VIC Melton, Corio, Norlane vs Sunbury

As I said in an earlier post my Melton property is for long term hold. In other words, I'm happy to ride out the cycles for decades to come. As I also said in another post anyone buying into Melton now hoping to make some great gains then sell up and bail will be sadly disappointed for the reasons you've mentioned. Land's aplenty in the region and new estates are popping up all over the place.

Personally I would not buy in any of the new estates, especially when you can still find something decent on a 700m²+ block for around $300 to $350k. My property is on a much bigger block and well located near the train station. The rent more than covers my repayments and I would honestly not be affected as much if it was untenanted. You are right, there is plenty of land between Melton and Melbourne but do you honestly see developers selling decent sized blocks with future development potential? Highly doubtful.

My goals for investing in property are long term regardless of how high or low the market performs. Those who are forced to sell in a softening market were probably mortgaged up to the hilt to begin with.

 

I do agree with the product you have purchased.
However try telling that to a first home buyer. All they see is the new home. To many of them the land size is almost irrelevant.
This mentality will bring the short term true value of your property down.
To realise the true value of your purchase youll have to wait until the development is done.
Sounds like you plan to do that so all good!

We bought a house on a 1200sqm subdividable block (32 m frontage, house to one side, 2 lots on title) on phillip island last year for 380k. Not the greatest area but similar position to the new estates and much more greenery around.
We bought this with no competition, meanwhile first home buyers and people buying holiday homes are snapping up 3 bed house and land packages on blocks of only 4oosqm for the same price.

Thats the mentality of the market, patience is required

 

I've looked at Sunbury around 2014 but gave it a miss. Prices haven't moved by much since then and i don't think you'll have much CG unless you are looking into the very long term(plenty of land releases). It was a choice between a nice newish home in Sunbury or an older house closer to the city and chose to be closer to the city. My CG gain has been stellar compared to Sunbury so was the right decision at the time.

Vacancy rates are not too high though in Sunbury so i think you'll be fine finding an OK rental(slightly negative geared at your budget) but hard to find any cash cows these days.

Make sure you study the suburb well since it's a large one and it has good/bad pockets.
There was a few good threads about Sunbury years back so have a good search and also get on the ground and check the estates and houses.

 

Does you friend live in Craigieburn or something?

 

Mernda.

 

Hi all,

Just checking general opinion here about Melton South, Weribee, Hoppers etc. Are there still good deals to be found or has the ship sailed?
Thanks,

 

Saw this article, geez Louise..Norlane and Corio have moved incredibly in the last year or so.


NEWCOMB, Norlane and Corio have emerged as Geelong’s real estate hot spots with median house prices spiking more than 30 per cent in the past year.

REIV data shows these suburbs have had the biggest growth, yet they are still the most affordable areas in Geelong.

Newcomb’s median house price has increased 34.2 per cent to $416,000, Norlane has increased 34 per cent to $330,000 and Corio has increased 30.4 per cent to $337,000.

However the increase in median house prices is also increasing rental prices across the suburbs.

CoreLogic data shows the median weekly rents in Newcomb, Norlane and Corio are $315, $250 and $280, respectively. This time last year they were $300, $240 and $260.


There was a lot of demand for 34 Portarlington Rd, Newcomb.

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Buxton, East Geelong agent Damian Mahoney said the increase in house prices was increasing rental prices in Newcomb.

“For a three-bedroom, one-bathroom house in Helm St go back 12 months and you would probably rent it out for $300 and now you would rent it out for $380,” Mr Mahoney said.

He said there was a 50/50 divide between investors and owner occupiers buying property in Newcomb.

“A lot of people are renovating and extending and not subdividing,” he said.

“They have potential to be subdivided but they are being renovated and that is drawing good prices.”

Mr Mahoney recently sold 34 Portarlington Rd, Newcomb for $463,000. It had price expectations of $330,000 to $370,000.


34 Portarlington Rd, Newcomb sold $93,000 above expectations.

Harcourts, North Geelong agent Joe Grgic said Norlane and Corio were playing catch up as they were so far behind other suburbs.

“Yet they enjoy all the same amenities and are closer to Melbourne,” Mr Grgic said.

He said the increase in house prices was affecting the rental market.

“We have had huge numbers at open homes and some people offer to pay more or pay in advance,” he said.

“People are reluctant to move at the moment.”


2 Nowra Court, Norlane has development potential.

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Affordability was attracting buyers to Norlane and Corio according to Ray White, Corio agent Maddison Boothroyd.

“There are a mixture of buyers including first-home buyers, locals, investors and out of town buyers,” Ms Boothroyd said.






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2:45

She said the majority of properties were sold via private sale instead of auction.

“Specific properties will go to auction, but unless it is a really unique property or good for developers, we use the private sale method more often,” she said.

She said bigger blocks on more than 600sq m of land in Norlane were jumped on by developers as they could be subdivided.


2 Nowra Court, Norlane sold above expectations.

She recently sold 2 Nowra Court, Norlane for $370,000 when the price guide was $339,000 to $359,000.

It has development potential, subject to council approval, as it is on 857sq m of land.

“The market has really surprised us over the past year, I haven’t seen anything like this before,” Ms Boothroyd said.

Fastest Growing House Prices

Suburb Median house price Annual change
Newcomb
$416,000 34.2%

Norlane
$330,000 34.0%

Corio
$337,000 30.4%

Breakwater*
$363,000 30.1%

Manifold Heights*
$791,000 27.6%

Herne Hill
$513,000 26.4%

St Albans Park*
$400,000 25.4%

North Geelong*
$450,750 24.3%

Hamlyn Heights
$534,000 20.0%

Bell Park
$424,750 18.0%

Geelong West
$685,000 17.1%

Clifton Springs
$443,000 16.7%

Lara
$489,000 16.3%

Bell Post Hill
$457,500 15.8%

Ocean Grove
$665,500 15.1%

Whittington*
$329,000 13.4%

East Geelong
$645,000 12.2%

Highton
$655,000 12.0%

Grovedale
$446,000 11.5%

Belmont
$510,000 10.9%

Marshall*
$432,000 10.8%

Leopold
$465,000 10.7%

Point Lonsdale*
$693,500 10.1%

Waurn Ponds*
$562,500 9.2%

Indented Head*
$455,000 8.3%

Curlewis*
$440,000 8.0%

Newtown
$757,500 7.4%

Armstrong Creek*
$478,000 5.6%

Portarlington*
$665,000 4.3%

Barwon Heads
$900,000 3.4%

Geelong
$725,000 3.4%

Wandana Heights*
$676,250 2.5%

Drysdale
$430,000 -0.5%

St Leonards*
$410,000 -14.8%

Lovely Banks*
$475,000 -25.8%

Source: REIV Median prices for houses for the quarter ending March 31, 2018. * Less than 50 sales recorded in 12 months.

 

i would not buy h&L anywhere esp not some some random estate so far away without train or shopping centre or connections. only a fool could not comprehend the importance of these factors. Melton has a lot going for it compared to other suburbs and the demographics are changing significantly

 

I could have said it better myself.

 

47 Staughton Street Melton South Vic 3338 - House for Sale #127058286 - realestate.com.au. Here's a nice juicy one in the RGZ in Melton S. Likely will need to held onto for sometime before the plans are done and units made for the $$ to be worthwhile.

 

How about this one @Westie ?
22 Northcott Street, Melton South
http://www.domain.com.au/2014203617

Not sure how many more years to have the number of small units/townhouses development in Melton South stack off

 

That's a nice corner block but irregular.

There was someone on here who was came from a builders and did developments in Melbourne. They're the sort of mob that could make a decent profit out of this quickly enough.

 

Rents are low too in Melton S. $300/week or so for a 3x1x2 means a $450k will be negatively geared assuming standard deposit, you'd be waiting for CG for a fair while I imagine.

 

That's my opinion too. If you bought in Melton 2 years or maybe 12 months ago, then it was good as the price was still reasonably low. But if buy now, the impact on your cash flow will be bigger and you will also need to wait longer for CG.

 

hi, newb here, is there a good area and bad area in norlane to watch out for? i understand there are a couple housing commission which is probably not an ideal area to invest in.

 

Welcome to the forums. Norlane's sitting at $360-$400k or so these days. Rents are very low. Norlane's not a smart investment any more (or for now) IMO unless you find a good deal in the RGZ.

 

There’s a thread on Geelong which covers Newcomb, Norlane, Corio. Worth a read. Has go and no-go zones.

A lot of talk about Melton but think Geelong suburbs are a better bet both short and long term.

 

Now this is some serious prime piece of land right in the heart of Melton South.

8 Creek Street Melton South Vic 3338 - House for Sale #128652258 - realestate.com.au

Great potential!

 

But looking at the price it is a diffetent story. It is also too close to the train track.