First Investment: Off the plan apartment in Edmondson Park, Sydney VS older house in Logan, Brisbane

Discussion in 'Investment Strategy' started by Justin Morris, 22nd Mar, 2017.

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  1. Justin Morris

    Justin Morris Well-Known Member

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    My initial goal is to build a solid foundation of 6 properties. Deciding whether I should reap the growth from an off the plan apartment in Edmondson Park, Sydney (Big shopping Centre etc getting built and surrounding suburbs are booming) or should I invest in an older house in Logan under market value with good rental yield.
     
  2. D.T.

    D.T. Specialist Property Manager Business Member

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    Avoid anything off the plan
     
  3. Dan Donoghue

    Dan Donoghue Well-Known Member

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    You already asked about OTP apartments in Edmonton.

    The general consensus is do not buy OTP. Do your research into the area with apartments and also OTP and take some notes on why you think it would be a good idea to do it.

    Then look at existing housing stock and prices and take some notes on why they would be a better option for you.

    Read your notes 4 or 5 times and you will understand why most people advise against it. Search the forum for OTP threads, there are tons of them, even google search why OTP is a bad investment decision. It's not law but it is a "general" view.

    With your investment journey, no one on here can make your decisions for you, they can point you to research and generalise (ie like @D.T. has that OTP is generally considered a bad thing) but this is a lot of money you are looking at spending, you should approach it with the utmost of confidence that YOU are making the very best decision for yourself, not that someone on a forum (or someone in a MAP session) told you to do.

    Hop on realeastate.com.au and look at edmonton because it seems to be attracting you. Look at the stock movement, the average rents and median prices, calculate a yield from that and see if it will work for you.

    Again, it's got to be your decision, this is your future we are talking about.

    Also when doing your calculations, don't forget to factor in fees, maintenance and other expenses to the rental return, $400 a week is more likely to be around $280 a week.

    With the purchase costs, don't forget to slap another 30K+ on there for stamp duty and fees.

    Not sure I would be using the word "reap" here.
     
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  4. sash

    sash Well-Known Member

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    No brainer here....Logan by a far ...just avoid the lower socio economic parts of logan.

    For under 400k ...places like Regents Park and Browns Plains are good starting points.
     
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  5. Justin Morris

    Justin Morris Well-Known Member

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    how about Beenleigh, Eagleby, and Eden Landing?
     
  6. sash

    sash Well-Known Member

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    They are ok...personally I like the Northside better..somewhere in Redliffe or other parts of Moreton Bay like Strathpine, Petrie, Bray Park would be better in my personal opinion.
     
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  7. Justin Morris

    Justin Morris Well-Known Member

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    what makes you prefer there?
     
  8. Greyghost

    Greyghost Well-Known Member

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    You serious mate?
    Throw enough poo at the wall and eventually something will stick?? Is that your approach?

    Members on here all want or help.. but those who LISTEN, those who READ and SERCH existing threads..
    do yourself a favour and stop posting for a while and spend time reading all the threads.
    Then you may "reap" the rewards of your time invested
     
  9. sash

    sash Well-Known Member

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    I have 4 there and have had some success there.....
     
  10. Kingi

    Kingi Member

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    Eagleby for me, can still find a house under 300k(not many) with a very good yield. What differentiates Eagleby from many others geographically is, it is surrounded by 2 major rivers with ocean access.

    It is also the only suburb on the ocean side of H'way bet Bris and Coolangatta where these values are avail for now. A local buyers agent would be helpful for you.
     
  11. Tom Rivera

    Tom Rivera Property Manager Business Member

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    @Kingi I'm glad to hear you're having a good experience in Eagleby. We've always loved the location, but the locals are famous even from within Logan...! Can I ask whether you've had any issues with the quality of tenants and neighbours?
    ______________________________________________________________________

    $400,000 is a great budget, plenty to pick up something desirable like a a modern 4/2/2 brick on a half decent block (i.e. 600m2).

    Beenleigh is a large area with hit-and-miss suburbs, plus a lot of older and poorly maintained homes.

    Edens Landing is particular favourite of mine for reasonably nice homes and a decent neighbourhood, though the rents aren't amazing.

    Regents Park and surrounds are great quality, there are some really lovely neighbourhoods and well maintained homes nestled in there.
    Browns Plains has a bit of everything, some great spots and some not so great.
    That whole "region" (Browns Plains, Hillcrest, Crestmead, Regents Park, Marsden, Boronia Heights, etc.) behaves almost like one gigantic suburb in many ways. There are strong similarities in housing style, rents and demographic.

    If I were to pick one myself, I'd like to suggest Logan Reserve. There's a great little development built about fifteen years ago with 600m2+ lots that I'm quite fond of, plus Stoneleigh Reserve which is a nice little modern development that was only recently completed. Keep in mind the area is booming with MASSIVE new development, so you'll need to keep that in mind.

    I put together a rough little map of the Logan sub-regions for a friend a couple of months back, if you're interested I can try to find it.
     
  12. Kingi

    Kingi Member

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  13. Kingi

    Kingi Member

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    Hey Tom,
    No real issues at all. Median house price has risen 19.1% last 3 years. In the late 90s house in eagleby - 60k comparable house in Beenleigh 95k today level pegging. Demographics have changed considerably with retirement and over 50s resorts to the fore plus new estates and they are running out of land.
     
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  14. propertylad

    propertylad Well-Known Member

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    That's a big change since I graduated school in Beenliegh 06. Eagleby was up there with Woodridge as some of the worst suburbs in Logan. I'll never forget the day we migrated up from the Gold Coast and my parents locking the doors driving through. Although IMO Logan was a great place to grow up there was always a common understanding that you never dare enter Eagleby or Woodridge or Inala. Interesting what impact investors might have had over the last decade in these suburbs towards mild gentrification.
     
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  15. eletronic_exp0430

    eletronic_exp0430 Well-Known Member

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    Hahaha - thats quite funny. 06 was not that long ago when you think about it. Fancy that I was walking around all alone in these areas. Didn't feel threatened, scared or anything quite the opposite actually.
     
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  16. jins13

    jins13 Well-Known Member

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    Don't know what it is, but these days, we are getting quite a few interesting people in the forum. Ie one person just being plain lazy and asking for areas with no work done on their part and this is without any pre-approval in place. Not to mention their $15k credit card limit.
     
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  17. propertylad

    propertylad Well-Known Member

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    It's those bloody millennials I tell ya! *shakes fist in the air*

    Great to see my humble beginnings are blossoming!
     
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