Hi guys, I am quite new to the property investment world and I am looking at potentially buying a Dual Income Homes in Branyan in Bundaberg. The property is near where apparently a proposed site for a new $1 billion hospital will be build as well as the airport and university and is positively geared. What are your thoughts? It's the first investment property I'd be purchasing so I'm pretty nervous about the process. Any idea/help is welcomed Thanks!
When you look at the entry costs,plus the numbers of rentals on the market why Branyan?. Have a look at this postcode 4650 ,one of our daughters put a offer on a house walking distance to the towns CBD a few days ago,only my opinion but you may well get more bang for the bucks in Maryborough ..imho..
Hi Lisa, Depends what your chasing most - capital gains or cashflow..... Bundaberg has some great potential but a lot of growth is already priced into the market there.....add that to the flood risk insurance cost and it becomes a little tricky to get positive gearing. Rental vacancies are another factor. Branyan is nice but exposed to Burnett River. We check out Bundaberg but brought in Maryborough two years ago as it was in a slump - now prices have increased up to 30 - 40% - still a few opportunities for cashflow but rapidly shrinking stocks..... Easy renting, cashflow positive, all upside if the military vehicle contract come to town.... And it is a very pleasant place to live.
Hi guys, Thank you for the feedbacks! Regarding the rental vacancies, with the new hospital being build I was told that doctors and nurses are looking are renting at the moment so I wsa hoping that would help. I'll definitely check Maryborough. Thanks again!
That sounds great - but heaps of my family live in maryborough and those claims surprise me. The prices seem to have at best stabilised, and sqm research shows higher stock on market than anytime in the last 10 years. Do you have some data to back those statements up? My uncle would be very happy if that's true.
Depends when your uncles have purchased....... Lots of data on RE sales history. Lots of silly over capitalised renovations that do not value add in multiples. E.g. $30k bathroom in a queenslander..????? Many people have lost money as they purchased the wrong stock at the wrong time....mining boom madness....for example, house nearby ours is for sale right now at $10k less than it sold 9 years ago.... Our call was the town was bouncing along the bottom in March 2015.....all doom and gloom and only upside to happen over time. Networked with agents and looked at many properties. We did a hard bargained cash purchase of a house that had been vacant for 3 years - win for the previous owner who was happy to get rid of it and a win for us as it was one of the cheapest purchases in town at the time. These buying opportunities are rare now - sub $100k rentable 3 bed house with good location. Chopped down all the overgrown bushes, took heaps of rubbish to the tip, mowed the lawns, cleaned the carpets and rented it out. Now I want to see the council cleaned up and the military vehicles contract come to town......but it is still a nice place to live....