NSW Opinion on this lot (The Ponds)

Hello guys,

We are first home buyers and we are considering buying one of these lots, can you please suggest what do you think of the prices?
The reason we are thinking of these is:
1. Close to soon to be be open station (1.3 km walk)
2. Very close to the park (100-200 mts)
3. Close to the Ponds Public school
4. Close to Rouse hill shopping center.

Kudgee & Piddington Sts, The Ponds NSW 2769 - Vacant Land For Sale | Domain

The lots seems to be coming for a price of $1400-1500 per sqm. And these are selling by Blacktown council.
The other lots close to these lots are being advertised(by private sellers) for around 1700-1800.

Can you please share your thoughts?

Thanks

 

Really need something to compare it to. Land compared to similar blocks in nearby suburbs? How much will everything cost including build? What could you get for that price for a newish property closer in? Or an older house closet in still?

More generally, house and land tend to be bad value because the building is at its highest cost. But if its ppor and you really want to live there, that cant be turned into a number.

 

To quote a famous line of Charles Bud Tingwell from the movie The Castle:
"You can acquire a house, but you can’t acquire a home.”
"Because a home is not built of bricks and mortar, but love and memories.”
"You can’t pay for it, and you’re only short-changing people if you try.”

 

Personal opinion but I can't justify the price for 2 reasons.

Firstly the per sqm rate is a lot higher than more established/better areas of Sydney. Im talking about Upper North Shore (e.g Wahroonga and Turramurra) and Northern Beaches (e.g Cromer).

Secondly, there is a crazy amount of stock that is and will come online in the near future in surrounding areas which impact prices (ripple affect).

For those 2 reason I think the risk is high with buying anything whether vacant land or established in the area.

Whats your reason for specifically choosing that area?

 

Thank you for all the replies.. much appreciated.

The reason we are thinking of buying one of these lots is:
1. We both work near Macquarie Park, and think it would be easy to commute if we are near one of these train stations. And for some time we will be working there, my partner would be longer.
2. We are currently renting a townhouse, no offence, we dont like it much.
3. We dont have kids yet, but we would like to have a backyard, and live close to a park, child care, Ponds school catchment(future proof)
4. We have no plans to sell, but if worse come to worse and have to sell, the property should hold up some value. Being close to amenities we are thinking it would be easy to sell.
5. We have all our friends in 5-15 drive, unlike 1 hour currently.

The reason we are thinking to build is we need a bedroom (and a bath) downstairs for our parents when they come over. Couldn't see many coming up in the market, even if any, the ones we like are around 1.1 to 1.2 mil.

These are the comparable sales in last one year:
Sold 22 Govetts Street, The Ponds NSW 2769 on 22 Mar 2019 - 2014971876 | Domain (279 sqm, 1469 per sqm, 22-Mar-2019)
Sold 29 Beauchamp Drive, The Ponds NSW 2769 on 21 Feb 2019 - 2014753630 | Domain (379 sqm, 1467 per sqm, 21-Feb-2019)
Sold 59 Govetts Street, The Ponds NSW 2769 on 07 Sep 2018 - 2014488424 | Domain (516 sqm, 1550 per sqm, 7th Sep 2018)
Sold 58 Brookfield Street, The Ponds NSW 2769 on 19 Jul 2018 - 2014161231 | Domain (374, 1590 per sqm, 19-Jul-2018)
Sold 31 Piddington Street, The Ponds NSW 2769 on 05 Jul 2018 - 2014414650 | Domain (308, 1883 per sqm, 5-Jul-2018)
Sold Lots 22-28 Woolcunda Street, The Ponds NSW 2769 on 04 Jun 2018 - 2014352783 | Domain (501 sqm, 1467 per sqm, 4-Jun-2018)
Sold Lot 48 Piddington Street, The Ponds NSW 2769 on 18 May 2018 - 2014278584 | Domain (308 sqm, 1883 per sqm, 18-May-2018)
Sold in The Ponds NSW 2769 on 27 Mar 2018 - 2013999163 | Domain (450 sqm, 1746 per sqm, 27-Mar-2018)

The one I am thinking will be 1422 per sqm.

There are currently some lots advertised in the nearby areas, which are atleast 1700 per sqm.

Thanks

 

What would be your total cost for the land and build?

Your requirements say the hills would be a good choice, but new house and land? How much of this choice is because you like the idea of brand new build that no one has lived in?

What would that get you for an existing house around the area? Kellyville, Bela vista, etc?

 

How much of a deposit do you have?
It can take 6-12 months to be ready for construction. At the point where your plans are ready and the construction loan is ready for approval, a valuation will be done. If the market continues to slide, you may have to foot a higher deposit for the construction if the land is worth less at that point. I recently had 1st home buyers at a high LVR that had to suddenly find 30k on top of their deposit to fund the build. Luckily they had it but most don't.

If there are established properties in the catchment I'd be looking there for a bargain. The top end of the suburb has dropped more than the lower, so it may end up cheaper to buy established than to block and build yourself.

 

Personally, I wouldn't do it in the current Sydney market. Good personal reasons, but if you are looking for long term CG, I would be buying established, and not in in The Ponds, I would be looking Northshore.