TAS Tasmania

There's a couple of threads on launceston which mention suburbs . We were mainly looking at invermay but ended finding good deals in south and west Launceston .

Cliff

 

thank you. i know i saw a list you posted in another forum but just couldn't find it yesterday.

 

Just got our hands on a residex report for Glenorchy showing 1% forecast growth over the next 5 years and 3% over the next 8 years? Only just keeping track with inflation in the medium term? Is there other excitement to contradict this?

 

I should add, I'm not actually asking for the answers - I've been doing a fair bit of research around there for some time although residex has me out for now. In saying that, I am still keen to hear whatever you're willing to share.

 

Not sure what background research goes into the residex (or similar) reports. From what I understood, they were statistical analysis - past performance is an indicator of future performance etc etc. There are so many elements that need human analysis and talking to people to determine whether it's a yay or nay location.

 

i would be very surprised if the growth is truly that low. i have been investing in hobart the past 18 months. moonah has had a significant jump in median price (and a drop in stock on market) so i would assume glenorchy has to start to go up too. although the demographic is a step worse though. your property investment has it at 10% growth in the past 12 months. i have not done detailed research though, and have not seen the residex report.

Free Suburb Profile report for Glenorchy TAS (7010)

 

Having watched markets and companies like residex and their predictions for a few years now , I can acurately predict one thing .

THEY NEVER GET IT RIGHT ....

In particular , when a boom happens they ALWAYS underestimate the degree of growth .

Personally I pay no attention to Residex . The informed opinion on this forum is more accurate .

We recently tried to buy in glenorchy , but couldn't find anything we liked simply because the market was too hot . We made a list of around 20 properties and by the time we talked to the agents over half we're under contract . By the time SWMBO got down there all but one was under contract . That was on a narrow corner block ( ie less than 90 degrees ) which needed work .

Ended up buying in Claremont . That one had been on the market for a while , initially overpriced ( I'd looked at it before ) . The market had moved to the point where we thought it was an ok buy .

Any thing , in the moonah to Claremont that we thought as good value was selling quickly and usually with competition .Haven't looked in the last six weeks .

Didn't seem like a market that's going to move up 1% in the next five years .

Not saying a boom is about to happen , but certainly the market is moving up and it has already moved in the last year .

Cliff

 

Out of interest was it a Barossa road property in Glenorchy Less than 90degree block needing work?

 

No

Cliff

 

Is this still the case at Claremont. We are looking at getting 6.5% yield+. Is there anything around this part of hobart for this yield, or do we need to go up to Launceston?

 

I dont know about the Northern suburbs but there are areas which still give a good return. Over 10 years ago I bought 2 houses in Clarendonvale (which many will say is a bad area) however during that time I have had the same tennants, spent very little and they look after the place well and not once missed a rent payment. When I first bought them I was getting around 7% return and now around 10% return on initial purchase price. While they have not excelled in Capital growth they have slowly increased in value. Within suburbs there are often "nicer" streets and areas and this is where I bought. You can pick up a house there for around 165K and average rent now is 230p/w so still over 7% return. Clarendonvale is surounded by 2 better suburbs slowly encroaching onto it and I would expect in time this will increase value in the area albeit it slowly. The key issue's are find a good street & house, get a good deal and find a good tennant.