Adelaide suburban equivalents

[see_change]

This is a discussion forum see_change, my comments have been in response to others in the thread.

If you aren't interested in hearing discussion from multiple points of view then maybe find yourself an echo chamber.

The original question was concerning Adelaide suburban equivalents . Not the economic prospects of Adelaide .

Read back . The first person who brings up the question of economic growth is ..... have a look in the mirror mate ..... you .

That was not the topic in hand but you chose to make it that .

If you want to have a discussion about your theories about why property investing is crap do that .

But stop coming into perfectly good worthwhile threads and then trying to turn them into something they're not designed to be .

Btw , I don't need to come here to listen to an echo chamber . I have perfectly good recording studio at home to do that . What I don't like is asking one question and having you come in with an answer unrelated to the question .

 

[ellejay]

Hi, See_Change and all:
Honestly, my IP knowledge is from this forum. I have no problem to share my IP details in Adelaide with everyone as well as the decisions behind it.

My background:
Firstly, I have 10 IPs (houses and many of them having development potential) in Sydney with heavy land tax.

So, I move to Brisbane to buy 4 houses with one in Salisbury with land area of 956 square meters. So, I don't need to pay land tax with my wife holding two and I have two.

In any major city, if the area having 5 years down time, the risk to buy in this area is much lower than the last 5 years.
Now, Adelaide property market is down for 5 years and its property yearly growth is similar to other cities. And it is (will be) free to hold (good return) on the properties with good tenants. I hate to buy into areas like Mt Druid which I have so much head with one property before. Please note that many people are successful in buying those areas with their special skills or local knowledge.

There are some limitations on my interstate buying:
I am more conservative such as requiring low maintenance.
I don't bother development potential in Adelaide as it is simple too cheap. Why bother to rebuild?
With so many properties on my holding, good rental return is the key for my Adelaide's purchase.
I always like to buy houses as well in the reasonable areas with good tenants.
I have my own management agent to inspect or give my second opinions on every decision.
And I know I will always pay a little more in the prices as I can't afford to fly there many times.

Finally, I haven't been Adelaide before. So, please discount my contribution here.

The properties I bought over there are

41 Winnerah road, Christies beach - A$282K - A$280/week. -> I would like to retire in this house within 10 minutes walking distance to the beach.
Actually, I missed one house in Hackam West of "A$225K/A$270week" while I fly there. So, I decide to buy this little blue chip house instead. There were few offers at the similar prices at that time.

22 Osmund St, Christie downs - A$225K - A$280/week. -> good return
No competition at all in open market on this house for 2 weeks.

9 Lutana Ct, Morphett Vale - A$248.5K - A$280/week
This one was't in the open market at all and I don't bother to fly over to inspect it.
However, there are some facts in the history of this property (can't remember the exact details):
1. The last owner was paying about A$75K, for around 15 years. Can you see the capital growth here?
2. The tenants lives there for something 10 years. It means the house must be good.
3. The rent was about A$160/week at 7 years ago. Rental increase is healthy too.

4 months passed after purchased them, I have no issues with all tenants. Every fee is half price, comparing to Sydney, from water rate, council fees and insurance fees.

Actually, no issues in Brisbane's ones and Sydney's ones as well.

I just feel Adelaide market is still depressed without to much competition. That is what I like the most in buying.

Only God will know when Adelaide market will move. However, within 10 years, I believe Adelaide market is much higher than today. With rental increase, it is free or will be free to hold them.

Nice post, thanks for sharing that. Retirement at the beach sounds very nice!

 

[hobo-jo]

Read back . The first person who brings up the question of economic growth is ..... have a look in the mirror mate ..... you .

Which was in relation to Adelaide's prospects for a price growth cycle which you mentioned on the first page as did the user who I quoted.

If you want to believe that house price growth can just occur despite the prevailing economic fundamentals then you are welcome to your opinion as am I that they matter.

Stop trying to dictate the terms of my posts on this discussion forum. If you think that I am breaking the rules or posting off topic then raise it with the moderators, but I think you are just being unreasonable.

 

[Erica]

interesting link for anyone researching Adelaide

http://www.dpti.sa.gov.au/__data/as...Year_Plan_for_Greater_Adelaide_compressed.pdf

I particuarly like the population and housing forecasts per region.

I am targeting the Western Suburbs of Adelaide:development potential blocks. A very simple explanation is that this side of the city is land locked by the sea on one side and the city on the other, no greenfield tracts of land to be mass released = scarcity = capital growth.

 

[ToGetProperty]

And there are definitely parts of Adelaide that are profitable to develop now but believe you need to be inside 10-20km to the city.

Completely agreed. If a house can be sold in the higher price, the development for more units will be more profitable. You are doing in Adelaide is what I was doing in Sydney.

My Christies beach house has more than 700 square meters in the corner block. I saw someone who inspected the property was measuring the land size.

 

[RetireRich101]

would the christie beach/down in SA be equivalent to wynnum, wellington point in QLD?

 

[D.T.]

would the christie beach/down in SA be equivalent to wynnum, wellington point in QLD?

I dont know that side of Bris at all to provide comparison.
Christie Downs my aunt lives in - its mostly lower working class.
Christie Beach is a rung up the ladder from that because it has the beach. There's also some 'trendy' stuff along the beach that is fairly popular in summer.

 

[ToGetProperty]

If you want to believe that house price growth can just occur despite the prevailing economic fundamentals then you are welcome to your opinion as am I that they matter

I understood hobo-jo who represents more than 95% of our whole population including my wife.

He is complete correct in many cases.

We are always seeing two groups of people who are buying houses.
Group 1:
They bought a house at A$635K on 2004 and spent up to $40K to build a large workshop in the back. They were very happy to unload the property to me at $499K at 2008 and moved on.

Obviously, Hobo-jo is 100% correct on this case. Property investment is bad and the area is bad and bad.

Group 2:
on 2010, the neighbor of my house was sold at $650k;
On 2011, another house was sold at A$750K
On 2012, One was sold at $950K
On 2013, another one was sold at A$1.2M.
On the Feb 2014, 55 Tungarra road was sold at A$1.42M.
I called the selling agent and it can be sold more today. Mostly, this is due to zoning change and 8 units can be built in the block now.

Luck plays a role on this because another side of the street has different zoning.

Obviously, See_Change is the person who belongs to the Group 2 and seeing/acting on the property investment in very different way of hobo-jo. It is buying the same house.

 

[strongy1986]

http://www.dpti.sa.gov.au/__data/as...Year_Plan_for_Greater_Adelaide_compressed.pdf

I particuarly like the population and housing forecasts per region.

I am targeting the Western Suburbs of Adelaide:development potential blocks. A very simple explanation is that this side of the city is land locked by the sea on one side and the city on the other, no greenfield tracts of land to be mass released = scarcity = capital growth.

Spot on

Don't share this info too much! If people want to invest in a house and land package in the sticks then so be it!

But it comes with a home cinema!

 

[strongy1986]

would the christie beach/down in SA be equivalent to wynnum, wellington point in QLD?

Nope

More redcliffe style

Wellington point and wynnum are very different prospects as well

 

[jim1964]

Christie Downs my aunt lives in - its mostly lower working class. .

Yep,quite a large superb which can have a large Bogan base, Just on a year we have had one in Christie Downs,just re letted to a new tenant for asking price($320 pw),within a week of last tenant vacating,lots of interest.Not exactly "on topic" but a good on the ground comment.

 

[Jaggannath]

Just to add to trendy areas...

Knowing which are the best public schools and the zoning for these schools.

I have clients who are looking to buy near Glenunga just so there young child will be able to go to the school later in life. This also happens all across the country. People will pay a premium to live be it rent or buy to get kids into specific schools.

Before I left, Grange was one of these suburbs... people paid a premium (both purchase and rent) to get their kids into the school there

 

[Jaggannath]

http://www.dpti.sa.gov.au/__data/as...Year_Plan_for_Greater_Adelaide_compressed.pdf

I particuarly like the population and housing forecasts per region.

I am targeting the Western Suburbs of Adelaide:development potential blocks. A very simple explanation is that this side of the city is land locked by the sea on one side and the city on the other, no greenfield tracts of land to be mass released = scarcity = capital growth.

Coming from Melbourne, in 2006 I bought a place in Taperoo because I couldn't believe I could get a 700sqm block within 800m of the beach for $250k. I'd be looking for more of this type of fundamental property, though that price point isn't available any more. I've been a bit disappointed with the stock on offer in my preferred suburbs lately, might have to wait a little longer and see what happens. I'm looking at Adelaide because it follows the other markets in lag, and doesn't appear to have really moved since 2011 when I left.

 

[Brady]

I tried buying something in taperoo on a 7000sqm block few years ago, my offer of $250k wasn't accepted. Think they took it off the market. Haven't really been following that area anymore. Have you had the property revalued what's it worth now? Semaphore has gone whole heap of gentrification, nearly call it a trendy suburb now. The main strip is so busy with caf?s, tapas bars etc.

 

[z611143]

Guys im currently looking in Adelaide, well anywhere just learning.

I found something i like.

I just wanted to get an understanding of what underzoning - Mid suburban area policy means?

Can someone give me a cool link or understanding of the R zoning. In WA i sort of have the numbers eg: R40 - 250 Ms ect and you need certain frontage ect

Obviously it would sort of differ for each state id assume?

 

[Brady]

Guys im currently looking in Adelaide, well anywhere just learning.

I found something i like.

I just wanted to get an understanding of what underzoning - Mid suburban area policy means?

Can someone give me a cool link or understanding of the R zoning. In WA i sort of have the numbers eg: R40 - 250 Ms ect and you need certain frontage ect

Obviously it would sort of differ for each state id assume?

Differs for each council. Google 'which council is 'sububrb' that will tell you which council the suburb is in. Then google that coucils development plan.

 

[norwoodman]

Council attitudes towards development and subdivision varies significantly between council areas, most notably amongst the inner city councils. The councils in the inner west tend to be skewed towards more development (West Torrens council allows subdivisions in some areas to as small as 270sqm), whereas the eastern councils such as Burnside and NPSP are much more stringent in their development controls.

 

[z611143]

Thoughts on this place. Out of my initial range.

http://www.realestate.com.au/property-house-sa-seaton-117566955

1323 Ms of flat land
Is going to auction but priced at 590k

Stones throw away from prestigious golf courses in The Grange but mostly 'The Royal Adelaide' rated around a top 10 golf course in Australia. Also stones throw/walking distance with ease from the Seaton Railway Station.

Is within 3km of the beach. Is 7-8 KM from the CBD and close to a main road (Tapleys Hill).

Ive tried to search the Charles Sturt District Council development plans but cant really seem to understand it. So would like some help in where I should be looking to see how many dwellings can be placed on this land.

 

[Brady]

Thoughts on this place. Out of my initial range.

http://www.realestate.com.au/property-house-sa-seaton-117566955

1323 Ms of flat land
Is going to auction but priced at 590k

Stones throw away from prestigious golf courses in The Grange but mostly 'The Royal Adelaide' rated around a top 10 golf course in Australia. Also stones throw/walking distance with ease from the Seaton Railway Station.

Is within 3km of the beach. Is 7-8 KM from the CBD and close to a main road (Tapleys Hill).

Ive tried to search the Charles Sturt District Council development plans but cant really seem to understand it. So would like some help in where I should be looking to see how many dwellings can be placed on this land.

Nice area, lots of development happening in the area. Just zoom out a little and can see it all. There is a similar sized site that has 4 townhouses on it just up and to the right.

There will likely be fair bit of competition at the auction from other developers, they won't be looking to see if this property 'as is' is fair price. They will be looking at the end value less costs, which often results in an inflated price.

Here's a recent comparable sale for you, sold for $562,500 - mind you this property is on corner of a main rd and ~100sqm smaller. http://www.realestate.com.au/property-house-sa-seaton-117362175

But best of luck if your interested in the property, huge potential.

 

[hobo-jo]

Thoughts on this place. Out of my initial range.

http://www.realestate.com.au/property-house-sa-seaton-117566955

1323 Ms of flat land
Is going to auction but priced at 590k

Stones throw away from prestigious golf courses in The Grange but mostly 'The Royal Adelaide' rated around a top 10 golf course in Australia. Also stones throw/walking distance with ease from the Seaton Railway Station.

As Brady says there is a lot of development going on in the area, but also a lot of public housing and ex-housing trust. I don't know about that particular street, but another half dozen streets on from there toward WL Boulevard I have visited many times and it's not a pretty area, Elizabeth like in it's appearance and resident type.

It's a cheap area for a reason.