QLD KALLANGUR STRATHPINE ACACIA RIDGE

Hello just wondering peoples opinions on which out of these 3 I should choose? Kallangur I would get more rent but do people think Acacia Ridge will go up more being closer to the city and I’d also get less rental.

 

Also made a vote poll if you guys could please vote that would be great Logan I have crossed off my list to many things happening in Moreton bay ie uni train line Westfield Costco.

 

Just racking my brain as to which one to choose I know closer is probably better but Acacia Ridge they are all ex commission homes Kallangur is alit further out but can get a nicer home.

 

Some people say closer to city is always better but if I compare say Sunshine in Melbourne 14 km from city to Glen waverly which is 26 km the houses are more in Glen waverly because it’s nicer so maybe its not always closer is better I know Melbourne is completely different to Brisbane just a comparison.

 

A lot of people on these forums say the closer to the city the better so does this mean Inala will go up in Value more then say Kallangur Deception bay.

 

Which would you want to live in most?

Closer to city is often oversimplified. If your target market aren't working in the city it's probably not that big a drawcard. Also closer doesn't always mean quicker/convenient.

 

These suburbs are quite different in nature, and price reflects such difference. So I don't think you're comparing apple to apple...Kallangur has a lower price point (around 350K) so would be easier to hold. Strathpine you'll be looking at around 400K+, so that'll be more in-line with Acacia Ridge.

Apart from the distance, what else is attracting you to Acacia Ridge? Can see your reasoning behind the Kallangur/Strathpine but can't see any other reasoning for Acacia Ridge from your previous post.

Also, if you're in the acquisition phase another consideration would be finance - by purchasing 1 x Strathpine/Acacia Ridge is it gonna stop you from purchasing the next one? If so would it be better for you to purchase 1 x Kallangur for a lower entry price point, and then be able to squeeze in another IP after that?

Some food for thought.

Cheers,
David

 

I don't think the closer to the city theory is as crucial in smaller cities. You still probably need to be within about 30 ks for brissy though

in Sydney and Melbourne it is important due to over congestion. However 20-30 years ago in Melbourne when the poplation was smaller a lot of the cheaper suburbs were inner city. Brisbane a hard one because of a lot of the nice spots geographcally are actually close to the city but I think if you can buy on the bay in say Wellington point or Brighton then you will still do better than an average suburb that's
closer to the city , 12-20k
Having said that I think D Bay is too far for any good growth over the next 10 years. It' actually already moved a fair bit anyway as 5 years ago you could buy a house for about 180k
Frankston in Melbourne has only just come good in the last 3 years and this is a similar distance to Melbourne as d bay is to Brisbane yet melbourbe has a much bigger population

For brissy I would stick between kallangur , Wellington point, Logan, Inala

 

This is quite a difficult one because each of those locations have positive (or negative factors) in their own right.
- Acacia Ridge. Traditionally quite a down-market area (yes, a little dodgy), very industrial surrounding environment, and near a major rail freight yard. However, when you look at the "Sunnybank effect" (Sunnybank is the Asian CBD of Brisbane), when Sunnybank has become too expensive the ripple-out has been quite profound (e.g. Runcorn, Coopers Plains, etc) so Acacia Ridge has future development potential (including knock-down and rebuilds, renovation, townhouse / unit development etc). Acacia Ridge is also much closer to downtown Brisbane. Acacia Ridge has quite a low vacancy rate but a large portion of renters 40% (possibly lots of students?).
- Kallangur. It is further north, almost North Lakes, in general a nicer area than Acacia Ridge, a lot of "newer" stock, possibly more set and forget investing / long term buy and hold, there's a lot of things happening in the North Lakes area. There is a train station at Kallangur. Driving into Brisbane CBD would be a hassle. There is also a lot of development / building activity up that way. Vacancy rate is moderate and about 35% are renters.
- Strathpine. It's much closer to Brisbane CBD than Kallangur. It has a train station, driving into the Brisbane CBD is not as straight forward. It has a mixture of property from renovation/development potential to buy and hold. Vacancy rate is low, and about 23% renters. I've been to Strathpine a number of times, considered a little under-valued and a bit forgotten about.

If you are looking for development potential opportunities consider Acacia Ridge looks quite good, if wanting more buy and hold, perhaps with a reno added in, then think Strathpine is OK. For me, Kallangur is too far north, and there's a lot of development around the area including North Lakes, Murrumba Downs, Griffin etc.

Now here is a tip for Sydney-siders / Melbourne-nites for Brisbane north-side property, people are familiar with Paddington in Sydney. The Paddington Terrace is like a benchmark for property. Well, in Brisbane we also have a Paddington and it's a very desirable place to live (it is also a benchmark). So on a map, draw a line through Paddington, and band-it up north every 5km. The nearer each of the "5km bands" are closer to Paddington, generally the better property areas.

 

South-West pocket of Kallangur. Spitting distance to Kallangur AND Petrie train stations, right next to the new Uni opening 2020, 4 minute drive to the motorway down Dohles Rocks road, 7 minute drive to Northlakes down Anzac Ave. Easy walking distance to North Leagues Club for cheap drinks and Entertainment.

Come 2020 and beyond, absolutely unmatched potential.

 

Deception Bay has potential in 20+ years once the Redcliffe Peninsula has reached maximum capacity and further up the coastline is becoming sought after. In the meantime, it doesn't have a train station on the new Redcliffe Peninsula line, has poor public transport (2 buses just to get to North Lakes), has no new or planned major infrastructure, is primarily low-socio economic, and has minimal retail/industrial opportunities.

In 20 years time it has great potential, but not for now.

 

I am thinking Strathpine Bray Park area over the both of them thanks for all the comments guys.

 

Do you guys think Corio/norlane have ran there race in Geelong? Can buy in thos areas for the same price but the yield is ******.

 

Got one im looking at in Bray park highset $390.000 will rent for $410 or Corio for $370.000 rents for $320 do you guys think there's much growth left in Corio.

 

Corio had about 30% growth over the last 12 months. While it's still hot on the ground as you said the yield is pretty crap. Crappy yield is an indication there is already significant growth in the price, so you need to be mindful of this fact before entering Geelong market.

Also you're most likely having to pay way above asking price (range) in current Geelong market in order to fight for a property - basically discount has been muted. Whereas you can still offer around the asking price, or to some extent negotiate at the Moreton Bay market provided if you act fast. So which market would you prefer to go with - to overpay or to be able to negotiate?

Cheers,
David

 

The Moreton Bay region has been performing quite well lately and I am seeing a lot of contracts coming across my desk from buyers in the outer north area which is a good indicator of demand. Kallangur gets my vote but also consider the surrounding suburbs such as Strathpine, Lawnton, Warner, Joyner.

 

Im also looking at Strathpine. From Sydney and don't know the area. Price range $400- $450K. Are there any pockets to avoid or pockets that would be considered more desirable and conducive for buy and hold long term CG.

 

Is it the location that is important for your investment or the returns? i woul dbe looking at the equity growth for the last few years and what they can bring in on rental and not be swayed by loactions, there rae areas out there growing at up to 18 or 20% a year and still bringing in 5%+ rentals at relativley low purchase prices around $400k

 

Hey Jdm yeah I really like the Moreton bay region 11 votes for Kallangur over Acacia ridge I’m just a bit worried Kallangur is a bit far out from city drove there to Brisbane last time can take 40 minutes.

 

Acacia ridge is only 15 km from the city I know it’s not that pretty and the houses are all commission homes and won’t get as much yield but do you think it will grow more then say Strathpine or bray park.