300K in Melbourne, what to do

[vanoontour]

Morning All,

I'm a first time investor and can look at around a 300K purchase. There are so many options and it's doing my head in. I see my options are an apartment in the CBD or a house in the burbs, probably western burbs for this money. There are off the plan/ house+land packages that meet this budget within new estates and there are also existing properties needing a slight reno.

If you were looking to start from scratch what would you be looking at? Any ideas what suburbs to start looking in.

I've currently been looking in the Wyndham Area (Wyndham Vale, Manor Lakes, Werribee etc).

Thanks in advance

 

[Deltaberry]

Most of the options you mention seem to be supply > demand

 

[dbun]

Be careful with these new developments as they are often in areas of mass supply.

Have a look in some rural towns that are picking up.

 

[vanoontour]

Like Bendigo and Ballarat?

Cheers

 

[Redwood]

Be wary of inner city apt for that $$ you could only get a 1br, which may be difficult to finance.

As mentioned already, in the 'growth corridor, in the west its caroline springs and werribee areas and in outer east is Clyde, Cranbourne etc which have a huge supply of H&L same as Doreen and Mernda.

I'd suggest south east, look at Noble Park, Dandenong area, which has plenty of opportunties within a reasonable distance to the city and with a huge $2.5 billion railway upgrade on the Dandenong line. Like always, deep breath, due diligence prevails....

Cheers, Ivan

 

[Aelfric]

Morning All,
I've currently been looking in the Wyndham Area (Wyndham Vale, Manor Lakes, Werribee etc).

I am just a first home buyer so I lack experience but I am in the same boat as you. I've just signed a land contract in Truganina, but seriously considering to pull out (cooling off period until Wednesday).

I've done a lot of research in the area and there have been major bank valuation issues, especially with a couple of estates neighbouring Williams Landing (southern side of Truganina). The estate I am looking at is located closer to the upcoming Tarneit Station (northern side of Truganina), but even by looking at the masterplan, I can tell there will be more lands to be released.

I was told by a solicitor who manages settlements in the area that the developers have increased the land prices since Williams Landing Station was opened, but at the same time new lands are continuously being released, hence the bank valuation issues.

I personally see it as a growth corridor considering the distance to CBD (21km) and upcoming infrastructure upgrades, but the high supply will put downward pressures on capital gain and rent for the next 2-3 years at least. North of Truganina is literally still empty land.

 

[Mark@Infolio]

Be wary of the new estate if your looking for growth. There are simply too many new estates opening up that there will be little to no growth for the first 1-5 years in many of those areas. They seem attractive as you get a new house as part of your portfolio but you would typically be better off in a more established suburb buying a property that you could potentially add value to with a renovation, even if you don't renovate straight away.

 

[Aelfric]

They seem attractive as you get a new house as part of your portfolio but you would typically be better off in a more established suburb buying a property that you could potentially add value to with a renovation, even if you don't renovate straight away.

As my position is the same as OP, I'm sure s/he wouldn't mind me asking this. Would you have any recommended suburbs for the same price range ($300,000)?

I am considering 2BR apartment or townhouse in a suburb with better infrastructure (train line), since vacancy is much lower.

 

[vanoontour]

As my position is the same as OP, I'm sure s/he wouldn't mind me asking this. Would you have any recommended suburbs for the same price range ($300,000)?

No problems asking at all. I also asked for suburbs in my initial post and a few recommendations have popped up.

Thanks for the info already tho, its appreciated.