Purchasing in VIC - Frankston Area

[DreamzUnlimited]

Well I work while my other half would b in Uni soon ... for work I need to access Burwood and City and my other half need to access city/caulfield/clayton for uni ...

Now coming to the property .... is it okie if I buy an unit with some land instead of a house in Frankston?

Also as it is my first house and wanna live with my family ... which part of Frankston is relatively safer? I heard and read numerous unfavourable things from Frankston .... but as I can see the prices over there are going up. So any suggestion would be appreciated

 

[myla]

hello,

anything near petire, fairway or stanley st is superb

thankyou

myla

 

[ManyManeuvers]

Well I work while my other half would b in Uni soon ... for work I need to access Burwood and City and my other half need to access city/caulfield/clayton for uni ...

Now coming to the property .... is it okie if I buy an unit with some land instead of a house in Frankston?

Also as it is my first house and wanna live with my family ... which part of Frankston is relatively safer? I heard and read numerous unfavourable things from Frankston .... but as I can see the prices over there are going up. So any suggestion would be appreciated

Your lifestyle and location requirements don't make sense with living in Frankston.
If you are looking for investment, any type has it's merits, providing your outlook is realistic (ie: given current market conditions i estimate you may find no cap growth for a number of years)
In terms of location, the only way to go is do your own research, spend some time (at least a few days) down in the area - walking, driving around, talking to people. Please read the whole thread for some areas suggested. Don't discount Frankston High School zone and IMHO the impact of the (currently under environmental impact study) Frankston bypass on area's such as Karingal.
I have purchased recently in Karingal, so obviously biased, and i'm still looking there, however do not underestimate the growth potential of walk to beach/ station, Frankston High School zone, and Frankston South.
In summary, get down there do your own research, and good luck
[note: i'm very much a property beginner]

 

[myla]

hello,

sorry, having a laugh

having grown up in gandelston for 21 yrs I couldnt help it,

i lived on yuille st, near sweetwater creek

thankyou

myla

 

[GordonGekko]

anyone not living in frankston have heard something bad about frankston that happend 20 yrs ago ..... there is crime all over the world and in all cities ... in springvale they roll people in plastic after they kill them... and leave them in peoples frontyard ..... in frankston we just burn them on the beach... is that what you want to hear or do you want to drive around and see for yourself?

i bought my house in 2006 in frankston and everyone said .. are you mad? ...but look who is laughing now.... well my house gained about 25% in value since i bought it so we must do something right down here....

Yay! from Pines Pride day!

 

[Toni]

hello,

anything near petire, fairway or stanley st is superb

thankyou

myla

It really depends on what you want to spend. Frankston central, excluding Golden Triangle, because of its location (proximity to train station) has its issues. This area, I believe will be a great long term investment as it is a little too close to the action not to be, and I believe in time there could be (and I stress, only a could be) some zoning changes in there, however to live there with your family, I'm not so sure. Having said that, Stanley Street is a beautiful street, but a little too close to surrounding streets, that do come with their stories.

You would really need to come here and get a feel for the area for yourself. My choice of where to live in Frankston would be as follows, again depending on your budget. Considering long term growth and comfort, in order, as follows;

1. Frankston South (Frankston High School zone)
2. Golden triangle (part of Frankston central)
3. Marylands
4. Lakewood
5. Karingal (some parts)

Remember I am only giving an opinion and I have based this not on only one, but two reasons, comfort for a "family" and long term financial growth.

This list would be lengthened if it were investment only, or comfort only.

Toni

 

[GordonGekko]

ohh my list would be ehmm

1. Toorak
2. CBD Sydney with a view to the harbour
3. a 10 bed room house with 1/2 acre block 5 mins from swanston street.

ohhh i cant afford to live any of these places

maybe he should give out a budget of how much he can spend on a PPOR ...
no need to suggest Olivers Hill if he only has 300k... and with 1 working 1 student .. dosnt sound like Olivers hill to me...

i personally drive 27km to work every morning... and that dosnt worry me.

1. Frankston North! YAY! ...

and why? well actually i feel more safe in franggers North than in central frankston ... i live in a nice quiet stree with a bit of nature outside my door
3 km to the beach ... walking distance to most daily needs... incl a 24hr macdonnalds... mmmmm..... but yeeesss.. frankston north was bad 15 yrs ago....

Happy Frankston Pines Pride Day!

 

[ManyManeuvers]

Some auctions tommorow in the golden triangle. Check them out.

http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=104593850&f=30&p=10&t=auc&ty=a-res&fmt=&header=&cc=&c=76818892&s=vic&tm=1205446596

SOLD 325k

http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=104636428&f=20&p=10&t=auc&ty=a-res&fmt=&header=&cc=&c=76818892&s=vic&tm=1205446596

Passed In with 2 bids at auction.
First was mine - 280k
2nd was auctioneers with VB of 350k
Auctioneer mentioned they had before auction offers of 370 & 360 k. Both were rejected but the 360k offerer was being contacted to come back to buy it...
I received a call from auctioneer later that day, offered 330k, 5k deposit, and 180 days, but was not entertained.

http://www.realestate.com.au/cgi-bin/rsearch?a=o&id=104676012&f=10&p=10&t=auc&ty=a-res&fmt=&header=&cc=&c=76818892&s=vic&tm=1205446596

Arrived after auction ended.
Aparently no bids, and was little/ no interest afterwards.
No offers yet, so if you are interested in 150p.w. rent and a 800 p.a. body corp then suggest you make an offer.
Nees some reno.

 

[TAG]

What are your thoughts on CG in holding an IP at Frankston North - in the Pines

Hi everyone,

We bought our 3rd IP in Frankston North Sep07 with dual loc site. What are your thoughts on the CG Frankston North area as a LT investment. We plan to subdivide and buit a second unit at the back in a few years time.

I was also thinking of adding a fourth IP this year. What are thoughts on the Frankston south and frankston central area. With the uncertainty of the market atm, I was going to leave the purchase towards the end of this year.


What are your thougths?
TAG

 

[bronwynt]

You would really need to come here and get a feel for the area for yourself. My choice of where to live in Frankston would be as follows

5. Karingal (some parts)


Toni

Hi Toni,

I have always had me eyes on Frankston and now is the time for me to buy there. I am looking at spending around $250 000 on an IP I can renovate and rent out.

I am interested in Karingal and plan on having a look around there in the following weeks. Can you or anyone else please inform me of the dodgier and better areas there. I guess it will probably be obvious when I check it out.

Thanks, Bronwyn.

 

[ManyManeuvers]

bronwynt,

I have bought in Karingal recently, and have been offering on many more so learning about the area pretty quick

A few points to consider:
- Don't limit yourself to Karingal... if you are not limited by capacity then do consider more prime area's (refer to Harris/ Toni's posts for an indication of these).
- I was told by an agent that Karingal drive was traditionally 20k cheaper than the surrounding streets, so as usual a main road has some influence on prices.
- All other area's go with your gut, focus on proximity (< 5mins walking distance) to shops & bus stops.
- I have seen sale prices will vary +/- 10% for similar houses on same street (within the same month), so you can pickup good value if you screen many and submit offers in line with your strategy.
- Consider the impacts of the Frankston bypass... maybe you prefer not to be within 100metres of the proposed site. Most Melways/ Eastlink website should indicate this...

Cheers,
MM

 

[long88]

Hi bronwynt,

i think you can't really find any good sites in frankston now for about 250k (correct me if wrong here), they all asking high 200k and low 300k, if you can strecth more, why not look at frankston south, there are still some houses there asking for mid to high 300k.
and market over there is moving very fast, so have to be really quick.

it just feels like now the interest rate increase have no effect on the prices over there.

i have just bought one, and still waiting for settlement on april.

 

[Harris]

Hi Toni,

I am looking at spending around $250 000 on an IP I can renovate and rent out.

For a prop requiring reno at that price range in Frankston, you might still find the odd one around karingal. Talk to as many agents as possible and inform them about what you are looking for.. I have seen a few prop go at or just below $250k in karingal requiring some work in the last couple of weeks.

Alternatively look in Frankston North for a dual occ block without discounting the long term potential of pines. It is closest to the new Eastlink, is still close to beach and is going through significant changes which will acclerate gentrification of the area.


Good luck

Harris

 

[Peter Parker]

A recent article in one of today's papers had Frankston North followed by Doveton as having the lowest average incomes in Melbourne (2006 stats).

On the negative side this likely means that these two suburbs have either stayed static or degentrified (by remaining at the bottom of the heap). On the positive side it means a ready supply of tenants since only a minority could afford to buy.

 

[long88]

one strange thing here.

frankston north and seaford are separated by one major road (frankston-dandenong rd), yet the prices can differ that much ( i think now $100k).

Anyone have any comment on this ? or i am wrong here ? or is this just because of the frankston north name ?

 

[GordonGekko]

yes it is...... if you ask 100 people where they would like to live

seaford or frankston north ... 99 would say seaford....

and yes you are correct ... just 1 road ...

fortunately i live in Frankston north ... to me its better than central frankston... but thats only my opinion... ;-) ohh and i do own my own house ... and so do ehmm 70% other people in the pines ... from back when a 3br house was 68.000 .... 7 yrs ago?

 

[Ms Jade]

one strange thing here.

frankston north and seaford are separated by one major road (frankston-dandenong rd), yet the prices can differ that much ( i think now $100k).

Anyone have any comment on this ? or i am wrong here ? or is this just because of the frankston north name ?

It sounds ridiculous, you're right - but don't discount the value of the "right" suburb name. Prahran is smack bang next to Toorak and over 100 years it's getting further away in value rather than closer. People are so fickle!
long88, if you go down there I think you'll see that Frankston Nth has a large proportion of ex-commission type housing - similar to Heidelberg West. The perceived street appeal from one suburb to the next also has a bearing on the perceived value.

 

[Harris]

A recent article in one of today's papers had Frankston North followed by Doveton as having the lowest average incomes in Melbourne (2006 stats).

On the negative side this likely means that these two suburbs have either stayed static or degentrified (by remaining at the bottom of the heap). On the positive side it means a ready supply of tenants since only a minority could afford to buy.

If one suburb has gentrified the most (relatively speaking) in entire melbourne region that would be Frankston North. Old stats from 2006 Peter. I would be interested to know what the income levels are now. 2 years ago, it was the cheapest suburb of Melbourne. Now the title has been passed on to Doveton, Werribee and Melton so obviously it has seen more appreciation than most outer suburbs.

Infact, Frankston North has aspprecaited the most out of any outer subrub over the last 24 months. I am sure there would be a lot of new OO that have gone in with relatively higher incomes than the average incomes of the area and that must get reflected in any new income figures for the area.

The area has appreciated massively since 2006 when I bought 2 prop on 1600 sqm with 2 dwellings next to each other and paid $290k for both. They will go for atleast $500k in this market. Would love to know which other outer suburbs have appreciated by close to 60% in the last 2 years.. More prop in the pines get sold for $250k or higher than for under $250k these days.

The street scape has also had a big change.. Lots of new units coming up, lack of roadside junk in most streets and maintained nature strips and front yards for most prop. The street where I have the 2 prop (Aleppo Cresc) has seen over half a dozen new OO move in and the change is quite visible from old, gloomy look days. My 6 townhouses project (to start mid this year) must go some way in keeping the gentrification on track..

The change is slow but visible - It is one road away from Seaford (which still commands 30-40% higher values). I see that discrepancy lessening in the values as Eastlink opens.


Harris

 

[Ms Jade]

Hi everyone,

We bought our 3rd IP in Frankston North Sep07 with dual loc site. What are your thoughts on the CG Frankston North area as a LT investment. We plan to subdivide and buit a second unit at the back in a few years time.

I was also thinking of adding a fourth IP this year. What are thoughts on the Frankston south and frankston central area. With the uncertainty of the market atm, I was going to leave the purchase towards the end of this year.


What are your thougths?
TAG

TAG, you'd be hard pressed to go wrong with a LT investment in Frankston North. It was always going to move a lot over the past 5-7 years coming off such a low base. There was intrinsic value even 3-4 years ago when houses were selling for 100-130k (if memory serves me), as you couldn't build them for that. Depending what you want to spend later in the year, I would be looking to diversify into the "better" areas of Frankston. As the lower quartile properties move up in value they make the other areas look cheap in comparison. I agree with other posters that if you can pick up something in Frankston South in the mid 300s you'll do very well in the near future. This is the area where more people want to live. I have always worked on the proposition of buying in the best area that I could afford & have usually stretched the budget to do so. Given the option of paying $260k in Frankston North, $280k in Karingal, $320k in Franskton Central or $360k in Frankston South I would buy the best I could afford. IMHO The 100k difference between North & South today will look like peanuts 10 years from now.

 

[long88]

i am sure we can still find a pocket or a street that is not ex-commision and buy couple more IP over there ? given the price range, which is very afforable, while the surrounding have gone up heaps, it is just a matter of time, before north itself start to catch up ?

anyone agree with me on this ?