Glenroy or Broadmeadows - Now or Wait?

[x452]

Hi Guys,

I've been looking at 3 & 2 BR Units in Glenroy or Broady (for an IP) for a couple of months now. I have closed in on a couple of properties to the point where I could make offers that would likely get accepted. Two properties I'm currently considering are:

Glenroy 3BR Unit - $370K (15 years old, excellent condition), rentable at $350-$400 p/m
Broadmeadows 2BR Townhouse - $300K (5 years old), rented at $310 p/m

Given the "bursting of the bubble", clearance rates dropping, market slowdown, price corrections, interest rate rises etc that are or will be happening in the near future.

Is now a good time to buy?

I don't want to buy today and find prices have dropped $50K-$100K in the next year or two.

If I wait won't there be more intense competition for lower priced good properties?

 

[andrew_de_a]

youre not going to get 350 -400 per week for the glenroy unit

 

[Monopoly]

youre not going to get 350 -400 per week for the glenroy unit

Why not? The median unit rental for Glenroy is about that.

 

[x452]

youre not going to get 350 -400 per week for the glenroy unit

One of the newish 2 BR units I saw in Glenroy is currently rented at $1432 pcm.

Both Glenroy properties are walking distance to shops and public transport (zone 1).

 

[Monopoly]

One of the newish 2 BR units I saw in Glenroy is currently rented at $1432 pcm.

Both Glenroy properties are walking distance to shops and public transport (zone 1).

Glenroy (and I guess Broadmeadows too; though I still don't think much of it, I am warming to it more these days) has IMO good potential. I remember going to several OFIs with my son for 3BR units early last year when they were priced in the high 200's. Damn, should have pushed the boy a bit harder!!!

 

[x452]

Glenroy (and I guess Broadmeadows too; though I still don't think much of it, I am warming to it more these days) has IMO good potential.

If you look at Glenroy's more inner city neighbours, Oak Park and Pascoe Vale, newish 2-3BR units/townhouses are going for low-mid 400's! eg: http://www.domain.com.au/Property/For-Sale/Apartment/VIC/Pascoe-Vale/?adid=2008647392

I remember going to several OFIs with my son for 3BR units early last year when they were priced in the high 200's. Damn, should have pushed the boy a bit harder!!!

Yes but what if they've now peaked in the high 300's and low 400's and reverse over the next few months/years back to low 300's or high 200's!

Anyone got a crystal ball?

 

[Monopoly]

Yes but what if they've now peaked in the high 300's and low 400's and reverse over the next few months/years back to high 200's or low 300's!

Anyone got a crystal ball?

Sorry the crystal is in the repair shop atm

But it doesn't take one to know they won't drop back that far. Not saying they won't come down any, but that's a mighty fall don't you think???

 

[x452]

But it doesn't take one to know they won't drop back that far. Not saying they won't come down any, but that's a mighty fall don't you think???

I would think so.

 

[keneth]

id want over a 5 percent gross yield if i bought in those areas. Id rather a 4 percent yield around st kilda east or glen iris.

Prices only have to stay the same for
them to drop in real terms.

 

[x452]

My bank was kind enough to give me Australian Property Monitors (APM) valuations on the two properties, the results were:

Glenroy 3BR @ $370K, Valuation = $295K-$340K
Broady 2BR @ $300K, Valuation = $280K-$325K

So APM is telling be the Glenroy property is overpriced ... is that how I should read it?

Or is it based on median prices which doesn't mean a great deal?

 

[Monopoly]

My bank was kind enough to give me Australian Property Monitors (APM) valuations on the two properties, the results were:

Glenroy 3BR @ $370K, Valuation = $295K-$340K
Broady 2BR @ $300K, Valuation = $280K-$325K

So APM is telling be the Glenroy property is overpriced ... is that how I should read it?

Or is it based on median prices which doesn't mean a great deal?

Not necessarily an indication that the properties are overpriced, remember banks always tend to be very conservative in their valuations.

 

[macdub]

Hi all,
just wondering what people think of braodmeadows over the next few years..we bought our first IP off the plan from buyers agent and I confess that I didnt do my homework properly..didnt even know about somersoft, such a valuable platform..ended up paying bit more that we should have i think..anyways, we are looking for long term so would be keen to know waht others think about broady in long term..
thanks

 

[fernfurn]

Oak Park has always been the classier suburb out that way. Approx 10 years ago Pascoe Vale came surpassed OP in perception as the nicer place to live and prices have rocketed accordingly. Glenroy is strange as it used to rocket up, then crash down, but still always way higher up the scale than Broady. Last 6-7 years migrants have realised Broady has huge blocks close to the city (12 ks) and been buying up at a rate of knots and pulling down the old commission houses and building new townhouses. Absolute blanket building and prices have shot up (relatively). I would imagine broady will continue to go up as all the moslems love it. They are on the council and stopped them serving ham sandwiches at any function. No relativaty to anything, I just think its funny!