Developing At The Anchorage Estate, Rockingham

Hello

I currently live in Rockingham and my inlaws live in the Anchorage estate.

I am myself building in the Anchorage. Land 585sqm resale, land /house total 317k including everything ( buying costs, interest, rates etc). If valuations come in around 360k then just by signing up (Nov 2004) i've earned 43k.

From time of the slab being layed to current ( Walls, roof frame, wiring ) has been just over 2 months. I expect it to take another 3months or so to finish. Builder said they were building in 6-8 months, not 18 months as posted above but time is yet to tell.

Stage 14 cottage block 485sqm 129k, 117k Sorry cant remember size. Couldnt get the finance i wanted so let them go 2 weeks ago.

Regards

Regrow
 
Member

Hi Regrow

Just wondering which builder you have been using & whether there is anywhere on-line that I can see a plan of the house you are building. - what is the cost of the house? I picked up 2 blocks in stage 16 on Thursday at $153,000 each 500sqm which doesn't seem too bad with the re-sale blocks currently advertised between $165,000 & $189,000. Does anyone know whether the official sale of the remaining blocks for release 16 went ahead today & if so how it went?

sparky
 
hey sparky I am just wondering who you bought the blocks through? the agent here said the release would be next Saturday now. it is odd that they are off releasing price lists in Singapore and marketing over east before putting them to the local market. i would have thought a higher proportion of owner occupiers would be preferable
 
Member

Hi Ausprop

I had expressions of interest in with a property investment group & they got their allocations on Friday. I am wondering if Saturday might have been when Australand may have sorted out their own expressions of interest & perhaps next Saturday will be the sale of release 17 as only release 16 was available last week.

sparky
 
Dear All,

1. From what I know the 4 x 2 bedroom house at 14 Brindabella Avenue was sold for $372,000 on 29th June 2005. Another 4x2 bedroom house at 48, Leichardt Loop was recently under offer for $369,000 in July 2005 though it was not clear whether the house sale has been successfully completed or not.

2. I was further told that the same house which I have built at Lot 1664, FitzGibbon Road, Rockingham, will cost me an addiitonal $45,000 more with the same builder if I were to build it again now, as compared to late 2004.

3. A check with REWIA and RealEstate.com.at house sale websites shows that most of the newly listed 4x2 bedroom houses at the Anchorage Estate are presently asking between A$369,000-$389,000 price range.

4. From these indicative recent house sale data, the current market asking prices, rising land prices and house construction building costs, I believe that the house prices in the Anchorage Estate will have further risen quite a bit again in 2005.

5. So, is it still viable to "buy-and-build" in the Anchorage Estate with the Stage 16 Land Release price list?

6. For your kind update and further discussions for mutual benefits, please.

7. Thank you.

regards,
Kenneth KOH
 
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sales

Hi

361sqm cottage block resale $120k 5 blocks down another cottage block sold for $180k ?sqm resale about 3 weeks ago.

My wife lined up to buy a block for a friend last release, as we were living 5min walk to office. She was about 10th in line by time she had got in there were only a couple of blocks left. Now unless the people in front bought multiple blocks (possible) but unlikely as there were about 40 blocks for sale. Apparently the rumour mill around the estate has it as the selling agent has been opening the doors for his mates at 6am as the area has been in great demand then opens the doors at 9 to sell whats left. (I have no proof of such dealings nor am I in any way accusing him of doing so) just what has been said amongst neighbours (rumours) but apparently there was a few very dissapointed people still waiting in line when the stage had sold out and when only a handfull of people had got through the doors.

Regards
Regrow
 
not so sure about those rumours... if Australand have been marketing them weeks before the local agent started to sell them I would guess they have sold them directly - before the stage was released through the real estate agent. why I am not entirely sure as the agents get paid virtually nothing to sell those blocks in the new estates (well say a grand or two per block - $30k to $60k is not bad money for a mornings work!!).
 
Dear All,

Does anyone know for sure the exact percentage of owner-occupiers homes vs investors' houses in the Anchorage Estate at this point in time?

I was told that the house rental at the Anchorage Estate has recently gone up by an average of A$20 per week? Any confirmation?

Thanks.

regards,
Kenneth KOH
 
Not sure of exact percentage of owner-occupiers homes vs investors' houses in the Anchorage Estate at this point in time but the total number of Navy houses is 77 blocks in the Anchorage.

Regards

Regrow
 
Dear All,

1. Latest data from REIWA shows that the annual growth for Rockingham in June 2005 is about 26.9% as compared to 29.1% in December 2004.

2. At the same time, the average growth for the last 5 years for Rockingham has further increased to 17.4%p.a as compared to 16.6%p.a as was last reported.

3. Thus, the overall annual growth for Rockingham is still very healthy at 26.9%p.a, despite a 2.2% drop in its annual growth rate in June 2005.

4. I think it is likley that this trend will continue over the next 2-3 years time frame, though some excitement arising out from the full completion of Perth-Rockingham-Perth railway line project in 2007, may temporarily upset this trend in the immediate short term.

5. Should the present growth trend continues ( i.e decrease in its annual growth rate and increase for its average past 5 years annual growth rate), it is expected that Rockingham suburb is likely to reach its optimal growth rate in 2-3 years where its annual growth rate is likely to reach the same level as that of its average annual growth rate for the last 5 years i.e the present above average growth rate for Rockingham suburb is likely to slow down to its 5 years medium term trend (and also eventually to its longer term trend less than 9%p.a, should the present annual growth rate continues to decline more and over a longer period of time).

6. Technically speaking, with still an average annual growth rate over its last 5 years, still achieving double digit growth of more than 15%p.a, I will continue to expect present strong growth for Rockingham to continue over the next 3-5 years, all other things being equal.

7. In view of the a/m, I will consider 2007 or thereabout as one good timeframe for me to start considering exiting out/diversifying some of my property investments out of the Rockingham Suburb/Anchorage Estate, all other things being equal. This is especially after the full impact on the property values in the Rockingham-Shoalwater related suburbs, arising from the Perth-Rockingham-Mandurah Railway, have been fully realised by then.

8. These are some of my own personal thoughts about the likely future capital growth in the Rockingham-Shoalwater suburbs/Anchorage Estate, in processing the new data from REIWA.

9. I wonder what do the other members' think about this matter?

10.I look forward to learning from each one of you through your contributions.

11. Thank you.


regards,
Kenneth KOH
 
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Anchorage Values

If the Anchorage Land was in the same location but North of the city you would be looking at $250-300k for land. I think until land value comes to within about 10-15% of the north then the area is still undervalued.

True value probably wont be reached until the Train line is in, and possibly the mono-rail to the Rockingham foreshore (as has been talked about). Plus some completion of the redevelopment of the foreshore.

I expect there is still value in the system for at least the next 3 years, maybe 5. Right now still undervalued with more to come.

Cumown
 
ibeginner... However said:
********************************************
Dear Ibeginner,

Where do you get the data to show that the land costs in the Anchorage Esate at Rockingham is 3 times more expensive now as in 2003? Or you mean as compared to its previous land price list in 2001 or 2002 as released by Australand?

Do you care to clarify further?

Thank you.


regards,
Kenneth KOH
Click to expand...
 
cumown said:
If the Anchorage Land was in the same location but North of the city you would be looking at $250-300k for land. I think until land value comes to within about 10-15% of the north then the area is still undervalued.

True value probably wont be reached until the Train line is in, and possibly the mono-rail to the Rockingham foreshore (as has been talked about). Plus some completion of the redevelopment of the foreshore.

I expect there is still value in the system for at least the next 3 years, maybe 5. Right now still undervalued with more to come.

Cumown
Click to expand...
**************************************************
Dear Cumown

1. While I can generally agree with you, I am wondering if you are aware that the land prices at the coastal Secret Harbour and Mandurah suburbs has already achieved the A$250-$300K land price range which you have mentioned and if so, what ar eyour own views and further take on these 2 suburbs?

2. Looking forward to learning from you again.

3. Thank you.

regards,
Kenneth KOH
 
Ausprop said:
having said that, I share KS's philosophy.... I always like to see decent owner occupier element.
Click to expand...
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Dear KS and Austprop,

If you are prepared to wait long enough for DHA to sell off its 77 rental units ucrrently under construction eventually, I am sure that you can expect the owner-occupation rate for the houses in the Anchorage Estate at Rockingham will eventuate and far exceed the usual 70% norms in a typical Perth suburb.

According to REIWA, the percentage of "self-owned" and "under-mortgaged" owner occupation rate for the Rockingham,presently stands at about 64% at this point in time.

Personally and like you, I will also like to see a much higher owner occupation rate myself for both the Anchorage Estate and for the Rockingham-Shoalwater coastal suburbs myself.

Thank you.

regards,
Kenneth KOH
 
Kennethkohsg said:
1. From what I know the 4 x 2 bedroom house at 14 Brindabella Avenue was sold for $372,000 on 29th June 2005. /QUOTE]
***************************************************

Dear All,

Beside the a/m recent completed sale, does any one of you know of other recent house sales occuring in the Anchorage Estate at about this (A$372,000) or higher price range during the last few months? If so, can you please provide me with the specific transaction data.

Thank you.



regards,
Kenneth KOH
Click to expand...
 
Kenneth,

In regards to land Values in Secret Harbour and Mandurah, Land in a similar location (distance from the beach), to the land in Anchorage is not getting 250-300k.

The anchorage estate is about 1 km from the beach in each direction, the new release blocks are more specificity 1km to the South and West Beach fronts and 2 Km to the northern beach.

In Mandurah new estates:

576 SqM Block 1 Km from the beach.

Seascapes - $135k
Madora Bay - $155-$165k
Secret Harbour - $125-135k

That same block in Anchorage would now be 170-180k, if you could even find one.

I think the coastal land around Mandurah is still cheap in real terms; this land would be $450k in QLD

BTW, I’m not sure what the concern is about a high percentage of rental properties in Anchorage, I would bet that is not the case, keep in mind you need 30% of properties to be rentals just to keep up with the average. I have driven around Anchorage and haven’t seen many if any “for rent” signs? And all the yards seem to be well kept etc. I would suggest rentals in Anchorage is probably average or below.

Cumown
 
Anchorage houses

Hi Kenneth

Thank you for posting the pics of your houses, the latest looks especially nice. Do you know what the rental incomes are going to be for each of them? We are building our two with Gemmill fixing the price at $189,000 each all inclusive for 229sq metres which is probably ok given that the land won't be settled until Jan/Feb anyhow. There is a rental guarantee of a minimum of $250 per week on each. I heard Lot 16 was sold in less than an hour & the re-sale blocks from earlier releases have been selling for around $179,000 from what I can see on realestate.com with blocks still available on there ranging from $179,000 to $185,000. I know people who bought in earlier releases are making a killing but as my blocks were $153,000 each with a $3,000 cash back each once the houses are finished I am still ahead of the game.

Does anyone have experience with Gemmill?

Sparky
 
Kenneth,

About your house that has been valued. What size land? What’s size living in house? How many bedrooms/bathrooms? etc. Also would be great if you could post pics of the inside, great frontage, different, really like it. Who did you build with?

Sparky,

How did you come across Gemmill? I am using them as well, but a very new builder (gotten to know the owner).

Cumown
 
I hope no one is sky diving around there Kenneth... that's one mean spike on top!! great looking house tho - well done. at 525sqm the block is a little larger than the latest release and I see the frontage is a healthy 17m which may give it a premium over the current releases which are more like 16-16.5m. How long did construction take out of interest?

the rents down there relative to value are pretty shocking hey?! hopefully they adjust as prices rise.
 

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