VIC Carrum Downs or Werribee

Discussion in 'Where to Buy' started by mick0123, 11th Apr, 2017.

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  1. mick0123

    mick0123 Active Member

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    Hi Guys

    I have been looking at purchasing a 3/4 bed property in the Carrum Downs region but I keep getting out bid (both private sale & auction) which is starting to do my head in.
    Hence I wanted to get peoples view on Werribee as an alternative? I know there is development happening in the region but is it as much as the Frankston area?
    Thanks
     
  2. Connor

    Connor Well-Known Member

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    Carrum Downs has seen massive growth over the last 2 years. Prices are hitting high 400's-500k on properties that were 320-350k 2 years ago. Buyers are still out in droves.... But IMO it's a market you best leave alone now.

    Werribee still has some good value in it...need to look at each deal independently though as its a hot market and rising fast. Heaps of government and private projects coming up, direct links via train and car to CBD. Again competition for good properties is high, so you'll need abit of luck. But I'm seeing significant increases in sold prices every month.
     
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  3. Realist35

    Realist35 Well-Known Member

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    I think wherever you buy in Melbourne around 500k mark you can't make a mistake. That beast is going crazy! As long as you buy around the median for the suburb.
     
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  4. mick0123

    mick0123 Active Member

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    I went to an auction last night in Werribee looking tô purchase a 3x2x2. The property ended up going for $490k. Prices are stupid at that level.
    I don't have a property in Melb and want one as I think long term the city will do really well. But need to get in at a right price.
     
  5. P1ngu

    P1ngu Active Member

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    Went to the Harpley estate ballot in Werribee on the weekend and for about 35 blocks had around 100 people applying for them, mostly indian families, but was astounded at the demand...

    I had to go look out west as well...how does a 3x2x2 (350sqm) property for 360k look under 1 kilometre from wyndham vale train station, walking distance to the shopping centre, and 10 mins drive to werribee central sound...even if it is Wyndham Vale?
     
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  6. melbournian

    melbournian Well-Known Member

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    I went to a similar werribee one a while back - similar 75 odd ppl lining up outside the office before it opened.

    My Pt Cook property is settling today - 50 indians turned up for inspection and was bought by a senior manager top 5 consulting firm. you turn the clock back 3 odd years( this wasn't the case - but the influx of these demographics the price points have made this a shark frenzy for these guys)
     
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  7. RedHat

    RedHat Well-Known Member

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    I have been looking for 4x2x2 for myself and cant believe most of the houses ( >450sqm) in Tarniet, WL and around Hoppers are asking 650K plus.Heck some of them in Point cook are demanding 720K +
     
  8. zed_kid

    zed_kid Well-Known Member

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    Yep. A developer approached my parents to buy their house for $1mil. It’s on 780sqm with front and rear access in the ‘older’ area of point cook. Townhouses going for 500k, he can probably put 4 on my parents block. The math checks out.
     
  9. Wendy Chamberlain

    Wendy Chamberlain Well-Known Member

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    Various agents selling lots of land around Melbourne are putting the prices up just to try and the slow the market. They are at least 12 months out from laying the infrastructure and putting prices up and up and up to try and stop people buying so quickly - and it is not working.
     
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  10. willister

    willister Well-Known Member

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    Reports like this freak me out, not so because I'm IP hunting - I'm strictly back to looking now and if prices rocket up so be it, I won't buy. But more so, I'm just astounded and taken aback by the amount of credit people are actually putting themselves under, places like Dingley Village, Clarinda etc. are reaching close to a million! Sooner of later places like Werribee and Pt Cook will hit 800k-ish and knocking on one million.
     
  11. melbournian

    melbournian Well-Known Member

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    I don't think this would be like a preston, reservoir, clayton, heidlberg heights rising to 800kish etc. With the demographics (Indians) if it goes above their limit (spending) they have a cap I believe they would buy in the following suburb like now Williams landing, point cook are exp - they move to wydhman vale, werribee. like a flow on effect.

    Dingley village - if you ask me ain't a great place to be. I rather be close to universities, infrastructure (highways), beach, shopping centres, quality schools.

    I mean seriously when u see things like a mother lining up in torquay with her dog for their daughter (other ppl in other states - does this happen in there for qld, Adelaide etc?)

    upload_2017-4-18_11-9-14.png
     
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  12. Barny

    Barny Well-Known Member

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    Many say they won't buy, then after the anger and frustration end up paying more later on as they still want to get in. Myself included here.
    For Werribee to hit 800k you would need areas closer in to cbd to jump up by a huge amount. But Werribee still has price to move, I still think 50k upward median is easily possible this year.
     
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  13. P1ngu

    P1ngu Active Member

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    yeah its more of everyone reading the age & domain news articles, seeing prices going up everyday and just wanting to get in the market before they rise even more. news media isn't helping.
     
  14. rook2017

    rook2017 Well-Known Member

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    Carrum Downs has no train station compared to Werribee and is further away from Melbourne CBD. The only plus for CD is proximity to Frankston and Eastlink.
     
  15. zed_kid

    zed_kid Well-Known Member

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    What’s the yield like on a 400k purchase in Werribee?
     
  16. willister

    willister Well-Known Member

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    But why do many do this? OK, PPOR I can sort of understand there is some urgency but for an IP. there are more gains than loses to waiting. My mantra is always what goes up MUST come down. Sure I've lost heaps of $$ in the past due to waiting and even then I had to move to the next suburb. But honestly, the amount of pain if there is a crash you have to endure really outstrips any gains.
     
  17. melbournian

    melbournian Well-Known Member

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    People are taking the advantage of the sprawl (there are legitimate buyers) and growing number of people looking to buy.

    I recall buying a few empty lots in pt cook couple years ago (it was bad back then - I nego it down a couple thousand each and to get free bunning and Woolworth vouchers in the thousands) brought my cheque book and said i'll buy in another estate if they don't wish to do a deal today. You can easily speak to sales consultant and now you got ppl lining up. The next time I go have a browse - i'll take some photos. the price of land just rose like 90K for the same size I bought now.

    I mean 50 ppl in 2 showings in pt cook for a property I sold and settled last week. all legitimate buyers. I tried putting in on market 2 years ago (and got only 6 ppl rocking up). Population growths and ppl on 2 incomes who have worked couple of years aspire to buy a place for family reasons etc . Not everyone can rock up to clayton, caufield and reservoir or preston with a big mortgage.

    Which is why things change the demand - demographics, population growths etc. fair enough if everybody buying were ip investors but they're not. demand is exceeding supply for some estates otherwise they would not be sold out.
     
  18. willister

    willister Well-Known Member

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    Well Werribee is 30kms or so out from the CBD, it *does* have a train line so it's a plus. I think if anything it mirrors Dandenong in the South East, it will become a hub for the South West. I can't comment about Rezza or HH or Preston but Clayton certainly is becoming a Mainland Chinese town. Some tout it as a better prospect then even Mt. Waverley (google boy) but I highly doubt it, unless some kickass High School is suddenly put in overnight. It has John Monash but thats selective...
     
  19. Barny

    Barny Well-Known Member

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    Apart from the gfc, when's the last time you noticed property prices drop in Australia?
    How much would one really loose in carrum downs or Werribee if prices backed off? The low buy in price of 400k, @10% loss is 40k, at 20% loss its 80k. Is it really that much of a loss if so? Unless you believe a major incident will occur then yes hold off.

    Taking a look at all government current policy's, immigration into Melb, current jobs, and the lowest interest rates ever, and true demand right now, I don't see these prices going backwards at all for now. If anything I believe they still have room to move and they will move fast.
    The rental return on these are around 4.5-5%. At today's rates it's affordable to hold.
    I have also stated I wouldn't buy an ip into certain areas at today's prices, but ppor is a different story and others buying in these areas are first home owners who need a house for security just like I do.

    So to answer your question, it's because people are optimistic and don't see prices dropping and probably don't have a view of a crash occurring.
     
  20. melbournian

    melbournian Well-Known Member

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    Clayton lots of mainland restaurants (I went to Carnegie) and lots of Chinese speaking mandarin in the streets. l lived in clayton for a number of years and know the area well went to monash uni clayton too back in the day. it's def changed but it's no glen Waverley or mt Waverley yet.

    Point Cook has it's share of mainland chinese but the biggest buyers are indian. u gotto put yourself in their shoes for the they got 2 ppl one works as an accountant one as a cleaner) say they earn 85K combined (they can afford 400K mortgage easily) but as Pt cook becomes more exp - they head out to werribee, logically. I don't think werribee is gonna be like preston going to the millions but for dollar per dollar return (low cost investment) it is the cheapest around. it is also a lot of infra plans if you read the dept of planning infrastructure sites. It is also part of the NEC (National Employment Cluster) the gov is planning on. Not sure how long this it is going to take for the infra to come up. but that NEC was in reservoir too and you saw where it took it.
     

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