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NSW Good time to buy in Central Coast

Discussion in 'Where to Buy' started by advocatus, 9th May, 2016.

  1. advocatus

    advocatus New Member

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    Hi, I'm a first-time, single-income buyer who is contemplating buying an established property in the Central Coast that would be neutral or slightly negative-geared. If I go ahead, I will be forfeiting any entitlement to the stamp duty concession/exemption and grant under the FHNH scheme. Is this a good time to buy considering prices have already increased about 70% just in the past 3-4 years? Don't like the idea that I might be buying at the peak of the cycle. Buying in Sydney isn't really an option at this point unfortunately.
     
  2. Gockie

    Gockie I'm an ISTP-A female, so I might be a bit quirky! Premium Member

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    Maybe consider buying Brisbane... Central Coast prices are currently quite high.... I couldn't believe houses are now commanding 600-700k on the Central Coast... feels like they've doubled just like Sydney has.
    If it's for a PPOR do what you like, but consider that the volume of peak hour traffic on the M1 will only get worse as more people commute to Sydney (I think vast majority of people still don't telecommute in Australia even though the technology exists).
    But for investment, i'd buy interstate still.
    Just my opinion though.
     
    Last edited: 9th May, 2016
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  3. Foxdan

    Foxdan Well-Known Member

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    Is there a reason you want to buy on the central coast? What's your goal for purchasing an investment property?
    You could buy it as a ppor, move in for 6months to access for first home owners grant and then move out and rent it.
    If you don't declare another house as your ppor, it would also make the sale of the property within 6 yrs of moving out as capital gains free.
    I'm not familiar with the central coast so won't comment on capital growth potential but if 70% growth in last few years is correct, suggests your likelihood of capital gains in the near future is lower.
     
  4. blackship

    blackship Member

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    Have a look at belt of Gorokan, Charmhaven and Lake Haven...I feel median price is still low as compare to nearby popular places. But not sure how the area is...anybody knows more about it or can guide ??
     
  5. Darlinghurst Boy

    Darlinghurst Boy Well-Known Member

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    I have 2 x IP in Lake Haven NSW just near the Shopping centre.
    The area is STILL rising and im hopefullly going to get another IP before they rise above 400k in which they eventually will.

    The rental returns are great and there are waiting lists,hopefully the new Chinese theme park and the Airport will one day be built.

    Im watching houses , even townhouses in the 330 to 360k mark in the Lakehaven area , with rental returns of $340 to 400 per week plus CG in the next 2 years I believe i will do ok with it as long as i remain patient .
     
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  6. blackship

    blackship Member

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    Thanks @Darlinghurstboy, what areas/suburbs can one explore for houses since you know the area as investor. I have also just started looking
     
  7. Azazel

    Azazel Well-Known Member

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    Hi advocatus, welcome aboard.
    Is for your own place? There are plenty of other places to buy if it's for an investment.
     
  8. Darlinghurst Boy

    Darlinghurst Boy Well-Known Member

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    F
    In my opinion Lake Haven , walking distance or near to the Lake Haven shopping centre is best.
    Nearby though is Gorokan which is a bit cheaper, houses townhouses still under 400k but its a drive to the shopoing centre.
    Im sticking around Lake Haven BECAUSE its walking distance to shops schools cinema , medical centres, great bus service, family area and prices mostly still under 400k.
    Waiting lists for rental properties means agents can choose their tenants.
    5 minute drive to Freeway to Sydney ( 1 hour)

    This is why i want to buy urgently another IP in Lake Haven but cant find anything , nearby is Gorokan as i said but i personally believe that Lake Haven will go up even more once more people move up from Sydney etc.
     
  9. See Change

    See Change Timing Lord Premium Member

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    Having watched the Central coast over the last thirty years , it follows sydney , but when it stops , it stops big time and then goes backwards .

    Both my parents and close friends have been caught needing to sell when the market is cold and had to drop their asking prices significantly to sell .

    Personally at the moment I wouldn't touch it with a ten foot barge pole , but I like to get my timing right in terms of timing the cycle and IMHO now is not the time to buy there . We bought a weekender in North Arm cove four years ago and have seen good capital growth and the only reason we didn't buy in the central coast in this cycle is the land tax so I like the area .

    but now … I wouldn't if it's already gone up 70 % this cycle.

    Brisbane , Adelaide , Tassie are where most people on the forum are looking .

    Cliff
     
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  10. Shahin_Afarin

    Shahin_Afarin Residential and Commercial Broker

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    Im from the central coast and see change has nailed it.

    Also central coast is a massive area - have you narrowed down specific areas? I quiet like the Gosford area as a lot of Sydney buyers are buying there and its close to the station however as Gockie mentioned its already lifted quite a bit.

    The biggest thing holding the CC back has always been employment.
     
  11. larrylarry

    larrylarry Well-Known Member

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    The not so good suburbs in CC have picked up a lot in terms of price and I've been monitoring them. Taking into @Shahin_Afarin and @See Change comments, I would look elsewhere.
     
  12. Azazel

    Azazel Well-Known Member

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    Central Coast is nice enough, but there are plenty of places to choose from.
    Anywhere on or near the water is likely to do well though.