VIC Melton West. Victoria

Discussion in 'Where to Buy' started by Elsie, 15th Sep, 2017.

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  1. Elsie

    Elsie Member

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    Does anyone know anything about IP in Melton West, Victoria? I am looking into buying an IP in Victoria and Melton West caught my attention.
     
  2. Westie

    Westie Well-Known Member

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    Now this is what perfectly fits the definition of an open ended question. What do you want to know and why has it caught your eye and what are you hoping to achieve and what's your budget and, and...
     
  3. Skinman

    Skinman Well-Known Member

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    Hi Elsie,

    Did you end up buying in Melton West? I'm looking to purchase again and this is on my short list.

    Thanks
     
  4. Michelle Evans

    Michelle Evans Well-Known Member

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    What would everyone like to know? I work / manage and own in the area so happy to talk people through some various do's and don'ts. It's an enticing area due to entry prices, ease of access to the freeway and facilities, but it's also an area with a bad reputation at times (as in lock your doors and keep on driving). Properties have taken off recently, so there's been a fair amount of capital growth over the past 1-1.5 years, so further capital growth is limited at the moment. You also have to be aware of 'special tenants' as there are a lot of migrants 'dumped' there, ex cons and ... well let's just say special tenants you need to sort through when leasing.
     
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  5. private_number

    private_number Well-Known Member

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    So considering your negative points @Michelle Evans , what is driving the growth for Melton other than cheap entry level prices?
     
  6. Skinman

    Skinman Well-Known Member

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    Thanks Michelle,

    I'm trying to compare Melton V West V South. Are there any pockets to avoid, housing commission etc?
    It also appears there is a lot of development on the fringes. How extensive is this and do you think it may lead to an over supply situation that may slow growth down?
     
  7. Seby643

    Seby643 Well-Known Member

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    Alot of estates are starting to become sold out
     
  8. Michelle Evans

    Michelle Evans Well-Known Member

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    Price is the main driver as well as location. The area will eventually become gentrified, but it will take time. If you think about Footscray and Laverton 10-15 years ago... I was in Uni and there was no way known I would have gone there at night due to their reputation. Now - old houses are being knocked down and prices have gone up. Melton has immediate access to the freeway and is a reasonably easy drive to the city, also has the train station. It's a reasonable distance away from some popular schools (such as Bacchus Marsh Grammar - which will also have a campus in Rockbank) but even if you look at house and land packages between Rockbank and Melton - Melton prices are still much cheaper!
     
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  9. Michelle Evans

    Michelle Evans Well-Known Member

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    I personally think there's a bit of oversupply when it comes to investments. BFG for example had 20+ houses for lease, 3 and 4 bedroom, double garage properties, all the same, all available within a few months of eachother (in the area located just south of maplewood estate) this of course drove down rental prices (either that, or the house sat vacant for ages). I personally would look at a property in an established area, not one flogged by big investment groups as they get passed on to one agent who then becomes desperate to fill the properties (pressure from the developer and the owner) - that then creates an area where people don't want to live because of the dud's that were rented to in the first place. West is nicer looking, and is now called Harkness (the new areas) and is close to the Catholic School, not far from shops. But even there, people complain about crime (break ins mainly) - my tenants are telling me their neighbors / or so and so down the street was broken into, cars damaged... to get an idea, I'd actually recommend joining the residents page on facebook or melton / bacchus marsh thumbs up thumbs down - will give you a good feel of the community that would be your prospective tenants.

    I think within walking distance to the train station, there's going to be more growth, but you're not buying new, you're buying old and in need of maintenance, with the hope of either subdividing or knocking down and building better later on down the track. Houses are still under $400k, in leasable condition, for rent between $280-$350pw which isn't too bad given some of these houses you can build a unit at the back. I like to always go for location to public transport if I can help it, and land... but that could be just me.
     
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  10. SLP07

    SLP07 Well-Known Member

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    Agree with everything on the above post, sold a IP in Melton south last week, doubled my money in 7 years now using funds to upgrade PPOR...

    Melton has definitely shot up in price recently but with so many new estates between Caroline springs and Melton will be interesting to see if this trend continues...
     
  11. Air_Bender

    Air_Bender Well-Known Member

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    Well done. I'll be holding on to my Melton South IP. Bought it last year and although I won't double my money if I sold today, looking at comparable sales from the last 6 months I know I'd make a very good profit. Glad I got in at the start of the year before the area really took off.
     
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  12. Skinman

    Skinman Well-Known Member

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    Yep early last year would have been much better. The market is pretty hot now. It's a dilemma I've had before take the plunge on the basis there is still some short time growth or sit on the sidelines and kick myself in 6 months if the growth continues.
     
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  13. Skinman

    Skinman Well-Known Member

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    Thanks Michelle I appreciate the information.
     
  14. Michelle Evans

    Michelle Evans Well-Known Member

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    Not a problem. You can never have enough information I say!
     
  15. Skinman

    Skinman Well-Known Member

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    Especially when you live on the other side of the country and will probably never ever see the house. Anyway I took the plunge today and have got a place in Melton under contract. So let's hope the mini boom in this area continues for a while longer. My feeling is it will when I look at what's happening in places like Sunbury.
     
  16. bread_boy

    bread_boy Well-Known Member

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    Congrats! Just curious, did you go for a property with special zoning, eg. RGZ1?
     
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  17. Skinman

    Skinman Well-Known Member

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    Thanks. I was looking at RGZ1 areas but I missed out on a few as they were getting snapped up so quickly so I ended up moving out a little a bought in a GRZ1 area in the end. The place I bought does have potential to fit another dwelling on the existing block without demolishing so that's a bonus.
     
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  18. Seby643

    Seby643 Well-Known Member

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  19. SAVVIN06

    SAVVIN06 New Member

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    Hi Michelle

    Had booked a house and land package for 450K in Maplewood at Melton South.

    This is going to be completed by Oct 2019

    Any idea just wondering whether I had entered very late in the market.

    Appears you are from around this area.

    Any inputs would be highly helpful

    Thx
     
  20. Rush1

    Rush1 Member

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