Ranking Each Cap City's Lowest Socio-Eco Areas

where do you think the next Mr Druitt might be? The buy in prices are too high now for my liking.

 

exactly, I knew people who bought into logan well before this current "boom" but no one was expecting a boom, they were expecting average to above average growth

so where will the next one in australia be?

there was a thread of druitt vs logan thread a while back and from what I can recall the fundamentals aer similar but location/scale etc are different that median price of druit>>>>logan in the next 10-20 years

 

the next frontier calleth.

 

No one lives in either of these

Both are industrial areas.

Cheers

Jamie

 

I think Frankston excites me more simply because of the restricted land supply surrounding.

A lot of these areas across the cap cities are mostly rather far-flung. That part doesnt concern me as much as when a far-flung suburb at this price-point is surrounded by lots of avaialble land. This of course means that more supply can come online and dampen any growth within the established stock. In fact, it can hurt it. I.e. lets say a suburb like Davoren Park has older 1960's houses and ugly streets with average amenity. Lets say the average house there is $150K (making this up as an example only!). If a new batch of cookie-cutter housing estates build in, next door, they are more attractive to renters as they are shiny/new, usually have parks and village greens etc. As a result, too much choice pushes rental rates down for all stock, but the older stuff can get pushed down further.

That said though, Adelaide's ones could get interesting with the recent SA Parliament land useage rule changes in terms of land supply restriction.

 

Jamie, i know lol, everyones given me a serve about that error!

I cant seem to edit my original post to remove it so it could be stuck there for a while hehe.

 

Melton rates a mention here: Biggest, fastest, slowest - latest population growth and change in Australia | .id blog

 

logan has deals mate. why don't you like it?

it has train line for bris CBD and GC. areas like beenleigh still has potential left in it

 

I didn't say I didn't like it.

 

asking for other areas while logan is there is a disrespect to logan

 

I don't think there is anything like that in Sydney now. The only play I can see now is a value/yield play that will allow an investor to hold over a long period.

If I had to choose then I would consider units in Liverpool close to the hospital/train/Westfield which can achieve a gross yield of 5%. It is also possible that UWS comes into Liverpool further improving the desirability.

 

I will have to see Logan for myself but not at the top of my priority...have you drifted here from the Logan Logan Logan thread?

 

I wouldn't knock any area, I would consider all areas and see if it fits in with current strategy. There are many areas that are sought after today, but were considered crap low socio years prior, and some local idiot in the background asking you, why would you buy there?
Melbourne- Frankston for sure, great location and my pick for best long term growth over sunshine with higher buy in prices.

 

That's what I was going to say as well.
Sydney's dodgy suburbs might be in Sydney, but dodgy suburbs that people associate with Brisbane are not actually Brisbane.
Logan and Ipswich are like parasite towns/cities.
Canberra's version is Queanbeyan (NSW). Maybe Charnwood or Chapman would be close for actual suburbs in Canberra.

 

Hey there.

Yes frankston indeed. Thing is depends which area. Sth is where the familys buy cause they wanna be close to frankston high.

Personally its central frankston and the reason being is that its got everything their in an excellent pocket. I know heaps of investors that know its true potential plus given its proximity to everything so close by

Also plus numerous upgrades on the area plus 70m chisholm tafe upgrade and 50m frankston station precinct upgrade which will transform the station And needed to happen!

F nth on the other side is another kettle of fish. Yes you can buy cheap but not how it ince was say 6-12 months ago. If you were to buy f nth only peninsula link side of excellior drive and thats it really. good solid pocket.

 

I agree. Position will change the demographic

 

Yes Logan is a different lga but there is no real dividing line between Brisbane if someone didn't know any better they would assume that Logan as part of Brisbane as they drove South from the CBD I think people often make this Distinction is not part of Brisbane but it may as well be

 

We were in Lethbridge Park for 7 years. We didn't have any issues.....but we never socialised in the area either. We had decent neighbours and were in a good part of the street. BUT that's not to say that there are no problems either. There are a small number of complete knobs in the area....but they usually don't wander far from home. So, check out the immediate area of where you want to purchase, because it only takes one knob living next door/couple of doors up, to make your home/investment not a great place.

There was a huge sell off of the Housing several years ago now.

Of course there was....there's been heaps of threads on the area over in SS.

Yep!

Lower socio areas I have/had experience with:

Mt Druitt.....Obviously I've got, and have had properties in Mt Druitt for some time. No real drama's, but a good PM and tenant selection is key.

Corio (Vic)...We had a brother in law living there for a few years, he didn't seem to have any issues, but I don't have any real experience there. We visited him twice during that time. The area had small older homes, but didn't seem too bad.

Gagebrook (Hobart) OMG! Only every bought one there, the tenants were fine but the neighbours were complete a$$holes. Even while the home was tenanted the kids from next door removed bricks from the fence & threw them through the windows. Lovely family! Well known to police & residing in a Housing Department home, so they weren't going to move anytime soon. We sold out again as quickly as we could. It could just have been the wrong part of the suburb, but I'll never know.

Traralgon (Vic).....We've got a small ex Housing Department here. Have had it for well over ten years. The long term tenant has now been there for probably nine of those years. No issues at all, and the feel we've had from the area when driving through has been great. It's mostly clean & tidy and no real bad feel about the area.

Moree (NSW).....We bought a small house for $25k and sold a couple of years later for $40k. It wasn't in the best area. Tenants were always fine but every time it was vacant the lovely neighbours broke in. Just like Gagebrook, the neighbours were tenants of the Housing Department, so that wasn't going to change, so we sold it. We also had a block of four Strata Units & another house. The house has had no issues at all, and although in another street to the first house, it is walking distance from it....but its not in the 'bad' area, and has many nice people living near it. The units are in the best area out of the three (but still not the 'best' area of town) There's never been any problem with tenants, or the area in general.

Frankston.....OK, I don't have property here & never have. I don't know the area at all, however several years ago we had a skating competition there & rented a little house for a week. We walked the streets & went to the beach (and skating, of course). There wasn't a bad feel at all where we stayed, however on walking through the shopping centre there was a bogan type element in some of the people. However, that's not to say they were trouble either.

Elizabeth (SA).....I've got a couple of properties here. We haven't had them all that long. The homes are neat & tidy on the condition reports & they pay their rent on time, every time. It could just be good tenant selection, or a good PM, or both. They are positive cashflow and they need a reno. Not sure what else I can say.

Bellambi (NSW).....Our first PPOR. It was just up the street from a big (by Wollongong standards) Housing Department area, but nowhere near the size of Mt Druitt. Think of a Mt Druitt suburb then half it...and that's about the size of the area. I used to walk the area selling Avon with two babies in a pram, and get invited into some really nasty homes. Now, when I say nasty, I'm not saying dangerous, just single mums, who were very unclean & bogan. Think dirty nappys on the floor....YUCK! While I didn't socialise with these people, they didn't pose a threat to my family. Like all Housing Department places, there was, of course, some shady characters. Most of the people I met were long term tenants of the DOH, and back then only a very small number of the houses had been sold off. These people used to try and 'educate' me on how I could receive all my 'entitlements' from the various charities so that | wouldn't have to work, but they all bought a heap of stuff from me. Back then we were more broke than most of them due to the delightful 17.5% interest rates.

 

It's okay, Canberra always seems to get forgotten - even the Australia Day weather report left off the capital city, don't feel bad There are some great investment opportunities in Canberra with good rent returns so happy not to share too much

 

Out of that list, I only have properties in Elizabeth. I'm in the process of buying my fifth egg in the same basket.
It seems to be more white than low socio economic areas in Sydney. Not sure whether that's good or bad, it's just something that I've noticed when being down there. Some areas can seem quite nice and then you turn a corner and think that you're on the set of Mad Max. I haven't really had many problems with tenants down there though. The only one I've had has been more of a PM problem then a tenant one.