VIC Apartment in Toorak or land in 40km away :)

What do you think have better prospect?

A 3 bedder, 2 bathrooms, 2 car park in Toorak in a historic low rise building, low maintenance, pretty street.

A 1000sqm block 40km away east, with walking distance to train station, enough for two houses subdivision with 40% cheaper than the price the apartment above.

 

@ATANG - How is the land supply like 40km away?

 

Is this for PPOR or IP? I thought you were looking at a beautiful house on main road? Now you are looking at an apartment in Toorak and considering a parcel of land 40km away from Melbourne CBD? 3 different types of properties in a space of few days. What was your last purchase? Are you trying to diversify your portfolio? Please enlighten.

 

Toorak for me as PPOR or IP depending on rental and other costs.

Many like to buy big parcels of landed properties, to subdivide and build or sell but have you considered costs for it and the demand of the same some 40km away?

 

^ ^ What he said.

 

I would be expecting 8-10 townhouses esp 40kms away otherwise what is the point? you could get 3000-4000sqm in park orchards

 

Hehe, do you think apartments in toorak still have upward potential considering a three bedders are already 1-2m range? What are sydney similar ones like? Of cuz I am not talking about new built apartments, but those aged unit style with big and homey feels.

 

Well, it's in a neighbour residential zone so prob has stricter rules but already have plans endorsed for two standalone houses... about 15 min walk to train station, 50 minutes drive to cbd. Agent said one can sell around 700k range in today's market. But the downside is... I found the land is a bit elevated at the back, as there's retention wall of about 1m... I guess the site work is going to be expensive? And also the house is extremely old... but agent claimed to be able to rent out at $350 per week very easily... just not sure if it's worth...

 

Depends on why you are buying it for. We still don't know if you are buying it to live or rent out. I haven't done DD on Toorak because that's not my area for investment. Are you doing a scattered approach or have you been following he toorak Market for a long time?

 

Hi @larrylarry, basically don't mind anything as long as it fits in the budget. Will be IP but would be good if can be ppor in the future. That main road one i decided to let go. I think can get something better. Trying to get something with land content but kinda hard especially if wanting to be within walking distance to shops and station. Was thinking if i might just get an apartment in premium suburb.... hence i asked.

 

Toorak is very established suburb. I like the area but can't help you to decide really as it has to fit your strategy.

 

3-bedders for 1-2m? I'm sure you can find them, but what is the product - new high-rise? Are you excluding older blocks?

I don't watch Toorak, but I have a half-open eye on apartments in Sth Yarra (tbf, mostly 2-bedders), but I still would have thought I could find a reasonable 3-bedder for much less than a mill. Then again, maybe I'm delusional.

 

I don't look at high rises, only those older unit blocks. Don't like south yarra, too commercial. I don't mind toorak, those clean tidy, green streets with two three levels of low rises.

 

Yep, fair enough. That's the sort of street ours is in too, in an older 3 storey place, and that's the type of product I keep an half-eye on in Sth Yarra.

 

You can get an older 3 bed way under a mil. One sold on Mathoura road for 850k not long ago.

 

I think depends on the size and the appeal of the building as well? The elegant ones I have seen are all over 1.5

 

The permits were prob done in the old regime after the Melbourne plan came up in April . you could get more on it now depending on the overlays. 1meter retention wall is no biggie - u go to Doncaster and Templestowe and even parts of the Mt Waverley and see the slopes on some of the places.

 

It's in a court, so i guess thats why? Plus there's significant landscape overlay. It was only just endorsed this year, so i guess thats the max. But what pulls me off is the condition of the house, just too old and almost no insulation, just as a timber framed box.

 

if you gonna smash it and build 2 why worry?
Ppl buy ex-housing commission houses in Hampton for 1.6 mil nowadays. (with no insulation at all)

 

I’ve seen ones for 3m+ what’s your budget? Yield requirement?