Hi all, I've noticed the amount of interest in Logan city council for an alternative to Brisbane for investment purposes, it has a cheap buy in price, high yield and capital growth prospects combined. I've been buying and selling in Logan my entire life, my most recent deal I bought under 350k on a 6.5% gross yield which I increased to 9.7% straight away, and have sourced many similar deals. I consider Logan to be a "yield buy" to bolster cash flow, and as such you should look to buy cash flow positive property in Logan. My Logan properties have enabled me to replace my income with passive rental income, all whilst achieving capital growth over the years. Please note, buying in Logan carries more risk than Brisbane City Council, however these risks can be mitigated by researching the market, doing the correct DD and buying right the first time. I've seen many investors getting burnt buying "dud" properties in Logan. Overpriced stock sits on the market for a long time and the good deals get snapped up very quickly or are bought "off market". Risk factors for Logan: Capital Gain: Generally in the upswing cycle Logan City usually moves after Brisbane City, alternately on the downward cycle, Logan is first to drop. Timing the market for capital gain is harder,as the window of time in each cycle is much shorter, as I stated before I buy cash flow positive in Logan so this is not much of a concern to me. Tenants: Lower socioeconomic area will make getting a quality tenant harder to find, however from my experience once you find one, most will be long term tenants. Most of my tenants have been 5 years + Building structures: Hard to source quality buildings; lots of housing commission, fibro, and dodgy home renovations are prevalent. Having said this buying a double brick structure in Logan doesn't necessarily mean your going to be able to charge more rent than a low-set timber home. Flooding: Yes a risk factor, however widespread in BCC and surrounding councils. Suburbs in Logan: Logan is split down the middle by the Pacific Motorway, anything East is considered the "good" suburbs, anything West the "bad" suburbs Eastern suburbs run from Rochedale South to Eagleby, try to get as close as possible to the City. Rochedale South - Daisy Hill under 450k The Western Side suburbs are the high yield buys, I prefer suburbs closest to the city and Pacific Highway to commute North and South these include -Woodridge, Logan Central, Kingston, Slacks Creek and Loganlea ideally buy under 350k unless it's a development site. Further West can provide good buys - Crestmead, Marsden, Heritage Park, and Browns Plains, however prices are creeping up so ensure you don't overcapitalize, once again try to buy under 350k Dual Living: If your chasing higher yield dual living is common, however consider the following to reduce costs: Tenants to pay all water costs Unless the property is separate metered (which is rare in Logan) electricity is to be paid by tenants Lawn maintenance- buy a mower for the property, tenants to share lawn duties Keep rental prices $10-$20 below market rate for a similar low set Features to look for- BBQ areas, big back yards, close to parks, sporting grounds and shopping centers. Keep rental increases to a minimum I self manage, however if you can't, ensure you employ a competent property manager who conducts regular inspections Other General points: No units- many cheap ones on the market, however they're cheap for a reason Avoid pools- wrong demographic for pools, and you won't be able to achieve higher rent. Try to avoid renovated properties at inflated prices unless it's owner occupied. Avoid house and land packages- they are asking ridiculous prices, for the same money you can buy much closer to the city Please note this is a brief guide only. Buying in Logan can be a fantastic investment, it's all about doing your research, knowing the market, and mitigating the potential risk factors.