WA Where to buy in Perth?

Hi guys,

I'm in the phase of researching Perth suburbs and finding one with a decent potential for future CG and solid rental return. My budget will be up to 550k, but preferably south of that value. I'll probably focus on townhouses/villas as these types of dwellings will typically be in better locations for my price range.

So far I've narrowed my research to Maylands, Vic/East Vic Park, Como, Highgate, Duncraig and Yokine. What do you guys think about these suburbs? Any other suggestions?

Cheers!

 

Keep in mind it will likely be a lower land component, which is typically where you can get the best CG.

I noticed this place today. If you could get it in the $400's and spend $30k I think it is good value. Close to Carine, Warwick train station, nice front elevation, opposite the park, 729m2.

9 Ambridge Street Hamersley WA 6022 - House for Sale #123543058 - realestate.com.au

 

Hard to beat Highgate from your list, walk in to the city and Mt Lawley, couldn't go too far wrong.

 

Suburbs you mentioned are all decent IMO.

Issue I have with Perth is I think the market will stay flat for sometime and thats once we bottom out, likely in the next 6-12 months. There is micro markets that are defying the trend such as Kallaroo. So the remedy is to find properties that have problems no one else is interested in fixing and / or the ability to add value by adding additional dwellings.

City of Joondalup have just been rezoned and may be worth exploring in that price range. Padbury and Craigie would fit that bill with development blocks available under 500k. The only thing is there is not a lot of comparable to determine end values as it has only just been gazetted.

More info here; City of Joondalup > Develop > Building, Planning & Environmental Health > Planning > Local Housing Strategy

 

Sounds like a good deal. How far is the train station?

 

It is just to the north on the other side of beach rd. About 1200m by the looks of it?

Biggest factor is the condition of the house. Always look better in pictures...

 

Thanks Colin.

The suburbs you mentioned definitely sound interesting price wise. However my understanding so far on good investment is that I should primarily focus on location, that is the closer to CBD the better. Wouldn't the suburbs you mentioned be a bit too far away from the city?

 

This one drew my attention:
reiwa.com - 8/386 Stirling Street, Highgate

 

What the heck were they thinking when they chose paint colours?

 

Lol I'm color blind so i haven't even noticed..

 

I too am interested in Perth and kind of waiting for vacancy rates to pick upa bit.

It all depends on time frame of course. For me its back to basics with a property within 10km of the CBD exhibiting some kind of scarcity with access to good infrastructure. Something that professionals would gladly rent and have access to amenities without too much reliance on a car (I say.. too much..as it is Perth)

Perth will rise again and would like to be in a good position to take advantage of that.

 

I agree with you. I believe Perth has been stagnating for a long while and sooner or later it will start picking up. It seems that the vast majority thinks it's not going to pick up in the next year or so. Probably wise to use that time and research suburbs that might present good buying opportunities.

I share your strategy and would also focus on suburbs within 10km. Location, location, location.

What are some of the suburbs that you found interesting so far?

 

I dont mind highate at all. If you extrapolate from Sydney and Melbourne, suburbs close to the CBD should always be in demand. Im hoping to get a house, certainly not an apartment. I would consider a townhouse. I like Shenton Park and Daglish. I like the western suburbs but am concerned about stirling highway. This will only get busier and there is little room to widen. So any potentioal place should be walking distance to a train station on the Fremantle line.

 

They are not what you would call "inner ring" but are close to major infrastructure and transport hubs to the city and elsewhere as they are well established suburbs ripe for some gentrification imho.

I mention them because they suit your budget. As you get closer to the CBD it will increase significantly for a similar type develop-able property.

 

I have to agree with others in this post in that Highgate is the stand out inner city suburb of you are looking for proximity to cbd, high walk score to all amenities including less than 2km to the city and future Perth stadium, less than 1km to east Perth train station undergoing a major upgrade (also the new airport rail line) and on the door step to the hip end of Beaufort street. Add this to the ongoing gentrification to the area, i.e. demolition of stirling towers and increased hospitality opportunities and there is lots of reasons for its rising popularity. Yes the suburb formally had a stigma associated with it, and to some of the older types still does, but that's what makes these diverse suburbs the best in melbounre and Sydney. Highgate will be no different. Only issue is limited listings to choose from, which is better then no listings once the market improves! Vic park, also has potential for similar reasons stated.

 

We moved from the western suburbs to Highgate 13 years ago. Best thing we ever did. If you work in the city you can walk to work, or take two bus routes, Beaufort Street or Lord Street. No problems with exhorbitant parking fees. We can walk to our dentist or our doctor, our pub or our cafe. It is very convenient. We quite like its edgy reputation. It makes it interesting.

 

Yokine is a mixed bag, IMHO. Vendors still expecting heaps for what is a Yokine/Joondana/Nollamara type of suburb.

Maylands has some really nice pockets but stay away from areas where there are old apartment complexes. They sell for not that much money and the type of tenants it attracts can be questionable. I would also look at Bayswater, somewhere close to the train station. Airport link tunnel is gonna start in Bayswater

I haven't been following Duncraig and surroundings but Padbuy looks good.

 

There have been some good deals in Bayswater but they sell fast.

 

I started following Bayswater seriously since the last two months or so. Missed out on a triplex as I wasn't ready to move in quickly. Nothing that will be profitable in short term but I can see good prospects in the medium term (3 to 5 years).

 

Thanks very much guys for all your comments.

Sounds like my list narrows down to Highgate and Vic Park. Is it reasonable to expect to buy a good investment in these suburbs in 500-550k range?

At the moment we don't feel any pressure to buy. We are quite leisurely researching our options because we think Perth housing market won't go anywhere in the next 1-2 years. Is that your general impression as well?