VIC Does demographic matter?

When deciding a location, do you guys factor in demographic much? For example, say if over 40% of demo are Indian, or Viet or Chinese or UK, or Jewish, etc... Does it affect your decision? This is just general asking, no offence to any race

 

Demographic in terms of race not really. It can be a good thing in some cases - more of the same want to buy in and start paying any price to get where they want. Certainly manage props in some areas that have all Vietnamese people or all Italians or whatever.

Demographic in terms of feralness though is a different question.

 

How about religion? Like >50% muslim etc

 

I think the issue religion can sadly have is that it sometimes drives away people of other religions away

 

@ATANG it depends - I wouldn't classify religion (though if you pick places like broadmeadows) large amount of arabic refugees some don't even speak English - hard to get jobs and stay on welfare hence the stigma stays and it takes time to grow. Though lots of lebanese have a lot of coin too. Saw them bididng in preston nearly up to 3mil for a site. Of course a lot of these commie mainlanders got coin and the se Asians (they come and buy up without any issues).Remember back in 2009/10 one rocked up with briefcase of cash for the 10%. For these commies having a property is like second nature to them. Hence you see why Balwyn, Glen Waverley, Sunnybank, Chatswood and Eastwood are among the more expensive suburbs in australia. Balwyn and Glen Waverley had if not the highest or among the top 3 median growths in the few years prior in VIC. Asians in general save money as you know (like it or not). whether they are poor or not (the topic is always on education and enriching themselves). So they can move suburbs - when I lived in clayton, (they're weren't as many Asians like now) - they basically took a 600sqm block which sold for 500K to nearly 1.4mil in a span of a few years. And that is what I am seeing now in the north. with different demographics moving in slowly. Schools and Universities are very important to Asian demographics (locations of melb, monash uni, Swinburne, RMIT, Latrobe are places where they want to target )

Some people like @google boy went to St Albans and did not like it though don't blame him as he was not exposed to this sort of suburbs like myself - I personally also find it a bit foreign (not that I did not like it) but it felt I like was in ho chi minh city - like full on. Even Footscray wasn't that strongly to one demographic as St Albans. Although it is diff, viets do have coin too. and I do believe it will grow.

For yourself - I think stick to box hill, Blackburn and Doncaster.(easy acces to food you like and also can sleep at night )

 

The demographic factors you need to worry about as an investor are age and socio-economic status, not race. Age is really the biggest one, as aging populations tend to have a downward trend in terms of housing demand. Personally I think granny flats will be a big interest item in years to come, as more older Australians will mean more demand for multi-generational living especially if we see any lengthy recession (which may cause retirement savings to take a hit). Multi-generational living is also very popular with a lot of cultural groups e.g. Chinese, Indian. The current pension system is going to struggle to support the number of older Australians we have, so we're likely to see more younger people living with elderly family, and granny flats have been unpopular in new suburbs.

Socio-economic status is relevant because the lowest socio-economic groups tend to be more vulnerable through any economic upsets, so these suburbs (often on the city fringe) can go through big shifts in demand. Personally I prefer to aim for middle income suburbs.

 

@highlighter I think VIC needs to be like Queensland and NSW in terms of granny flats - there is virtually no way legally to get one installed unless it is your PPOR and you can prove that a relative or dependant will be living there (they pretty strict abt it). The only way you can have one in an IP is if you inherited one and even that you can't rent it out to multiple parties.

 

We just need a "Melburnian's Saturday Auction Wrap up" with pics. LOL Auction porn.

 

Call me racist but I am never ever going to buy in broadmeadows ,Dandenong, Melton ,Dallas, where there is large amount of refugee from middle east and Africa. Australian poor govt policy gonna haunt Australia one day.look what is happening around Europe. Total mess. Lot of Australian or western world are ignorant , they don't know how is their upbringing , their values and thinking, cultures. Out of 100%, 99% are fake refugee and once they arrived their thinking doesn't change and they don't integrate and respect other cultures. They don't want to change which results crime. Me, coming from south Asian background, our parents always taught us the importance of education, eager to learn, survival and money , respecting other values. Same goes with Asian people, Jewish people too.

 

I find this hard to comprehend, we are also immigrants, you shut the door on them, may as well shut the door on everyone else. 99.9% of all Australians are immigrants.

So what suburbs would you target out of interest? (If money was no object?)

 

We can see in the property market. In Dallas, u can buy in 350k but glen Waverly u have to pay more than1.5 million.

 

And how much would Glen Waverley be inflated by?

• 20kms from CBD and end of the line railway which would be difficult to extend. Middle Rung suburb
• Vibrant shopping strip and centre.
• "Good", high scoring High School
• Close to Monash, good university
• Sort of green in some parts

Is it worth $1.5mil? Not IMHO.

Dallas has severe building restrictions, even a small extension is difficult to obtain due to the flight path.

 

For me demographic is important to the extent of what dwellings are in demand for that target demographic. More importantly, the breakdown of renters to Owners is important to me. With regards to race I am not particularly fussed. If there is demand for a particular race majority area, I'll just cater to what they want.

Areas I do stay away from are high crime areas (regardless if it is 1 race dominated or mixed), severely declining population growth areas and high proportion of renters to owners areas.

 

Went to a few this week - Just for you
43 Green Avenue, Kingsbury, Vic 3083 - Property Details
this was an interesting auction (in kingsbury - never realized so many mainlanders - lived there - Latrobe RMIT). a FHB fighting it out with bunch of commies and viets. and also 4 out of the 6 agents getting the bids were mainland chinese (there you go mainland heaven). In the end the FHB won taking out the commies - I think he was under so much pressure - he cried and his whole family hugged it out (super emotional)







Another one -was your fav (Heidelberg west) a ex-housing comm (owned by a chinese) sandwiched btw a brand new house build next door. passed in. Streets were scary - blacks and some older guys talking 50s shaking like they're on ice. Passed in. was off Ramu parade. that is why I keep saying no point having huge supply of housing comms coming in without redevelopment to reduce supply (suburb of hint) you end up with ppl just looking and thinking at the surroundings and thinking twice.

 

LOL. So assuming Vietnamese base is fine for you? Like Sunshine, Deerpark, St Albans, etc?

 

i am happy with vietnamese people . they are very hard working people. Same goes with italian and greeks. look at the 2nd generation italian, greek, viets majority of them are professional and rich.It is because their parents had to work hard when they came with no english and taught them the importance of education and money.

 

greek owns parhran, bentleigh, brighton, murrumbena, oakleigh, clayton .

 

Kingsbury is a good purchase IMHO! $740K, decent house (I'd live in that) decent block 633m2! Only thing weird was the house....driveway is on the wrong side!!

 

I would likely agree with this. Further, I would focus more on fundamentals ( supply and demand) rather than specific items such as any of these.
However, amiongst some of these ..lets just say 'suburb tenant characteristics', age and socio-econ status would be the two biggest id look at.
I do understand some poters on this thread, who have come from places like the subcontinent, where they show great- almost overwhelming preference- to be (almost solely) in areas of a particular race and religion. Indeed, a lot of the world does just this. It may be construed as racist here in Australia ( and probably is), but is seen as practical and wise in other parts of the world.

 

fundamentals like Brisbane was supposed to have super nova boomed last 2 years (with 1 million posts inevitable comments) while the goal posts keeps moving to the next cycle?Macroeconomics is more steve keen approach

I personally don't care about race - I just care about making gains and returns. Socio economic status is part of where some demographics have higher income, some don't. You don't need a PHD in economics to know you wouldn't invest in the suburb where the supply of housing commission is going to triple fold while bring in low socio-economic individuals to stay. it is unfortunate that these low socio-economic come from certain countries.

Maybe buy in doveton - steady supply of young individuals from African nations (being age is a factor)