NSW Newcastle NSW is absolutely booming

Yep spot on with your percentages, it wasn't the best example to use as the house was in really bad condition so I had no choice but to renovate it. Natural capital growth would be probably closer to 30%. Looking forward to seeing how the rest of the year pans out.

 

Say the Adamstown one, you spent 15k, you got more than 3 times that amount back.... so why not ...most of the house Newcastle seem so neat/renowed...not sure it's an adobe action or people are spending money tidying up their house... a sign of gentrification.

 

I was following that one quite a bit at 4 Beach Street Newcastle East Tomlemke. Couldnt believe it went for 1.3 Mill! Well done to whoever sold it though and it will be interesting to see what the new owners do with it.

 

Not a bad result for that townhouse at 227 Gosford Rd Adamstown going for 804K

 

I have a block in A town i could fit three of these on. Solid price 50k over ad must of been a bidding war, this is a poky one way street aswell.

 

I said that inner and coastal suburbs have done 120% over last 6 years.

That's 20% per year.
Why is that unreasonable to you?

Now let's get into some detail.

Inner and coastal suburbs means

Newcastle east, cooks hill, bar beach, mereweather, the hill

Good investments are houses on big blocks by that I mean 700sqm plus.

Since interest rates have dropped and the government has opened up the flood gates to Chinese investors and let record amounts of immigrants in and sold of assets they should not have in order to cook the books and appear rich. Well all this has happened in the last 3-4 years. Newcastle hardly appreciated until 2009 and then had a slow period agin until 2014 when it began booming again and the last year is the real rocketing of prices.

You look at property price stats but you don't see the fluctuations amongst the seasons, but n winter houses are cheaper easier to buy.

Boots on ground mate.

The really good houses in Newcastle don't get sold, people who live in them are so ordered because they know how important a house is on their psychological and family health.

The only houses that trade in inner Newcastle and you see on domain or real estate.com are the crap buckets left over from the closed insiders market or the overpriced ones. Good houses, excellent investments sell themselves and no agents are required.
Agents are used by low capability people who have bought a crap property they now want to sell or are buying a property off the websites and not having an agent is too hard.


If someone uses an agent to sell their house, I don't respect them at all, because it is so telling about their house and themselves and their capabilities and disregard for their neighbour and themselves, I treat them with disdain. Why respect someone who does not respect themselves and their property? Not sure what is so hard about selling a house? The amount of agents and people selling their house through agents here is just an utter laugh, and really people in other countries mock people here for being so incapable. There are many places , first world countries, where there are hardly any agents and agents have the same standing in society as drug dealers, pimps and street walkers.

 

I absolutely loved that graph. That graph is the biggest proof to me that we are in the midst of the biggest mother of a boom in Newcastle. great times ahead, for me. What can I say.

Just go out and buy another property in Newcastle. buy Buy Buy.

I can tell you that over ten offers were received on 25 Russell avenue Adamstown heights and the agents were gazumping all the buyers until they were raw from being properly gazumped.
However the agents were being super sly. Absolute madness to have sold that property so stupidly cheap. Despite the gazumping the vendor got screwed over by the very agent who was hired to look after their interests. The agents applied very mild gazumping price increases and got a frenzy knowing they were not going to increase the price too much. If it was my house I would have got minimum $680k probably $700k easy peasy with all the interest, selling it myself. Amateur agents for the vendor, pro agents for the principal and themselves, they took the easy money and quick commission without loosing the other buyers. If it was me I would have got such a high price and had the other potential buyers disheartened and give up on buying property. But agents are aware of this so they hate the smart private seller who can read the situation.
Yet Another situation where the vendor got screwed by an agent and doesn't t even know it. I honestly don't know why people are so stupid that they don't see how they ALWAYS loose by giving their property to an agent to sell.

 

@Ald boots on ground is all i can say

 

Watch who's boots were on the ground in a couple years time.

 

Ill be waiting... like u said good investments on 700sqm land are hard to come by.

 

yes that is unreasonable in my books...

I believe you when you can show me just 5 sales in any Newcastle suburb that are were in last 12 months that achieved this 120% increase in the last 6 years..

Condition:

• 5 sales has to be in the same suburb, transacted in the last 12 months..
  
• The suburb has to be 50+ sales transaction in the 12 months
  
• 6 years ago is 2010/2011..

I can show you 5 sales in any Sydney suburb did about 80% for that same time frame though..

 

"boots on ground" is good for current and future performance... If we can't agree on past performance or the lack of evidence to suggest this growth it is difficult to come to grips any unbiased 2 side argument..

I accept Newcastle currently have a large group of people at inspection, multiple offers, taxi drivers are talking etc.... This could be we're entering a boom cycle based on this observation...but does this tell me where Newcastle cycle is at the moment?

It would be insane to even accept that Newcastle already 20% per year increase in the last 6 years, and now we are entering a mother of all booms. 20% increase per year for the last 3 years in my books is already a boom

 

Some may be interested in this article, News.com 17 Dec

Property prices away from our capital cities are booming

Extract Below
SEA changers leaving the cities behind and people working from home could be the factors that finally take the heat out of our capital city housing markets.

The low-interest rate fuelled boom in recent years has allowed many people to sell up and buy in more affordable regional centres, which are experiencing strong price growth.

And as technology allows more people to work from home, people are moving further away from the city centres to places like Wollongong, Newcastle and Byron Bay, without having to commute.

These areas have achieved house price growth in the order of 10 per cent, 9.3 per cent and 20 per cent respectively in the 12 months to September. Units in Wollongong have also gone up by 17.5 per cent.

Meanwhile Sydney and Melbourne have seen growth of 2.1 and 9.1 per cent respectively.


There are still bargains to be had in Newcastle — where this house at 12 McIsaac St is for sale with a price guide of $480,000-$520,000. But in 2008 it sold for $281,000.Source:Supplied

Tim Lawless, director of research at CoreLogic, says faster internet speeds, wide spread adoption of secure networks and cloud-based storage are some of the factors likely to result in high demand in outer city areas.


“This is probably most pronounced in the North West region of NSW where the rail line has spurred massive growth in house prices in areas that were quiet reasonably priced not too long ago.”

The pace of house price growth is expected to slow in the next 12 months with popular city areas in Sydney and Melbourne likely to see between 4-5 per cent annual growth.

 

for this house, my calculator says 71%- 85% increase in the last 8 years...or 8.9-10.6% per year increase..
It's pretty good growth, but nowhere near "120% increase in the last 6 years, a 20% increase per year"
me thinks Newcastle's got some good growth left in the next 1-2 years.

 

State housing, any prominent areas that stand out as good value today?

 

not looking in the area....especially when it is 'absolutely booming' and not able to ascertain whether it's in the 1st, 2nd or 3rd year of booming cycle..

 

Had a look at this one a couple of times at 3 Macquarie Street Merewether that went for 682K the other day. Only 262 square metres and accross the road from Hamilton South Housing commission were the negatives for me. It last sold in 2007 for 420K. Went a bit high for me at 682K but a not a bad alternative to a unit for somebody there i guess and cant see anything at Merewether slowing up anytime soon.

 

26 Ellerslie Road Adamstown Heights NSW 2289 - House for Sale #123944250 - realestate.com.au

Whats people's opinion on this? I am looking at splitting it into 2 apartments as its practically already done, shouldn't be too difficult. Is the area and location ok? I don't know this area well?

 

I would want to split it if it were in inner city, more hip subs. Adamstown Heights is more of a family suburb imho but I would call RE agent in the area to find out the demographics of rental market
Are you buying for investment? Why Newcastle? There is also another Newcastle thread discussing other suburbs