Hi everyone, I'm new to this forum and have a question.
I'm considering buying an off-the-plan apartment, which are being built by a developer called Salvo. According to their website, they have been involved in several large scale development projects: http://www.fdg.net.au/PASTPROJECTS/tabid/205/Default.aspx.
The apartment block is in a very good location. It's in Victoria Street in Abbotsford (in the state of Victoria), right near to a shopping centre (Victoria Gardens, with IKEA). It is close to tram lines leading into the city, the Yarra river, and is about a 20-25 minute walk from Burnley Station.
The apartment that I'm looking at is a one bedroom apartment. It's on the 5th floor of the building, overlooking the courtyard (rather than the main street). The selling price is $365,000. A parking space is $40,000 extra, although I don't have a car and don't plan to get one. The development is not due to be completed until October 2012.
As a young professional (I'm turning 31 next month) in a stable job with a reasonable salary, I enjoy the lifestyle of having a small place that is close to the city, shops and cafes. One day I would like to settle down and have a family if I meet the right girl, which would obviously require a bigger place, but that's probably not going to happen for a few years. Of course, not being able to predict the future, my situation could change suddenly.
So, what I'm trying to figure out is whether this would be a good move for me. I have worked out that I can afford the place, but am concerned that it's overpriced, and for that reason that capital gains may be slow. Having looked at Domain.com, I've seen other 1-bedroom apartments with car-spaces in the area (including Abbotsford and Richmond), and they seem to be going for around the $300-$350K mark. Of course, my impressions could be skewed, as there are many "Price Withheld" listings.
I'm also trying to work out whether to get the parking space. I think it would make the property easier to sell if I chose to do so, and was thinking I could possibly rent it out. However, given that there's a shopping centre nearby with paid parking, I'm wondering whether there would be that many people who were interested in renting a spot (maybe other tenants).
At any rate, I would be interested to hear any advice, opinions or war stories from people in this forum.
Cheers,
- Tim
I'm considering buying an off-the-plan apartment, which are being built by a developer called Salvo. According to their website, they have been involved in several large scale development projects: http://www.fdg.net.au/PASTPROJECTS/tabid/205/Default.aspx.
The apartment block is in a very good location. It's in Victoria Street in Abbotsford (in the state of Victoria), right near to a shopping centre (Victoria Gardens, with IKEA). It is close to tram lines leading into the city, the Yarra river, and is about a 20-25 minute walk from Burnley Station.
The apartment that I'm looking at is a one bedroom apartment. It's on the 5th floor of the building, overlooking the courtyard (rather than the main street). The selling price is $365,000. A parking space is $40,000 extra, although I don't have a car and don't plan to get one. The development is not due to be completed until October 2012.
As a young professional (I'm turning 31 next month) in a stable job with a reasonable salary, I enjoy the lifestyle of having a small place that is close to the city, shops and cafes. One day I would like to settle down and have a family if I meet the right girl, which would obviously require a bigger place, but that's probably not going to happen for a few years. Of course, not being able to predict the future, my situation could change suddenly.
So, what I'm trying to figure out is whether this would be a good move for me. I have worked out that I can afford the place, but am concerned that it's overpriced, and for that reason that capital gains may be slow. Having looked at Domain.com, I've seen other 1-bedroom apartments with car-spaces in the area (including Abbotsford and Richmond), and they seem to be going for around the $300-$350K mark. Of course, my impressions could be skewed, as there are many "Price Withheld" listings.
I'm also trying to work out whether to get the parking space. I think it would make the property easier to sell if I chose to do so, and was thinking I could possibly rent it out. However, given that there's a shopping centre nearby with paid parking, I'm wondering whether there would be that many people who were interested in renting a spot (maybe other tenants).
At any rate, I would be interested to hear any advice, opinions or war stories from people in this forum.
Cheers,
- Tim