QLD Off the Plan property in Boronia Heights, QLD

Does anyone here had any experience with a company called "we build futures"? My good mate is about to sign up with them for a off the plan property in Boronia Heights, QLD. The suburb is in the outskirts of Logan. Its bit close to Crestmead and Regents Park. Closest rail station is probably Loganlea or Kingston stations which is roughly 16 to 20 Kms away. The company is helping him with the buying process. The company also has a rental guarantee up to 9 years. He is paying stamp duty only on the land value. The property being built is a 4.2.2. Given that its a brand new property, he will have the full negative gearing benefits.

Can anyone please comment the suburb in terms of its investment potential?
Also, please let me know if you had any prior experience with company.

 

Mate,

Why logan?
How much are they charging for property management?
How much ia he spending there?
Has he checked what existing houses around vicinity are selling for?

With these, he will know what to do. Just run away.

Regards

 

Why Logan?.. Probably the price point, lower entry to the market. rental yield. and that is where the company has their development.

He is paying approximately 460K for the property. And the property management fee is 12% (I know its like double the normal management fee).

I checked few older properties around the area and they sell for around 400K or below. its a mix of properties including old queenslanders on stilts

 

Tell your mate to search realestate.com for exactly comparable properties for sale, and the asking prices. Check sold properties for actual prices paid in the last 3 months.

At the moment negative gearing is the same for new and established properties. If Shorten changes it, existing arrangements will be unaltered (or so he says).

Forget the rental guarantee. Cost is factored into the price. While on realestate.com, check rental prices in the suburb to get a realistic idea.

Someone will make good money out of the off-the-plan property. It won’t be your mate.
Marg

 

Run!

 

Run x2 !!!

How many red flags does one need to see

 

Wow,
Mate 460k will land you in much better suburbs in Victoria with 4% rental yields and better growth prospects and 6% property management fees with brand new house.

Choice is yours.

Regards
Ashish

 

Boronia Heights + $460,000 + OTP + rental guarantee + 12% fee.

You get the picture

 

Guaranteed that he's buying through a marketer here....! It will be about $30,000 over-priced, poorly specified and that management fee is crazy!

To be clear- there's nothing necessarily wrong with Boronia Heights or building new, just not like this.

 

I have heard of them before, I have not heard anything bad about them

 

Hope he can get out of it for all the reasons above.

 

Trust this guy. First post and it’s defending a spruiker. Seems he knows what he’s talking about..

 

agreed, it is the price point, a bit scary

 

Thanks every one with your input and comments. I have shared this post with my mate and he is reconsidering the purchase. You may have saved him from making a big mistake.

 

Probably haven’t heard anything good, either.
Marg

 

Maybe from their marketing team..