Positively geared property in Perth?
- Thread starter Jamesw
- Start date
The station would prob be another 2 years away at the earliest. I was actually looking into those areas at one stage as well. There are good 4x2 properties in Clarkson which are now under 380k (exc stamp duty) that can rent for 440+pw. What I am worried about is that vacancy rates tend to be higher for places with greater traveling time than 30mins to city centre. When you then make comparisons with suburbs like Beechboro and Koondoola/Girrawheen which are 15kms closer to the city centre at similar prices (prob higher crime rates, but not as bad as Balga, Mirrabooka), you just feel CG prospects would prob be slightly better.
It's a written appraisal from the local agent. Similar property to what I am building has just rented in Alkimos (coastal side of Marmion) for $430.00.
That would be nice!!!.
I also think you should spread your risk both within a local market and into different markets.
Due to my bigger objective picture (Goals) I have properties spread around the Perth metro areas & also the Interstate metro areas mainly for risk management & diversification with tax minimisation issues as an added bonus.
If you are buying for long term I personally believe you should target the middle range marketplace for a couple reasons -
1/ this is where the majority of the population demand comes from....and as we all know when demand exceeds supply that increases the capital growth.
2/ maximises your rental yields and therefore increases your cashflow across your portfolio.
Some people dont like the idea of having property at distance from where they live. Its way outside of their comfort zones. But thats just the way people are. Theres no right or wrong way, just a way that fits comfortably with our individual risk profiles.
Me personally I think those people who do elect to be able to drive past a local property at any time do limit themselves in terms of CG diversification opportunities .
Controlling an interstate portfolio from an arms length is not very hard at all if you employ a good manager locally to look after it for you.
But as I have previously said it depends on your personal objectives and goals - Its basically horses for courses.
I personally fly interstate, hire a car and stay in motels usually for a week to 10 days. I make these bookings online usually 4-6 weeks prior to traveling.
A mobile phone, digital camera and a notebook/laptop with internet access are mandatory tools to take with you.
In between purchases, prior to me flying I do all my MACRO level due diligence via the internet. This provides me a couple of areas to do my MICRO due diligence once I hit the ground interstate.
I do not make any property inspection appointments prior to departure.
Upon arrival I usually spend the first 2-3 days driving around getting to know the areas I picked out from my MACRO due diligence prior to arrival.
From there , I decide the area that I prefer and then I hit streets, phone, internet, email and agents inspecting all the properties I can over the following week.
If I inspect an IP that exceptional & fits my purchasing criteria I will put in an offer there and then (subject to conditions) prior to my departure back home, otherwise I will return home and over the following couple of weeks make a decision to purchase on the information Ive collected .
Offers & purchasing correspondence is done by, phone, fax, email and overnight express postal bags.
I employ Property Managers to look after everything to do with all the day to day operations of my properties.
All my insurances, council & water rates notices, repairs & maintenance bills etc get posted directly to my property managers who then pay all of them for me from rental income collected each month.
At the end of the month my property managers deposits all rental incomes direct into my bank account and forward me a management statement that lists all incomings & outgoings.
Feel free to ask if you have any other questions.
Hope this helps.
Last edited:
When will it be built? I seem to remember you mentioning it about 6 months ago now.
fair enough, i just dont understand why someone would pay the same rent in eglinton as they perhaps could in clarkson when both are near the beach but clarkson at least is near civilisation
then again ive never understood the sprawl in perth, yanchep is not far from being considered a perth suburb imo and that is bloody madness
REALLY? i heard that the freeway extension/offramp is what is being built and the station has been deferred until 2020?
did you miss the huge writeup in the paper about Burns Beach....?
BB is close to the very-soon-to-be Currambine Tavern and Clarkson Tavern, is getting a Dome at the beach park, is close to all schools public and private and is only 5mins from Joondalup along Moore Drive?
Currambine has movies, woolies, dan murphys, city farmers, video store, service stations.....
add the Ocean Reef Marina and Currambine train station in to the mix, along with the fact the freeway makes it only 25mins into Leederville i don't see your statement holding much weight, sorry.
If it's the freeway, it's one lane either way with tracks!!. What got deferred is the originally there were going to be 2 railway stations after Clarkson. They canned the one half way between Butler and Clarkson and are just building the Butler one. They are reviewing in 2012 whether to build the other one.
Aaron, I was talking about Joondalup city centre not Burns Beach. Burns Beach is an example of where capital growth has already occured due to it's coastal location and position near amenities. This is reflected in it's median price. On the opposite page to the newspaper article on Burns Beach was an article on Jindalee having the highest growth in Perth for the last 3 months.
This is of course from a lot lower price base but backs up my thoughts that coastal properties near transport infrastructure are a good bet.
Any source for this Aaron? Personally, I'd be stoked if the freeway was happening sooner, but the last official word I've been able to find for this is that there is no official word when the freeway will happen.
I would love to read something more promising as when I move back to Clarkson next year I'll have really easy access to the proposed freeway on-ramp at Neerabup drive. (although I would still be using the 2-minutes-away Clarkson train station for my work commute)
freeway extension wont be happening for ages imo, at the moment they are waiting for a planning group to be formed, then of course the deliberations, inevitable change of govt at some stage, funding and then building.
id be shocked if it happened before 2017
http://www.mainroads.wa.gov.au/BuildingRoads/Projects/planning/Pages/Mitchell.aspx
train station is happening, theyre saying end 2014 so prob mid-end 2015, unless of course BGC is involved then possibly in 2023
http://www.pta.wa.gov.au/Projects/ButlerExtensionProject/tabid/245/Default.aspx
id be shocked if it happened before 2017
http://www.mainroads.wa.gov.au/BuildingRoads/Projects/planning/Pages/Mitchell.aspx
train station is happening, theyre saying end 2014 so prob mid-end 2015, unless of course BGC is involved then possibly in 2023
http://www.pta.wa.gov.au/Projects/ButlerExtensionProject/tabid/245/Default.aspx
but that is actually my point, why would someone choose eglinton, which really is not close to anything, when clarkson, which is a lot closer is available for similar money (at least to rent in). it is still a 10km drive from eglinton to butler, chances are carbays will be taken up pretty early in the morning so some people will have to rely on buses and i dont think we can ever expect bus services to be brilliant for such small catchments
even quinns rocks is around the same money imo and once again in a much more established area
sorry im certainly not trying to pick on you or single you out, im just looking at it from an OO or tenant's POV
Last edited:
No worries, discussions like this are great for getting differing opinions and hopefully we all take something from it. I will post will revive this post in a years time and let you know what rent I am receiving. Hopefully it's close to $430-$450.00!!!.
Hi guys.
I see ya'll talking bout properties round the Butler/Clarkson area. Just fyi, the rents here can be as good as what's being talked about. I bought a new place for just over $310k (turn key) and its renting for close to $400 p/w. Mine is in area of Ridgewood which is smack bang btwn Clarkson and Butler - good cos it's about 4 km to Clarkson stn & will be closer than that to the new Butler one.
As another example, there are $310k turn key houses selling in Butler at the moment where the rental appraisal is over $410 p/w.
On an evening, early morning, non-peak traffic time I can get from Ridgewood to Osborne Park in just over 20 minutes on the freeway. Into the city in half an hour.
Peak hour, I drive 3km to the train station, park there & catch the train to town - in less than 45 mins.
Cheers
I see ya'll talking bout properties round the Butler/Clarkson area. Just fyi, the rents here can be as good as what's being talked about. I bought a new place for just over $310k (turn key) and its renting for close to $400 p/w. Mine is in area of Ridgewood which is smack bang btwn Clarkson and Butler - good cos it's about 4 km to Clarkson stn & will be closer than that to the new Butler one.
As another example, there are $310k turn key houses selling in Butler at the moment where the rental appraisal is over $410 p/w.
On an evening, early morning, non-peak traffic time I can get from Ridgewood to Osborne Park in just over 20 minutes on the freeway. Into the city in half an hour.
Peak hour, I drive 3km to the train station, park there & catch the train to town - in less than 45 mins.
Cheers
Oh and BTW, the planning for the freeway is basically complete. About a year ago I got all the contour and survey plans from Main Roads/DoT to check out how the soundproofing would be.
The only thing really holding it up is funding, and the fact that they want the train station finished first - to make it easier access.
At this stage the train station building is on time. (Butler).
There is a proposed stop for btwn Clarkson & Butler at Lukin Drive. Some people say this isn't going ahead but the land has been reserved & bought by Gvt for the 'park and ride' carpark at Lukin.
It'd be good 4 me if that station comes in, but either way, btwn Clarkson & Butler station is only about 7km.
The only thing really holding it up is funding, and the fact that they want the train station finished first - to make it easier access.
At this stage the train station building is on time. (Butler).
There is a proposed stop for btwn Clarkson & Butler at Lukin Drive. Some people say this isn't going ahead but the land has been reserved & bought by Gvt for the 'park and ride' carpark at Lukin.
It'd be good 4 me if that station comes in, but either way, btwn Clarkson & Butler station is only about 7km.
as per most things in life unfortunately
