Perth Property Market updates

Could maybe be a triplex if you do it in 2 stages, get 5%variation for first lot, them end up with 706sqm r 25 lot.

If you get it in the 700s it's worth considering.

I'm still holding off, good bargains are starting to appear but better ones will be here soon
Ive been watching this one, triplex straight of the bat is possible with WAPC 5%. Block slopes down to rear. Worth 780k max.

3 Grosvenor sold for 840k was 5m more elevated (city views) closer to train and sloped upwards but prices have dropped in last 6 months.
2 Grosvenor i think sold low 700;s (710k?) due to huge slope and large easement running through 1/3 of it. My dad bought 5A grosvenor for 450k for 450sqm

Both R25 1010sqm
 
Fair enough. I haven't berm really keeping up to date with the market as the numbers have been rubbish so have invested outside of property. Starting to look at it again but a bit out of touch. Will take a few weeks once I dedicate some time to it
 
Ive been watching this one, triplex straight of the bat is possible with WAPC 5%. Block slopes down to rear. Worth 780k max.

3 Grosvenor sold for 840k was 5m more elevated (city views) closer to train and sloped upwards but prices have dropped in last 6 months.
2 Grosvenor i think sold low 700;s (710k?) due to huge slope and large easement running through 1/3 of it. My dad bought 5A grosvenor for 450k for 450sqm

Both R25 1010sqm
Thanks Tano. That's good to know. I would really like to take on a good reno project. Those old weatherboards can come up looking really nice but you would have to get it for the right price. Of course there is a lot of work and a lot of dollars to get the Bayswater house looking anything like this:

http://www.realestate.com.au/property-house-wa-bassendean-117774127

And it would not be worth taking on at $850k.
 
I think we are still a bit early judging by the price of this one:

http://www.realestate.com.au/property-house-wa-bassendean-117151031
Its R20 unless you want R40 which is two street frontages of 8m each and 4m common driveway to the back for the 3rd. Which means double storey or single storey and single garage for the two front lots.

I dont think there any money in it. This guy bought the original lot for 550k and wants $1260/sqm. I dont think he will sell 8m wide lots in Bassendean especialy for that price. Im pretty sure price/sqm is cheaper in Dalkeith
https://www.realestate.com.au/property-residential land-wa-bassendean-201063223

The site i posted this morning is cheap in the mid $500/sqm
 
With current tightening of finance its going to get a whole lot harder funding these projects
Something else to consider
 
With current tightening of finance its going to get a whole lot harder funding these projects
Something else to consider
Perfect, the market has been ruined by wannabe developers paying over the odds and then not being able to develop, this might help
 
There are not many places within 12km of CBD where land is in the 5xx$/sqm
assuming it's single resi, the average rate is being distorted by the large size of the block. That's just my view of the world... stuffed if I am paying $1000-2000/m for land on lots bigger than 500sqm just so I can weed and mow it, particularly if the market is dictating that I need to go 2 storey anyway
 
Perfect, the market has been ruined by wannabe developers paying over the odds and then not being able to develop, this might help
But won't it make it harder for you and me..?.
I dont understand this really, there are always going to be people landbanking, nothing new really.
 
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assuming it's single resi, the average rate is being distorted by the large size of the block. That's just my view of the world... stuffed if I am paying $1000-2000/m for land on lots bigger than 500sqm just so I can weed and mow it, particularly if the market is dictating that I need to go 2 storey anyway
A larger yard is more my style yard. Kids have made a grass tennis court at the front, hubby rebuilds his boat and trailer up the back, you can see lots of sky. 500sqm blocks aren't for us. There wouldn't be enough room for fruit trees and vege patch. I'd feel too close to the neighbours.

(Edit- removed photo)
 
how does the tightening finance effect you... thought it was more high LVR investment loans?
Government following New Zealand, where they adopted tightening of finance 2014 to help cool their over heated property market, and it did work, to what degree, not sure??. Assuming this may end in same result for Syd/Melb??

It will effect everyone/investors, my understanding not just about LVR, its how banks now calculate servicability of investment loans:

Living expenses ie perhaps allowing 14K, now 25K, how will this effect salary required to meet this is the big one? I am not good with maths, but know it will hurt.

Some banks will not include negative gearing component in their calculations, ouch.

Calculate interest for investor loans at higher rate....told perhaps 7% not 4.7%

Accessing equity?? not sure what impact is, but expect much harder now from what I have heard

These are just some items I know about, not trying to scaremonger, however I know 2 investors where they no longer can service further loans. There will always be other options I expect, second tier lenders??

MTR
 
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Government following New Zealand, where they adopted tightening of finance 2014 to help cool their over heated property market, and it did work, to what degree, not sure??. Assuming this may end in same result for Syd/Melb??

MTR
NZ finance tightening did nothing to stop the market they were most worried about (Auckland) powering ahead. Now they are bringing in loan restrictions just targeting property investors in Auckland as per the link below. Auckland median is now NZ$828,000.00 .

http://www.stuff.co.nz/business/ind...-restrictions-for-Auckland-property-investors

Love this comparison between Auckland and France property at the link below!!!!

http://www.stuff.co.nz/life-style/home-property/68073553/What-Auckland-prices-can-get-you-in-France
 
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NZ finance tightening did nothing to stop the market they were most worried about (Auckland) powering ahead. Now they are bringing in loan restrictions just targeting property investors in Auckland as per the link below. Auckland median is now NZ$828,000.00 .

http://www.stuff.co.nz/business/ind...-restrictions-for-Auckland-property-investors

Love this comparison between Auckland and France property at the link below!!!!

http://www.stuff.co.nz/life-style/home-property/68073553/What-Auckland-prices-can-get-you-in-France

Wow, interesting, so we have no hope of this working in Oz, good, I need another 12 months.

Mtr
 
Yey I signed someone up

What a relief. Good references. I would have liked it if she was earning a bit more but I can't be picky in this market. Im sure it will work out fine :)
 
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