VIC Where to buy +ve cashflow property, and why?

You can't really answer the question in proper context unless you know the reasons why positive cashflow is sought after. My question and answer goes directly to the nature of wealth creation and is trying to get some context. I have even supplied an example above of why context is so important.

I am answering best I know how. Its only general advice and my opinion only.

 

That's right.

 

we have had an ok run in Ararat. Our idea behind it is the CF+ offsets the CF- holdings we are developing so we are not tipping in cash each week to stay above water.

Town has about 10k in main township and immediate catchment, houses all are on mains gas & plumbing. There is a Maccas, Target Country, Aldi, Woolworths, Jaycar Agent, Repco, Shell, KFC, Subway. There is a large prison just out of town with steady government funding, it also is on the Melbourne <> SA & WA main route by Road and has direct train to Melbourne.

We have not interesting in buying further but what we collected over 12 months about 5 years ago has served us well.

 

What's the entry point on this type of stuff in the CBD Y-man?

 

Ah Ok, I was thinking buying it outright.
I guess I still could, just need to move up a couple of price brackets

 

to confirm the OP's search if for a cf+ house or unit? last few posts refer to units.

iam curious on this since the current vic median house price is still crazy high?

 

I've done no recent d/d but for cash flow positive or at least neutral in a decent sized regional location with some diversity I would have thought somewhere like Mildura would fit the brief.

 

Bendigo, Ballarat, some parts of Geelong. Sale maybe with the RAAF base

 

All possibilities.

 

If you fund a new build on a new block in melbournes growth areas you should result a neutral to positive position and recieve circa 5% CG.

 

So there's no shortage of land but government control the property market for economic growth lol.

 

Smart thing to do imo. The health of Australia's property markets is important to our national economic health imo. No economist here at all though. Just my belief.

 

It's very poor policy and hurts economic growth. Restrictive planning policies lead to demand driven by planning and not the market. The end result is that people like us put our resources (capital / money) into non productive speculative assets such as residential housing. Meanwhile owner occupiers also pay higher prices, meaning that a higher proportion of their capital goes toward a non productive asset.

If there weren't these restrictive planning policies we wouldn't see the CG we see today and we would probably put our money into investments that provide jobs and produce new goods and services.

For example, if housing was cheaper, maybe people would be more likely to buy a new car with the remainder of their money keeping people employed making them.

 

There are high yields from one bed room units in Burwood, Altona, Box Hill, Carlton, median price is generally $200k and less, student accomodation, studio apartments included. Just look at realestate.com

 

What's your opinion of units in Altona?
Isn't there a glut of apartments in Melbourne like everywhere?