QLD Brisbane capital growth

Just giving you a heads up, i was myself looking at the property above, and spoke with the agent in regards to this property and what she's (vendor is a chinese lady) willing to let it go for and why she's selling etc. Seems like she's quite keen to get rid of it based on what i gathered, agent didn't really attempt to hide this fact. Offer of around that vicinity of 300k, I think an offer of 300-305k flat with shortest settlement + juicy deposit to entice, would do the trick. That's of course not taking into consideration what has happened since i last spoke to them and if its still even available. Then again, that's just the impression i got from the agent personally based on the information i gathered.

They had another open after i spoke to them last week where i think they had another 4 people go through, so i don't know if anything else has played out since then or what kind of other issues the property actually has.

 

Ok..assuming numbers are approx correct..
Thr dbay has significantly more potential for adding value though. Although i cant see dbay outperforming camp hill in terms of organic growth.
Not sure, but i suspect a lot of syd/mel derived a lot of their overall growth from organic as opposed to inorganic (manufactured) growth , taking into account the costs to manufacture the growth.

 

Agreed....DB is a house so more val adding possible.

For example my one DB has toilet, shower,vanity downstair where garage and basement area with glass sliding area is. I could easily be converted to a studio or retreat by gyprocking one side as car accomodation.

Could all be done under $5k. Which was exactly what I would before I sell.

As for my unit at Moorooka less value add....position and size of unit would sell itself. It is 90 sqm internally...but also have a huge garage which is about 36 sqm odd.

Former tenant had a boat in it.

 

Your not worried about the possible oversupply of units/townhouses in the BCC? I was pretty confident in buying further out towards Ipswich but now you have me thinking.

 

Well yes...but it is more about avoiding the newer stuff.

The older stuff is actualy good value...older 6-8 pack blocks sitting on land which is worth say $1.4-2mm and selling for 300-350k. That is good value.

 

thats right- avoid the new oversupplied stuff ..and that does not mean run away as far as you can from such areas.

 

Yes...spot on...some of these areas are very trendy..look for places where house prices are going up a lot...eventually the units will look postively cheap!

 

Thanks guys. I was pretty set on the Ipswich LGA but now you have me thinking about an older style townhouses in the BCC closer to the CBD

Are you able to suggest any suburbs for me to start investigating? Around $300-$350k mark??

 

Will PM you.

 

Here is a snapshot of capital growth between Deception Bay and Logan Central/Woodridge:


In Summary:

Deception Bay:

• Increased 95,000 to 330,000 in 1999 to 2015. A 247% increase for the last 16-17 years
  
• Last 2 years , both a single digit increase. Total 15.3% increase for the last 2 years.

Logan Central/Woodridge:

• Increased 62,000/65,000 to 292,000/299,000 in 1999 to 2015. A 370% increase for the last 16-17 years
  
• Last 2 years, both increase average 10% per year, with total 21-22% increase for the last 2 years.

Stagnation:

• All 3 suburbs exhibit approx 12-15% fall/stagnation in 2009-2013.
• Some may argue better Brisbane suburbs had smaller drops during that time, I accept. However, Logan suburbs have had a better run then Deception Bay in short and longer term comparison.
• Logan also enjoy a higher yield in recent years which helped.

Don't all start throwing knives at me

 

5
1. From a lower base, yes, a lower dollar rise will result in higher %gain.
2. From an investor perspective purely based on numbers, might be ok..potential for growth (although uneven and volatile) is there and yields are good....however from an OO perspective, i would think not unless your job is there or affordability limits other options.
eg look at the QPS crime map to see the stuff that has gone on there...some very serious stuff. Would not want to be anywhere near that- and im sure im not the only OO who will think that way. I dont know any OO ( being a resident here ) that would want an OO property there , unless there are budgetary constraints leaving little choice.

 

is your comment/feedback based on DB and Logan comparison? or other Brisbane suburbs such as Carina Heights?

 

All good upon reflection, who knows what's going to happen.

 

neither...the title of the thread is Brisbane CG. Not comparing any suburbs. Each have their own pros and cons.
Just making a point that CG might be higher in areas that are OO dominated.

 

Ok all good. You quoted my post and I was purely comparing DB and Logan, since some are so biased that DB will make good money...
yes each to their own, everyone chasing different things i guess. I am chasing money.

 

correct..its all a bit crystal balling, but looking as past market behaviours and current stats and recent trends helps to predict what will happen.

 

But you could have 1 person saying it's going to boom, and 1 person saying it's going to tank - you can only tell who was right after the fact. It doesn't mean one guess was smarter than the other.

 

This morning when I went to Dominique Grubisa's seminar, she told us that Brisbane is still the good place to invest .

For more details to avoid the trap & pitfalls of investing, she offers $6k fee for the lifetime membership of her investing class. Which is cheaper than Steve McKnight $10k mentor / apprenticeship class.

 

I think there are a couple of different types.
The basic "property apprenticeship" was less than that.
Depends how much actual contact you want I think.
Not much with the basic packages.

 

So, did you pay the $6k?