VIC Carrum Downers?

Hi Guys,

Why is everyone so down on Carrum Downs as an investment? The growth for the area looks reasonable and it seems affordable. But im not originally from here and I hear it has a bad name. My friend nearly bit my head off when I asked if he had considered there..

Thanks

 

We bought there in 2005 as a PPOR, never had any issues, we moved out in 2010 turned into an IP and still own it, it has more than doubled in value since we bought thanks to some wicked growth in the last 2 years. Maybe people are down on it now that it has jumped sooooo much recently?

 

i think the name has a thing to do it with it for sure, "cazza d" as its known it locals has been in many bad raps over the years, when you say carrum downs people throw there heads away in disgust, but say "carrum" and you get the complete opposite.

 

Investors realize potential in places where locals or others fail to.

I have said many times before. A good line that i was acquainted once :

Take advice only from people who have achieved what you want to achieve.

Others will just offer opinion based on their limited knowledge.

Regards

 

I purchased in Seaford over 4 years ago. People laughed at me back then and questioned my decision. Have recently bought in Carrum Downs. Happy with my decision. St Kilda and Elwood were once considered not good areas. Carrum Dowbs will be good

 

I won't argue with you 007.

However, I reckon you could make more money if you can line up a fight with Mayweather.

 

Great advice guys, thanks! I'll go for a drive tomorrow and take a look around ol Cazza D!

 

haha Chuck v Mayweather. I'd pay to watch that

 

Purchased in Carrum Downs a couple of months ago.
Ignore the naysayers, if it lines up with your own criteria it's worth a look

 

Good advice, thanks Atreyufan.

 

My investor clients are very happy with Carrum Downs. Some streets are more preferable to others, as are bigger lots with development potential. Watch out for covenants and (if it matters to you) social housing.

 

I've still got property in Carrum Downs, but in this market I'm a seller. Definitely not a buyer, its way too hot.

Sold one property last financial year and considering selling the other 2.
Held these for over 10 years and finally seen some decent growth. Mostly in the last 2 years.

IMO there's better places to invest 500k and the CD market has seen its growth this cycle.

 

I purchased one in the newer area of Carrum downs about 3 years back. Big house on a big block. It can sell now for $200k more than the purchase price. Can't complain!

 

I have a mate that lives in the home he was brought up in. His parents bought it as immigrants that couldn't afford anything flash, so they bought a little shack in a poorer area of Melbourne called Middle Park. I know its more than 50 years back, but Middle Park is possibly the dearest real estate per m2 in Victoria.

Carrum Downs is similar. It was for first home buyers that couldn't afford ritzy areas like Narre Warren, poor areas like Frankston and didn't want to move out to Cranbourne. It had a very bad name. My wife nearly had a cow when I bought there last year. But its well located, has some nicer parts and in years to come I think it will do well (but not as well as Middle Park lol).

I had it valued a couple of months ago and its only increased 10% - and I'm happy with that given rental covers 95% of holding costs. Middle ring would double that in growth, but you'd be borrowing 3x more and have huge holding costs.

 

Carrum Downs is similar to Middle Park is an interesting comment

 

Most houses on good sized blocks in Eastern suburbs would have at least tripled since 2005. I guess that could mean more potential upside

 

Or.....that Carrum Downs doesn't match the growth of more "desirable" suburbs. There is definitely more upside but I don't see it in the "short" term....hope I'm wrong

 

Thanks for the tip Kate, are the covenants always highlighted in the Section 32? In all cases?

 

Fair point Natedog, Im thinking more long term for a suburb like Carrum Downs. Im even thinking Frankston for long term also. But I understand North Frankston has a worse name than Carrum Downs. Im told to wear my "Stab proof vest" haha

 

Guys are these type of free reports accurate at all? They quote a DSR score (Demand Supply Ratio). Not sure how accurate they are..