Im thinking of buying an IP in Gippsland as I was originally from the area. My thoughts are on Traralgon for various reasons, but I just wanted to hear what everyone else thought about Gippsland?
I'd love to hear from everyone
I lived in the area from 1987-1999 and saw Traralgon grow from a somewhat seedy town to the economic centre of the Latrobe Valley in that time. Even invested in property at the ripe old age of 22! (Out of it now...)
If I was to look in Gippsland again, I would stick to Drouin/Warragul (train makes Melbourne reachable), Traralgon (economic centre of the region) or Sale (no specific reason, except that it's "big enough"!)
I can remember back in the early 90's when you could buy a house in Morwell for about $35,000. Well, now you're looking at about $85,000! Not spectacular growth!! The privatisation of the SEC killed Morwell and to a lesser extent Moe, in my opinion.
But it depends on what you're looking for. If you want cashflow, you could look at the smaller towns like Yallourn North, Heyfield, etc, maybe Churchill (especially student accommodation) but IMHO the 3 mentioned earlier is where any growth will be.
Remember that Morewell, Moe, Churchill are towns that are highly reliant on the big coal mines and powerstations.
If any of them close it will lead to massive job losses (probably 500 direct and thousands indirect since those 500 jobs pay good money). Even if they get replaced by gas powerstations on the same site the number of jobs drops dramatically.
Those towns right near the powerstations are single industry towns. Same as buying qld or wa mining towns in my opinion.
I agree that Sale is great ,Warragul & Drouin(although very hilly) are also good places. I will do some extra research on those areas too and hopefully find something to my liking
Thanks for your advice
Also, thanks Neophyte I too would never buy in Moe & Morwell simply because I believe they aren't showing much growth.
check out my property in Churchill. If you're interested to buy, pls message me. I just renovated it.
Selling price $165,000.
You can rent it out for $190 - 200 per week.
I put up ads late last year and received 5 interested tenants (all are from Monash uni - either students or staff), but I had to reject them because I was doing renovation.
Don't worry about the power industry, Churchill property is mainly rented to students, teachers and staff of Monash uni, and nearby schools. IN the 7 years holding this property I never rented or came across anyone working in the power industry.
Also Churchill has a new Woolworths, KFC and shopping centre right next to the old shopping precinct. And it is just about 10 minutes drive to Morwell's Mid Valley shopping centre.