Due to my flexible work, I can live in there for a while and take advantages of the FHOG. So I'm looking for the best rental yield and potential capital growth as I will rent it in the future - of course. ;)
    So I'm looking to either buying used properties under 650k or new properties under 800k. And of course, if I find a very good opportunity I'm happy to leave the FOHG behind - but this price range looks achievable.
    • Any suggestions about my strategy?

    I have been looking in places close to the water in North of Central Coast (Tumbi Umbi, Gorokan, Toukley, Killarney Vale, The Entrance, Chittaway Bay - IMHO, the closer to the water, the better) and also a bit closer to Sydney (Umina, Ettalong, Woy Woy). As I don't live there I'm a bit lost in the suburbs but I've been doing my own due diligence on them but all looks good.
    • Any suggestions about the suburbs? Any surburbs I should stay away or focus more?

    Thanks in advance for the help,
     
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  2. ashish1137

    ashish1137 Well-Known Member

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    Hi @Dii

    I use statistics to choose suburbs. I have narrowed down to 8 suburbs of all where I find potential and room to grow with right yields but properties are flying out the door.

    One advise is to be ferocious when it comes to finalize. :)

    Regards
    Ashish
     
  3. See Change

    See Change Well-Known Member

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    What returns can you get on the central coast ?

    Central coast tends to boom then go sideways / backwards for a long time . It has boomed prior to Covid . There is a boom most places at the moment but there are places that had not had a boom prior to Covid .

    Personally I think they might be a better option for more capital growth

    cliff
     
  4. Thedoc

    Thedoc Well-Known Member

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    Do you plan on living in it proper in the future?

    Also regarding umina etc closer to freeway. Not always correct. Put tumbi umbi into your GPS and you will see what I mean. For example TU to Hornsby is 5 minutes faster than umina to Hornsby. And a better drive to get to freeway. Entrance etc different story id avoid. Too far of a commute to attract Sydney buyers.
     
  5. Dii

    Dii Member

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    Hey,

    Thanks for the reply! I'm just considering that the closer from Sydney and the water (beach/lake), malls, shops and schools can't go wrong (?)
     
  6. Dii

    Dii Member

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    Thanks for the reply! Not sure, probably not. What I do know is that I'll live there in the next 6-12 months and turn into investment property later. I really like Sydney and Gold Coast, so it's more likely that I'll live in these areas later (renting or owner occupied). Do you think the strategy make sense yet? Just wanted to combine a good house with the grants . Otherwise, I'd need to invest in apartments in Sydney which I'm trying to avoid...
     
  7. Dii

    Dii Member

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    @ashish1137 ,

    That's a good insight... thanks!!!
     
  8. Thedoc

    Thedoc Well-Known Member

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    All I can say is unless you are on big money you won’t be affording in Sydney so you will have to make your money elsewhere to afford there. Ie - investing
     
  9. Dii

    Dii Member

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    @Thedoc yeah, totally agree with you. Unless you wanna buy a house too far west or an apartment in Sydney.
     
  10. Henry C

    Henry C Member

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    Hi @Dii,

    I would highly recommend driving up to Central Coast to see for yourself. Generally, the Gorokan and Umina areas are less nicer suburbs of the Central Coast and that is reflected in the price. All suburbs you've mentioned have a sizeable portion of housing commission up to 42% in some pockets and may also have higher crime rates. Check them out on Get the facts the property ad left out in the Affluence Score section.

    With $650-800k on the Central Coast, I'd be checking out Narara, Niagara Park and Lisarow which all have train stations and not far from freeway connection to Sydney. These areas are leafy family suburbs. I'd also check out neighbouring suburbs of Wyoming, North Gosford and Springfield though there are some pockets to watch out for. Rental yield sits in the 3-4% mark.

    For capital growth, consider what growth drivers are going to attract people to pay more and move there. IMO if you're after an investment property, a place 'too far west' may just be the right choice. New infrastructure investment and government spending are key drivers of growth in jobs and demand. Sydney's second international airport at Badgery's Creek and future metro from airport to St Mary's may be the growth drivers you can capitalise on. Consider checking out these areas:
    • Mount Druitt satelitte suburbs: Tregear, Lethbridge Park, Whalan, Blackett
    • Liverpool region: Cartwright, Sadleir, Ashcroft, Busby
    • Campbelltown and surrounds
    • Richmond: nicer demographic of the four regions listed but further out
    Research then ask yourself, which areas have more growth potential?

    Cheers,
    Henry
     
  11. Dii

    Dii Member

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    @Henry C , thanks so much for you reply. I'm learning a lot from it.

    Yeah, I've been driving up there every weekend. Next time I'll pay attention on your considerations. However, "Umina is a less nicer suburb" now, but don't you think it has some growth potential considering that is closer to the beach, next to Woy Woy station (maybe to improve yet due to the high speed rail -https://www.buildsydney.com/nsw-high-speed-rail/) - despite from the housing commission?

    I'll also have a look on these ones: Narara, Niagara Park and Lisarow. It's a bit further up but it is still close to Sydney and (sort of) to the beach.

    In regards to the "too far west" suburbs, I know there are a lot of constructions and improvements going on there, however, I think that closer to the beach usually tend to perform better?

    I'd love hearing your thoughts on these matter,

    Thanks again for the learning!
     
  12. Kersertwo

    Kersertwo Active Member

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    @Dii Thanks for starting the thread. Have got some great insight. Question as to why you haven’t mentioned Wamberal, Terrigal, Avoca, Macmasters etc? Is it it not in your price range? If you had the money would you or you think these areas are over priced? I have a similar view to you that I was going to purchase an appartment in Sydney but prefer the scarcity of a house close the beach which is why I’m interested in Central Coast
     
  13. Dii

    Dii Member

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    @Kersertwo ,

    Thanks, I'm glad this post can help you as well. My budget is around 800k and focusing on new properties so I couldn't find anything there. I found a few ones that meet my criteria in Wadalba, Woongarrah, Watanobbi and Warnervale but I don't know the suburbs. I'll have a visit there over the weekend and let you know. Also, I'll pay another visit to Umina, Ettalong, Blackwall and Woy Woy having in mind @Henry C's concerns. :)

    I've been to Terrigal and I felt like I was in Coogee/Manly due to the lifestyle and even prices. It looks great there (IMHO). But it's out of my budget ;).
     
  14. Henry C

    Henry C Member

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    Yes Umina too has growth potential. It appears that Umina Beach has well outperformed suburbs like Seven Hills as a similar price point and a lot of other suburbs in Sydney % wise. Past performance, however, is no guarantee of future performance.

    I wouldn't hold my breath on the high speed rail - sounds great but I can't see it happening anytime soon. Even if it does happen, it would still take you half an hour to get to Gosford station from Umina Beach as I would highly doubt a fast train will go through Woy Woy given the terrain and bends in the current track area.

    I couldn't tell you if they perform better or not. There are many factors that go into performance. That could be lifestyle, work style, climate, infrastructure by the beach attracting people, underperformance or relatively cheaper prices than neighbouring beaches etc.

    Research a few suburbs in your price range, find out their growth drivers, yield, historical growth, neighbouring suburb price and compare the pair. That way you'll have greater justification for the suburb you end up deciding on...and Umina Beach might just be the one. And be realistic - high speed rail as a growth driver is unlikely for many decades to come though I'd be happy to be proven wrong. Ask yourself what makes this suburb greater value and better potential for growth than the other?

    Cheers,
    Henry
     
  15. Shamrock1

    Shamrock1 Well-Known Member

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    Ive just researched and bought on the central coast in this price range so here’s my opinion...

    Strategy - at the moment you can achieve long term growth and rental yield at the same time on the central coast. My purchase will be neutrally geared from day 1 (not counting any repairs needed)

    Suburbs - best suburbs in my opinion for Capital Growth are Killarney Vale then Toukley as they are closest to the beach. Killarney vale is also close to the lake, M1 and Westfield whereas there isn’t much at Toukley.

    The other suburbs are further away from the beach. The Entrance is close to the beach but from what I can tell from this and other forums it isn’t that nice a place to live and lots of older people looking at the demographics.
     
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  16. Thedoc

    Thedoc Well-Known Member

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    Sound advice. KV is an up and comer and still cheap so close to beach and freeway. The entrance is just that bit further and a bit of a sh##hole to be honest.
     
  17. Shamrock1

    Shamrock1 Well-Known Member

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    As I found out I wouldn’t call KV cheap anymore. Not as expensive as more southern suburbs on the coast but definitely not cheap it’s really taken off
     
  18. Kersertwo

    Kersertwo Active Member

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    @Dii any update on Umina or Ettalong? Are the beaches any good there? Have you made a more defined decision yet on what area? Love to hear what you are thinking
    Thanks
    kerser2
     
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  19. SJ&L

    SJ&L Well-Known Member

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    Interesting discussion here. What do people think of Summerland Point, Gwandalon and Mannering Park? A bit more north but a bit cheaper as well.
     
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  20. ashish1137

    ashish1137 Well-Known Member

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    Tight supply, no future stock that can come to market, low vacancy rates, decent demand.

    What does your research says? :)

    Regards