Need advice asap!!!!!!

[TMNT]

"asap" on Christmas eve for something like this?

eeeeexactly!

 

[Jamie_]

Relax lol just come off a Skype call from a forum client in Dubai who got an offer accepted yesterday and we are doing the application before i have Xmas breakfast.

imagine the trails from that one!

 

[simbi99]

The deadline is end of March so I guess it isn't asap as such

I've been looking pretty hard and thoroughly across heaps of suburbs ranging from Melbournes North to the south east.

I want to know if there are any other suburbs that are affordable other than North Frankston, as it's not really desirable personally?

 

[D.T.]

Why is there a deadline?

Define what you consider desirable

 

[simbi99]

Why is there a deadline?

Define what you consider desirable

Just a personal target I established for myself and want to make.
A property in a suburb which boasts a higher median sale price

 

[thatbum]

A property in a suburb which boasts a higher median sale price

Why do you want to buy into a suburb with a higher median sale price?

 

[simbi99]

Why do you want to buy into a suburb with a higher median sale price?

Because that would typically mean a higher ROI....

 

[D.T.]

What makes you think that?

 

[thatbum]

Because that would typically mean a higher ROI....

Sometimes I wish this was true, but its not.

 

[The Y-man]

Because that would typically mean a higher ROI....

Generally in Melbourne, I suggest the case is more that the higher median sales price suburb has less "head room" to move up - for example lets say a suburb has done a massive run up in the past few years - the argument is, would you not get a better capital growth from a suburb that is "yet to happen"?

While the higher median suburbs may not give you massive instant growth, they can however give you consistent and stable growth (good for people who don't like volatility,

We are fortunate in Victoria that the Government gives you the median growth figures for the past 10 years and other great data to help you (ok, it's your tax money....)

http://www.dtpli.vic.gov.au/property-and-land-titles/property-information/property-prices

The Y-man

ps. hmm looking at the data, I must say I am shocked that the Top 10 for last year contains *very* high median price subs..... Kew East - grew 25% from $1mill to $1.25mill

 

[D.T.]

Yman is that the far Kew?

 

[simbi99]

What makes you think that?

If you were to build a property at a cost value in a suburb where the median sale price is 500k you would make more as opposed to building it in a suburb where the median sale price is 200k, in the short term.

 

[thatbum]

If you were to build a property at a cost value in a suburb where the median sale price is 500k you would make more as opposed to building it in a suburb where the median sale price is 200k, in the short term.

There are so many variables in the above scenario that its fairly useless as a general rule. You should be doing a lot more research into development before purchasing a development property.

 

[simbi99]

There are so many variables in the above scenario that its fairly useless as a general rule. You should be doing a lot more research into development before purchasing a development property.

So what you're essentially saying is the same identical property In hawthorn may sell for less than it will in say Dandenong or Frankston, no offence

 

[thatbum]

So what you're essentially saying is the same identical property In hawthorn may sell for less than it will in say Dandenong or Frankston, no offence

No I'm saying if you're trying to make money with a development, the "median suburb price" is almost a completely worthless consideration compared to about a million other relevant factors.

And if you knew more about development, or done some more research, you would know this.

According to your logic, we should all be buying into the most expensive suburbs we can and then building for easy money.

 

[jpcashflow]

Hi

Hi,

Different properties in different markets will attract different yields.

EG, we bought a development site in AUGUST in a area where it was peaking...
But we managed to pick up the property under market value by 100K.

We just got it revalued and we are already 100K in front, we will net some good coin by AUG 2015 after our two town houses.

 

[sanj]

So what you're essentially saying is the same identical property In hawthorn may sell for less than it will in say Dandenong or Frankston, no offence

I can't work out if yours is meant to be a satirical account or not

 

[Tano]

If you were to build a property at a cost value in a suburb where the median sale price is 500k you would make more as opposed to building it in a suburb where the median sale price is 200k, in the short term.

I think what your saying is that the cost to build a certain stlye of house is the same in a high end suburb as in the low end so you can make more profit by building in nice suburbs. This is mostly true (except in beach side suburbs and remote towns were construction cost are higher) but a similar profit is to be made since the land value is higher in the more expensive suburb.

If im off track then ignore this post.

 

[The Y-man]

If you were to build a property at a cost value in a suburb where the median sale price is 500k you would make more as opposed to building it in a suburb where the median sale price is 200k, in the short term.

Fair enough - so your search should be simple.

1. Take suburbs that are personally desirable to you
2. Look on the government list which of these suburbs have a high enough median to make your investment worthwhile
3. set your realestate com search for these suburbs with a price less than $350k

The Y-man