Brisbane already edging past Sydney on last 5 years growth

Beyond this post I'm not interested to engage with you.



405sqm lot
Holland Park, QLD 4121 Sold Houses Prices & Auction Results - realestate.com.au

405sqm lot
11 First Street, Camp Hill, Qld 4152


410 sqm lot
Camp Hill, QLD 4152 Sold Property Prices & Auction Results - realestate.com.au

405sqm lot
7 Daly Street, Camp Hill, Qld 4152

503sqm lot
Tarragindi, QLD 4121 Sold Houses Prices & Auction Results - realestate.com.au

405sqm lot
Tarragindi, QLD 4121 Sold Houses Prices & Auction Results - realestate.com.au

 

OK..interesting response.....so youse tellin' me that it would cost about 600k minimum to pick up the house...to build another 600k....

Given ya don't link center link recepients.....have you become a chariy?

I can't see the profit....that might explain why you can't engage......

 

Nah, I would go another 5 to 10 kms further out, for example Rochedale, with that sort of moolah. .

There are 25+ properties in the $1.0M to $1.3M range currently listed for sale .

Any of these yours, @Sackie .

 

Yep...and all very high quality homes....with infra charges, planning approvals, and build costs..for double storeys....you are knocking on 600k-700k for the specs as is..unless someone bought the land for 400k.....there ain'y much profit...otherwise..I can do this any day of the week...make 100-150k.....on less risk and less money.

 

Yep, most/all built by developers and house building companies, many as display homes.

Those idiots have no idea what they are doing.

 

Yep...agree...the real idiots are people who believe that they can get a profit in these builds.

Sometimes...you are 100% better off getting into a H&L......with a smaller/mid level builder and upgrade fittings. I can get a similar result. I am doing this in Geelong...land was 140k and 155k...(yes bargains).....build cost 215k and 238k....respectively...plan on selling for 580-600 and 650-700 respectively. Gross margin (without holding and sell costs - expected to be 15-20k)...will be about 60% plus.....amateur focus on upmarkets suburbs..and on hilly locations as they have no idea of build costs on such houses.

Too much BS on these forums...every Johnny come lately who has not done money is suddenly and expert. Kind of like sayin the emperor has no clothes...

 

Shhh!!

There's no money to make ...move along folks!

Tbh the best money to have been made in this area and type of dev was when land was purchased 3-4 years ago and also on subdivided lots then even better! Thats when I bought. Nowadays its not just land that's gone up but the value of the end build itself.

 

'The pessimist complains about the wind; the optimist expects it to change; the realist adjusts the sails.' by Willam Arthur Ward.
I try to be a realist and diversify into few markets within Australia for my long term CG, or my investment strategy I adopt! I try to learn from the past and plan ahead but nobody has a crystal ball.
And as per chart below (I keep posting from the past history) illustrates no city is immune, property is never about constant growth, the numbers tell the story:


Article attached:
What we can learn from Australia's median house prices from 1970-2016 - Homely

 

Hence why it it is irrelevant the number of IPs you own, rather more vital is the asset base you hold in $ value and where!
I think I told this before... A friend went to a property seminar which asked the audience to lift their hands on number of IPs they owned. So the speaker asked who owns one, many hands were raised, including and elderly lady who sat next to my friend. Then how many own two, and three and so on until I think there was one who admitted to number beyond 40 (so people clapped a lot!).
During a break the friend asked the lady, so you own one where, and she said, "I came to learn as I don't know much about property and my husband left me one Commercial property worth $15M with no loans on it so......".
So there you go... it's not the number of IPs rather your net worth, or at least in accumulation phase, your asset base you hold...
My broker mentioned of a young lady, teaching Sydney insiders while in booming times (her story was in newspaper too), how she can help you to grow your IPs to have 9-10. What she lacked to mention and illustrate, that initial funding was helped out by parents, her LVR was 98%, and she had been in the market only few years, not diversified, and not through few cycles then... I wonder what has happened to her now?
So I appeal to all IP investors, be open minded by all means, seeks out mentors and learn, but make sure you follow up with questions and right answers, in order to move ahead! Model those that have owned diversified portfolios, have been through at least 2-3 cycles, and have self-sustaining IP portfolio, or strategies in which they continue to accumulate.
There are many ways to invest into property, but only few ways for real success!

 

is the moral to the story get a husband that leave you 15mil of unencumbered property? Im in!

 

I guess that counts me ...out....30 places ..8 figures...and 35% LVR then....

On a more serious note....you need to get a big asset based with growth potential properties to hit $5m plus net in about 15-20 years.....otherwise it ain't going to happen. Happens if you are also active.

I have seen people only buy bluechip and stumble due to a high LVR and high debt which prevents them from aquiring more. Just like some people on here proclaiming...they are building properties in bluechip suburbs.

Hilarious indeed.....its a balance and it is not only about property...you also need to diversify....into other assets. I have seen people who thought they had a bullet proof portfolio witgh just properties but it did not work out...

 

While I agree with what you say, there are people that can be classified into different categories. There will be those just struggling to invest into IP, some may be in this business directly via developments or renovations, some may be just accumulators with loans and some without.
Some may be business owners who just wish to diversify profit from their business and to invest.
I know of personal friends who invest into just blue chip suburbs for those reasons, and even buy with cash. Now I wouldn't use such strong words as you and classify them as 'idiots' as IMHO they are clever that they offset certain profit from business into investments. Their investment strategy obviously differs from many...
Saw one example where 3 IPs were offloaded after long term rentals from 3 premium suburbs just as Sydney was on top off market about 2 years ago I think (Mosman, Northbridge and Castlecrag - with water views but were rentals for the last 30 years or so!). Sold for above $9M.
I don't have a crystal ball what the future holds for property but owning just those 3 premium properties and not being directly involved in property has been rewarding for some. I am just illustrating a different cup of tea, that's all.

 

@sash,
What I don't understand is why would your exist strategy be to sell off IPs, and pay back CG tax for their growth and diversify funds to Super instead?
To me having 50% LVR implies in general self-sustaining portfolio (IO though), at 35% you should be generating some income if you do not draw additional funds, now allow say for another cycle 10 years at 5% CG, your LVR would automatically be lowered if your IPs are gentrified? I did calculation on mine at 25% LVR so even if only 5% CG in 10 years time if my loans remain the same, the LVR would come down to 15.9%, and so on.....
Wasn't your aim to live off those IPs you accumulated many years ago? May be I didn't understand you, perhaps you just wish to sell some and divert these funds to SMSF for $1.6M tax free income from this asset base it can generate?

 

interesting thread... but please tell me more about Brisbane inner city units. Have a young friend, first time buyer, looking around Kangaroo Point, East Briso, Fort Valley, Spring Hill. 2brm units in the low $300's. She will live there. Best value seems to be south of the river? She is crapping herself about falling prices ... Should she hold off, or charge on?

 

I personally would not buy a unit in BRI, it is against my IP strategy for that state!

 

You win .

Your deck is bigger than mine .

 

Gee am bit surprised.....given the deck you have been displaying many times over...lately......and how long your decks last...and how long you have been building decks.

 

No thanks...seen quite few with this issue.....$9m okay if a PPOR...but you lose a lot in CGT.

I tend to keep my to under 350k.. CGT each...where I manage the amount of CGT paid...