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QLD Buying units in Logan?

Discussion in 'Where to Buy' started by Kai41314, 26th Jul, 2015.

  1. Kai41314

    Kai41314 Well-Known Member

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    Hi,

    Is it worth to invest newer (about 6 years old) single storey units with usable backyard in Logan? Another question, for growth prospect, do you think a 3BR townhouse with a small courtyard (6 years old & 15-20 KM to Brisbane) is better or a single storey 4BR unit with a usable backyard (6 years old & 30 KM to Brisbane) is better?

    Regards,
    Kai
     
  2. monalisa

    monalisa Well-Known Member Premium Member

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    I think you will have to look at the specific suburbs within Logan.

    For some of the suburbs, it may not be worthwhile... not sure if there is a market for those?

    When we looked at Logan strata properties a few years ago, we found the complexes were way too large for our liking therefore no uniqueness factor, and strata was too high.

    Smaller complexes in the more desirable parts of Logan may have better prospects.

    Not too sure re whether one is better than the other (15-20km vs 30km etc) - depends on your investing criteria, so you need to decide for yourself.
     
    Greyghost likes this.
  3. Kai41314

    Kai41314 Well-Known Member

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    In Logan I found some units in a block of 14 and the strata is about $2000 per year. What is the ideal size of a complex? Good infrastructure near by but just not too sure if it will have the growth in 5 years.
     
  4. Greyghost

    Greyghost Well-Known Member

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    What is your specific strategy in targeting units in Logan area?
     
  5. Kai41314

    Kai41314 Well-Known Member

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    My goals are:

    1. At least 4-5% annual CG
    2. Cash follow positive at 105% LVR
    3. Low maintenance and good depreciation
    4. $350k budget
    5. Property location is close to infrastructure and facilities.

    The Logan market is moving fast and I discovered it is hard to get a house in my budget. This is why I am considering units. Is my goal achievable with units?

    Is there a better strategy for my situation?
     
    Last edited: 26th Jul, 2015
  6. Rixter

    Rixter Well-Known Member

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    Kai, Attempt to stay with in the BCC precinct. I think the 3 bedder TH 15-20km from Briz cbd will give you a better CG way above your 4-5% . Check out areas around Calamvale, Sunnybank Hills.
     
    Last edited: 26th Jul, 2015
  7. monalisa

    monalisa Well-Known Member Premium Member

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    Kai, what is your budget?
     
  8. Kai41314

    Kai41314 Well-Known Member

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    For 105% LVR, my budget is up to $350K. Actually I have $220K+ in my saving account so I can stretch my budget a little bit over than $350K but I want to use the cash (maybe $160K out of the $220K) for purchasing my PPoR in Melbourne next year. What is the better option? Stick with $350k and buy a TH near Runcorn/Calamvale? Or stretch the budget a little bit (hence lower LVR) to buy somewhere else?
     
    Last edited: 26th Jul, 2015
  9. Rixter

    Rixter Well-Known Member

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    Yes, but steer clear of Runcorn..there is TH oversupply there.
     
  10. sash

    sash Well-Known Member

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    Add to that 3000 odd in rates and water that is $5k down already?

    Even if you get a 3x2x1 T/H......and say it rents for $310pw.

    Add to that L/L insurance, Management Fees, and Repairs. You are looking at another $2500.

    So 7.5k goes out the door...you are left with $8500 out of $16k.

    That will service a loan of about 200k....are you buying it for within 10% of that either way?

     
  11. jaybean

    jaybean Well-Known Member

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    Yup if you buy in Runcorn it has to be house and land.

    If you want a TH, literally any of the surrounding BCC suburbs will do (Calamvale, Sunnybank Hills, Eight Mile Plains, Sunnybank, Macgregor).
     
  12. Kai41314

    Kai41314 Well-Known Member

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    Hmmm...I thought the rental should be about $400pw plus the depreciation so the cash flow might be not that bad.


     
  13. sash

    sash Well-Known Member

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    Tell you what.... find me a T/H for say 200k returning $400pw....and 2000 in strata...I would buy it.

    I think that is what you get for houses...but there are in the 300s...

     
  14. Kai41314

    Kai41314 Well-Known Member

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    Hi sash,

    My budget is $350K. $200K is the extra cash that I can use part of it to stretch my budget.




     
  15. sash

    sash Well-Known Member

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    Suggest you talk to Mike Xia...if you want to buy in Logan....with 200k you should be able to buy multiples...I am not a big fan of holding all in Logan..though...each to their own...

     
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  16. Kai41314

    Kai41314 Well-Known Member

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    Rixter, Do you know where is the nicer pockets in Calamvale?


     
  17. Greyghost

    Greyghost Well-Known Member

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    Potentially buy a house in the region for that much..
     
  18. jaybean

    jaybean Well-Known Member

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    After living there for over 10 years I can help.

    The best part that is getting really solid prices (saw a house sell for 900k within an hour of it hitting the market) is just across the road from Sunnybank Hills Shoppingtown.

    https://www.google.com.au/maps/plac...!1s0x6b91445da45864f7:0x502a35af3de82d0?hl=en


    The next best part is in the middle pocket around Parklands St.

    https://www.google.com.au/maps/plac...!1s0x6b91445da45864f7:0x502a35af3de82d0?hl=en

    Then the recent stuff all the way down south is OK, I would only buy the ones right near the corner shops on Kameruka St:

    https://www.google.com.au/maps/plac...!1s0x6b91445da45864f7:0x502a35af3de82d0?hl=en

    And the area I dislike the most is on the other side of Beaudesert Rd, but I wouldn't pay any sort of premium to be there:

    https://www.google.com.au/maps/plac...!1s0x6b91445da45864f7:0x502a35af3de82d0?hl=en
     
    Last edited: 30th Jul, 2015
  19. York

    York Finance Broker Business Member

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    Would you consider Browns Plains or Regents Park an area that will move like Calamvale and Sunnybank Hills?
     
  20. jaybean

    jaybean Well-Known Member

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    Sorry I know you're not asking me but I lived in Calamvale for a long time and in the general area for even longer. I don't know RP, but BP is NOT to be compared with SBH!