Buyers Markets or ......
- Thread starter redwing
- Start date
So, lowest of all time rates and houses that can't be sold;
what are we all waiting for!!!
CHARGE!!!
Seriously though; why are these houses not selling, given the above?
Is anyone looking at the NT?
I'd love to be heading up there today; cheque book in pocket, escape this Melb rain and cold for a week or two, come back loaded up to the teeth with some IP's.
what are we all waiting for!!!
CHARGE!!!
Seriously though; why are these houses not selling, given the above?
Is anyone looking at the NT?
I'd love to be heading up there today; cheque book in pocket, escape this Melb rain and cold for a week or two, come back loaded up to the teeth with some IP's.
So, lowest of all time rates and houses that can't be sold;
what are we all waiting for!!!
CHARGE!!!
Seriously though; why are these houses not selling, given the above?
Is anyone looking at the NT?
I'd love to be heading up there today; cheque book in pocket, escape this Melb rain and cold for a week or two, come back loaded up to the teeth with some IP's.
Where would you look in NT?
Darwin would probably be the only place worth considering
Only problem is that houses start at about 500k
With yields around 5%
High expenses
Low population (125 000)
Already boomed
Positives are that there isn't much housing there
Pretty risky I would think though
Townsville, cairns might be safer options
let's keep the Pilbara 'plunge' in perspective. I recall in 1990 a typical 4x2 was about $45k? In 2006 you could do a 4x2 h&l package for $300k. The yield on those h&l's went to approx. 35% at the peak but has always been at least 10% on market value. In 2009 I did a 3x2 h&l package for $550k. By around 2011 your typical 4x2 was $900k-1.1m.
Prices have since plunged - or more correctly, eased - from $1m back to around $700-750k.
Prices have since plunged - or more correctly, eased - from $1m back to around $700-750k.
wow just flicked thru the Karratha listings, there is some seriously good buying on there. think it's time to have a serious look at that lot. I feel sorry for these people...
http://www.realestate.com.au/property-residential+land-wa-baynton-201130059
no one in their right mind would build when houses are so far below replacement. I would value this land at around $50k.
Edit: I wouldn't pay $50k even, the land in fact has no value. My logic being that the cost of the building alone for this property would be close to $500k...
http://www.realestate.com.au/property-house-wa-baynton-119685303
http://www.realestate.com.au/property-residential+land-wa-baynton-201130059
no one in their right mind would build when houses are so far below replacement. I would value this land at around $50k.
Edit: I wouldn't pay $50k even, the land in fact has no value. My logic being that the cost of the building alone for this property would be close to $500k...
http://www.realestate.com.au/property-house-wa-baynton-119685303
Darwin has expensive properties from memory. Almost as much as Melbourne.
cost of construction no doubt. Same as Karratha, the cyclonic engineering is enormously expensive. Then govt bodies like Landcorp get their wish list out and enshrine it on new subdivisions and throw in little things like.... a 4sqm storeroom... cyclonic. And fences that are cyclonic. Garage doors that are cyclonically rated. Full concrete path around the house that extends beyond the eaves... just goes on and one
Cyclonically fencing a property can be $30-40k alone. As for all that concrete, in Karratha...!!
Just heard there is issues now. Banks not lending in certain postcodes.
that's always been the case, never heard of it for Karratha tho. Would be a big move if so and I would be surprised as the damage to their own loan book would be huge
Yep! PM sent!
Would also be quite interested in knowing where lenders are shying away from...care to make the info public rather than PMing him?
Lately? The postcode is higher risk for banks, we know why, even in good old days when the boom was in full force still an issue with many lenders
going way back I cant recall who I used, but more recently I just used NAB and ANZ no worries, they didn't perceive any high risk. NAB funded me in 2012. Bankwest would have, but after assessing my loan app and submitting endless paperwork requests, suddenly realised their policies didn't lend on vacant land (for house and land)
Nab aren't lending for Karratha.
Lending has really changed in the past few weeks.
I don't know where you'd look.
This is where the D/D comes in, no doubt.
I was just putting it out there that given the buyer's market, low rates etc; it might be the time to look there.
Definitely safer options.
Nab aren't keen, but CBA still will @ 90% for investment. At least they were recently, and they haven't advertised otherwise.
The problem I see for Hedland (and probably Karratha although I don't know Karratha as well), is that no matter how cheap the houses are and how low the rates are, there is so much new building going on and supply coming in and the place already has a 25% (unofficial) vacancy rate (as told to me by a local REA.)
However, for the right house it's probably a good time to buy - especially a modern house around pretty pool area.
