Canberra Property Question
- Thread starter tk79
- Start date
You're in luck, Canberra has allhomes.com.au, all the sales info and historical data is on line. Do some digging and it will provide the answers.
MC
MC
Sadly the days of the $350k monocrete, tocumwal, fibro box in Ainslie, O'connor etc are gone. I bought as many as I could though 
MC
MC
Giralang
It's our suburb
You can still get in here for under 350k (but not for long i reckon).
Some stats
Established in 1970's
8.9kms from Canberra City (as crow flows)
5 kms from Westfield Belconnen
5kms from Gungahlin town centre (new homes area)
Generally 750m2 plus blocks
Primary school and servo. (used to be local shops but sort of mostly closed - long story - potentially new shops will be built along with some residential medium density.
Direct bus to city (very few entry level suburbs in this category)
Direct bus to belconnen town centre
Highest 10 year capital growth rate of local region @ 12.7% pa (region = kaleen, evatt, bruce, giralang, mackellar and belconnen town centre) and about 3 highest of all belconnen suburbs (about 20 suburbs in total) (reference www.domain.com.au postcode 2617
Mostly made up of small to moderate sized 3br freestanding houses on traditional sized blocks.
Median house price now up to about 370k (canberra overall about 440k)
Price growth seems to have accelerated in the last 12 months to high single digits after period of CPI growth since or so from top of boom.
Rents approx $320 per week for small basic 3br and more for ensuite, larger house etc.
Our PPOR as eg. purchased pre boom in 99 for 115k revalued in April 2006 for 310k, due for further reval expected to be in range of $335k-$350k.
Its a small 12 square 3 br 1 bathroom (renovated) house on 780m2 block with large double garage towards rear of block.
Check it out even though i'm biased
Other suburbs have even higher long term growth rates but they are all over $450k and up (i.e. Inner North and Inner South)
Also, check out cheaper suburbs of Holt, Page, Scullin, Macgregor and yes Charnwood!
Cheers
Jase
It's our suburb
You can still get in here for under 350k (but not for long i reckon).
Some stats
Established in 1970's
8.9kms from Canberra City (as crow flows)
5 kms from Westfield Belconnen
5kms from Gungahlin town centre (new homes area)
Generally 750m2 plus blocks
Primary school and servo. (used to be local shops but sort of mostly closed - long story - potentially new shops will be built along with some residential medium density.
Direct bus to city (very few entry level suburbs in this category)
Direct bus to belconnen town centre
Highest 10 year capital growth rate of local region @ 12.7% pa (region = kaleen, evatt, bruce, giralang, mackellar and belconnen town centre) and about 3 highest of all belconnen suburbs (about 20 suburbs in total) (reference www.domain.com.au postcode 2617
Mostly made up of small to moderate sized 3br freestanding houses on traditional sized blocks.
Median house price now up to about 370k (canberra overall about 440k)
Price growth seems to have accelerated in the last 12 months to high single digits after period of CPI growth since or so from top of boom.
Rents approx $320 per week for small basic 3br and more for ensuite, larger house etc.
Our PPOR as eg. purchased pre boom in 99 for 115k revalued in April 2006 for 310k, due for further reval expected to be in range of $335k-$350k.
Its a small 12 square 3 br 1 bathroom (renovated) house on 780m2 block with large double garage towards rear of block.
Check it out even though i'm biased
Other suburbs have even higher long term growth rates but they are all over $450k and up (i.e. Inner North and Inner South)
Also, check out cheaper suburbs of Holt, Page, Scullin, Macgregor and yes Charnwood!
Cheers
Jase
I know a couple a people who have bought in queanbeyan in the last couple of years (PPORs) and I reckon they have done really well. Your money certainly does go a bit further in queanbeyan (however it is far from cheap due to exellent CG same as canberra since late 90's onwards).
A mate of mine (who is a real handy man mind you) looked for 18 months and finally bought highset large 4 br house in Queanbeyan for $260k. (about 2 years ago) Traditional sized block (older house) which was structural sound but looked awful inside re colours etc. He repainted and spruced it up only spending real money on a new kitchen. Spent about 25k all up. Reckons it should reval for $400k plus which i think is conservative and it would rent for $420 a week min due to shortage of 4 bedders over there.
Cheers
Jase
Allhomes is a great, very information rich site.
Though it doesn't do as well just across the border- a lot of information available for the ACT is not available in Queanbeyan or Jerra.
My intelligence (perhaps not completely unbiased) is the Qbn has done not too badly in recent months- with 80% of buyers coming from across the border looking for better value than available in the ACT.
My place in Queanbeyan has apparently had some quite good growth in the last year or two- much to my surprise.
Jerrabomberra has also had growth, but more recently- he suggests that I wait a month or three waiting for price rices to go on the record before getting my place in there revalued. But he suggests that prices have lagged behind, but followed, the price rises in Qbn.
He has said for a number of years that Jerra prices are a lot more cyclical than Canberra- they tend to drop in winter, and rise again in the spring and summer. Having said that, he had told me that this pattern didn't happen last year.
I've posted before about my Residex report showing strong price rises for Jerra. I believe that a big part of the growth in median prices has been due to much larger houses being built on larger and more scenic blocks.
But my source suggests that there is some good growth over and above this.
I would stay away from the very outer suburbs because alot of land is being released for new housing at the outskirts at the moment and the thousands of units being built too. I think the established suburbs near the town centres are pretty safe.
Canberra seems to have some suburbs just going crazy - if you take a look at all homes you will see some with median price growth over 50k between 2006 and 2007 in some suburbs. If you can predict the next suburb to take off you can experience great capital growth. I am proud to say it was no accident I bought in Higgins, I did expect it to be one of the next suburbs to take off but didn't expect the $70k growth in one year... and thats not counting the value increase once we have finished our renos.
I agree queanbeyan and jerra should have good prospects as more and more are forced out of canberra by the prices...
Canberra seems to have some suburbs just going crazy - if you take a look at all homes you will see some with median price growth over 50k between 2006 and 2007 in some suburbs. If you can predict the next suburb to take off you can experience great capital growth. I am proud to say it was no accident I bought in Higgins, I did expect it to be one of the next suburbs to take off but didn't expect the $70k growth in one year... and thats not counting the value increase once we have finished our renos.
I agree queanbeyan and jerra should have good prospects as more and more are forced out of canberra by the prices...
I will disagree with the "stay away from the outer suburbs" comment for a couple of reasons. A friend I mentored bought 11, yes 11, standard 3 beddy houses in Charnwood in '98 I think it was. Started buying at $99k and was whinging 6 months later that he was having to pay around $120k for the same thing. They were all returning around the 10% mark (those were the days). My guess, as I haven't asked him nor checked, is that they are all worth around the high $200k's or even low 300's now. So that's about roughly $2m cap gain. He owes me a dinner.
It's easier to get the timing right with the outer suburbs, due to the ripple effect. As I understand it the inner suburb prices are starting to climb again? If this is a sustained climb, give it 18 months and so will Charnwood's prices rise. Perhaps not as much but a fair bit.
Another point is that the govt (regardless of election results) is committed to several more thousand public servants coming to town. Always good for business If we have a change of govt (and I believe we will), a Labor govt always has bigger bureaucracies. Again good for cap growth and rental returns in Canberra.
Next point is that the new suburbs will have a higher starting point due to land costs and cost of building and the 'new' factor. This has the effect of pulling up the older suburbs nearby to due the value discrepancy that occurs. "Why should I buy new? It costs another $100k to get the same thing on a smaller block, and it's further out, and there's no trees etc etc."
This rationalising happens and renos are the result, which drags the suburb up even more. There is no fixed time frame on this occurring and there have been threads on this forum about suburb renewal before. It's just a case of keeping eyes open.
MC
It's easier to get the timing right with the outer suburbs, due to the ripple effect. As I understand it the inner suburb prices are starting to climb again? If this is a sustained climb, give it 18 months and so will Charnwood's prices rise. Perhaps not as much but a fair bit.
Another point is that the govt (regardless of election results) is committed to several more thousand public servants coming to town. Always good for business
If we have a change of govt (and I believe we will), a Labor govt always has bigger bureaucracies. Again good for cap growth and rental returns in Canberra.Next point is that the new suburbs will have a higher starting point due to land costs and cost of building and the 'new' factor. This has the effect of pulling up the older suburbs nearby to due the value discrepancy that occurs. "Why should I buy new? It costs another $100k to get the same thing on a smaller block, and it's further out, and there's no trees etc etc."
This rationalising happens and renos
are the result, which drags the suburb up even more. There is no fixed time frame on this occurring and there have been threads on this forum about suburb renewal before. It's just a case of keeping eyes open.MC
Hi Guys,
Thanks for the awesome response. I have been looking in Kaleen, Giralang and Macquarie as i believe these are excellent CG areas. However things are getting snapped up unbeliavably quickly . I think 90% of houses advertised in these locations on allhomes are all under offer (which usually means the deal is done and dusted). As a result i have also been looking at the cheaper western corridor of Holt, Scullin, Latham etc.
I might start looking at Queanbeyan too, I have faith in Qbn because Brindabella Business Park (near the airport) is growing bigger and bigger. Defence is going to have a big presence in Qbn. I've also heard that Googong next to Qbn is going to become a massive residential area in the next 10-15 yrs. The only downside to Qbn is that i wont be able to claim stamp duty back on tax. Apparently i can only claim stamp duty back on tax in the ACT? can someone confirm the vailidity of this?
Thanks for the awesome response. I have been looking in Kaleen, Giralang and Macquarie as i believe these are excellent CG areas. However things are getting snapped up unbeliavably quickly
. I think 90% of houses advertised in these locations on allhomes are all under offer (which usually means the deal is done and dusted). As a result i have also been looking at the cheaper western corridor of Holt, Scullin, Latham etc.I might start looking at Queanbeyan too, I have faith in Qbn because Brindabella Business Park (near the airport) is growing bigger and bigger. Defence is going to have a big presence in Qbn. I've also heard that Googong next to Qbn is going to become a massive residential area in the next 10-15 yrs. The only downside to Qbn is that i wont be able to claim stamp duty back on tax. Apparently i can only claim stamp duty back on tax in the ACT? can someone confirm the vailidity of this?
HI there
the reason why you can claim stamp duty in the ACT because lease costs are also a deduction and with stamp duty payable on the lease - you can claim the stamp duty.
If you buy in NSW (Queanbeyan) your stamp duty will be part of your cost base for the property for CGT purposes
thanks
the reason why you can claim stamp duty in the ACT because lease costs are also a deduction and with stamp duty payable on the lease - you can claim the stamp duty.
If you buy in NSW (Queanbeyan) your stamp duty will be part of your cost base for the property for CGT purposes
thanks
I know that one local business in the Brindabella Park area has been going extremely strongly, with a huge amount of growth this year.
Googong is a nice area- but personally, I wouldn't commute from Googong to Canberra unless there's a bypass around Queanbeyan. But Queanbeyan is limited as to where it can expand I guess.
Hi Guys,
Thanks for the awesome response. I have been looking in Kaleen, Giralang and Macquarie as i believe these are excellent CG areas. However things are getting snapped up unbeliavably quickly
Re. Giralang consider looking at Auctions which seem to be coming up more and more regularly in Giralang in last several months.
I know for a fact that a couple of properties auctioned in giralang in the last few months went for less than I expected (and less then if they had of been sold via private treaty i'd say).
One e.g was 3 Alinda street, Giralang (which is only a couple of streets from our PPOR) which was sold for only $310k (typical small but neat 3br 1bath in cul-de-sac with what appeared to be good street frontage, and another was nearby on Chuculba St, Girlang (main road i know) which looked to be a larger nicer house and neat yard went for only $320k.
Also 29 Fornax st, Giralang (which we looked through for interest as near PPOR) recently sold for $340k (below advertised range of $345k-365k) which seemed quite an ok property.
I think you're spot on with these 3 suburbs particularily Holt (proximity to good shops and public transport) and Scullin. (relatively quick commute to city for cheaper suburb - once GDE roadworks finished!, and proximate to Belco TC). I also would consider Page (same reasons as Scullin) and Evatt (one suburb from Girlalang and now at substantial median discount to Giralang about $345k to $380k where they used to be almost the same).
Jase
My understanding is that there has not been enough new land, eg recently there was a release in Forde and this was all snapped up. Also the Forde land was not cheap, $185,000 for a cottage block. So by the time you had put a house on that land (and building costs are high here), it is costing you a fair bit more than an entry level established home in the surrounding areas keeping the prices of existing homes high.
I couldn't believe it- how could they put a suburb called Forde just nearby Harrison?
Agreed TC... it's nnot a great place to work. There's little in the way of amenities, it's difficult to do anything much during lunchtime- except queue up for half an hour in one of the few eateries.
But I guess the rent is cheap... the buildings appear to be all occupied, and if you want the work, there's not a lot of choice.
But I guess the rent is cheap... the buildings appear to be all occupied, and if you want the work, there's not a lot of choice.
It's made a lot of money for the Snows, and has a waiting list of tenants. So something must be 'right' with it, apart form the fact that they are the 'greenest' commercial buildings in OZ.
I'm sure it needs a subway Geoff!
MC
I'm sure it needs a subway Geoff!
MC
