QLD What will Logan and Ipswich do in 2019?

That's true! It is the wall, called "Servicing Wall". A lot of borrowers need to have a balanced portfolio to do well these days, not just focusing on one or the other.

 

depends on the time of day....great train service though

 

can anyone post up their recent expeirences of the market

due to circumstances, I am considering selling a IP In loganlea/marsden area,

basically, if I feel that thte growth will be nil to minimal in the next few years, I will sell,
also need to consider the timing, if the market is currently struggling, and im going to get a 5% lower price, ill hold on to it

 

I have a mate been trying to sell ppor down there in Logan for a while now ,paid just under 100k in 1992 and on the market in the 340k range ..Needs a new roof white ants in most walls and downstairs is built in but only set at 2200 so a few problems but its on a big block on land at least he owns the property ..Good luck..

 

thanks.... so is your mates feeling of the market is cold, cooled, or balanced?

 

He had someone within his family that was going to buy it from him,but they wanted vendor terms and that from the way things can go would have ended up a mess a split the family..If it's priced right it will sell ,the same as in inner Brisbane people still think it's 2017 price wise..I think it may be a bit slow sales wise in logan..imho..

 

Hi, what type of property, how much & which area of Ipswich did you buy in?

 

Any word on how Logan is track in 2019? According to onthehouse.com all mine have drop significantly

 

Once Brisbane goes up Logan will have its turn...but prices need top rise first in the outer neighbouring BCC areas...the better parts of Logan in demand from OO including Regents Park and Browns Plains are holding up well with small increases due to demand from FHB up but other areas are very slow and declining now that investors have left. There also seems to be a lot of investor stock for sale as people have been spooked by the drop in consumer sentiment in general....

 

Logan is a hell hole that has little demand other from Mexican investors. I can’t see it having “its moment in the sun”. I would stay away from Logan like I would avoid an STD.

Demand for Logan is abysmal


Ipswich is doing slightly better. It’s being transformed and at least has a number of large employers there, defence and education included.

Demand for Ipswich



Mind you though. Ipswich didn’t “boom” either.

 

Luckily not all of Logan's 60+ suburbs are in Logan Central ;-)

 

I agree with both of these . At some stage it will go up , but I think it’s not going to be 19 .

There needs to be stronger growth centrally . There has been central growth and if the banking changes hadn’t happened it would be moving up , but they did and it hasn’t .

We’ll see a softening on the banking regulations over the next couple of years . How much ? Don’t know .

We bought in goodna / Ipswich a little while ago and saw some growth initially . Happy to wait .

Doing very nicely in Hobart .

Cliff

 

Same old same old .

We bought in Logan for around 65 - 80 in the early 2000's . Close to cash flow neutral . Now those properties are worth significantly more . People said exactly the same bout logan when we bought there . Didn't stop prices going up significantly .

Logan is similar to Mt Druitt . Look what Mt Druitt did in the last cycle .

Cliff

 

I don't have a dog in the fight here, and I have been talking with (ie debating) Logan for years with friends and colleagues.

But can someone please explain to me the two or three reasons for buying Logan? Ie the drivers?

If the answer is that it is cheap and you can get yield, that's a perfectly acceptable answer and investment thesis.But that might not be the same as a case for why Logan can/will grow.

Answering this question might help focus this discussion thread as well.

Over to you.

 

Logan-Coomera connector running ahead
Coomera Connector (Department of Transport and Main Roads)

Biggest immediate beneficiary probably the bay area, but great news for Brisbane. Infrastructure staying ahead of the growth.

 

I'll bite. I have skin in the game in probably a mid tier Logan suburb (ie. not the best but not the worst).

Firstly I looked at getting into a city rather than regional. Budget then dictated Brisbane or Adelaide. I wanted a house with decent land content and minimal holding costs. Wanted something with some value ad via cosmetic reno. Attracted to Logan council due to proximity to GC and CBD, large population growth, infrastructure spend etc.
For me it was really more how the asset fits with my portfolio. The deal is extremely important in these areas. See so many overpaying. I am relatively young and have the luxury of holding for multiple cycles. It offsets other holding costs from higher CG assets we have. I also feel their are some good purchases to be made from speculators that overpaid 3/4 years ago when it was labeled a 'hotspot'.

Am I expecting record growth? No. Am I expecting a ripple affect from the inner rings? Yes and I have the ability to value ad eventually when the time suits.

For me it was budget constraints that immediately ruled out many 'better' options. I see a lot of posts saying 'for an extra 50k you could have got into xxx'. Sometimes that extra 50k takes 2/3 years to obtain and the opportunity costs are much worse. In my situation it was the best bang for buck whilst working within my personal circumstances. I do also believe many operating in the area are speculating for the short term. There is obviously a different set of economic drivers in place compared with other areas. Many are not willing to hold for the long term.

 

i havent bought in logan or ipswich but i can comment on observations of this area for the past 20 years, referred to as the tips of the ‘golden triangle’ years ago. I know many who have invested in this area over the years. I believe the logic was sound. Gold Coast is attractive for lifestyle, Brisbane is a city with lots to offer and Ipswich is umm... Ipswich is... west of Brisbane. Ipswich is the remnents of coal mines and a river port, now there isnt much going for it to be honest (ready to be corrected) that can’t be acheived elsewhere (Toowoomba or further into the triangle - take Springfield for example). The triangle has seen big development such as Springfield lakes, Pacific Pines and the Coomera area. I think the reality is that it takes longer for things to happen than people are ready for. At the time as I said the logic was sound, but the reality is it may be sound over a 30 year period. Its a large area with plenty of undeveloped land around it and low socio ecenomic populations. That far out of diversified economies gentrification takes a long time and may not occur as other options are presented. Getting in closer to the action is better strategy as far as I see it.

 

This is worded much better than me.

I agree. Just sometimes budget trumps ideal strategy. And doing something is better than nothing IMO.

 

Logan is a big LGA. There is a massive difference in the kinds of properties available throughout. I hold one in Underwood for example, it is an older property on a big block. It has pretty much averaged a nice linear 5-6% annual CG from day one (2004) currently rented with near 5% gross yield and has more than doubled in price since purchased, there are new homes selling in the suburb for over a million bucks, im fine with that performance.