Brissy beachside property (south and north), bad time to buy

[dynamite]

I did a lot of home work 2 years ago. I just could not believe how under valued the beachside properties were in Brissy (mainly northern). Whilst a lot of focus was on the 10km radius, I knew the northern bays would have their day. Most people I talked to at the time didnt even know where Sandgate/Brighton is (I bet they do now)Some people don't like living in the city, a lot of people like fresh air and the ocean. Obviouslly a lot of people like the city to, but maybe your seeing peoples upper levels of liking now for that market. It also was apparent that whilst the sunny was having huge growth, I couldnt get what I wanted for the price (I wish I had of anyway). Northern bays were a good compromise for commute time/lifestyle. There is no doubt the lifestyle on the sunny is unbelievably fantastic. However the commute time in the northern bays of brissy is only 35 minutes (to the city). The beaches in the northern bays are not surf, they are not golden sand, but they are a good clean environment for raising family whilst having the ability to commute to the city with relative comfort.
I believe northern baysides have a lot of room left yet, its like any major city, bayside, waterfront, beachside, river side or what ever, the land is rare, once the supply is taken, the demand follows.

My system is probably way to simple, but I dont care, it works for me. I buy as close as I can to the water, reno and hold/sell.

I hope my lack of investment strategy doesnt come across as uneducated in the art of property investment.

 

[Aceyducey]

By Dynamite:
My system is probably way to simple, but I dont care, it works for me. I buy as close as I can to the water, reno and hold/sell.

I hope my lack of investment strategy doesnt come across as uneducated in the art of property investment.

Dynamite,

So long as you know what you are doing & it works for you, it doesn't matter what others think

And simple system are often the best, easy to follow & easy to fix.

Cheers,

Aceyducey

 

[wayneh]

Dynamite,

Knowing the Shorncliffe, Sandgate and Brighton areas well.

With 250 to 350 k to invest their are a couple comeing and going very quickly between the water and east of Beaconsfield tce.

I have missed out on 4 in 12 days that have gone below 300 and been sold the same day.

Brighton west of Beaconsfield has gone from an average of 170 to 210 to 210 to 280 in less than 3 months and will keep going.

So buy now or wait till another 6 months and be paying another 50k.
Deagon is abetter buy for quick CG they are still be undervalued in the area in general.

So buy quick Cause at those prices they soon will be gooone.

As for seling in the area wait for 5 years and well be seeing 400 to 500k in brighton. Thats my gestimate!

wayneh

 

[RetiredBy50]

I am thinking of buying an IP in Brighton, Deagon, Lota area.
Does anyone know the vacancy rate and also the rental return.

Which area is the best buy ?

Thanks

 

[wayneh]

RetiretedBy50

2 bedroom post wars start from 190 to 260 per wk
3 Bedroom post wars 220 to 280 per week
Waterfront approx 320 per week Tops

wayneh

 

[RetiredBy50]

Thanks wayneh

Do you have any favourite suburb among Brighton, Deagon and Lota ?

Thanks

 

[wayneh]

Retiredby50

Deagon is still undervalued in general.
However Brighton has watrerfront and is also on a ridge ie some view in some streets and breezes.

I dont know Lota as that is bayside souht of the city near Manly

 

[RetiredBy50]

Thanks wayneh

 

[RetiredBy50]

I rang and asked an real estate agent in Brighton how many houses are available for rent. The agen said about 7 or 8. Does it mean that the vacancy rate in Brighton is not that low ?

Can someone answer it please ?

Thanks

 

[Aceyducey]

Retiredby50,

I can't speak specifically about the area, but can talk about working out vacancy rates...

if the agent has 7 or 8 properties vacant, and an average agent has several hundred properties on their rental list, this figure would indicate a fairly low vacancy rate.

Do you know how large that agent's rental list was?

Why not call 3-4 agents, speak to the property managers and ask them:

How many properties on your rental list?
How many are currently vacant?

That will give you a clear idea.

Cheers,

Aceyducey

 

[RetiredBy50]

Thanks Aceyducey.

I will ring a few more agents.

 

[Kevin Hockey]

You will probably find the Pro's at Sandgate have a very large rent roll and most of the others won't. The Pro's have bought 2-3 other agencies in the area over recent years and become the dominant agent in the area. I might add that doesn't necessarily mean I am abdicating them as the best.

Kev

www.nundahrealestate.com.au

 

[Grego]

RB 50
There is a retirement village on Board Street Deagon to be devloped. Cash flow positive after expenses.
Its one of these Govt controlled rental returns for low income retirees who haven't got anywhere else to live
You buy 2 lots on the same title, each lot about 36sq metres
Total cost about $198K
Was going to buy 1 myself, but had problems with lenders 'cause i am self employed and its a new concept which the banks obviously have problems getting their thick heads around
Tennants not likely to trash the place & usually stay until they die or go loopy. May be difficult to get tennants in the first place though.
Regards
Greg

 

[ChrisOs]

GregO
I looked into buying a couple of one bedroom retirement units in Morayfield over a year ago. They were asking about $179K for the pair (about $188K all up). Based on your numbers ($198K) and assuming a similar complex, there has been minimal capital growth, but rents are supposed to be indexed to the pension (not sure if that is a good thing or not) and result in a positive cash flow.

Not sure how well they are selling, but initially, I was told I had to buy two as a pair, but as I showed less interest, they said buying just one was an option.

At the end of the day, it all seemed like a slightly lower key, but still hard sell - the type that has given Gold Coast operators a bad name. They were lining up the solicitor, the bank etc, who would all no doubt be getting their cut.

I decided against it and bought a two bedroom town house near the coast and should be realising nice capital growth and am only marginally negatively geared at the moment.

ChrisOs.

 

[XBenX]

destiny (mlomas) usually flog this style of thing in their +ve cashflow register

 

[Peter Noake]

Heard a rumour that Packer or someone else with big $$ was looking at land on the northern end of Deception Bay near the Fisheries Dept (Beach Rd / Joseph Cres area) for a large canal / marina development. It sure would be a great thing for the area! The canal development and the waterfront at Scarborough and Redcliffe are very nice. Deception Bay in 5-10 years might just get the same treatment.

Sure makes the cheap real estate there look attractive if decent development is going to go ahead in old Depression Bay.

 

[dynamite]

I have heard the rumour about a canal, but wasnt aware where it started. But I am treating it as a rumour until it happens, mainly because I cant see the logic in it.

Who knows, DBay has some good qualities, anything is possible.