VIC Melbourne Property Market 2024

Lifestyle very important
Lots of young families live in Northcote, Thornbury. Schools, parks, facilities etc etc. Proximity to city is attractive and of course great transport
Wine bars, restaurants just add to the attraction
Also great multicultural vibe and community.

Lets see how the next boom cycle plays out.

 

Not surprised with Pender St
Saw the property. Bad shape and inferior location

 

There is from me. We're in the South East and love it. Richmond to the G is about as far North as I'm willing to go.

 

That's the best part!

 

Agreed. We just bought in Thonbury in between Merri Creek and St Georges Rd. House with backyard for (future) kid/s, parks, childcare, schools, cafes, shops, wine bars and public transport all within walking distance. Looking forward to moving in!

 

Are you concerned about the land above Dallas releasing and adding heaps of new supply?

 

Hey folks, looking at where my next IP will be. I have ruled out WA and FNQ given the market heat and the shorter runway of growth. I'm very interested in MEL for the long term. But I'm struggling to find properties within 30km of CBD that have decent yields...in my mind targeting ~6%.

Is it a case of "melbourne isn't there yet with yields, hold on, bear the holding costs for the next few years as rent creeps up and it'll come around together with price growth"?

I guess if thats the approach, then buying 3-4 IPs in MEL that are all negatively geared will start to take its toll (holding cost). Would love to hear your thoughts.

 

Melbourne houses has historically never been 6%+ yield within 30km of the CBD and never will be

WA is showing no signs of slowing down. It will takes years for the supply issue to be addressed. All the data points point to a housing crisis that will not be resolved anytime soon. Buy in WA before coming back to Melbourne

 

Where are you referring to exactly? There's suburbs upon suburbs already above Dallas. Dallas is infill land

 

It was a double block just shy of 1000m2
Land alone worth 1.8-2m
Nice enough but not those animal heads in the games room

 

Obviously being closer to the city is better in this regard if you can afford it. Melbourne outskirts have this issue of many fields ready to be built on.
However
Those will be a different stock type those will be smaller blocks newer houses cookie cutter and not as close to that services and infrastructure.
Are you talking up around Donnybrook or something? There doesn't seem to be any vacant land around Dallas unless they start converting the low rise industrial but that's not going to happen for a very very long time and that would be apartments if that did happen.
No I'm not worried but I accept there could be some very minor influence when buying towards outskirts. But I think there's suburbs that are a lot worse for that like Werribee. The outskirt suburbs basically houses cost 600k for a new build and on 300 square meters. Different proposition to an established house on bigger land

 

Agree with @HonestShiba Sydney and Melbourne are never 6% yields on freestanding single occ homes. The rental crisis is pretty real at the moment I just rented a house for 4.9% and I actually think I could have done slightly better the demand was there that was based on an open on a Tuesday evening if I'd waited until the Saturday would have got even more applications had 18 parties through on a Tuesday.
Hoping going to see the increase pressure on rents hold and even increase would be really good and quite possible given melbourne immigration - not from the social justice point of view but from a property investment point of view that's going to help Melbourne a lot. Already getting 5% in Melbourne is pretty good.

 

I was just reading one of the reasons Melbourne property prices are flat is because a lot of older cash poor home owners who can’t afford to pay the land tax are selling their older houses that have been leased out for the last 10-20 years, causing an influx of less desirable properties on the market that are harder to sell. I wonder how long it will take for them to be absorbed, so that property prices can start increasing again? Any thoughts anyone?

 

An agent said to me recently that in our area (Bayside) people looking to downsize aren't able to get the usual premium for their $3m+ house so they're not active in the $2m+ space.

 

What about 600k-700k range

 

Victoria ranked second-worst state in Australia for investing in new homes | Housing Industry Association - realestate.com.au

Not sure if it's an opportunity for some?

 

Still sold for 900k in 2015.

 

It is a bit of a nonsense article as you dont pay stamp duty in Vic if you build . Stamp duty should encourage people to build rather than buy because of the savings . But for some weird reason it doesnt .People will pay more for a built house than they can build it for pay stamp duty on top and than do a reno as well I have built house's for $200k sold them to people whose cost was $250k after stamp duty. Stamp duty in VIc is actually land transfer duty paid on value of transfered property.

 

I’d be buying an older (60s/70s) 2 or 3 bedroom unit in Oakhill on as much land as possible, this should be obtained for under 600k, then keep some cash on hand for living or tip the remainder into index funds, my opinion only