Parramatta, anyone interested in buying here? or opinions?
- Thread starter NSWinvester
- Start date
here is a great thread about off the plan (OTP) property
http://www.somersoft.com/forums/showthread.php?t=60671
http://www.somersoft.com/forums/showthread.php?t=60671
I went to see 3 apartments today in the Parramatta central, all 2 bedroom, all in the Parramatta CBD. Price ranging from 390 - 430k.
Spent alot of time talking to agents and gained some valuable insight. One agent told me about the developments in the area, a $2 billion investment from the government near hunter street where there is a vacant block. A lot of government agencies are also moving their head quarters to Parramatta
Also why the prices around Parramatta are still so low, it's because the surrounding suburbs such as Guildford, Merrylands and Granville are still very cheap.
Spent alot of time talking to agents and gained some valuable insight. One agent told me about the developments in the area, a $2 billion investment from the government near hunter street where there is a vacant block. A lot of government agencies are also moving their head quarters to Parramatta
Also why the prices around Parramatta are still so low, it's because the surrounding suburbs such as Guildford, Merrylands and Granville are still very cheap.
cheap compared to suburbs closer to Liverpool, Edensor Park, Bossley Park, Cabramatta, Fairfield.
I have only two points to note.
Be wary of purchasing a new unit in Parramatta because if you review Council records you will note that there are literally hundreds of additional blocks projected over the next 10-20 years.
A greater proportion of those are smaller developers.
If you purchase a standard 2 br unit and need to lease it or sell it, you may face some stiff competition in the future.
Secondly, prices have dropped in the surrounding suburbs if you take a look at the reports. However, were it was predominately houses on 650+ sqm blocks, it is now homes on same sub divided blocks or townhouse developments on those blocks.
This generally has an ability to bring prices (i,e as occurred in lane Cove).
It may take some time for those prices to stabilise.
Like everything. Do you own research and buy what suits you.
Be wary of purchasing a new unit in Parramatta because if you review Council records you will note that there are literally hundreds of additional blocks projected over the next 10-20 years.
A greater proportion of those are smaller developers.
If you purchase a standard 2 br unit and need to lease it or sell it, you may face some stiff competition in the future.
Secondly, prices have dropped in the surrounding suburbs if you take a look at the reports. However, were it was predominately houses on 650+ sqm blocks, it is now homes on same sub divided blocks or townhouse developments on those blocks.
This generally has an ability to bring prices (i,e as occurred in lane Cove).
It may take some time for those prices to stabilise.
Like everything. Do you own research and buy what suits you.
Agree 100% about freestanding housing in Parra- I think it's set to grow significantly as dvpt overrides the city. Take a look at Parra housing medians over the last decade and current growth to see the bigger picture. After the peak of 02-03, along with most Sydney suburbs, it suffered negative growth as the market rebalanced and then 08 cg was affected by the GFC but it's come back in the last 18th mths, in particular, which isn't surprising given it's affordability position.
Decent houses (some of which are mixed resi/commercial usage which can increase rental yield) now sell in the $600-800K price bracket and aren't lasting long on the market either. Also check out pockets of nearby suburbs of Rosehill, Harris Park, Granville and Mays Hill - personally I'm a fan of the older Victorian and federation homes, as well as the original workers semis in the area (eg Good St) but you do need to be aware of the conservation areas and heritage listed properties, as these can affect renovation plans. However, it's an area full of charm and, I believe, good potential for future growth given the factors discussed previously by myself and other investors.
Decent houses (some of which are mixed resi/commercial usage which can increase rental yield) now sell in the $600-800K price bracket and aren't lasting long on the market either. Also check out pockets of nearby suburbs of Rosehill, Harris Park, Granville and Mays Hill - personally I'm a fan of the older Victorian and federation homes, as well as the original workers semis in the area (eg Good St) but you do need to be aware of the conservation areas and heritage listed properties, as these can affect renovation plans. However, it's an area full of charm and, I believe, good potential for future growth given the factors discussed previously by myself and other investors.
Attachments
House prices in Parramatta are out of my price range.
I've recently looked at 2 bedroom apartments in the CBD, all the buildings are more 12 to 18 storeys high, prices range from 380 k to 450 k, rent from 380 to 440. But the strata is anywhere from $800 to as high as $1264... so my rental returns will be low.
With the strata fees so high I'm looking at buying a flat or 2 bedroom apartment out of the CBD but still close by but still doesn't require a car to get to Westfields shopping centre. I'll tell you how I go.
I've recently looked at 2 bedroom apartments in the CBD, all the buildings are more 12 to 18 storeys high, prices range from 380 k to 450 k, rent from 380 to 440. But the strata is anywhere from $800 to as high as $1264... so my rental returns will be low.
With the strata fees so high I'm looking at buying a flat or 2 bedroom apartment out of the CBD but still close by but still doesn't require a car to get to Westfields shopping centre. I'll tell you how I go.
Parramatta - Harris Park
Harris Park has changed considerably overtime. There has been a significant influx of immigrants from predominantly India who seem to have flocked to the area. As a result of this demographic change a vibrant restaurant scene has evolved along Wigram Street. The neighboring suburb of Rosehill has seen some good CG gains which is healthy.
Harris Park does not suffer the same level of crime we see in Parramatta. Parramatta is becoming huge and unfortunately crime is a bi product of expansion. Parramatta does have a considerable OMCG presence. Don't want to scare anyone off but it is fact. I don't believe this would influence whether or not someone would or should invest there.
The crime that does occur in Harris Park are the odd break and enter and your basic street level robbery. Unfortunately some of these new residents think it smart to use the pay phone at 2-3am in the morning to call home all-be-it to the dismay of the local cops.
One issue to be aware of is make sure your property manager carries out regular inspections of the property....and actually does! I have entered many properties in Harris Park that are tenanted by those originating from the sub continent and it is not unusual to have a cast of thousands actually living in the property in fifthly conditions....don't mean to offend anyone but it is the truth and I see it continuously.
We are seeing new apartment buildings being constructed in Parramatta. There is a new building on the corner of Church and Pennant Hills Rd and another on the corner of Church and Victoria Rd.
Parramatta is growing fast. It has: Westfield's shopping complex as well as other thrithing retail shops, major rail infrastructure; Westmead Hospitals (General, private, childrens); Cumberland Hospital; brand new justice precinct; quick access to the M4; ferry; correctional centre.
Hope this helps those interested in this thread. I don't have property in this area but the future does look good for Parramatta - Harris Park.
JT
Would they be poised then to be out-performers in the near to medium term?
So yields soften to more average levels by a burst of cap growth. Would be pleased on any further insights people on the ground have on those areas and also Harris Park. I'm not a local, however it gives the impression that it may be the ugly duckling that turns good. The proximity to Parramatta CBD is great. Any pockets/streets to avoid there?
Harris Park has changed considerably overtime. There has been a significant influx of immigrants from predominantly India who seem to have flocked to the area. As a result of this demographic change a vibrant restaurant scene has evolved along Wigram Street. The neighboring suburb of Rosehill has seen some good CG gains which is healthy.
Harris Park does not suffer the same level of crime we see in Parramatta. Parramatta is becoming huge and unfortunately crime is a bi product of expansion. Parramatta does have a considerable OMCG presence. Don't want to scare anyone off but it is fact. I don't believe this would influence whether or not someone would or should invest there.
The crime that does occur in Harris Park are the odd break and enter and your basic street level robbery. Unfortunately some of these new residents think it smart to use the pay phone at 2-3am in the morning to call home all-be-it to the dismay of the local cops.
One issue to be aware of is make sure your property manager carries out regular inspections of the property....and actually does! I have entered many properties in Harris Park that are tenanted by those originating from the sub continent and it is not unusual to have a cast of thousands actually living in the property in fifthly conditions....don't mean to offend anyone but it is the truth and I see it continuously.
We are seeing new apartment buildings being constructed in Parramatta. There is a new building on the corner of Church and Pennant Hills Rd and another on the corner of Church and Victoria Rd.
Parramatta is growing fast. It has: Westfield's shopping complex as well as other thrithing retail shops, major rail infrastructure; Westmead Hospitals (General, private, childrens); Cumberland Hospital; brand new justice precinct; quick access to the M4; ferry; correctional centre.
Hope this helps those interested in this thread. I don't have property in this area but the future does look good for Parramatta - Harris Park.
JT
Parra has already been done.
The big CGA (double digits per annum) over the next 10-20 yrs is where the new growth spots will be. You wont find them in the media and Mr Rider would'nt know'em if they bit him on the a$$.
A more accurate point of view is that most people dont, but some do.
And those that did were banned form this forum in 03/04 for pointing out what to them was the obvious, and making the bigger mistake in trying to explain their reasons to a spamfest of spriukers preaching markets that go up forever.
The big CGA (double digits per annum) over the next 10-20 yrs is where the new growth spots will be. You wont find them in the media and Mr Rider would'nt know'em if they bit him on the a$$.
Yeah, the only problem with "timing the market" is that you don't have the benefit of foresight from the point in time where you are (now) to next year or the year after.
A more accurate point of view is that most people dont, but some do.
And those that did were banned form this forum in 03/04 for pointing out what to them was the obvious, and making the bigger mistake in trying to explain their reasons to a spamfest of spriukers preaching markets that go up forever.
Hi Felixter, yeah I've heard of him. I had some dealings with a mortgage broker recently who tried putting me onto this Dr Hayek....I don't know the bloke but instant alarm bells rang for me. I havn't had any experiance with off the plan purchases but I know enough that I'd be cautious as there may be a host of potential problems such as paying a premium for the product to problems with the developer's finance to incorrectly set up sinking funds. However, I'm sure there are people on the forum that have had exellent results from buying off the plan.
Hope this helps, JT
Cheers.
I have done a bit of diligence: He used to be General Manager of Pulse (company that sells off plan developments)
I've done off plan before (amongst other strategies) and done ok out of it (read: i did diligence to make sure I wasn't paying above market value).
Currently I'm strongly leaning towards established property, but still would like any available informatio on this guy.
I have done a bit of diligence: He used to be General Manager of Pulse (company that sells off plan developments)
I've done off plan before (amongst other strategies) and done ok out of it (read: i did diligence to make sure I wasn't paying above market value).
Currently I'm strongly leaning towards established property, but still would like any available informatio on this guy.
This would be an interesting addition to Parramatta.
http://www.dailytelegraph.com.au/news/nsw-act/trying-to-build-a-venice-out-west-in-parramatta/story-e6freuzi-1225915014723
http://www.dailytelegraph.com.au/news/nsw-act/trying-to-build-a-venice-out-west-in-parramatta/story-e6freuzi-1225915014723
Thanks for sharing that pdawg.
Last I went into that building a couple of years ago it was a very poorly frequented discount outlet. That end of the river would do well with the proposed ideas "a mini-Venice" and certainly cafes and so forth would be nice there.
That end of Church street has some nice eateries and restaraunts, so would complement some decent development on that site.
Also this in the parramatta area should be an extra plus for the area to liven things up!
.
http://www.smh.com.au/nsw/big-dripper-to-wow-west-20100911-155xq.html
.
http://www.smh.com.au/nsw/big-dripper-to-wow-west-20100911-155xq.html
