QLD Thinking of investing in a duplex in Park Ridge

Discussion in 'Where to Buy' started by Vishhhhh89, 19th Mar, 2021.

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  1. Vishhhhh89

    Vishhhhh89 Member

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    I am getting a very competitive price for a duplex in park ridge through a builder (around 550k+) for a 530 sqm 30m frontage block in park ridge. I would like to know from some experts in the area whether it sounds like a good option from :
    1. rental yield
    2. longterm capital growth

    I have done a lot of research, and the numbers do add up for me, but I still am just very confused as its my first property.

    Points to note:
    1. I am not planning to sell the property anytime soon, probably never. Just looking for capital growth from an equity perspective for better servicability over time.
    2. From my research, the rental market looks like its in strong demand right now (as per rental agents), who even provided me an appraisal (upto 680pw - making this positively geared from dayone) and showed me some evidence of how quickly the properties in park ridge are being rented out.
    3. I can see evidence from logan council that there is a lot of development planned for the next few years,
     
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  2. Angel

    Angel Well-Known Member

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    Just about everywhere in Australia has strong rental demand at this time. What do you know about Park Ridge under normal circumstances?
     
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  3. Vishhhhh89

    Vishhhhh89 Member

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    nothing, and thats freaking me out. As an investment property, I have looked at the data that suggests growth, I can see that supply is less, demand is more, was recommended for these suburbs by a lot of property fund groups too (but havent gone ahead with them). But yeah, to answer your question, i havent visited the suburb or spoken to anyone who doesnt have a bias or conflict of interest in giving me advice. Hence asking here.
     
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  4. Angel

    Angel Well-Known Member

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  5. Vishhhhh89

    Vishhhhh89 Member

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    Thanks I have already checked each and every post, and done my due diligence, how much ever I could. I just wanted to know from someone, that a 560k~ price is good for a 530 sqm lot + a 210sqm duplex built area. (3+2 bed)
     
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  6. gach2

    gach2 Well-Known Member

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    no opinion - but wasn't there a member of this forum that was really 'passionate' about park ridge? Cant remember his/her name
     
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  7. gach2

    gach2 Well-Known Member

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    210m2 for duplex?
    Is it a duplex or dual key/granny flat/ aux unit?
     
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  8. Vishhhhh89

    Vishhhhh89 Member

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    Sorry i just rechecked , its dual key. I got confused between 2 different options they sent.
     
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  9. Brad England

    Brad England Well-Known Member

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    I was also in market for a dual key/ duplex property. My research shows the capital growth is very less compared to a stand alone house. The general feedback I get is for few hundred dollars of rental yield why are you losing on thousands of capital gain from a house ?
     
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  10. Vishhhhh89

    Vishhhhh89 Member

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    I agree with you , and I am sort of confused, on the capital growth part. The government data suggests strong growth in the next 3-5 years. Also, there is a already a shortage of supply on houses in park ridge area (Especially ones with bigger landsize).
    why do you think a dual occ/ duplex may have less capital growth as compared to a stand alone house ?
     
  11. Rich2011

    Rich2011 Well-Known Member

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    Also, there is a already a shortage of supply on houses in park ridge area (Especially ones with bigger landsize).

    No shortage of them on smaller land size!!!

    Government data might be suggesting population growth which does not necessarily equal capital growth.
     
  12. Noobieboy

    Noobieboy Well-Known Member

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    dual occ/ duplex is not usually in demand with OO. OO are driving the prices in Qld as a rule of thumb.
     
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  13. Sujay_Gulwadi

    Sujay_Gulwadi Active Member

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    I did a very similar project in late 2019 and I am very happy with the result outcome. I would strongly recommend Park Ridge dual occupancy as an investment. I have done dual occupancies in several other suburbs too.
     
  14. mytwocents

    mytwocents Well-Known Member

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    Park Ridge is a great entry into investment but better to do standalone. Brisbane and Melbourne are generating these cookie cutter properties (30km out) at a price point that is doable.

    migration will see CG with melbourne leading the charge when borders open internationally. Brisbane is enticing with sunshine but job growth for these migrants again is in melbourne.
     
  15. Sujay_Gulwadi

    Sujay_Gulwadi Active Member

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    Stand alone house in Park Ridge is unlikely to be positively geared.
     
  16. thunderstrike888

    thunderstrike888 Well-Known Member

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    Buy a standalone house anywhere in Logan. Park Ridge is right next to Crestmead, Marsden, Regents Park, Boronia Heights.

    ALL of those suburbs for $550k can still get you a free standing house in decent land. These places are flying with prices increasing faster than anyone could dream but if you enter now (Like in the next month or so) you can still catch the wave and get immediate capital growth if you buy the right property.

    10000x better than buying a duplex.
     
  17. Sujay_Gulwadi

    Sujay_Gulwadi Active Member

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    I avoided buying a free standing house in Park Ridge in 2019 and went for a dual occupancy. It worked out very well for me so I would define my avoid a free standing house in that Logan area in future.
     
  18. thunderstrike888

    thunderstrike888 Well-Known Member

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    Opportunity cost. You might have done well because everything is doing quite well now but opportunity cost that you lost buying a duplex instead of a house you will never know.

    Even though you've done well (which is excellent making money is always better than losing money) but you would have done better buying free standing. I'm seeing places that would have sold for $270k selling for over $450k now. Almost double their prices since 2017 for free standing homes.

    Many parts of Logan are already well into the $600k-$700k range for free standing homes. Some nearly $800k.
     
  19. Sujay_Gulwadi

    Sujay_Gulwadi Active Member

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    i don’t agree. The dual occupancy generally outperform free standing homes in most suburbs and definitely Park Ridge Logan area.
     
  20. thunderstrike888

    thunderstrike888 Well-Known Member

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    LOL - OK.
     

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