Lol comprehension fail?
I said it does have PT, just not very convenient, this is also very subjective as others might find it very convenient.
Point Cook, VIC
- Thread starter neofite
- Start date
Lol comprehension fail?
I said it does have PT, just not very convenient, this is also very subjective as others might find it very convenient.
Especially when they hit saline ground water... there's a reason why point cook wasn't a forest of gum trees before they developed the land. Better start planting some mangroves if you want trees.
It's ok - the 'quality' of Burbank and Delfin houses will ensure that they disintegrate into the salt fields when the time comes
hahahaha - some of the comments really crack me up.
Haha calm down. Did you put a lot of money into the mortgage belts?
On your point about people being here to chase a dollar rather than a place to live, let me point out that places where people want to live tend to go up more in value.
A year ago at the end of 209 a bunch of people argued with me - quite heatedly and caused two other members to be banned - that outer suburbs will far outperform the 'prestige suburbs'. Despite the misgivings with median prices and at the same time recognising that in any market there are no perfect data points, I present:
http://theage.domain.com.au/real-estate-news/buyers-hit-as-house-prices-peak-20110121-1a02p.html
But you know, keep buying in the mortgage belt. I'm sure at some point you'll be proven right, especially when those seeds become trees. Hopefully the salt hasn't gotten to you yet though.
Am pretty sure, there are heaps of people out here who are first home buyers OR looking for an alternate PPOR. Yes end of the day its about making money, I never deny that. But at the same time I think people would like to know which places are desirable to live etc. etc. So that was just my 0.02!
Was wondering if anybody from point cook or is familar with the RE there could elaborate.
I used to work in point cook in 09-11,
back then I noticed the number of properties for sale was approx 800, as of today there is 7000. back then you could pickup an entry level new H/L package for about $490-$500k if I recall correctly,
as of today there are 1600 properties under $400k for sale,
have the prices of these properties or new ones, dropped up to 20%???
Back then every local would be like "Hi, my name is Joe, did you know that I bought my home 3 years ago for $350k, and now its worth $500k"
I noted that there were a few investors buying up with the sole aim of capital gains, which obviously has not worked out. What sort of yields were acheived back then? or would any decent property investor have avoided this area back then (ie did the figures even remotely stack up?)
I used to work in point cook in 09-11,
back then I noticed the number of properties for sale was approx 800, as of today there is 7000. back then you could pickup an entry level new H/L package for about $490-$500k if I recall correctly,
as of today there are 1600 properties under $400k for sale,
have the prices of these properties or new ones, dropped up to 20%???
Back then every local would be like "Hi, my name is Joe, did you know that I bought my home 3 years ago for $350k, and now its worth $500k"
I noted that there were a few investors buying up with the sole aim of capital gains, which obviously has not worked out. What sort of yields were acheived back then? or would any decent property investor have avoided this area back then (ie did the figures even remotely stack up?)
i owed 2 lots that which settled early in the year.
i basically got a design drawn up and sold one plot H&L off the plan. i calculated my cost to be significantly lower than what any H&L package was offering in the market. But i wouldn't be wanting to go back into this suburb though. Good experience but i feel the capital gain was not enough for the effort.
i basically got a design drawn up and sold one plot H&L off the plan. i calculated my cost to be significantly lower than what any H&L package was offering in the market. But i wouldn't be wanting to go back into this suburb though. Good experience but i feel the capital gain was not enough for the effort.
I just did an all properties search on point cook and it came back with 1377?
Dunno where the 7000 figure is from?
Having had a property there for 10 years i have watched the suburb grow ridiculously in population and infrastructure in that time....
When i remember standing out on the muddy ground where the intersection of Lennon blvd and Dunnings road now is and seeing absolutely NOTHING after just having committed $100 to secure a block of land in the middle of nowhere...its amazing how exited i was
It was our first home and we were going to build to live in it...which we did for a few years, so we had no thoughts at that stage of how the next 10 years of capital growth were going to be...we didnt care.
i think that an importanat point to remember is...70% of all property purchases are for a roof over ones head, alot of the time a culmination of years of saving for a deposit etc....so if its an area that people want to live in for thier PPOR then it will grow...at whatever pace...irrespective of whether there are trees
Back then it was an area we could afford to buy and build in...plain and simple....green first home buyers just wanting thier own little patch of dirt and a new house....probably similar to alot of people now!
The number of listings currently for sale is clouded a little bit at the moment as alot of them are house and land packages listed by the volume builders...some of the blocks are doubled up on by multiple builders also.
what i look at is the number of available rental houses at any point, and there does seem to be about double the available to what there was 5 years ago.
But, there is a larger population out there now than 5 years ago.
There are definitely areas that have had more capital growth in the last 10 years than Point Cook....but for all the east centric opinions, dont forget how much an areas infrastructure can change in 10 years.
i have witnessed it first hand and it can be phenomenal!
as far as what the prices there recently have done, i know an agent in the area who has always been pretty spot on and No BS...he seems to think about 10% off in the last 12 months...but the well kept, presentable and larger land content homes seem to be staying in demand.
10 years ago, you could get a 19 x 38 (over 700sqm block) for $96k....today 400sqm is $ 250k
I look at what it cost us originally...compared to its value now even after the "smashing" its taken over the last 2 years, and i think...wonder what it will be like in another 10 years?
I guess it could be boring an go exactly the way the last 10 years has, up some years...flat for a while...down a couple....i hope so
Cheers,
Nathan
I stand corrected, I just did 3030 2bdr and above and got 7787
but then I did 3030 all properties and got 1277!
Edit: so hypothetically, if there was no more land avaialable, despite being in the west, and the fact that its 15km from teh CBD, growing population, growing infrasturcture, and lower defaults, then in theory this suburub should be absolutely booming at below the median price????
Hi Truly,
I am not sure if you are asking whether it should be booming or not
I think from your original question of whether the numbers ever stacked up in Point Cook, i would answer yes.
BUT...it would depend on when you bought there, and what you timeframe of holding is/was.
Nathan
Hi Truly,
I am not sure if you are asking whether it should be booming or not
I think from your original question of whether the numbers ever stacked up in Point Cook, i would answer yes.
BUT...it would depend on when you bought there, and what you timeframe of holding is/was.
Nathan
well sort of, my direction of discussion was that we all know that estates are usually on the fringe where there is an endless supply of land filled with Mcmansions, horses for courses.
if we took out the fact that in point cook, you drive 5 mins out and it looks like the outback, I feel the fundamentals are all there, basic infrastructure (which should improve eventually), lots of schools, and being only 15ks (rush hour is horrible though), and relative affordability, it would not surprise me if the median shot up to say $700k and overtook the surrounding suburbs.
if the above WERE true then that means that once the land is all filled up, then it would seem the best time to buy then, as there will be no more new mcmansions to be built. As for rental yield I believe its never reached 5%
for the record, It is highly unlikely I will ever buy in point cook
EDIT: just had a look at rentals, 550 properties to rent at $350 or BELOW, most look brand new, vs sale prices of $400k+
OUCH! 4% yields
Well I don't really like to argue on these things like I used to any more since people get really upset, which is understandable if they've sunk their life savings in. Just sharing a link.
http://www.theage.com.au/victoria/housing-glut-hits-suburbs-20120707-21o6k.html
Everyone's investment strategy is different. That said to use the last 10 years' performance as an indicator of investment success is a bit pointless as anyone can watch any suburb grow between 2002 to 2012.
Why not check how much CBD buildings have rocketed over that period? You could've picked up a 25 storey building on the corner of Little Bourke St and Swanston St for $4.5m in 2002. I can probably sell 2 of the floors for that much now.
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Why pointless?
As an investor, looking back at the returns you have made over a 10 year period is important is it not?
I guess the thrust of what you are saying is that anyone could have bought anywhere and made a decent return over that period of time without any real investing skill?
But that's irrelevant....as a boring long term investor, as long as you make money and are getting closer to the goal...that's the main thing.
And while I know there are people doing deals for inner city high rise, I know I couldn't have afforded it 10 years ago as a fresh new first home buyer....just tryin to keep it real
The problem with Point Cook et al is that they are first home buyer havens - which means those people pay what they can afford, rather than buying because they want to live there. Add the crappy quality of houses being built there with small lot sizes and you create the recipe for a slum in 10 years' time. I certainly don't like investing in neighbourhoods like that.
Have you been there Aaron? It is a really nice area. Much better than inner city Melbourne, where lot sizes are tiny, with ugly terraces.
