QLD Gold Coast Property News 2017

Big Max.
Like to thank you for this fantastic thread and all the helpful information you provide.
Could you please tell me your background. Are you a real estate agent?

 

Any suggestions areas to look at for houses, budget $750k to $1m. Will be an IP, hoping for good yield and capital growth outlook.

Saw a number of properties for sale in Mermaid Waters, with access to the canals. How do they compare versus properties closer to the beach?

 

@big max, Hi Big Max and others, with all the constant high rise development along on the coast it seems less possible to avoid buying near to these developments, so I'm wondering would you buy in small complexs within a few neighbouring buildings of a confirmed development? the neighbouring complexes will certainly be impacted for morning or afternoon sun, would this concern you or it's inevitable and something that needs to be accepted if you want to be in these areas? What kind of impact would you expect it to have to the purchase price? For example older units valued at 500k, what kind of discount would you expect (also condieringing 2-3 year build impacts)?

The positive of the one I'm looking at is it's on the east side of the development, bring closer to the beach. But it will loose afternoon sun and have some more high rise neighbours that can see into the common area "backyard".

 

Buy walk to beach if you can

 

Welcome. No I’m not an agent. I am an investor (quite a successful one) who invests in both property and stocks and private companies. If I was an agent I would disclose it

 

A boost for the southern Gold Coast/Tweed region with the construction and subsequent staffing of high paid medical staff into Kingscliff.

No Cookies | Gold Coast Bulletin

KINGSCLIFF could be in line for a healthy injection — it’s emerged as a hot tip as a possible home for a new Tweed Hospital.

A shortlist for preferred sites for the $536 million development has been drawn up and Kingscliff’s apparently got a couple that could be just what the doctor ordered.

A parcel of up to 16ha is needed and the experts doing the due diligence on the various options are due to put their preferred one to the government next month.

 

Hi pwt, with that budget I'd be looking for a dry freestanding block as close to the beach as possible. Even for a Mil a canal property will either need a massive reno/knock down or will be k's away from the beach IMO.

I just picked up a dry block freestanding house in mermaid waters within you price range with the potential to build duplexes and a yield of 5.35% (not the best but not too bad IMO). This was after a solid 11 months of looking ( future potential PPOR had to be picky).

 

Here’s a beauty in mermaid waters. Great position and large block of land. (I know the owner in case anyone wants an intro).

25 Birigun Street, Mermaid Waters QLD 4218 - House for sale - 2014018661

 

Thanks Big Max. I had to enquire as to whether you were an agent. many of them talk the market up.
Never seen anybody so positive about the coast . Good to see. Tom seems to be in a bit of trouble at the moment. Maybe a stint as mayor might be your next move.
For me . new infrastructure is the key. Paul Keatings comments about the Gold Coast in 2015 keep ringing in my ear .. He said we can't expect the Chinese to cop it staying buildings that were built in the 80's and 90's and i agree. We need another Casino or ten NOW. Monopolies don't work.Waited 45 mins today to get into buffet today. at 1pm. Only just got a park on a Monday Tragic.

 

Thanks for the feedback @josh123 , I like the idea of buying close to the beach but doesn't look like a lot of choices at the moment, at least properties that don't require a lot of work (and doesn't cost too much). Being Sydney based and with a busy job & family, I can't see myself doing an interstate development any time soon.

You got yourself a good buy from the looks of it. Definitely time well spent to find the right deal.

Thanks @big max The location looks quite good. How would this property compare to those near Pacific Fair shopping centre? There are a few houses on the market near the shopping centre in the $700-$750k range.

BTW, does anyone see signs of investor interests reducing in GC for the past few months with all the lending getting tighter?

 

pwt. That property Big Max recommended in Birigun St is in a great little pocket. One of my favourites. Walk to beach and Nobby's restaurants More residential than near Pac Fair with a great beach feel.
A new benchmark has been set at 32 Andrea Ave Broadbeach Waters being sold for $5mill. This is an old home on 1380m2 canal front. Massive price for a canal front ,not even main river. What is interesting this time around is that the Gold Coast is coming off such a low base and has a long way to go to catch up to Sydney.in relative terms. With Sydney coming off the boil the baby boomers should start to move north again so i am hoping for a long period of steady growth as long as interest rates don't go through the roof.

 

@tilt10 Agree with Birigun St. Looks like a good spot, easy walk to the shops and beach isn't too far. But my guess is that the property will rent for $500-$600pw, which makes the yield on the low side.

Might consider a property more suitable for Airbnb to increase the yield.

Sydney property is nuts, my old 3 bedder walk up unit in Chatswood is roughly the same price as one of the nice canal homes in GC with a jetty! Do agree that Sydney should come off a bit, any major correction should also impact other markets.

GC looks promising. Net migration increase looks good, although I'm not sure how much the Commonwealth games will really boost the market though. Construction sector still looks healthy from the projects in the pipeline.

 

I agree entirely!

Also for Birigun Street, and Mermaid Waters, still great value compared with Mermaid beach (equally close to Mermaid Beach with regard to the light rail route) and arguably quieter (in terms of people and tourists etc in Mermaid Waters, larger land blocks, actually closer to Bond Uni and Robina, equally close to Broadbeach/Pac Fair, Casino etc, and equally close to Nobby Beach shops and cafes. The big reason for the price disparity of course is that its further away from the beach, and Ozzies, and indeed investors generally pay huge premiums for beach proximity.

 

I would actually consider a stint as mayor! But man is it really worth it for all the flack the role receives from all the NIMBY nutters out there? If I did it, it would be truly out of passion for the GC and the community, and not for the salary the job itself pays.

Yes, I wish Tom well - health is so important. I agree, infrastructure is key. I also think diversifying of the Gold Coast economy is very important - ie to develop some major industries to compliment the Gold Coast beyond tourism. Regarding casinos, Vegas is a good example of how competition is exponentially positive, both in terms of increasing the overall market, but also in terms of always making sure others up their game and don't get complacent. A different example, that demonstrates the point is the café business. The Gold Coast cafes are getting better and better because if they don't, a competitor come along.

 

Hey Big Max,

Have seen a lot of movement in Palm Beach of late in nice houses within 300-400m of the beach. All well decked out, many white Hampton style with huge turnouts. Are houses in Mermaid also moving rapidly just back from the beach. I think people are seeing the value in Palmy. Mermaid will always be the bench mark I believe (around 2 mill for dry block just back from the beach).

This sold for 1.16 mill last weekend with 100 people attending
39 Fourteenth Ave Palm Beach Qld 4221 - House for Sale #126754986 - realestate.com.au

I also went to this open today with a large turnout
43 Fifth Avenue Palm Beach Qld 4221 - House for Sale #127022418 - realestate.com.au

What are your thoughts for the future for the gold coast market, much movement to come? WHat do you think about Palm beach market?

 

You can get a dry block a lot cheaper than 2 mill on western side of hwy like the palm beach properties. Miami and palm beach are the hottest suburbs on the Gold Coast. I recently flipped a property in Miami and did well I believe Miami and palm beach will continue to do well .but they have both nearly doubled in price since 2012. If you plan to live in it don't forget planes fly right over you in palm beach. Just my 2 cents incase you want another perspective other than big max

 

Hi Mel,

I am happy for anyone's input, I appreciate it I prefer Palm Beach's beach and cafe scene but am thinking of buying in Palm Beach and just want some advice. My parents live in Palm Beach and it just keeps going up, just don't want to miss out. So much competition

 

Yes I have been at properties in palm beach and people were handwriting offers then and there crazy amount of people at palm beach properties. It is a beautiful area and gentrifying my concerns would be the planes and the traffic is a nightmare if you need to get anywhere else on the coast. Does not seem to bother others though lol. I suspect more growth will come while interest rates are low .

 

Some newbie questions about GC investments:

1) What do property managers charge normally?
2) If the properties looked to be inside the flood zone areas (looks like a large part of GC), does that mean a flood insurance is needed and is it costly?
3) Thoughts of investing in landed properties in Surfer's Paradise around Paradise Island, Sunset Blvd & Sunrise Blvd areas?
4) There looks to be a few blocks of units on the market in GC. How do ppl rate them as investments? Some of the gross yield looks to be around 5%, with potential for redevelopment later? Thoughts?

Thanks