QLD GC going strong!

I think Nerang gets a bad rap but its actually probably better than upper coomera these days....yes @Tekoz it is lower socioeconomic in parts and also quite nice in parts.

 

Why me @Mel_C ?
I'm just buying some premium services and report then share it here for the benefits of other people.

 

You are very welcome

Yes to be fair, there are some lovely properties on more rural blocks out the back. It's the high density area which always had cheap housing that I'm using as an example

In March this year I thought the Gold Coast was going to really take off and everything was looking rosy.

My positive feelings for the Gold Coast as an investment choice have now almost gone. You may be okay with investing in cheaper housing in the 300k - 450k market as there is still a lot of interest there, but prices much above that seem to have lost momentum since September and there are a pile of high density units being built in Hope Island (North GC) which might tip the supply / demand for units further into the buyers market. I'm very worried about selling my last investment property. It's just my prediction but I'm not sure I'd be considering the Gold Coast beyond the next two years.

 

I would agree. Like i said a few posts back prices have jumped a good 20k - 40k or so just in the last 12 months, at least at the lower end. Things were stagnate in the 3 or so years prior. In the short term i would says its runout of steam and people that didnt buy in a few years ago have already missed the boat.

 

Where were your investment properties Luka? Things are still moving quite quickly in the beach side suburbs good areas of southport as well...I looked at a house here in Mermaid waters sold in April 2014 for $675k sold at auction last week for $780k they did nothing to the property. I thought they would get between $700 - 750. I have been looking in Miami under $600k and they get snapped up very quick. Everything in Burleigh sells in a week. I think you have to be very picky about where you buy on the coast. I dont think anywhere will boom as such next year but I think beachside coast will plod along nicely ! But yes the time to buy was a few years ago to have gotten greater gains.

 

Buyers agents love a quick and easy sale, lots of stock in UC and Coomera to sell, and probably a nice fat commission from the developer if your buying a new H&L........ What are the growth drivers for the area? A new Westfield? Any thing else? If you ask the real GC locals the majority don't want to live in Coomera area, they want to be closer to Broadbeach, Surfers Paradise, Southport and Robina area's and beach area's with Cafe's and Restaurants and entertainment and good public transport. GC rental market can be competitive for good properties, and they aren't cheap due to the high strata fee's and rates, so for some the appeal of a less competitive market in Coomera can be appealing. I believe Logan will be a better investment in the long term, there is some good buying around if you look hard enough and good yields too. My Logan tenants drive down to the GC most weekends to go to the beach, its only 30 minutes or so, and they have the benefit of living in Brisbane and access to more jobs.

 

Yes I would pick Logan over Coomera, Pimpana etc...

 

Richard Snowden Market Review

 

Upper coomera in particular is one of the areas that as seen a healthy jump in prices in the last 12 months. much newer and nicer than logan which still has a bad reputation. any one that was looking at this area but didn't jump in has really missed the boat. quite a nice area with loads of investment with plenty of schools, 2 coles's, 1 woolies, masters ect the list rolls on. 35mins to south brissie only 2 exits on the hwy to southport. It really ticks all the box's. but if you didnt buy in the early mid 2000's or after the 2010/11 crash. then like i said you really missed the boat.

im a fan of logan too, but would rather live and rasie a family in upper coomera any day.

 

@Mel_C

Investing wise yes, it is slightly better to choose Logan Central as per below graph:



But for the better tenants in the area and capability to growth CG, it seems Upper Coomera is better than Logan:


Note: Look at the lower risk score.

 

Tekoz, why would any investor choose Upper Coomera? Its Gold Coast but so far out... yes its on the way to Brisbane but its still way too far out to even be considered Brisbane. Imo if someone decides to invest in the Gold Coast at least it should be a house close to the beaches.

I'm always thinking about the scarcity/rarity factor of land in desirable places. Desirable being near unis, hospitals, good easy/fast transport, near good schools, away from crime (this can change too - high crime areas can become low crime - there you have gentrification coming but I hope you have that crystal ball)... beaches/water views are nice too but needs access to transport and jobs... anywhere the cashed up hipsters are moving in (cafe culture types) but most of all, close to the professional jobs is what you want. These sorts of places will tend to do the best over time and be the most insulated during a falling market because people will always be willing to pay $$$ own it. Other places will have booms but they are prone to bigger busts too so in these places you have to be more active - sell at peak.

 

Not Brisbane only just the gold coast ....you hit the nail on the head why would an investor pick upper coomera. It might be ok to live in as flightcrank mentioned but you raise great points @Gockie it just does not have that scarcity you need. Have a look how many houses are for rent around the $400 a week mark. Then look at the beach suburbs very few rentals available. The beachside suburbs might bust too but if you want to buy on the GC you will never have an issue renting in the beach areas. There are also other areas not beachside on the gold coast that would be better options worongary, varsity lakes mudgeeraba...

 

Just curious why you chose Logan Central to compare with UC..? I am not sure if it is a true representation for Logan as it is such a big shire, many different markets within Logan.

 

@rico2011 because Logan seems to be the most wanted place to invest by investors this year.

I've invested in Park Ridge but so far the data is not that significant to be compared or reliable (SNR).

 

Because its significantly more expensive for a beach side suburb. You would be a fool if you decided to write off arguablly 50% of an entire city. The Gold coast is the 5th biggest city in Australia. Theres more to the GC than the beach.

 

Yes, there is the Casino, shopping centres, Convention centre, business districts and entertainment including pubs, clubs and bars, none of which are in Coomera.

 

Logan Central is not 'Logan'....

 

I don't think anyone is writing off the entire city, but the main driver for the GC is lifestyle and the biggest contributor to lifestyle is the beaches or some kind of proximity to water and the views and activities it offers.... by that reasoning, then a place next to the beach would be one of the best buys in the GC ( from a lifestyle equating to CG perspective), all other things being equal.

 

Banyan Tree are a very classy high end developer. They are also a wonderful hotel and resort operator.

They will help bring a high end class of tourist to the Gold Coast and I am sure that any apartments they have for sale will appeal to both Asian investors who know and love the brand and well as local buyers who want a high end home.

And fantastic employment opportunities for the many people who will be involved and building and construction and the hotel service industries.


Go Gold Coast!

Both good points. I do think the closer to the beach the bigger capital gain you are likely to get. But that does not mean other locations are not also good. The "sweet spot" balanced between gains and good yields might actually be places like Miami and mermaid waters and at a much lower entry point. But also over time places like Robina that seemed in the edge of the coast will become considered much more central and they will also start to pick up. Overall a rapidly growing population should benefit any investor.

 

yeah its only got dreamworld, the best theme park in Australia, one of the biggest marinas on the GC ,a TAFE, access to rail, and a new plan to build a Westfield town centre, not to mention pubs and clubs which you say it doesn’t have.