Options in Melbourne

Discussion in 'Where to Buy' started by John77, 29th Dec, 2016.

Join Australia's most dynamic and respected property investment community
  1. John77

    John77 Member

    Joined:
    28th Dec, 2016
    Posts:
    5
    Location:
    Melbourne
    Hi All,

    Which is the best suburb to buy in Melbourne? Consider the following:

    - Investment of 350000 - 450000.
    - Strategy to building rental income so property should be positive cash flow.

    Regards,
     
  2. MikeyBallarat

    MikeyBallarat Well-Known Member

    Joined:
    26th Aug, 2016
    Posts:
    678
    Location:
    Ballarat East
    It will be pretty hard to find somewhere that meets those criteria in Melbourne (maybe Broady and surrounds). Any reason for Melbourne specifically?
     
  3. melbournian

    melbournian Well-Known Member

    Joined:
    2nd Sep, 2015
    Posts:
    3,038
    Location:
    melbourne
    pt Cook, William landing
     
  4. JacM

    JacM VIC Buyer's Agent - Melbourne, Geelong, Ballarat Business Member

    Joined:
    12th Jul, 2015
    Posts:
    2,194
    Location:
    Melbourne, Australia
    Depends if you are after a house or are prepared to be in a unit in an Owners Corp. If you want a house then the question changes from "where is best to buy" to "where is compatible with my budget".

    The cashflow position of the property will depend heavily upon the size of your deposit and how you funded your deposit (eg genuine savings compared to using equity release money, which is borrowed money).
     
    Adele likes this.
  5. EN710

    EN710 Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    3,218
    Location:
    Melburn
    Do you think there are still good deals around?
     
  6. melbournian

    melbournian Well-Known Member

    Joined:
    2nd Sep, 2015
    Posts:
    3,038
    Location:
    melbourne
    smaller land smaller house should be right 450K though depending on deposit to make cash flow positive.
     
    EN710 likes this.
  7. ashish1137

    ashish1137 Well-Known Member

    Joined:
    12th Sep, 2015
    Posts:
    931
    Location:
    Sydney
    Melbourne is full of options in this range with nearly 5% yields.
    Outskirts: (38-60k's)
    North
    North west
    North east
    West
    South west
    South east

    Regards
     
  8. Gwynneth

    Gwynneth Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    160
    Location:
    Sydney
    How about smaller houses in Mickleham? Not sure though if there will be oversupply once all the housing estates are done?
     
  9. Barny

    Barny Well-Known Member

    Joined:
    16th Oct, 2015
    Posts:
    3,189
    Location:
    Australia
    What's the rental return per week on that 450k home melbournian?
     
  10. John77

    John77 Member

    Joined:
    28th Dec, 2016
    Posts:
    5
    Location:
    Melbourne
    This will be my first IP and I want it to be in the hometown to start with.
     
  11. John77

    John77 Member

    Joined:
    28th Dec, 2016
    Posts:
    5
    Location:
    Melbourne
    How are south east suburbs? like Officer, Cranbourne etc.
     
    ashish1137 likes this.
  12. melbournian

    melbournian Well-Known Member

    Joined:
    2nd Sep, 2015
    Posts:
    3,038
    Location:
    melbourne
    380-425 per week.
     
  13. MC1

    MC1 Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    386
    Location:
    Melbourne
    Deer Park although the prices are starting to climb above your top range
     
  14. ashish1137

    ashish1137 Well-Known Member

    Joined:
    12th Sep, 2015
    Posts:
    931
    Location:
    Sydney
    Good option. The ship has sailed though in case you are looking for returns. You can still target good estates where land is scarce. I am sure you will find some options.
    Another option is to look further out.

    Regards
     
  15. ashish1137

    ashish1137 Well-Known Member

    Joined:
    12th Sep, 2015
    Posts:
    931
    Location:
    Sydney
    These are Good areas as well. But everyone wants to build in good areas and hence good areas are first to grow.
    Some options are as:
    Get cheaper blocks than market price.
    Go further out.
    Try north west
    South west
    North.
    Any strategy you can use to decrease cost of land and build keeping the quality of build to be the same.

    Regards
     
    melbournian likes this.
  16. Realist35

    Realist35 Well-Known Member

    Joined:
    1st Mar, 2016
    Posts:
    1,652
    Location:
    WA
    38-60km? Is that even Melbourne anymore?
     
  17. Connor

    Connor Well-Known Member

    Joined:
    31st Aug, 2015
    Posts:
    437
    Location:
    Melbourne
    If you drive West, or even North i'd say definitely not. You'd be driving past fields and paddocls after about 30-35km.
    But going East, Sth East its a yes.. Going 30-50km out there's still some beautiful suburbs and a great deal of old and new infrastructure. It's really after about 60km that it thins out.
     
    Realist35 likes this.
  18. ashish1137

    ashish1137 Well-Known Member

    Joined:
    12th Sep, 2015
    Posts:
    931
    Location:
    Sydney
    Definitely yes. You need to look deeply.

    Regards
     
    MikeyBallarat likes this.
  19. TMNT

    TMNT Well-Known Member

    Joined:
    23rd Jul, 2015
    Posts:
    5,572
    Location:
    Melbourne
    Just had a look at this link

    Butat 375k that is a lot of house for a cheap price and not in whoop whoop

    If I was fhob looking for my first poor and didn't want an apartment. I would probably be buying in a heartbeat
     
  20. TMNT

    TMNT Well-Known Member

    Joined:
    23rd Jul, 2015
    Posts:
    5,572
    Location:
    Melbourne