QLD Brisbane IP help - what and where?

Hi all. First post but I've been hanging around reading for a long time.

I'm looking for an IP in the Brisbane area for long term CG and have up to $1.2m to spend.

I'd like something close to the city (within 8km or so), on a decent sized block of land, as I see that as being a good combination for CG.

Ideally, I'd like to have the option to do some development to it in the 5-10yr timeframe (or at least gain value from the fact that it could be developed by somebody). In the short term I'd be happy to do some minor touch-ups like painting, floor polishing, adding an internal wall or a cheap kitchen/bathroom but nothing major.

Right now I'm reaching the point of house-hunting fatigue from all the searching/researching/investigating/calling and still am not sure what to do. I'm at the point of giving it a break for a while.

Does anybody have any ideas/pointers as to where I should be looking and what for?

Thanks in advance, appreciate the time!

 

Consider hiring a buyers agent for around 1% of your proposed $1.2M spend. Outsource to a professional.

 

I can relate on the drains of house hunting. Really knocks the wind out of you- saw an article of a couple who've been looking for 3 years or something. Hard stuff.

You can try reaching out to Buyside who are buyers agents specialising in Brisbane. I haven't done business with them but did go to a couple of their market update seminars (like actual market update instead of hard selling tactics) and they seemed to know their stuff. One of the founders, Josh something - Mister?, wrote a guide book on property investing.

Also plenty of professionals on here who can help too.

 

i think what you've just described it is you're after is a splitter block within 5ks of the cbd north or south of the river. I'm not sure if $1.2m is still attainable for Coorparoo/camp hill, but north side look at wilston, grange, Newmarket, Ashgrove, Bardon. With a post war house you can remove. You'd need to get very friendly with the agents as these ones move very quick.

 

Thanks all. I have been thinking about a buyers agent but it's hard to know who actually knows what they're talking about.
I've looked for spliiters and you can still get them in Camp Hill but there seems to be a pretty big price premium on them and I think you'd struggle to make any more money than just buying and holding

 

I think that's the case with most splitters they have been well priced in so you would have to wait a while before the numbers stacked up everybody is searching for something that is splittable or zoned.
Having said that although they are already priced in I still feel they are a better option than a property that you can't do much with.
In the meantime it's about getting the best yield and also picking a property that will give you the most scope for value add.
Factors to consider that are things like what is the existing dwelling like can that be raised and built under and shifted what is the rental demand at the moment.

 

With that budget in Brisbane, you should have many options. Not sure what the issue is.

Your in analysis paralysis. Just bite the bullet and buy something. There is always "maybe something better will come up". Meanwhile, you just lost 5% on CG in deciding.

 

You don't put a cheap kitchen and bathroom in a >$1m home.

 

It'd only be to improve rentability/livability until it was properly renovated

 

My thoughts exactly. Just do it! Had the same issue with my first, took me about 6 month before I came to realization I just had to take the plunge. Now I just settled on my second, 2 in 2 years. Can I ask why one for $1.2? In Brisbane you could buy 2-3 with that amount?

 

If you want to look for a property with potential to split / subdivide, then would recommend you contact Shane Hiscock. www.shanehiscockproperty.com.au.

This is Shane's speciality, he has been finding splitters / subdivision (1 into 2 lots), managing subdivisions and new builds for several years now with great success. He can also source properties for you at BA rates. He's a good guy.

The thing to note, often the deals don't go to realestate.com.au. People like Shane are in constant contact with agents etc where quite often properties come up off market as well as on market.

Also, have noted the trend at looking for deals at the higher price range - so the funds you have should be in that sweet spot.

 

Seems you have a hard time making a decision on this. Understandably, you don't want to make a mistake with 1.2 mil.
However, Brisbane is moving and isn't getting any cheaper.. I suggest pay a BA to help in this and they should be able to get more focus and clarity in targeting areas. once you have that clarity amd are set on more specific areas amd asset types, amd assuming your 1.2 mil is ready to go, you can relatively quickly pull the trigger.

 

I know you have kind of fixed that you want one property to develop. But how about splitting the $1.2M?

You can buy two properties, be it with 800/400, or 500/500. As it is, there is already a lot of talk about over-development of Units in Brisbane, and I do know people who've put their development on hold, and some still hanging onto their land not able to sell it.

 

Lots of options slightly further out on the southside (10 or 11 klms from the CBD) splitter blocks for mid 7's into the 8's and selling quickly... Any of those blue chip suburbs will do well over time there is very strong demand at the moment from home buyers and investors and developers however the yields are low on a splitter. You could also consider buying 2 properties and add value by renovating or extending the property in the future, try to pick up something under market value the yields will be better and you have 2 properties rather than one possibly giving you more options. As the others have said consider engaging a buyers agent, the cost now will seem minuscule in the future as the market grows and you gain the local knowledge and contacts the buyers agent has.

 

I haven't found too many in Coorparoo that could be split for $900k, maybe I've just missed them.
I don't really have the time to sort out 1 property, let alone 2, hence the decision to go for 1. That also opens up better + bigger properties closer in, which I'm a fan of.
Have a couple of places next week that seem ok, if they fail I think I'll try to find a decent BA

 

In the area I'm looking on the north side I think a typical splitter block (flat with no easements etc) with a house that can be removed would be worth $1.1m.

If the house can't be removed, but slid over and retained then might be similar. If it can't be equally subdivided due to a wide character house, then maybe $900?

 

I am in a similar sort of dilema...cant decide what and where to buy. I see some people suggesting to just bite the bullet and buy something...but the question is that with so many options how do you decide??

 

I was recently in the same position, budget of around the 1.2-1.3 mark, though looking for a family home. Ended up buying back in the same suburb I spent part of my childhood (Ashgrove). We bought a 5 bedroom house on two levels, on 900m2, good school zones, has a pool. Room to move with renovations, both cosmetically and floor plan in future, but perfectly liveable at present. Competition was high though, we bought it on the day of it's first open home (a Saturday) and were one of 4 offers that day, the agent then told us she received 2 further offers the following day. Property was initially listed as going to auction, not sure why they didn't in the end, given the amount of interest.

We're unable to move into it for another year so are renting it out, had no trouble finding tenants, same day it was advertised it was rented at $1000/week. Not great yield but hey it's our eventual home, not an IP.

There are properties around for that 1.2 budget, but they get snapped up quickly. Need to view as many as possible and be prepared to make an offer early if it suits.