How are the regionals doing?

My most recent is in Dubbo. Purchased for 265k, spent about 12k on a reno. Leased for 340 per week. Val didnt do as well as expected.
Looking at south coast or coffs harbour for the next

 

Yes I would usually take what agents suggest with a grain of salt unless it's backed up by some recent comparable sales.

This property is 550m (3blocks) away from mine - very similar
Sold Price for 45 Suttor Street Bathurst NSW 2795

 

Hi, agree that some regional areas haven't seen a spike in growth over the last few years, but many in regional NSW have been growing steadily. Do people think that over the next five - ten years, following some people being priced out of the capital cities, and with many baby boomers having to sell their homes to fund retirement, these areas will see significant growth? It's something I've been predicting as I buy in regional towns including Orange, Bathurst and Dubbo...

 

Yes.
Proximity, friendliness, no traffic aside ... it costs next to nothing to get by in a country town.

 

Couldn't agree more. I believe Orange is one that is starting to attract people priced out of Sydney. Particularly young families. I am now looking towards coastal areas in NSW.

 

Regionals are great for cash flow and medium to long term growth. The only issue is vacancies with some of the main regionals. Just make sure your properties are better quality than the others and watch the money roll in.

 

You can not rely of the past performance, because history is not repeating itself, regional or capital cities.

There are different drivers today, such as immigration, foreign buyers, school catchment areas.

Sydney for example the boom started in Western suburbs, immigration drove this market - based on history it should have been inner city areas first, ripple effect and then growth to regional. Not so.

Melb - boom started in Eastern corridor blue chip/foreign buyers, those chasing school precinct/immigration.
Past history showed inner city units, ripple effect then regional to move. Not so.

Perth - boom started sub $500K, FHB market (2013-14)
Past history blue chip inner, ripple effect then regional to move. Not so.

Next
Sydney booms 2013, Melb booms 2013, then Brisbane DOES NOT BOOM, history did not repeat itself. Why? is the question, this State is also effected by the downturn in mining, job losses etc. fundamentals are not necessarily strong drivers.

Beware don't look at what happened in the last boom, because it is actually not happening the same way. Instead identify markets that are currently rising

 

CREDIT

 

Anyone been monitoring Rockhampton? Been flat for a few years was hoping to offload a property in the next year or so but the market is flat as right now. Any signs of improvement?

 

No, not yet.

 

Imo..the reason for no widespread boom in Brisbane is simply because of its attempt at diversification over what they had in the past...and the maturation of it which takes time.
They lost a lot with commodity price decreases and have expanded to non mining.. It takes time for this non mining to bear fruit..not only from an opportunity ie. number of jobs perspective but also from a significance ( ie how big it is/how significantly it contributes to the economy) perspective.
I would not even think there would be a widespread boom in Brisbane this cycle. The diversification needs time to work...in the next cycle, these non mining jobs and industry will be more entrenched in Brisbane and will serve as a good base for a boom. Till then, buy smart in Brisbane as there are still good value everywhere. This won't be there in 5 plus years time.

 

Yes but... The big corporates are not moving to Brisbane. So... It's still a big country town I'm afraid.

 

Yes a big country town with 2.2 million population

 

Actually 2.4 Mil..but who's counting..

 

They are..but in a small way... And growing..but not growing fast enough to warrant a widespread boom the way Sydney has had.
Agreed.. Still a country town...but it gotten to a town from a remote fishing village as little as 5-7 years ago. That's decent growth.
If Melbourne showed that growth, it would have overtaken Sydney by now.

 

+1 vacancy rate is vital.

 

All this mention of Sydney, Melbourne, Brisbane.... I thought this thread was about regionals?

And while I realise that the ripple effect can specifically impact those regions close to capitals, and that "a rising tide (can) float(s) all boats", I don't think it's really useful to push the convo towards capital city trends or comparisons about which capital is better than the others.... plenty of other threads for that.

But happy to be told to get back in my box!

 

Regionals... do your own due diligence.

 

Hobo

Don't get back in your box

TMNT mentioned as part of research to look at past performance/history as a gage for future performance, problem is what happened in last boom cycles is actually not happening today for capital cities and regional areas, simply pointing this out

MTR

 

Perfectly normal for pc threads to be derailed..