Perth - Looking for an area to invest/develop

[superhenry]

Hello all,

I have been reading a lot of the threads and have found them very informative - so many thanks to those who have contributed.

I am looking to invest in Perth. I want to buy a house, hold on to it for a year or two, and then develop it into two or more villas. My budget for the house is around 500k to 700k. One of my friends is suggesting to invest in Balga, but I saw a few threads saying that that area has too much supply of villas. The other area that I am thinking of is Mandaruh. This area will attract a different set of people as compared to Balga's and I was told that this area is slowly coming back after a few years of decline in prices. Could you please shed some lights on this, as well as other areas that you think are worth investing?

Many thanks in advance!

 

[vmay]

Hamilton Hill is an option worth considering.

 

[Jess Peletier]

With Mandurah there are also areas that will attract a similar tenant to Balga, but if you buy on the beach side you should avoid that, and there are quite afew development blocks to be found.

 

[westminster]

Unfortunately Perth is massive and there are so many areas you can build 2-3 villas on.

I know it sounds obvious but you need to find an area where the values show profit. One of the reasons why Balga may or may not work at the moment is that end values don't show enough profit.

When you have a handle on doing feasibility you can look around various areas and see if there are any turning decent profit.

You can rank them to see which you like best, which has the markers for good capital growth, which is not over saturated with the product you want to build etc etc

With your budget you are really spoilt for choice. In the upper $600s you can get quite close to the city if you keep your eyes peeled.

 

[HD_ACE]

Whats your total budget overall?

 

[thatbum]

Whats your total budget overall?

Also, how much do you know about property and developing overall?

 

[mrdobalina]

Whats your total budget overall?

What if you weren't constrained by a budget, and purely focused on getting the best return. What would you invest in?

 

[HD_ACE]

What if you weren't constrained by a budget, and purely focused on getting the best return. What would you invest in?

A shopping complex or marina.