Outer inner west of Sydney

[neK]

Nek & see_change

Your desperate attempt to justify/defend your speculative ventures is hilarious. Whats better is that its all the internet permanently for all to see.

@ Nek - I am not denying that the listed areas such as Sans Souci & Caringbah are not speculative investments I just simply showed linked to sites that were in my opinion better located. Arguably there are pro's and con's of every area but I refer you back to my original post and the pitiful yields of the the outer inner western suburbs. Look at how there is no intrinsic value attached to these properties and therefore when interest rates rise there will be issues.

Perhaps you should look in the mirror.
You've spent a lot of time in this thread justifying why certain areas aren't great buys, only to be met opposing arguments you aren't willing to accept.

Its rather amusing you like went on a war path with Sea Change as you felt his strategy was purely speculative... and now you're admitting that the areas you listed are speculative.

You might not think there is no intrinsic value attached, that's your opinion which you're entitled to. But just because others don't agree there isn't a need to shove it down their throat until they do.

Unless of course you own a property in the Caringbah and Sans Souci area and are hoping your spruiking techniques are able to drive the prices in those areas up..... in which case, just go run a seminar like the rest of those Property Investment Gurus (PIGs). Spruiking here has no effect

PS: The whole blood bath thing you are claiming will happen, we've just gone through a GFC in 2008, why don't you dig up some articles that backup your claim about Strathfield/Burwood

 

[Bawxx]

From my experiences, they who often use "speculator" in a derogatory sense, are the narrow-minded sort of people who don't have any tolerance or respect towards others holding a different investment strategy.

 

[belvoir]

Lol are you guys even reading what you are writing????

Firstly @ Nek

"You might not think there is no intrinsic value attached, that's your opinion which you're entitled to."

I refer you to my first post where the net yields are between 2%-3%. Properties yield is its intrinsic value. When you borrow at 5% and receive 2%-3% your are speculating on higher prices to make your return....

Secondly @ Bawxx

"any tolerance or respect towards others holding a different investment strategy."

Investopedia, wikipedia and even see_change:

http://somersoft.com/forums/showpost.php?p=1199591&postcount=38

My point is, it is not an investment strategy. People thinking it is an investment strategy will be burnt when interest rates rise, firstly, from high repayments and secondly from lower to no growth in the value of the property.

 

[see_change]

Nek & see_change

Your desperate attempt to justify/defend your speculative ventures is hilarious. Whats better is that its all the internet permanently for all to see.

.

ROFLMAO .....

Belvoir . What are you doing at the moment ? I decided to have a long weekend..

I'm relaxing at our waterfront weekender . One of the benifits of the so called speculative investments that you somehow think I , and other long term members here invest in .

Justify / defend ?? Do you really think I am taking anything you have said seriously ..... You flatter yourself

Have a good day

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Cliff

 

[neK]

Lol are you guys even reading what you are writing????

Firstly @ Nek

"You might not think there is no intrinsic value attached, that's your opinion which you're entitled to."

I refer you to my first post where the net yields are between 2%-3%. Properties yield is its intrinsic value. When you borrow at 5% and receive 2%-3% your are speculating on higher prices to make your return....

Do you?

http://www.investopedia.com/terms/i/intrinsicvalue.asp

1. The actual value of a company or an asset based on an underlying perception of its true value including all aspects of the business, in terms of both tangible and intangible factors. This value may or may not be the same as the current market value. Value investors use a variety of analytical techniques in order to estimate the intrinsic value of securities in hopes of finding investments where the true value of the investment exceeds its current market value.

1. For example, value investors that follow fundamental analysis look at both qualitative (business model, governance, target market factors etc.) and quantitative (ratios, financial statement analysis, etc.) aspects of a business to see if the business is currently out of favor with the market and is really worth much more than its current valuation.

You are looking at a single aspect - RENTAL income - the quantitative side
Which is why i said "You might not think there is no intrinsic value attached, that's your opinion which you're entitled to."

 

[trinity168]

Don't forget the close proximity to DFO, Costco, Bunnings ,various other supermarkets and department stores. If you're fortunate enough to own a boat, there are various boat ramps along the Parra River to get out to the Harbour and the heads to avoid all the traffic.

It's a pretty good area

Can't believe no one mentioned IKEA ...

 

[devank]

DFO, Costco, Bunnings, IKEA & shopping centers. All true. There is Masters in few min drive as well.
Starthfield station is going through renovation now. Flemington station is going to get an upgrade as well. I believe it is 1/6 station which is going to share 150 million boost.

 

[belvoir]

Just thought I'd add to this thread, the subject property is:

239 The Grand Parade, Ramsgate Beach

The property sold in March 2014 for $2,620,000, see the below ad:

http://www.realestate.com.au/property-house-nsw-ramsgate+beach-115991899

It is now for rent, the asking price is $725. As can be seen there has been a renovation, I would assume to be around the $30,000 - $50,000 range.

http://www.realestate.com.au/property-unit-nsw-ramsgate+beach-413903099

At that rental rate it is around a 1.44% gross return.

Assuming they won't be building till well into the future after undertaking a renovation on the house they will need high price growth to make any form of return.

To build a substantial home on that block it would cost circa $1,500,000+ easy. If you include holding costs and interest repayments they are going to need an easy re-sale of $4,500,000 to break even.

 

[Scott No Mates]

For that money you can buy with good views in Mosman.

 

[2FAST4U]

belvoir, how well do you actually know these areas?
Have you caught a train at night to these areas?

Something tells me you've never lived in these areas and are simply look at statistics. There are lot of things stats do not show.

Catch a train at 6:30pm on a weeknight (on different nights of course) from Town hall station and head to Burwood, Strathfield, Campsie, Wiley Park then report back

As far as Burwood and Strathfield go when you catch the train it's full of Asians. Most of them probably work or are students. Most of the dwellings near the train line at least are all high density- a lot of units and apartments with a mixture of houses as well.
I'm not as familiar with the Bankstown line but Wiley Park was like Chester Hill with older houses and bigger blocks of land. Further out from the CBD and more time consuming to get to than Strathfield. I didn't see as many Asians around the Bankstown line either but it was definitely more working class/industrial as an area.

Personally I'd prefer to live further out at Glenburn/Ingleburn in a house than pay the same price and live in an an apartment at Burwood or Strathfield. Diffrent strokes for different folks though and there's obviously a large demographic that like the lifestyle that Burwood/Strathfield offers.