NSW Buying a house in 'The Ponds' -- IP + PPOR

What do people think of buying a 4b or 3b house in the ponds <1m mark (instead of investing 850-900k+ in new areas like Marsden Park, Box Hill)?
Plan is to put on rental market for first three years then move in (ppor).
Once the nearest train line is setup things will work out pretty well for us from office commute.
Also hoping to get 650-700$ PW rental per RE agent in that area.

 

As a PPoR that's a subjective/emotional decision so no comment there but in terms of investment, you could buy in Quakers hill which is not far from there and save over 250k.

55 Pendley Crescent, Quakers Hill, NSW 2763 - Property Details

3 Jasmine Avenue, Quakers Hill, NSW 2763 - Property Details

To me, there is no investment value in The Ponds now.

 

Thanks, i'm bit curious why the Quakers hill value is low - any issues? Its exisiting dev suburb for sometime now got station too, still suburb not making good value. As investment do u think its good option?

 

TBH I don't know as I haven't investigated it. My quick guess would be the homes are older in QH than the ponds, maybe ppl perceive the ponds to be 'trendier' than QH etc. I don't know the reason but to save 250k is reason enough for me to ditch The Ponds and look at higher value markets all around that area.

However also keep in mind, in the last 4 years QH homes have increased like almost 100% in many cases. I have a few in the area so I know that for a fact.

 

I see The Ponds being one of the suburbs hardest hit when interest rates go up in a few years. Thinking Kellyville in the last down cycle. I have a client currently refinancing in there, and the bank is requesting a full val, rather than an electronic one, for a standard 4 x 2. Methinks the lenders/valuers already have their eyes on the suburb.

Maybe go for a less aspirational suburb if at least part of it is for investment. It would be tough being in a negative equity position and stopping you from moving to your next property in a few years.

 

[QUOTE="Leo2413...

However also keep in mind, in the last 4 years QH homes have increased like almost 100% in many cases. I have a few in the area so I know that for a fact.[/QUOTE]

Hi Everyone, im also looking in NW SYD.
Any specific side (or streets) in QH to buy? and
How is the next suburb schofield as IP?

 

north of the M7. then look for schools you like

 

Thanks, any specific reason ( for north of the M7) we must aware of?

 

I just settled on the ponds not long ago and got valued 200k above what i paid.. no issues with vals there.. i know people settling 2 months after and are up even more..

In saying that people would be crazy to buy in the ponds now unless its ppor. To me its by far the best suburb in that area with regards to housing and schools and all the high income doctors around are what have pushed the prices up (i know cause I work with em).. there's a catchment in the ponds high school and its pushing prices up..

To me there will be some blood there.. the top range though, not your standard 4, 2, 1/2.

 

Yes people are preferring Quakers Hill over Ponds/Schofields in the last 1 year. They have realised that there's huge savings

You get bigger blocks of land, great schools.

Look for the streets near Farnham road shops just about 1km from ponds. Close to shops, 2 schools, easy access to freeways, major shopping nearby.

Now the older side of Quakers Hill has also picked up as there might be revamp of the shops near station, more new homes coming up near Quakers road and lot of people selling to make money from the growth

Be quick theres still bargain for big blocks before it touches 1 Mil(almost there now)

 

Yep big difference in age between QH and Ponds stock.
Half of QH ('old side') filled by 80s stock,
Other half late 90s(?) stock,
Amenities are all similar aged.

ha! Wouldn't go as far as to say QH has good schools,
Average western suburbs ones is probably a better description.
Overall safe and family based area though.

Also heard they are revamping the hambledon area too,
But a bit of existing stock in there, I wonder what they are going for (very close to the new Schofields developments)

 

Right but in the long run, land will be scarce not the shiny new buildings

If you can save 200k you can anyways renovate and make it shiny with 100k down the line. Remember you always need to make money while buying

Huge developments happening now where the chicken farm used to be. Units coming up near the station so ya lot of stuff happening

 

The houses i shortlisted yesterday just under 650k in QH , all became "under contract/sold" today in reasestate . Com

 

That's a sign the area is doing good. Keep looking but you might need to strech budget if you are keen on a house. The houses are more towards 750+ and gets sold within a day. I'm also looking for a friend but it's difficult to go through as they are many buyers in the open home and the agents are creating competition among the buyers(kind of silent auction). I have seen houses advertised as 750-780k get sold for 840
Maybe we come across each other in an open home...
They are new townhouses for 750k about 300m to the station and they are also being sold in days

 

You wont find anything decent under 700k in QH. The price difference reflects the housing commission in QH too.
People buying in the ponds dont care about land content, they want a nice large house. Most of the houses in QH have tiny bedrooms and are 3,1,1 so big difference. Difference demographics really. Different community environment etc.
If you are set on living in that area i'd prob buy in Riverstone as its still good value. Just avoid the housing commission pockets

 

They are no housing commissions in the new area I mentioned near the Farnham road shops/barnier public school. Housing commissions in Quakers hills are near woolworths and on the border of Marayong/Quakers hill but I think they would go away soon.

As I mentioned before, if you want a shiny big house with small blocks you can get it anywhere in Ponds/Schofields/Riverstone/Marsden park/Leppington etc. I heard that Ponds suburb is blacklisted by some banks for lending and considered risky

Example NAB - First home buyers can expect an even tougher battle to get into the market

I would buy in Quakers hill compared to Riverstone but you should visit the suburb and the street you want to buy to get a feel. If you go to a open home in Quakers hill there might be 30 people when compared to 5 people in Riverstone and there itself you would know why

 

Spot on....even with the FHB grant in NSW...the banks have blacklisted a lot of the traditional entry suburbs....they are already reducing the risk of FHB mad rush in....

 

Why not buy a IP interstate now, and buy your PPOR in the ponds in 2-3 years when your ready to move in?
I don't see the value investing in the ponds now...Wait it out and you might get more house for your money and have more IP success elsewhere...

As others have said the ponds is blacklisted so even the banks are predicting a price drop... this is why I chose to rent in the ponds, as for comparing to QH, these are 2 extremely different demographics.

 

Once the new cudgegong station is up, i believe the ponds house prices will increase more.

Do we expect similar growth in QH?
One major concern I have is, even though there are schools, station etc in QH why that suburb was still undervalued?

 

QH has already done fantastically well over the last 4-5 years and when more and more ppl see no value in the ponds et el due to the price gap widening the inevitable ripple effect will kick in and QH will jump again in price closing the gap, though how much will depend on the extent prices may soften in The ponds.