Pakenham VIC

[Qinau]

This is nor necessarily a "where" question so apologies mods if this is in the wrong forum and please move if inappropriate.

Hi all,

I'm now really looking to buy my first IP, well first property at all actually, in the next month or two now that the new financial year is here (I've been waiting on it). I've been researching over the last 6-12 months and have almost settled on Pakenham, here in Vic.

Does anyone have any properties there or suggestions about the area they might like to share?

I'm still trying to overcome the first purchase mindset and I'd say my biggest concern is ensuring tenants. I know there is the rental shortage [perceived or not] but it is quite a way from the city, and a lot of the homes I've tracked from the "for sale" section to the "for rent" section on RE are still there looking for tenants which concerns me. I've talked to a few agents in the area who advise they have plenty of people looking to rent, but of course they are going to say that regardless.

Pakenham attracts me personally because I'm looking for somewhere I may myself move to in the years to come (10+ though), a lot of the properties are relatively new reducing [initial] maintenance costs, I'd like a house over a unit and the pretty low prices of course. My concern is the local schools which performed poorly last year, especially the high, and potential quality of the tenant (in terms of being able to make the rent)

Any comments on Pakenham would be greatly appreciated.

Cheers

 

[properties4me]

Pakenham

Hi there,

We recently bought a property in Pakenham with rental of $230 per week (newly built).

Make sure you get a really good real estate agent - I can give you the name of a really good one - who manages the area.

We live in Western Australia so it was was a real gamble for us to go into the investment game without actually seeing a property!

Email me if you have any questions

Cheers

Kris

 

[sparky23]

Hi Quinau

I am buying a 3 storey executive townhouse off the plan and not due for settlement until July next year, it is opposite a large man made rowing lake and the area appears to have great potential. I can send you some details if you are interested.

 

[Lavender]

hi Qinau,

i'm not sure about packenham but my recently purchased first house is in narre warren, not too far from your area. it wasn't hard finding tenants here since some of the applicants say there's just not enough vacant rental properties around. you could try placing a rental ad in the local paper (berwick/packenham journals. only costs $12 a week.) describing the house you're about to buy and gauge the responses, then perhaps let people know it won't be available until such & such.... i haven't tried this method myself though...

i placed 1 ad for a week in the local paper when looking for tenants as i wanted to do the initial screening myself before handing the job over to the PM for credit, reference & NDT check & management service. The number of responses were far above what i had expected and three quarter of the applicants who inspected my house offered significantly higher rent than the asking price.

properties4me: would you mind sharing the agency name of your PM ? and perhaps his/her name too ? In case i might need to consider another PM in the future, the recommendation would be much appreciated.

 

[Qinau]

Thanks a lot for the replies.

properties4me, I'd be interested in that contact, you can never have enough. Send me a PM.

sparky23 I'd be very interested in where abouts your purchase is if you don't mind and what reasons you think offer potential for the area, although a property otp doesn't really interest me at this point. I think I'd rather just buy an established property.

i'm not sure about packenham but my recently purchased first house is in narre warren, not too far from your area. it wasn't hard finding tenants here since some of the applicants say there's just not enough vacant rental properties around. you could try placing a rental ad in the local paper (berwick/packenham journals. only costs $12 a week.) describing the house you're about to buy and gauge the responses, then perhaps let people know it won't be available until such & such.... i haven't tried this method myself though...

I've certainly looked at Narre Warren too but the prices are quite a bit higher for similar sized homes and more than I really want to spend (although haven't ruled it out)

Placing a rental ad sounds pretty good, but I'm not sure if it's all that ethical.. Advertising a place that isn't mine or for rent, umm, I might ponder that.

i placed 1 ad for a week in the local paper when looking for tenants as i wanted to do the initial screening myself before handing the job over to the PM for credit, reference & NDT check & management service. The number of responses were far above what i had expected and three quarter of the applicants who inspected my house offered significantly higher rent than the asking price.

Oh ok, that's interesting. So you essentially found a list of potential tenants and then handed that list to the PM? Certainly something to think about.

Cheers

 

[Big Al]

Hi, here my 2c worth.

Haven't looked into IP in Pakenham specifically but know the area well.

A couple of considerations I would make include-

CG - Pakenham is likely to be one area hit hard by interest rate rises & the potential 'mortgage crises'. You can look at this +ve & -ve,
-VE being CG growth could actually go back wards in the next few years! & +ve more people on the streets looking for rentals in the area.

If I had a choice I would definitely look for something around Berwick before heading further out to Pakenham.

 

[Qinau]

Hi Big Al,

A couple of considerations I would make include-

CG - Pakenham is likely to be one area hit hard by interest rate rises & the potential 'mortgage crises'. You can look at this +ve & -ve,
-VE being CG growth could actually go back wards in the next few years! & +ve more people on the streets looking for rentals in the area.

I actually don't mind if the growth is low, ideally not -ve though, and would as you put it consider it a plus to keep a flow of tenants.

If I had a choice I would definitely look for something around Berwick before heading further out to Pakenham.

Berwick is more expensive than Narre Warren though

Thanks for the comments.