WA Where to buy in WA

I had to look twice at that one, I thought it was my house!! Ha ha

 

Quinn's beach would be the best beach north of mullaloo, no reef, rips, waves and a brand new surf club. Also got a dog beach

 

I started discussions today about buying two houses in Karrinyup South. Lots of activity in Perth at the moment in the prime suburbs.

 

LOL, here we go again!

 

Can I interest you in Willagee, I have a lovely development site in this area, its close to Freo

 

Removalists?

 

Hey guys
What are your thoughts on Doubleview long term? From Melbourne, have been to Scarborough before and loved it. Looked up the train timetable Stirling to Perth is only 9 minutes.
Any links to research where the state housing is? Budget under $400K for a block of land.
Have a bit of equity so can ride out a couple of flat years if the current climate continues

 

I used to live in Scarborough, i would say Doubleview is a very safe long term bet. In regards to gentrification its definitely already there. Lots of townhouses and the full size blocks south of Scarborough Beach Road (SBR) with decent houses are well in to the mid-millions, which although is par for course in Melbourne, is really top market for Perth.

Its location is smack bang in the middle of a lot of new development. It will benefit from the Scarborough Beach Redevelopment and also the massive plans for the Innaloo Shopping Centre upgrade. Stirling is also getting a lot of development around the train station with offices, units, and serviced apartments. And, dare i mention it, its not far from the soon upgraded Karrinyup shops as well. There are some longer term plans for SBR upgrade as well, so i think overall there is huge interest both private and public to invest in the area.

Its short term challenge is the never ending supply of new developments and townhouses. These are adding stock as fast as its absorbed, however the City of Stirling has relatively recently changed its planning guidance for certain R code blocks to reign in the level of in-fill. As you say long term though, i think that is less of a concern for you.

Note in the train comment - Stirling is also the last stop for the morning express service to the CBD, so its a super-handy transport hub. As a general note though, people in Perth don't rely on public transport anywhere near to the same extent as Melbourne. If you draw a 500m radius around inner-middle ring Butler line stations, you'll see that they are designed to encourage people to drive to the station, so it doesnt really matter how far you are from it.

 

Thanks for that much appreciated
Melbourne is crazy, can't comprehend how a block in a dodgy area 20kms from the city would go for around the same price as Doubleview. From my Melbourne perspective perhaps Perth will change their mindset to public transport over the next 10-20 years with the increase in population and traffic. Any other areas worth looking at?
Cheers

 

The other unbelievable difference between them is that Perth has little price variation between the central and out suburbs areas, where as its huge in other cities.

I think Kensington/Vic Park area is worth a look with some killer long term potential. Lots with old houses that will pay you a return as well while you hold. Its next to South Perth which is getting a major overhaul, and Vic Park is developing its own image almost like a mini-Fitzroy from 10 years ago.

Too right about Melbourne. Was looking at what the fuss is about Reservoir at the moment, a fair few houses selling ~850k and up for rent at $360/week and no subdivision potential. My old townhouse in Perth would sell for half that and gets more in rent.

Perth overall is still approving and developing more property per person than Melbourne. I think when choosing your investment, really keep an eye out for sub-markets that are constrained - eg. property with a back yard in Melbourne is going crazy because it can't be added to the market and with all the development, is only becoming less rare. Perth will have its niches, so think about what they would be

 

There is a huge variation between inner and outer Perth. Compare Peppermint Grove and Nedlands to Armadale. Huge price difference!

 

That's not a fair comparison.

I can see where he's coming from, a 4x2 in say Bedford 7km from city and similar property somewhere 20 odd km from city will not have as big a variation in price as it would in Melbourne or Sydney

 

I was responding to a claim "Perth has little price variation between the central and out suburbs areas"

I don't agree with the claim. I also don't consider Bedford "central"

 

Let's not be pedantic here. The point was clear, ultimately when you consider the massive difference in inner city (but not cbd) and prime suburb prices between Perth and both melb and Syd and consider the overall median property price not being that much less (especially up until 2 years ago), it strongly supports the notion that there's a much larger variance in near vs far prices over east than there is in Perth.

 

Btw if.youre gonna be pedantic there is no one who considers peppy Grove or nedlands to be inner or central either

 

Sanj gets it. Do a price /sqm land cost of city vs. outer areas. Pick Melbourne; Fitzroy, West Melb, South Yarra, you're looking at from $6,000/sqm. Go out to Epping, nice middle class new builds, land is ~600/sqm. 10-fold increase.

You can pick up a house in Nedlands for low $1m's ($1,500ish/sqm with a free house), or Vic park with a house for around $1,200/sqm. The Catalina estate 30km out of town is $850/sqm for land, and hammond park heading south is a similar price.

1.5x the cost to get central in Perth.
10x the cost to get central in Melbourne.

 

Ultimately the size/maturity of a city plays a big role, but here are some of my more speculative reasons:
Transport. In perth it is so easy to own a car and get around that way. Joondalup is 30min drive to the CBD, where as 30min in the car in Melbourne won't get you half as far (unless you're in to toll roads). There is less incentive to live central because you can still access it easily and conveniently.
Space is not constrained in Perth. Melb/Sydney have fully built some corridors and infill is ramping up way harder. Having space in good locations commands a premium, as there is so much less of it for the population.
FIFO culture. A lot of suburban families had access to big money, and could sustain big mortages. In other cities, a much more traditional income profile exists.

 

$1,500/sqm seems low for Nedlands. $850/sqm seems high for 30km out of town. How do Armadale and Gosnells compare?

I think typically there is a bigger difference in price than 1.5x between Central Perth and outer Perth suburbs. 1.5x seems fairly low.

 

Apparently, where to buy in Perth right now is Nedlands. Over 1,000 sqm for $1.3 million is sensational value 67 Williams Road Nedlands WA 6009 67 Williams Road Nedlands WA 6009 - House for Sale #124491702 - realestate.com.au

Or Armadale for around $250/sqm. Cheap as chips. R40, 14 unit site. 55 Sixth Rd Armadale WA 6112 http://www.realestate.com.au/property-residential land-wa-armadale-200723535