Good/Bad areas in Toowoomba

Hiya,

I started PMing people, but figured this would be quicker...

I'm after some local knowledge of Toowoomba - best areas, areas to avoid, prestigious streets, housing commission pockets, etc.

Would any Toowoombah residents, or those familiar with the town, mind sharing this information?

Thanks in advance!

Lucy

Have lived here for the past 25 years. Not sure if I am up on the latest, but happy to help. Where in particular are you looking? Some areas that you once would not even drive through have undergone major changes, with lots of lovely new homes being built. Any particular type of place you are after? There are several areas where there are lots of lovely older style houses (which are worth heaps), several new areas and still growing.
Susan

Someone's reading my mind.
I was about to post this exact thread!

Council website shows a fair bit of development being planned over the next few decades. The number of highways that branch out from Toowoomba appear to be very ideal as well...

What I'm interested in are the smaller suburbs around central Toowoomba.. especially for areas around the University.

How is the water situation in Toowoomba now? ... Has the town reconsidered recycled water to help. I remember it getting the NO vote, but with other towns around the country taking it on board especially to use for farming/irrigation. Has there had been a change in thinking by the population?

Just wondering

Martin

Ozsunrise said:

Have lived here for the past 25 years. Not sure if I am up on the latest, but happy to help. Where in particular are you looking?
Susan

Click to expand...

Hi Susan,

I've never been to Toowoomba, so I don't know what areas I'm looking at yet. I like large regional centres because I think it's easier to buy undervalued properties than in capital cities. Longer time on market and (possibly) less savvy/aggressive local buyers = better chance of negotiating a bargain. Have done this twice in NSW regional cities and now think I ought to get a bit more exposure to other states in my portfolio.

I like the fact that Toowoomba is a large regional city with a relativley cool climate, and an easy drive from Brisbane.

Ideally I'd like to pick up a character house on a large (splitter) block in a desirable area of town. I've never done a build before, and I'd like to try one this time round, so it's important that I buy in an area that there is demand to live in - otherwise I'll be left with an empty house (possibly two!) in a slummy pocket and a big bill!

Ideally I'd like to buy in an established, properous, (leafy?) family area, but am always keen on inner-city, cafe-lifestyle properties too.

Mum and I used to live at Mungindi, so I might send her up to stay with friends in the Xmas hols (that I get none of!!) and do a bit of a recce, but it would be great to have some inside knowledge first...

Thanks for your offer to help!!

SuiCid3 said:

Someone's reading my mind.
I was about to post this exact thread!

Click to expand...

SNAP! beatcha to it!

Hi there
I am also in Toowoomba - the Eastern side of town which overlooks the Escarpment are the suburbs with the higher price tags. Areas around Wilsonton with the street names after wine labels were the ones in the past to watch out for. There are some housing commission properties in Harristown - but also some good areas of town in the same suburb.

There does seem to be a lot of development happening around Highfields - and also some suburbs still being built around Middle Ridge. The suburbs around the University are Darling Heights, also Drayton is not too far away.

I don't want to put you off - but there is an oversupply of rentals in Toowoomba and having just had to drop rental to get one of my properties rented, just want people to consider that the vacancy rates and timeframes for vacant properties are likely to be higher.

There have been some major employers move shop from the town but education is still the major industry. A lot of the people who work at Oakey Army base still live in Toowoomba. The Cabarlah base is in the process of being considered for closure.

There is a large retired population and the medical services in town are increasing all the time.

Water is still an issue and everyone I know is buying a water tank.

Both political parties have promised a second range crossing which should help some of the transport difficulties.

We just need the train to also come to Toowoomba and it then would be the equivalent of the Blue Mountains for Sydney.

It is a nice place to raise a family.
thanks

I''l post more tonight, as I am about to head off to work.

Re our water- currently, our 3 dams are around 11% and falling. Council have recently tapped a few new bores to supplement the water supply. For those of us living here, it is normal, we aren't panicking. All new houses must have rainwater tanks- we have just built in Highfields and have not used the town supply since we have been here- one 5,000 gallon tank is keeping us more than supplied, esp lately since we have had some rain. We have been on water restrictions for many years. Seems that everyone outside of Toowoomba is panicking for us! Unfortunately, the city is growing with lots of new developments in surrounding areas, but the infra structure has not kept pace. I believe Crows Nest Shire has experienced the largest growth of any of late (not sure if that is in Qld, or Aust). Toowoomba supplies water to most of the surrounding shires, most of which are undergoing huge growth.
We bought our 2,500sq m block last April for $125K, the one next door sold a few months ago for $189K- gotta love that! All the houses in our street are worth $5-650K (Highfields is 7km to the north of Toowoomba- mostly new houses, large blocks and very peaceful)

You can still buy the odd sub $200K renovator around the town, and quite easily buy a brick IP for less than $300K in some areas. It is difficult to say not to buy in a particular suburb, as there are good and bad in some suburbs. We just sold our PPOR in town- 2 blocks from a shopping centre, Drs, schools etc. 2 storey timber house, 4br, workshop etc on 693 sq m for $230K. We have a few $1m+ homes too.

Personally, I would not buy in a street named after wine- very low socio economic area, near a gully that often makes the papers for crime, etc.
Lots of houses near to the CBD, they are the older style Qld'ers. lovely homes and is the place for 'yuppies'- Hume St, Mary St, Herries and around that area near Queens Park.
Our streets are extremely long, so again, can't say buy in Hume st- some parts are great.

We love the lifestyle here and with new mines going up all around the Surat basin and closer, it is offering employment opportunities. Also a popular place for people from out west to retire to. We are well serviced with some excellent private schools, and of course the Uni, which won Worlds best International University a couple of years ago. 1 1/2 hours to Brisvegas if we need a dose of culture!
Lots of regional shopping centres around the suburbs, however, public transport is not good at all here. Nothing after 6pm at all.
The local council website is www.toowoomba.qld.gov.au .

I'll post more detailed info on the suburbs tonight, for what it's worth!
have a great day,
Susan

Susan

Hi Raddles,,
the Range crossing has been promised for at least 15 years- raises it's head every election!!However, now that they have started drilling the tunnel, it may eventually come to reality. It is supposed to be done by 2012 I believe, but they don't have enough funding yet, only partial finding has been promised!

Agree totally about the train, but apparently it is because of the hill- would need 2 engines (can't see a problem there!). Had this exact conversation with a colleague a couple of days ago and whenever it is mooted, it is said that it will only come to Withcott, then buses would take people up into town! There are buses at least every hour to and from Brissy.
We came here 25 years ago, for me to do a one year course!!
Wouldn't live anywhere else!
Susan

Raddles said:

I don't want to put you off - but there is an oversupply of rentals in Toowoomba and having just had to drop rental to get one of my properties rented, just want people to consider that the vacancy rates and timeframes for vacant properties are likely to be higher.

Click to expand...

Raddles,thanks for that i'm just wondering what is the student accom like in Toowoomba,i looked at a property up there the other night about1 klm from the cbd not far from the top the range, big block massive old fed-style house in very run down shape, the agent told me the property was rented for $220 per week, but had been vacant for 9 weeks and the vendor wants a quick settlement,normal story,but from what i saw the other night there is a lot of for sale signs up youy way..willair..

Hi there
if you are looking at student accommodation I would look closer to USQ which is in Darling Heights - there is student accommodation on campus and we have one friend who has a number of properties in that area that he rents to students - I also have a friend who is an agent who did confirm that rentals were better over that side of town.

There is a TAFE on Bridge St, East Toowoomba - but couldn't tell you if there is a big demand for accommodation as a result - there are a lot of units in the immediate vicinity to the TAFE so I would expect that is where the students are renting properties.

I must admit I am not looking to purchase any more properties in Toowoomba at the moment and my most recent purchase was at the Sunshine Coast, Buderim to be exact. I am also interested in looking at purchasing around Penrith, Sydney but am biding my time.
thanks

Darling Heights has been mentioned.. but what about Kearneys Spring?

I have also been looking at some places that accommodate mainly for students, but have been a bit worried about the vacancy rates during summer break...

Raddles and Susan, thanks for all the insight on the area. Very much appreciated.

Hi there
Kearney Springs is proximate to the area of Darling Heights - and University of Southern Queensland has a summer program - where students can actually start their courses early and get a jump on those who start their programs in February/March - I would think vacancy rates are less of an issue but the peak period for getting rentals would definately be January.

this is from one of the newsletters I receive:
TOOWOOMBA MARKET NEWS
The HTW property valuers review (Sept07) states Toowoomba is generally showing positive growth & firm sales
volumes with buyers paying premium prices for location.
Investor activity in lower priced property is also starting to improve. Demand for Rural residential
property is still strong. Sales volumes in East Toowoomba are steady with an average timber home on
850m2 selling within a range of $275,000 to $500,000 (Av $375,000).
In the suburb of Harlaxton investor activity is high with buyers looking for smaller rental property
within close proximity to the CBD. An average timber dwelling on a 670m2 lot is selling within a range
of $175,000 to $250,000 (Av $220,000).
Glenvale in the west is showing stable sales volumes in the older areas but volumes are
unsteady in the new estates with a surplus of new dwellings listed for sale and under
construction. A typical circa 1990 brick home on 640m2 is being sold within a range of $275,000
to $350,000.

thanks

Back again, looks like there is plenty of great information here today. We had an IP here for 15 years, had 2 lots of tenants and sold it last year to the current tenants, so we were fortunate.

I was looking last week at a unit right across the road from the Uni- 2 ensuited bedrooms, both had separate keyed locks. Fully furnished, downstairs unit in a block of 16. Was sold in March 2005 for $275K to an interstate buyer (I confirmed this independently). Mortagee sale for $158K! Rented for $125/room or $250/week for the lot. Less than 3 years old, right beside a small shopping centre. Is also let out over the holidays for short term- no less than 6 weeks at a time. Management fees were 9.9% on lettings of 6 months and over, nil on the short term ones, plus $3.30/month stationary fee. One REA had it for sale as apparently the management REA was not allowed to sell it. I rang for figures to managing agent, they said they no longer had them! Managing agent also has 2 in the same block for sale for around $170K. http://www.realestate.com.au/cgi-bi...0&p=10&s=qld&t=res&tm=Sun++7-Oct+11+-+11:30am I drove out there- they looked like a nice set of units. More are being built beside them. Been on the market for about a month the REA told me.

Because of the large numbers of international students, it is not uncommon to have keyed bedrooms- they have a desk etc in them as well, and everyone shares the kitchen, laundry etc. Also many of these students only go home to their countries once a year, some not even then- they stay and travel around a bit, or do 3rd semester courses.

I was speaking to a student last week- she told me that there is usually a waiting list usually for student accommodation close to the uni.
You could call student services at the Uni to suss that out (I had planned to do that)

The Uni also has a summer school, where people from all over come to do specialist courses such as art etc. Not sure how they are accommodated tho.
Hope that helps,
Susan

Wow!!

According to the latest Your investment Property magazine, Toowoomba house prices have increased by 23.6% in the past 12 months, with an average annual growth of 11.4%!!
Susan

Hi there
to anyone who may of been considering student accommodation in Toowoomba - we have just heard that 130 positions at the UNI will be axed and a number of degree courses.
It apparently has to do with the Uni losing their regional status which means foreign students don't get as many points by attending the Uni. The course fees have had to increase which means many of the students who would ordinarily have come to Toowoomba are going elsewhere.
This is obviously going to impact upon the community - in particular the rental market - so please do your due diligence if you are thinking of investing up here.
thanks

Bump Toowoomba Thread

I am "bumping " this thread in order to make a few comments about Toowoomba. Not about student accomm.Just normal resi; in the lower to median price area.

1. I think vacancy rate is between 2 and 3% in T so if your property is clean and the rental price is ok, there should be no problem renting it out.

2. I have had rental property in Toowoomba for the last 12 years and have never had a vacancy longer than 2 weeks.

3. Typical average gross rental returns in T are about 5.5% ; which is a bit better than a lot of cities/towns now.

4. Rents are rising but in a more modest fashion than some places.
e.g. I rented out a 3 bedroom big pre ww2 chamfer soon after I bought it in March 06. The rent then was $220 per week. I have since increased it by $5 per week on a yearly basis. So now I get $230 per week gross for the place. This is for a place that cost me $205 k to buy in March 06. 5.43% on the current value. 5.83% on the purchase price ; gross.
I believe this is reasonable rental return by current standards.

Capital gain on this same place is yet untested as I haven't sold it, but my local research tells me that it is now worth $220k. In 18 months.

Factors affecting capital gain in Toowoomba in 08 and 09.

1. It WILL rain again and when it does rain properly , the dams will fill and everyone will have a spring in their step once again. Already we have had useful falls. This will be a huge boost by itself to confidence around the town.

2. Uni cutbacks will have an effect, especially for south western suburbs. But this will be pretty short term. After all there are 100,000 people living in Toowoomba and they are not all dependant on the uni. We are no longer a single industry town like we were years ago.

3. I think there is the start of a general expectation in T that price may start to move up again, after a flat period since 05. And as we all seem to agree on, a lot of the impetus for increased prices comes the expectation of same. Look at Brisbane right now. And things like this ARE contagious.

4. Also Toowoomba is at the convergence of highways and there is a huge freight transit centre being built at Charlton, 10 minutes west in readiness for Everald Comptons new railway line and also in conjunction with the second range crossing.
Note that these 2 items are years away yet. Definitely buy and hold strategists only here.

5. Let's think about Toowoomba's proximity to Brisvegas, and what is happening to prices there.
Brisbane and Ipswich and even Gatton and Laidley prices are moving. Now there is a 4 lane highway ALL the way to Brisbane from Toowoomba, it only takes One and a half hours to get to CBD Brisbane.(if Bris traffic is co-operative)

I also heard last week there is a giant sized jail going in near Gatton (30 minutes away between T and Brisbane. Apparently it will need 1800 workers just to run the place, so I am guessing they will mostly have families. Gatton has about 8,000 people in it as we speak. Sorry I have no reference for this info but someone may have heard and could confirm....

But the biggest factor in looking at future capital gains will be the current affordibility I think.

Median Prices Houses
reference -The Chronicle Property Week Dec 8th 07.(Local paper APN )

Toowoomba $255,000

Brisbane $405,000

Mackay $380,000

Cairns $335,000

Townsville $330,000

Surely this factor alone will soon mean that more investors come to town. Eventually that means the price will go up to be closer to other comparable locations.

My comments are limited to stand alone houses 3 br or more on 600 or larger blocks, and in the price range between 200 and 270k.
(Sub 200k places are now a dying breed.)

I would like to get other views on these declarations, especially negative thoughts from people who know the town.

Anyone?
Giddo - resident of Toowoomba -19 years

Hi Giddo,
the info about the goal is correct, in fact, there are people buying in Gatton already in preparation. There are currently 4 subdivisions happening down there. There is also the fact that the UQ at Gatton is transferring the vet school down there, so more 'locals'. I've just been looking at land there, and it is as expensive as Toowoomba! Lots of areas not sewered too, so adds to the cost base.
Lately, I have come across a lot of people who commute from Gatton each day, as they live in acreage down there (just over half an hour)

There are more subdivisions planned for close to town (Toowoomba) in the near future.
I have a friend who is looking for a rental atm, and having problems finding a suitable one- she's not that fussy, just needs a yard for her child, not beside a main road and near transport, pref near the Uni as well.
Loving it here!
Susan

Thanks Ozsunrise,

I wasn't certain about Gatton and the jail.

Re Toowoomba itself, I can't see how house prices can fail to rise now with the median price so low in comparison to other centres.

There was a media article about Toowoomba being one of the most affordable places in the state just recently.

If Bris median price is over $410,000 and Toowooba median is $257,000, Ithink there is quite a bit a bit of potential for a rise in Toowoomba.
I am not suggesting T median should be the same as Bris ; but a 25% rise for example would see T still a long way short of a lot of comparable places.

Hi
Anyone have anything new on Toowoomba? Prices appear to have not moved much or maybe even gone backwards a bit from this time last year?

Cheers
Stella