QLD Anyone Currently Buying on the Gold Coast- Advice Needed

Discussion in 'Where to Buy' started by Mel_C, 27th Jun, 2017.

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  1. Mel_C

    Mel_C Well-Known Member

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    Is anyone on the ground buying on the GC. I have a duplex that I am considering selling it is currently returning about 5.5% yield and is located in central beach suburb on coast.

    There has been some significant growth here over the last 4 years and Im curious if any one has noticed a slow down in the market over the last few months and if you think this is going to get worse with the new banking regulations. At the moment we can happily afford to hold onto the property it is not costing us anything but we are on one income with 3 young kids so are also a little risk adverse at moment as selling would allow us to have our PPOR fully paid off and give us the option add extension to the PPOR. ( oh and the duplex next door is owned by my mother in law who has a noisy dog and likes to complain about tenants! Lol) .
     
  2. 2020vision

    2020vision Active Member

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    If it was me I will hold it. The Gold Coast is trending upwards at the moment and i believe duplexes, houses, and townhouses will be in short supply especially if it is near the beach. I myself have a duplex and a 3 bedroom unit in a small complex in Surfers Paradise and I regularly check the rentals available and I see the supply is quite low in rental stock for anything that is a duplex.

    The high rises on the Gold Coast are always a risk but I think you are quite safe with a duplex
     
  3. Player

    Player Well-Known Member

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    Hi Mel. By central beach side I'm guessing somewhere between Surfers and Burleigh. I haven't been getting the vibe that the market has peaked yet.

    Biggest focus should be on freeing up PPOR debt. That is more important to the biggest priority....your family. The market will always be there whether on the Gold Coast or Brisbane or interstate.

    Prioritise financial obligations if they are more pressing and not whether there is a bit more steam in the market. I dont think it's peaked but neither will it run forever. Also I don't think APRA affects these suburbs at current interest rates.

    Are you able to come along this friday?
     
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  4. 2020vision

    2020vision Active Member

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    Another point I want to add is that if you look at the beachside Gold Coast suburbs from Southport all the way to Burleigh Heads, you can see that there are not many new townhouses or duplexes being built.
     
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  5. Mel_C

    Mel_C Well-Known Member

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    @Player good points...We need later meet up time we dont get the kids all in bed till 7!
     
  6. Mel_C

    Mel_C Well-Known Member

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    Yes land is scarce beachside and ours is a 3 bed duplex walk to beach so no issues renting.
     
  7. Rozz

    Rozz Well-Known Member

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    Hi Mel.

    I have houses on the northern end that are not close to the beach or broadwater. Im not experienced enough to give advice, but the advice given to me is that close to the beach you should be okay through till the games, and maybe for a year beyond that, but further inland suburbs are starting to see a change already and to be very careful in outer suburbs from here on.

    Im very interested to hear how you progress over the next few months if you are happy to share.
     
  8. Mel_C

    Mel_C Well-Known Member

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    I have decided to renew our lease for another 6 months see where we are at then. I have noticed in some areas it's taking a little longer to sell at moment but that may be because everyone hibernates here in winter! And yes everyone agents included seem very fixated on the world coming to an end post commenwealth games. I suspect this spring and early next year we will see a lot of more stock on market!
     
  9. 2020vision

    2020vision Active Member

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    I wouldn't worry about the commonwealth games as I believe it will have a small impact. What will really drive the Gold Coast market from here on are the baby boomers from Sydney and Melbourne who have plenty of equity from the recent boom and wanting a place with good weather and facilities to retire. Most of these baby boomers will be looking for a duplex or townhouse near the beach and they will all predominantly will be owner occupiers.

    The lack of high paying jobs on the Gold Coast has always been a weakness in the property market. But lack of jobs wouldn't worry the baby boomer market on the verge of retirement.
     
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  10. Mel_C

    Mel_C Well-Known Member

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    Yes I think you are right that's why I want to keep it. It's perfect for our future retirement. I am not to focused on the games either I think it will further highlight how great coast is to live. Jobs, economy , uncontrollable world events will impact
     
  11. big max

    big max Well-Known Member

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    Agree entirely.
     
  12. big max

    big max Well-Known Member

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    I that after the games the drop that some buyers are hoping for will not occur. Agents might be using this as a tool to get people to list properties now but I think all the key drivers for property values are really much more longer term. I think a "buy in the right location and sit and hold" is a great strategy for Gold Coast right now.
     
  13. 10927

    10927 Member

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    If your on or near the beach then I would definitely hold onto it until at least the end of this year / next year. If you look at the townhouse developments in the areas - for example the sun land development at Palm Beach - has all had a huge demand and sold out very quick. The demand for cheaper entry level homes will only rise as the Gold Coast grows I believe. Northern Gold Coast where I mainly sell properties - there seems to be a surplus of town house / villa / duplex development and I would suggest otherwise but for the central and southern areas it seems to be a whole different story as there isn't as much available land to build on; especially closer to the beach. Good luck.
     
  14. 11160

    11160 Member

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    Just bought a second-hand property. Rental return is through the roof and demand is high. Not many double storey homes, 5 bedroom homes with dual living to rent in Nerang at the moment. Positively Geared :)

    We got an amazingly good street too, near the water.

    4 Rental Properties in Nerang, QLD, 4211
     
  15. alien07

    alien07 Member

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    Which part of the GC did you buy in? Has it been tenanted? Thanks.
     
  16. Mel_C

    Mel_C Well-Known Member

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    He said he bought in Nerang
     
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  17. 11160

    11160 Member

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    @alien07 @Mel_C it settles this Monday and we have organised for people to move in already. The only issue is we have to wait until early Jan but that is fine, do some minor improvements and cleaning in the meantime. Plus we will be managing landlord so we will be earning more.

    We know the people that are moving in and they are great. Good community in the street and they organise activities. Like to move in there in a few years, maybe put in 60k of renovations and make it our dream home. Really want a full second kitchen downstairs, has a wetbar at the moment.

    Basically, our property that we are living in now will be up for rent most likely, or perhaps we will sell.
     
  18. boganfromlogan

    boganfromlogan Well-Known Member

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    I think gold coast is looking like it is achieving the critical mass of a city, not just the beach. The M1 from eight mile plains is chocca in the morning peak - heading south not North. They may all be going to get a pie at Yatala, or else they are going to the coast for work (not play).

    I usually stop and get a pie and then go back and discuss the day with my drug lord, can't cope with gold coast traffic.
     
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  19. Rozz

    Rozz Well-Known Member

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    Hi Mel. I too am deciding what to do with my remaining gc houses in Coomera and Coombaba. Ive seen a change in the $450 - $750 northern end market which has been happening most notably over the last 8 months. I'm told sales are roughly down by half from the last two years, and there is almost double the number for sale compared to 2016. If I search through RA.com.au and domain, it seems to back this up.

    I have friends who bought into the same areas at the same time as I, and they have now sold everything throughout 2017. I easily sold two 4/2/2 in Helensvale and one in Coomera earlier this year without officially going to market, one to a local buyer and two to interstate investors. I believe I'll struggle selling the remaining two in the current market with the numbers for sale in my area, but could still break even if needed on these two at the moment, though I'm a little worried about waiting too much longer. I did very well with the other 3 sold.

    I am quietly concerned about APRA impacts and keeping a very close eye on movements
     
    Last edited: 19th Dec, 2017