QLD Sunshine Coast

Hi all.

I have just purchased my first (hopefully one of many) IP on the Sunshine Coast and would love to start a thread and get people's opinions on the area.

Reading on here there seems to be quite a buzz around SEQ at the moment. However all the talk seems to be around Brisbane and the Gold Coast.

Over the last 6 months of looking to purchase a property I have found the Sunshine Coast market to be fairly hot. Houses being on the market for only a matter of days is a fair indication of this.

So I guess the purpose of this post is to find out everyone's opinions as I'm looking to buy IP number 2 in 12 months time on the Sunshine Coast as well. Is that a smart move? Or should I not be putting all my eggs in one basket?

Thanks in advance,

Mitch

 

I am also interested in peoples thoughts on this one.

Earlier this year I purchased my first IP in Caloundra

 

I'm interested in the Sunny Coast. Where did u buy, and why? Details??

 

I'm interested in QLD too, particularly around the Kawana health precinct in SE QLD but also Brisbane.

 

I bought in Maroochydore. Low maintenance brick home 3-2-1. I found Maroochydore to be very undervalued considering its in the heart of the coast.

Close to the biggest shopping centre on the coast (sunshine plaza), close to the only airport and close to beaches and schools. Let alone the development of the new "Maroochydore CBD".

Im also very keen on the rest of the Sunshine Coast. The new private hospital in Kawana has just been completed along with all new roads linking Kawana to Caloundra and the Bruce highway.

Talks of a train line would also add massive value to the area.

Let alone the lifestyle that the Sunshine Coast provides. I might be a little bias as I have grown up there but the beaches and suburbs make it a very easy place to live.

I see your from Brisbane, I'd love to get your opinion of the Sunshine Coast?

 

I've recently started looking into this area too.

 

why have you guys started looking into the Sunshine Coast?

 

I have ulterior motive, intend to retire there one day.
But as you say, Maroochydore seems undervalued, and there will be a lot of development around the recently closed golf course. Its a great place for lifestle, beautiful beaches, not as developed as GC. The hospital development is huge, two hospitals in one actually.

 

Partly for the same reason as chindonly, but I am also toying with the possibility of relocating if I could get a position at the new hospital in the area I currently work in.

 

The hospital isnt expected to complete until next year. Theres a vacancy rate of less than 2% across the sunshine coast. Undersupply of I think 1000 homes which isnt very much..i do think it'll go well with high income hospital workers buying

 

Yes, it's not due to fully open till late next year, which is why I'm hoping to get into the market before the rush gets too full-on. I wonder what proportion would be renting as opposed to buying??? Anyway, 2% is a pretty good vacancy rate regardless. Unfortunately, I will probably be in Vic for a few more years, so hoping to get an IP at this stage, so there will at least be an option of switching places down the track.

 

I've been into the Sunshine Coast for over 2 years now. I have a property in Buderim and have many clients investing in the area.

Some reasons why I like the area and the property has performed well over the last 2 years:
1. Capital growth

Sunshine Coast has experienced population growth over the last few years - coupled with the infrastructure and capital upgrades, this has led to a positive impact on house prices. This includes the University expansion, hospital upgrade and also the potential airport expansion. Overall capital growth has been experienced in 8 out of last 10 years.

2. Yield

Can achieve above 5.5% rental income in Buderim with low vacancy rates, put simply demand is greater than supply. You can get a 3br TH with 2 bath and 2 car garage brand new for around $360k and have a tenant in no time at all. I have increased my rent twice and now up around 6% rental yield and good growth also.

Added to this there is great additions to transport and infrastructure not to mention tourism in the area.

Population: Sunshine coast has around 350k residents and is expected to grow by 9000 perm residents each year for the next 20 years. With the population growth there is actually an undersupply of housing stock in the region. With infrastructure and capital upgrades there is a strong prospect of job growth.

This is specific to the Buderim region and certain does not apply to a place like Noosa.

Real good prospects - a tick for me.

Hope that helps.

Cheers Ivan

 

Hi Ivan,

What's your thoughts on Sippy Downs?

 

Thanks for your insight Ivan.

All aboard the Sunny coast train....

 

Are there any risks of oversupply? Any major building / estates around Kawana?

 

Hi Mitch,

I'd stay away from Sippy Downs, the rental returns are great but I'm not sure on the CG potential of the area compared to other parts of the coast.

There's so much available land still around Sippy Downs which is still years away from being developed on.

As Ivan said, would much prefer built up areas close to beaches and major shopping centres like Caloundra, Kawana and Maroochydore.

Am also interested in Ivan's thoughts on the area though.

 

Hi there,

Sippy Downs is fine in my opinion. Sippy is right next to the University. Re CG, be aware that there is little Chinese investment in SC as opposed to the Gold Coast.

I don't see an issue with oversupply - this is supported by the vacancy rate. Buderim is getting hot, was much better value a year ago than now but the horse has not bolted. Like anywhere you have to choose careful when you select the investment, we have a townhouse development that a number of clients have purchased successfully and all rented out fine. Stage 2 is going on now and quickly.

No issue in my opinion with Sippy Downs or Buderim - again that is just my opinion. Infrastructure is there and spending continues and its had a fantastic run for some time.

Cheers Ivan

 

And don't forget the huge South Caloundra project.
Driving up there a couple of months ago, they have already started clearing land and building the main exit ramp.
http://www.stockland.com.au/residential/caloundra-south-the-project.aspx

 

It's going ahead. Rapidly. I have several here all around the Hospital in 3 different estates. The only Estate left new in Kawana is Birtinya. Which is literally in the shadow of the Hospital. Long waiting list for Land and you MUST provide a Letter of Pre-Approved Finace from your Lender to qualify for the "list". 350sqm blocks start at 300k. There is a HUGE movement towards terrace housing to make the most of the little vacant land left close to the Coastline. Sippy Downs is to the west and has more land to yet develop. So growth will not be as urgent as other suburbs closer to water. Freestanding houses are the preferred rental option as the Coast is popular with families. Search Postcodes 4551, Caloundra. 4575, Kawana. 4557, Maroochydore.

 

@Toon if your looking to get into the hospitals you'll need to be up there or have a fake address to get a look in. There is an oversupply of nurses (not sure your field) in Bris and sunny coast (as with most cites) and i dare say you'd have a better chance at the other hospitals up there. We have looked into moving up there and after a few calls to hospitals and people we know a lot of people want to be in the new hospital plus all the other people looking for work will be first on the list. There would be outsiderss brought in but I wouldn't bank on a big % of people being relocated.

@MJS1034 as a previous local what is the situation up there with work. its a lifestyle area but there is not a great deal of "work" to be found. Anyone know unemployment rates or any other changes planned for the area? The highway north was being done, probably finished now. but other than the hospital is there any other onfrastructure going ahead?