QLD or regional NSW IPs?

Discussion in 'Where to Buy' started by John JS, 24th Feb, 2020.

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  1. John JS

    John JS Member

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    I have been doing some research on which location would be best as far as returning cash each week to live on. ie positive cash flow.

    We have been looking at Goulburn NSW, pretty nice new areas and new homes available for about $500K or less and rental vacancies are very small.

    Orange NSW has been flagged in one of your threads.

    Some seminars seem to be pushing Brisbane or Melbourne but I have some (almost bad) experience on the Gold Coast and very cautious about QLD.

    Anyone had any experiences with companies like Blue Wealth properties, Brisbane invest, Dwyer properties or others as far as QLD is concerned? I would love to believe their media releases but I would prefer first hand experiences, some of the stuff is very positive but others not as much and as a small p pessimist I tend to believe the negative comments more.
     
  2. BuyersAgent

    BuyersAgent Well-Known Member Business Member

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    I don't know those companies but if they are marketing new homes then be careful. This forum is full of genuine property investors who buy existing (2nd hand) housing stock all across the nation. The key is to do you research, buy for market or better value, and if you have the time or inclination then consider how to add value with renovations or even property development.

    Buying a shiny new house and land packages usually means paying full price, with large built in finders fees (paid by the builder) to the very company who claims to be working for you. Location is a whole nuther issue. Remember the laws of supply and demand are the constant so be cautious of areas where there are thousands (or tens of thousands) of new properties coming into the market. Established areas with limited stock almost always perform better in the short and medium term. Constrained supply with ongoing demand is one of the main keys to longer term price growth.
     
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  3. John JS

    John JS Member

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    I have spent many years of my life working on my homes, both old and new and now I have become lazy. So zero input from me for maximum returns. :D

    One of the above mentioned companies are builders so you buy directly from them. The others are advertising on radio and TV, so I guess middle persons.

    My main goal is to have instant money returns rather than long term price growth, important I know but I may not be alive to enjoy the growth and need to spend the kind's inheritance while I'm able and reasonable healthy.

    I had some input on my other thread about shares so I will be looking into that as well.
     
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  4. euro73

    euro73 Well-Known Member Business Member

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    RE Goulburn

    You are right - vacancy rates are really low in Goulburn, and local agents are oversubscribed by companies needing accommodation for all the workers moving there to build the 90% of solar and wind farms to be located within 45 minutes of Goulburn , over the next several years . All the pubs are full... all the motels are quite full...etc.... Price wise, you wont find much in Goulburn for 500K or less.... if you are talking about this type of new build...

    Lot 122 Brooklands Circuit, Goulburn, NSW 2580

    which I will assume you are.... then take a good look at the dimensions. You are getting just 120M2 of living space + double garage . Alfresco costs an additional 15K

    By way of comparison, we are building Dual Occ 4 bedders + granny flat in the same estate ( Teneriffe) for 640-650K. They offer almost twice the living area ; 236M2 of living space+ double garage v 120M2 + double garage . They are turn Key. But they will give you 2 rental incomes rather than 1

    if you bought the 3 bedroom property above for 495K, added the alfresco for 15K and then added a granny flat ( 130-140K easily) , it would cost more than our product , and you'd have a much smaller property producing less income :)



    RE Orange

    Yes its a fantastic town, and the yields have grown a lot over the last 2 years and look set to continue to do so as there is an acute shortage of registered land ... and what little registered land is available is either very small or has covenants about what you are allowed to build. The next subdivision, called Northern Gardens- wont register until at least Jan 2021 and prices in that subdivision are already 35K + dearer than what land was selling for in late 2019.... The last 2 lots we picked up there in Dec 2019 were 195K each. Now the starting price for Northern Gardens next stage is 230K for the land... and about to be increased to 250K within the next few weeks, and probably heading to 280-300K by years end. At those prices it's about the same price as Goulburn now..... but Goulburn's yields are about 10% better

    Either location will give you excellent cash flow if you buy the right product there
     

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  5. John JS

    John JS Member

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    Thanks for the invite, let's see if we can make it on the 14th.

    We looked at properties around Kidd cct and nearby when we visited.

    So are you really in the Hills district or Merrylands?? :rolleyes:
     
  6. euro73

    euro73 Well-Known Member Business Member

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    I live in West Pennant Hills. I own a couple of properties in Merrylands
     
  7. euro73

    euro73 Well-Known Member Business Member

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  8. John JS

    John JS Member

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    Good to know we are almost neighbours.

    We looked at #12 (deceased estate??) as well as #60 from the outside only.

    Anyway food for thought so far.
     
  9. euro73

    euro73 Well-Known Member Business Member

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    See you on the 14th in Goulburn... and you should take a trip out to Orange as well one weekend. We have a couple under construction out there that you could take a look at .
     
  10. Heinz57

    Heinz57 Well-Known Member

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    If the property company has “Wealth” as part of their name they are nearly always dodgy
     
  11. euro73

    euro73 Well-Known Member Business Member

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    IMG_3163.jpeg IMG_3165.jpeg
     
  12. euro73

    euro73 Well-Known Member Business Member

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    HOUSE

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  13. euro73

    euro73 Well-Known Member Business Member

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    GRANNY FLAT

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