Live in Morphettville Development

Discussion in 'Where to Buy' started by iwantahouse, 28th Jul, 2019.

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  1. iwantahouse

    iwantahouse Well-Known Member

    Joined:
    19th May, 2019
    Posts:
    142
    Location:
    Adelaide
    Hi guys,

    What do you think about the transformation that is being done to Morphetville? I just passed by with my wife and it looks interesting.

    Any insights about this location? positives? negatives?

    Also, if we were to buy there, it is better to buy land and build or buy a house and land package? What is better moneywise?
     
  2. iwantahouse

    iwantahouse Well-Known Member

    Joined:
    19th May, 2019
    Posts:
    142
    Location:
    Adelaide
    Forgot to say that we are looking for a PPOR, this would be our first home.
     
  3. Erica

    Erica Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    308
    Location:
    Adelaide
    I think the suburb of Morphettville is good overall, it's a easy commute to CBD, short trip to beach or Marion Shopping complex, good quality schools nearby, steady owner occupier demand as well as rental demand. I think it'll have continued steady and average capital growth into the future.

    The large tract of vacant land now being carved up for development was once housing trust stock, so I think it is a fantastic thing for the overall suburb that the percentage of housing trust in the area is falling and private ownership is rising. I'm not sure how many housing trust owned/tenanted properties are still currently in Morphettville- that might be something worth investigating if you are going to buy in.

    As for how the new development goes- it's quite high density (as are most new subdivisions so that's not unusual). Once it's built out there won't be much on street parking available (but again that's typical now). I've been watching the vacant land prices for a few years as they gradually release blocks to the market and they are generally in line with what the market is paying - about $1000 per square meter for the smaller lots and a bit better value for the bigger blocks.

    I'd suggest picking one of the bigger blocks with a wide enough frontage to fit a double garage (this will offer best value/ best resale). And don't overcapitalize on the construction (ie, if you buy the land for $350k then don't spend any more than $350k on the total build and finishing off costs- keep it to 50/50 ratio maximum.

    House and Land package vs Buy a block and design your own home makes no difference at all, you'll spend the same amount in the end regardless who has designed the house to fit on the block. The advertised price is not a true reflection of what it will actually cost to complete (it is always a gross underestimate).
     
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  4. iwantahouse

    iwantahouse Well-Known Member

    Joined:
    19th May, 2019
    Posts:
    142
    Location:
    Adelaide
    Thank you Erica,

    We have found that buying the first home is a very difficult process. We knew that beforehand but after you experience it you realise how difficult and long it is.

    We haven't decided whether to go for a new built or an established home in a bigger piece of land.
    Our budget is about $500.000 and Morphettville is one of the many options we have seen around that area. We currently rent a unit in Camden Park (very cheap) so at least we are saving for a good deposit until we find the house we want.
     
  5. Erica

    Erica Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    308
    Location:
    Adelaide
    My advice to all first home buyers in Adelaide is this:
    Pick the nicest suburb you can possibility afford to buy into, and buy an old house on as large a parcel of land as you can!

    Ignore the first home owners grant.
    Ignore the shiny new courtyard homes.
    Just remember this: Land appreciates but houses depreciate.
     
    D.T. and iwantahouse like this.

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