House on a main road service road

[Angel]

http://www.realestate.com.au/property-house-qld-albany+creek-106738350

Hi experts, can i have your suggestions please.

This house is obviously very nice. It is behind a large sound barrier on the service road for Old Northern Rd at Albany Creek, Brisbane. Dh walked past it this arvo and commented that there was no traffic noise at all, in peak hour. I reminded him that the traffic was at a standstill due to the bridge closure up ahead from the flooding.

If it is still quiet in peak hour traffic later in the week when the road is fixed, would you consider it, or just automatically exclude because of its position. A lady I work with lives just up the road and the noise does not bother her at all.

It is within a kl of the main shopping centre, primary and secondary schools, private schools, cafes and restaurants, city bus around the corner. Other 3 beds are $440,ooo+ in the same area.

Thanks

 

[Propertunity]

For a PPOR or an IP?

If an IP, when it gets advertised, how many tenants will pass over it because of the address? Can you handle a higher vacancy rate?

Does the fact that the advert has had 1,371 hits and still no sale give you any clues?

IMO you are better off paying 10% more to avoid all these and more 'issues'. Ever heard the term position, position, position in real estate?

 

[Angel]

That was quick!
Yes. thanks, I know.

(just checking )

 

[brrmm]

Here's my own little saying "buy cheap - sell cheap". Just keep that in mind.

 

[marg4000]

It's not just the noise.

How about the view of a huge sound barrier?

Check the access, services roads can be tricky to enter or leave.
Marg

 

[Lil Skater]

I reminded him that the traffic was at a standstill due to the bridge closure up ahead from the flooding.

Am I the only one that spotted the flooding?

If it's in a flood prone area, I suggest steering clear. There can be issues with financing the joint and insurance.

However, I don't know the area, so not sure what the flooding is like, nice house though

 

[marg4000]

Am I the only one that spotted the flooding?
)

Apart from Propertunity, the rest of the posters are locals.

We know that Brisbane has just had days of record rainfall, and lots of local flooding, mainly creeks breaking their banks, very few houses inundated.
Marg

 

[Lil Skater]

Apart from Propertunity, the rest of the posters are locals.

We know that Brisbane has just had days of record rainfall, and lots of local flooding, mainly creeks breaking their banks, very few houses inundated.
Marg

Ah, good spotting, I didn't even realise that! I just saw flooding and thought, screw the main road issue, what about the house!

 

[Angel]

Sorry, the bridge across the Pine River had one lane closed on Monday due to a massive pothole. It was a major catastrophe in the scheme of things to us indulged residents (about as bad as breaking a fingernail). Albany Creek and Eatons Hill are actually very nice affluent suburbs with no crime, good schools (but I'm biased), blah blah.

I am very good at floods, was a kid here during the 1974 floods and i know my floodplains.

 

[Angel]

We just heard back from the bank yesterday and they will only let us borrow enough to buy about $390K. Gotta start looking back in low-growth suburbs or at townhouses. Please tell me again why would I want to collect properties in high-yield low growth bogan suburbs, or low-yielding bogan suburbs that have a train station, and are 30 klms from the CBD.

There is a gorgeous 3 bedroom townhouse in AlbaVille for $389K. The complex is on the opposite side of the big road from the above house, but this is five villas in. Beautiful classy complex, I havent seen a pool in there so far. Now working on our phobia of BC fees. How does "across the road from a heritage cemetery" sound? Two minutes walk to Catholic school and five minutes walk to Centro shopping centre, ten minutes walk to high school and state primary schools. Five minutes walk from Council's swimming complex and fitness centre.

I had a call from an agent earlier this week regarding one of the properties I emailed out on the weekend. It was "offers above $439K". I told him that my bank said I cant go above $400K and he proceded to ask if i wanted to list our home with him. What the? I was hoping (maybe not, after all) he would phone back later to say that the owners might consider an offer....

 

[Fudge]

We just heard back from the bank yesterday and they will only let us borrow enough to buy about $390K. Gotta start looking back in low-growth suburbs or at townhouses. Please tell me again why would I want to collect properties in high-yield low growth bogan suburbs, or low-yielding bogan suburbs that have a train station, and are 30 klms from the CBD.

....

Because that's how much the bank will give you!!

If you think there aren't bargains to be had in these lower socio economic areas that have high yields and avarage growth, then you will have to wait until your equity increases.....and by that time, so will the houses in the area you want to buy.

F

 

[Angel]

Thanks Fudge, I need to stay motivated.

I am very familiar with the markets around north Brisbane, but not in the way outer suburbs, so I dont actually trust myself yet.

My next question is: Is there any point spending a lot of negative cashflow every month in a place where there is only average growth?

My answer would be : Yes, but it will take longer for CG to jump than in the city. However it will still increase, so too will rents. This means we can take longer to search.

So yes, academicly there is nothing negative about purchasing in an outer location. I guess we havent found anything that we were 100% happy about just yet. eg we saw a very nice house at Burpengary, huge block of land, $370K i think, but it backs onto the new industrial estate just next to the motorway.

We saw a small brick house across the road from the school that had desperate vendors. Itwas looking rather sad and we could have picked it up under $300K. When we checked into holding costs, we thought, gosh for that much outlay, we can come closer in. It's sold now, lesson learnt!

So back to the hunt.