Elizabeth, North Adelaide, SA

[steveadl]

Steve, if I had some spare capital I would certainly be looking in your area but can't just yet. The new Gepps Cross Home Maker Centre will do wonders for this part of town. It's the biggest Home Maker Centre in Australia I think. They'll need people to work there will be strong rental demand in the area as you would well know.

Looks pretty massive when you drive past it! I was just expecting one or two buildings with a carpark in front.

They've also got one of the new super schools going in at Gepps Cross (behind the veledrome along Briens Rd) which I assume will have a decent appeal for young families.

 

[Suraj]

ELizabeth North/Daoren park

Hi guys.
Whats happening arround Elizabeth, Daoren Park area these day? How is market? I heard a lot of things happening arround there. Any ideas and info appreciated.
Thank u

Suraj

 

[sanjayag]

I bought in Elizabeth North last month

Hi,
I bought a property in Elizabeth North last month. It is a old but renovated property with good returns. Even I got a depreciation schedule done $4500 for the first year (diminishing value). With dep. claims in tax, it will be a CF+ property.

 

[firstmillion]

There is some amazing development and gentrification happening in the northern suburbs. I was closely watching the suburbs and now am in two minds whether to invest there or within 10 kms of the cbd?

 

[Suraj]

Hi Sanjayag could you pls gie some ideas how old is your property / I hae boughtthe 1960 property but it was already renoated when I bought it. I thought because its too old and there would be no much depreciation claim on that property, thats why I didnot make depreciation schedule and got ery little tax back last year. How much u spent for your property? I bought three bedroom 2 semis in single title each renting 200/pw at 335k. Now I am bit worried that I paid higher than real yalue. Its not recently renoated but ery good condition.

 

[Suraj]

Hi dear First Million
Could you please tell me in real whats happening arround there in north? I bought property in Daoren Park last year without seeing the place and donot know whats going on. Thank you for your info.

Suraj

 

[sanjayag]

Already renovated

Hi Sanjayag could you pls gie some ideas how old is your property / I hae boughtthe 1960 property but it was already renoated when I bought it. I thought because its too old and there would be no much depreciation claim on that property, thats why I didnot make depreciation schedule and got ery little tax back last year. How much u spent for your property? I bought three bedroom 2 semis in single title each renting 200/pw at 335k. Now I am bit worried that I paid higher than real yalue. Its not recently renoated but ery good condition.

Hi Suraj,
The property I bought is a 1972 house on a corner big block (785 sqm) with a potential to subdivide. I paid 236K. It was already renovated by the vendor in 2008. The house was already on rent $260 pw.
I'll suggest you do the dep schedule done for your pair of semis. I used "washington brown", they charge $550 but make an excellent schedule.
335K is not a bad deal if those semis are in a good condition, however if they are on a same title you could get a better deal. To make a good profit, you should separate the titles and for doing that you require almost 20K plus some of the modification costs (say 5K). With these costs, you deal is just ok, I would say.

 

[RumpledElf]

Geez ... I was living there (liz south) in 2002 and the house I was in sold for $75,000 ... in 1995 houses in Elizabeth were selling for $30,000.

 

[kum yin lau]

HI, they're 25 thousand for a LONG time, then 60 thousand.

But we do take it out of context. Today, it'd cost 20 thousand just to pour the slab.

I looked at an ex Housing Trust one in 07. 135 thousand, on 800m2, I thought that was below replacement cost even if the house needed work.

Today that would be > 200 thousand.

My PM in long ago 2003 bought 2 @ 60 thousand apiece & I said he was mad. He sold one in 04 for 145 thousand & then the other just didn't sell. No buyers.

A word of caution: if you buy for rental, then it's no problem but if you need to sell quickly, in a bad mkt, strangely, it's the rental belt suburbs [Elizabeth, Salisbury, Morphett Vale etc] that drops savagely.

Davoren Park, I'm scared of.

KY

 

[steveadl]

I looked at an ex Housing Trust one in 07. 135 thousand, on 800m2, I thought that was below replacement cost even if the house needed work.

Today that would be > 200 thousand.

Really, which suburb? That's the same time, price and land size I bought one for - well $139k, but I probably got ripped off.

South East of DP is fine KY, no need to be scare of it. The one we bought there has gone up in price and rental, though to be fair, not as much as our Eliz one - the name does still have stigma.

 

[pully]

we went to an auction a week or so ago at elizabeth park. nice street on bus route. the house was detached neat/tidy garden and had been renovated would have suited 1st home buyers or investors but there were only 3 bidders and it did not reach vendor bid of $200000, so passed in. now being advertised for $240000 by private treaty.

the agent was from other side of town, not many properties are offered for auction in the area mentioned.
properties for sale in the area are competing with so called affordable housing offered to eligible purchasers from govt websites and from newly built homes in new developments close by.

the area is a mixed bag. some nice some streets look like slums. lots of public housing some in good condition some not. some houses have been bulldozed, some next door left in original condition and some have signs indicating they are to be sold or renovated. as an investor one would need to be selective.

 

[weg]

My brother bought 3 semi's 2 X 28K and 1 x 30K roughly about 12 years ago now. All bought unseen on the same day and he lived only 45min away .

Sold 2 for 75K about 3 or so years later and kept the one with the good long term tenant till about 3 years ago when he sold for $125.

These suburbs have always been off his radar but says if you can put up with a bit of grief from tenants money can definately be made in these suburbs.

 

[RumpledElf]

But we do take it out of context. Today, it'd cost 20 thousand just to pour the slab.

Yeah, prices march up and up. I'm sure back in '95 you could build a new house for a LOT less than now. And land was way cheaper too.

Eliz was just the one area I went to look at way back when, since the area I was living in (the 4 suburbs joining at the Regency Rd/Prospect Rd intersection - lived there for a solid 10 years) was around the $100k mark, and I remember distinctly going to look at Eliz because it was so cheap and being scared away by how awful the place seemed. It was the first time I'd ever been to Elizabeth.

 

[weg]

Eliz was just the one area I went to look at way back when, since the area I was living in (the 4 suburbs joining at the Regency Rd/Prospect Rd intersection - lived there for a solid 10 years) was around the $100k mark, and I remember distinctly going to look at Eliz because it was so cheap and being scared away by how awful the place seemed. It was the first time I'd ever been to Elizabeth.

There were technically only 2 adjoining suburbs at that intersection (now all corners are Prospect) .

I lived in one of those corners prior to moving 9 years ago. We may have been neighbours.

Bought that house for 75K sold for 173k and only earlier this year sold again for 425K .

 

[RumpledElf]

I was thinking Sefton Park, Prospect, Blair Athol, Kilburn ... but Sefton Pk is a bit further across and Kilburn is a few streets up. Close enough! I really liked the area. Still have my PO box there. If I move back to Adelaide I'd go to the same spot, give or take. I like the 1920s houses in the area, but they have those here too and they are a lot cheaper here.

I had a house there for $40k, sold for $80k, probably worth $300k now ... or maybe not, it was a 1br house on 500sqm. One of those 'regrets'.

 

[sydsider]

Since this is such a popular post may I ask if there are any recommendations for good PMs in the Elizabeth area?

Thx

 

[sanjayag]

PM in elizabeth

Hi,
I'm with Supreme Estates. They are a part of Ray White.
The phone number is 08 82840055.

 

[Suraj]

Davoren park is HOT SUBURB

Hi
Your property investor magagine has choosen Davoren Park as a hot suburb for price growth in comming years. Do you believe it or not? what's your opinion.As the prices has sky rocketed already, and market is slowing down, how can it be HOT SUBURB to buy for price growth? Appreciate your comment?
Suraj

 

[arriety]

It is also a suburb plagued with being on the news alot, and has some stigma attached to it because it used to be lower socio-economic area. I do have friends who are middle income earners who live there as it is affordable. I think it will have good growth in the long run but you need to choose your tenants carefully.

 

[RumpledElf]

Davoren park was *the* worst suburb in Adelaide across a whole bunch of metrics a few years ago - and with good reason. If its not the worst anymore, which suburb is?