QLD LOGAN 2022

Discussion in 'Where to Buy' started by DavidDavid, 1st Jan, 2022.

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  1. southern-investor

    southern-investor Well-Known Member

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    Logan recession? LMAO. Now I've read it all. Logan had very strong local GDP figures in 2016/2017.
     
  2. sash

    sash Well-Known Member

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    Yes that is correct. Interest rates for OO stayed the same or went up maybe 0.25% but you could only get PI loans now. So at 4% on 250k you are paying 15k an say rates of 4k. Rent was about 380. So slightly cheaper to rent

    Now same house 550k. Rent 420-450k or 21 to 23k per annum. If you borrow 500k rates likely to be 5%.That means repayment now 35k plus rates of 4k. So you need 750pw to service. Renting is significantly cheaper.

    Here is the kicker prices drop to 475k and rates normalise to 4% again. On 420k borrowings it will cost 26k plus say 5k in rates. Rents $450....repayment still $600pw. Showing renting is still cheaper. Till salaries catch-up we will have a situation like 2013 to 2019 in Logan. That is how the locals think in the absence of price pressures.
     
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  3. gach2

    gach2 Well-Known Member

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    Well p+I is still principal, so that $20 would have been nothing. Actually in my example it was 420pw rent.

    Think its more Brisbane folk moving out to Logan as they get priced out. Soon loganites will be kicked out to ???
     
  4. sash

    sash Well-Known Member

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    I think you will find that a lot of Brisbane people move there particularly if they are from BCC. Stigma is super strong there
     
  5. frankjeager

    frankjeager Well-Known Member

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    nice breakdown. especially interesting to see itll still most probably be cheaper to rent even once prices correct and rates normalise... can definitely be good to see the actual numbers laid out like this to form a gameplan...
     
  6. Gen-Y

    Gen-Y Well-Known Member

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    You don't need to form any new game plan.
    Just insert new buy in price - old rental price - old interest rate pre-covid.

    Rental won't go up as much as people think. People who rent in Logan because it is affordable compare to elsewhere.

    You can still rent house in 10km radius for under $500 per week for 3 bedrooms.
    Why would anyone who needs to work in the city rent in Logan for more and have to travel further to work?
     
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  7. frankjeager

    frankjeager Well-Known Member

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    i dont understand why this post is directed at my comment ? i didnt write anything about rents increasing or about why anyone would choose logan... infact i just sold there due to not seeing value anymore there...
     
  8. Gen-Y

    Gen-Y Well-Known Member

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    Eh what? You mentioned gameplan.
    Not your game plan?
    Hope next round for you - buy well, buy once ?
     
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  9. frankjeager

    frankjeager Well-Known Member

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    as far as gameplan i more meant it can be helpful for some of the newer investors to see the numbers laid out bare instead of just trying to decipher news stories, agent opinions, post on here full of bias etc...

    and as for buy well, buy once, yes, completely agree. the property i just sold there i purchased (got spruiked to by mortgage broker
    'advisor') with 0 research, i was still in my 20's. im first to admit i lack the experience of a lot of investors here, but i have improved a lot and have done continuous research/education on it for appox 7 years now. definitely learned my lesson. still plenty to learn though. thats why i here.
     
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  10. southern-investor

    southern-investor Well-Known Member

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  11. Harveys

    Harveys Well-Known Member

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    The difference in quality residences between Loganholme and the suburbs you mentioned is vast. More comparable to the better suburbs out west than east.
     
  12. southern-investor

    southern-investor Well-Known Member

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    I guess Loganholme is for sure seeing some flow on effects. Pretty similar to what happened in Tanah Merah. There are some pretty grand homes in Tanah Merah now.

    Loganholme is right next door to Shailer Park and Tanah Merah so I'd think its benefiting alot from that.
     
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  13. southern-investor

    southern-investor Well-Known Member

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  14. DavidDavid

    DavidDavid Well-Known Member

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  15. frankjeager

    frankjeager Well-Known Member

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  16. frankjeager

    frankjeager Well-Known Member

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    seems it hasnt sold yet, just has 'contact agent' no guide...

    also the dual key property you posted earlier in the month offers above 689k you thought may go in the 700's, sold for 690k...

    seems the heat has dissapated, no more big offers way over guide, rates/sentiment seem to be taking effect. be interesting to see where to from here.
     
  17. DavidDavid

    DavidDavid Well-Known Member

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    When I was looking to buy a property in Logan the agents told me to try to spend a little more and buy a house with a decent size land in Loganholme as prices would increase quickly there as attached to Tanah Merah and Tanah Marah already much more expensive (at the time I was looking). Also having the M1 exit there and the shopping center two huge bonuses. When a second express highway soon is going to exit directly there will push even more prices up like it is happening to all the suburbs in the Gold Coast where this new highway is about to be built and exit. A bridge from Loganholme to Edens Landings hopefully should be built in the near future (for city council planning) giving Loganholme also immediate train station access.
     
  18. frankjeager

    frankjeager Well-Known Member

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    just a word of warning mate, i think most here would agree, be cautious taking investment advice from real estate agents...
     
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  19. DavidDavid

    DavidDavid Well-Known Member

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    Yeah I know frank.... of course they look first their own interest but I had done my own research before contacting them. I had a budget that didn't want to blow... they all tried to make me increase it of course saying was not enough but I stuck to my plan... I wanted to spend 400K including fees and wanted to find something between Loganholme, Edens Landings, Beenleigh and Eagleby. They smelled money and tried to make me increase my budget... I took my time.... Didn't hire them and did it myself.... Went there every day driving around... Went to see countless properties before making offers and I ended up spending exactly what I wanted in Loganholme for a decent house with a nice size corner land. At that time for 400K I could only buy in Kingston and Marsden and a piece of empty land of the same size in Loganholme was the same price so I was lucky. Somebody purchased and changed mind for the fact that had a bad tenant that did not pay and did not want to move out. Was going to take months, via a court case, to evict him. The owner wanted to sell quickly without relisting but I had to wait few months to actually get the key... I had time.... ;-) When I settled months after the value already was up over 500K and now seats at around 600K being in a 700sqm corner block at the heart of Loganholme. The seller's agent definitely worked in my favor that time as the market was very very hot and they should have evicted the tenant first and re-listed the house properly after but hey.... I do not complain for sure... Probably the seller needed money urgently... who knows...
     
  20. Headlong

    Headlong Well-Known Member

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    David were you already living/renting in logan during the buying process?
     

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