Examples wanted pls re $500000 flat in good suburb, or house further out will get me richer faster?

I think you are mistaking Sydney for Melbourne in terms of apartments where was boom. I have been buying and selling refurbishment apartments for more than 10 years in Melbourne - there was never a "boom" in the apartment scene like in Sydney. I know of someone who bought something in chatswood in Sydney and made 1 million just OTP during the hey day 2 years ago. This is not the case in Melbourne - people buy apartments OTP and majority will be valued less than what they paid for if sold a year or 2 after settlement. the apartments scene was always flat outside of the TV show blocks apartments or upper end penthouses.

the market you are targeting with 1 bed or studio is actually the worst sub market apartment to be targeting for bargains. At one stage Footscray apartments were going backwards and also some apartments for example in southbank can be bought for what they were sold for 7-8 years ago. you cannot compare the booms of other suburb "houses" in Melbourne with apartments. Also I would not target emerging suburbs which are putting in apartments which traditionally was a housing suburb. Like for e.g. Preston, Footscray etc. Location is key in apartments - even some docklands and CBD apartments will always be superior over any other apartment because of that.

in my opinon - the only gain to make from apartments is through "manufacturing growth" through renovation etc or substituting through high short term rental. Nearly all of the buildings i sold - i held the record at that point in time for highest apartment sale sold. if you hold an apartment and do nothing - majority of the time you will get no growth in Melbourne and will likely be a stat in one of the suburbs like Travancore (being top 10 in Australia for negative resale in units)

 

I thought apartments stagnated because of all the oversupply that was built.

 

yeah but that wasn't any boom and the potential for capital appreciation is rare and slim

 

Hi @melbournian

I wondered if you had any experience on the Newcastle property market. I see that you have a lot of experience in buying apartments & wondered what your views were on buying a OTP in Wickham, Newcastle.

Cons: Lots of apartments going up in Wickham in the next few years.

Pros: Walking distance to Honeysuckle, Uni, Cafes. Bike to beaches, Darby street. Close to train, light rail (when complete) & bus terminal (when complete).

I know there has been a lot of discussion about a down turn in the market in Newcastle / Sydney & most likely apartments would suffer first.
I know if I personally was looking for somewhere to rent I would prefer to be renting as close to the city as possible, mostly for the lifestyle and as a young professional my work and most likely any other future work opportunities are in the CBD.

 

I don’t know the apartment scene that well in Sydney so can’t really comment

 

No problem. Thank you for getting back to me though mate.
Cheers.

 

For everyone reading this post here is the moral of the story.

 

Boy you love southbank dont u

 

how long is a piece of string?

comparing a unit with a house in the same suburb ( or even same street) might make a better comparison.

comparing a unit with a house in different location /suburb, and with different price points, more like comparing apples with oranges.

 

i think there is value for @DrunkSailor to maybe consider these apartments - in the long run they will be in demand - though it is capped each year and also no AC and possibly communal laundry - big waiting lists in the thousands to buy these.

Projects

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Projects

 

Oversupply of apartments no just wickham but everywhere in NCC, no land and most likely a high strata fee attached. They still all seem to be selling otp quickly though

 

I would love to know which interior design firm was behind this reno - it screams bespoke. Sent the agent a message, fingers crossed...

 

You are putting the cart before the horse.

Forget about the product, start with identifying markets that are on the upswing or starting to rise????? Once you work this out then the next step is to find out what product is in demand...

We know which markets are softening/correcting/slowing down, falling backwards... stay clear, easiest way to lose money in the short term

 

i have more photos - just for you - i actually do visit a lot of properties as it is good to learn and see what others do

 

Looks stunning even without photoshop. Many thanks... very similar theme to what we're aiming for with our upcoming courtyard reno

 

Agent replied: "The interior designing was done by the vendor ... the vendor doesn’t run an interior designing business"

Pretty amazing effort for a non-professional

/threadderailment

 

goes to show even the hardest or hardest markets like southbank is reknowed for being a super flat oversupplied market for apartments - yet ppl still made coin.

 

Very true... good location where lots of buyers would be looking anyway, plus an amazing reno to make it stand out amongst the oversupply.

 

tbh it is 5-10 min walk to CBD - if this was sydney would be in the millions.