Purchasing in VIC - Frankston Area
- Thread starter Cherry Pro
- Start date
The agent just gives me a call that a property nearby CBD (i found it closes to cemetery from Melway), about 660sqm is going to be sold on 330k. But there are only two bedrooms with about 200pw rent. The location is not bad, close to CBD,train station, shopping centre and beach. But the negative gear is quiet big. Any frankston expertise gives me advice for this one? Thanks a lot.
The rent is too low - Approx 3% yield. There are better buys around. ( I have sent you a pm with some details).
There are a few prop around that will get you close to 5% yield or above in this market. It is good to invest in select / better locale of a boom area however when the area goes up by a certain value, the not-so-good-areas also appreciate in line with that growth and do not lag behind tremendously.
Frankston central is great in my opinion, however 3% yield is miserable, especially if you plan to keep on acquiring more properties.
Harris
Thanks Harris,
I just replied your message. I am taking account of your advice. also my offer for the pro in Whistlestop has been rejected. I don't think I will buy any pro in Whistlestop,as the Frankston bypass will go through Pines Flora and Fauna Reserve. is it extreme?
I just replied your message. I am taking account of your advice. also my offer for the pro in Whistlestop has been rejected. I don't think I will buy any pro in Whistlestop,as the Frankston bypass will go through Pines Flora and Fauna Reserve. is it extreme?
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HARBOUR RETHINK
Leader Newspaper - 25Feb08
They are key features of Frankston Council's "preferred development model", kept secret since mid-2007 but seen by the Leader last week.
In 2003, when an independent planning panel and the State Government told the council it could not have dry storage, fears were raised that a private harbour would be unviable.
The council now wants the city's planning scheme amended again to allow its latest concept, including a string of new features.
A State Government priority development panel will consider the features.
A Department of Planning and Community Development letter to community stakeholders, dated February 13, said talks about the new preferred model would be held on March 6 and 7.
The letter summarised the council harbour model changes as:
* A dry-storage facility for 200 to 400 boats;
* 60 short-stay units, possibly integrated into the boat storage;
* Removal of 15m-long and 5m-wide size limits for boats using channels, fairways, moorings and berths seen as restricting appropriate harbour management; and
* Hugely increased floor space for various facilities.
The letter stated the council was seeking funding from state and federal governments and conceded that their grants involved Frankston making "a local contribution".
Friends of Frankston lobby group chairman Richard Laverack said harbour planning of the past four years had lacked community involvement and transparency.
He said he suspected the harbour would be another major development fast-tracked by the State Government to show Victoria was on the move.
The council was unable to make a comment before the Leader went to print.
Toni
Leader Newspaper - 25Feb08
They are key features of Frankston Council's "preferred development model", kept secret since mid-2007 but seen by the Leader last week.
In 2003, when an independent planning panel and the State Government told the council it could not have dry storage, fears were raised that a private harbour would be unviable.
The council now wants the city's planning scheme amended again to allow its latest concept, including a string of new features.
A State Government priority development panel will consider the features.
A Department of Planning and Community Development letter to community stakeholders, dated February 13, said talks about the new preferred model would be held on March 6 and 7.
The letter summarised the council harbour model changes as:
* A dry-storage facility for 200 to 400 boats;
* 60 short-stay units, possibly integrated into the boat storage;
* Removal of 15m-long and 5m-wide size limits for boats using channels, fairways, moorings and berths seen as restricting appropriate harbour management; and
* Hugely increased floor space for various facilities.
The letter stated the council was seeking funding from state and federal governments and conceded that their grants involved Frankston making "a local contribution".
Friends of Frankston lobby group chairman Richard Laverack said harbour planning of the past four years had lacked community involvement and transparency.
He said he suspected the harbour would be another major development fast-tracked by the State Government to show Victoria was on the move.
The council was unable to make a comment before the Leader went to print.
Toni
agree with Southsider on the transport side.
not unlike anywhere 20kms + out.
throw a bus, waiting time/ drive to a rail station and you have close to 60mins travel time from most areas in the old zone 2 to city.
adding another 15-20mins on that can't hurt if you are paying close to half the Melbourne median without compromising on infrastructure.
for me, (a wannabe high flyer working in the city) i will try it out when i move into my karingal place in 2.5 months time. someone pls remind me to give my two cents after 2 weeks of the daily grind.
my planned workaround is to depart the office 30mins earlier and defer some work to the train ride.
Haris, i don't agree with your total loss comments, however from my limited time in the area to date, it i would agree it appears most in Frankston don't work in city/ nor care about if it were to disappear tomorrow. after half a day there i certainly see little need for the city (federation what?)
not unlike anywhere 20kms + out.
throw a bus, waiting time/ drive to a rail station and you have close to 60mins travel time from most areas in the old zone 2 to city.
adding another 15-20mins on that can't hurt if you are paying close to half the Melbourne median without compromising on infrastructure.
for me, (a wannabe high flyer working in the city) i will try it out when i move into my karingal place in 2.5 months time. someone pls remind me to give my two cents after 2 weeks of the daily grind.
my planned workaround is to depart the office 30mins earlier and defer some work to the train ride.
Haris, i don't agree with your total loss comments, however from my limited time in the area to date, it i would agree it appears most in Frankston don't work in city/ nor care about if it were to disappear tomorrow. after half a day there i certainly see little need for the city (federation what?)
Go to the Admin building at Monash, or the Chisholm Institute and ask there. They have their own websites, and notice boards, and from memory you can look for available accomm through either channel.
Hi L.A,
What i meant to say i own a Student accommodation property. But it is hard to find anyone whom will manage it in frankston.Generally in the past i have had doctors and nurses as well as students renting it has 8 beds,two baths,to lounge, furnished ect. For some reason in victoria agents are reluctant to manage these property but in Qld no problem finding an agent.
I find this very strange that i can not attract tenants as i would have thought rentals were tight and i am only charging $90 per room which includes internet,power gas but not phone.
The main problem is the property manager wont even return a phone call Very unprofessional.
I have the property on the monash university website with my phone number and emails and i have had over a dozen students wanting to see the place and even offer to rent whiteout seeing it .I have passed all this info to my property manager whithout one response?
Dom
What i meant to say i own a Student accommodation property. But it is hard to find anyone whom will manage it in frankston.Generally in the past i have had doctors and nurses as well as students renting it has 8 beds,two baths,to lounge, furnished ect. For some reason in victoria agents are reluctant to manage these property but in Qld no problem finding an agent.
I find this very strange that i can not attract tenants as i would have thought rentals were tight and i am only charging $90 per room which includes internet,power gas but not phone.
The main problem is the property manager wont even return a phone call
Very unprofessional.I have the property on the monash university website with my phone number and emails and i have had over a dozen students wanting to see the place and even offer to rent whiteout seeing it .I have passed all this info to my property manager whithout one response?
Dom
I know Austins Real Estate in Frankston (Now Professionals) used to handle them. I have all my properties with them, so will ring them first thing this morning for you. (their phone no. is 03 97833355). Bianka is the PM there. Will try to get a reply for you by 9:20 as I have to be out by 9:30.
Toni
Toni
I have rang The Professionals and spoke to Bianka. Bianka said she has managed this property before and would be more than happy to manage it for you. Bianka is a lovely person and has bent over backwards to help me over the years. I personally could not be happier than I am with her managing my properties.
You can contact her on 03 97833355.
Toni
You can contact her on 03 97833355.
Toni
I'm so sorry to hear that
When I first spoke to Bianka, she seemed keen. I rang today only to speak to her boss, who then told me they weren't interested. I have seen this property for sale in the MPRE Office. Have you had any bites? This property really is designed specially for student housing, which make it really difficult if no one here can manage it as one.
Sorry Dom,
toni
Hi Toni,
I appreciate all your help, thank you for trying. I have spoken to an other agent whom had people having the same problem as i am and she rented it out to a group of friends instead of individual students.She told me i would have no problem renting it out as a large house.So hopefully this will happen soon and i will take it of the market.Thanks again Toni.
Dom
I appreciate all your help, thank you for trying. I have spoken to an other agent whom had people having the same problem as i am and she rented it out to a group of friends instead of individual students.She told me i would have no problem renting it out as a large house.So hopefully this will happen soon and i will take it of the market.Thanks again Toni.
Dom
Can you see why property managers are not interested
If i was a property manager there is no way i would want to manage a student house and collect rent by the room.
For a property manager, the effort involved does not match the income generated.
I would be surprised if any property manager in Frankston would do this.
It might be tme to sell up.
If i was a property manager there is no way i would want to manage a student house and collect rent by the room.
For a property manager, the effort involved does not match the income generated.
I would be surprised if any property manager in Frankston would do this.
It might be tme to sell up.
What type of dwelling is best for Frankston
Given that a few people talk of land banking property in Frankston for further development and that there seems to be an issue with multi room student accommodation. What type of dwelling would be the most profitable for Frankston?
Would executive style, quality fit out, suit the beach and central area, whilst basic fit out, high density units be best for Frankston North and Karingal areas? Is there one style of dwelling best suited to the different demographic areas of Frankston?
Would you build the same type unit / townhouse in Frankston South as you would in Karingal? Would people pay more for quality in the more desirable areas of Frankston or doesn't it matter?
My question is also valid for other large suburbs like Dandenong and Geelong.
Any thoughts or plans?
PP
Given that a few people talk of land banking property in Frankston for further development and that there seems to be an issue with multi room student accommodation. What type of dwelling would be the most profitable for Frankston?
Would executive style, quality fit out, suit the beach and central area, whilst basic fit out, high density units be best for Frankston North and Karingal areas? Is there one style of dwelling best suited to the different demographic areas of Frankston?
Would you build the same type unit / townhouse in Frankston South as you would in Karingal? Would people pay more for quality in the more desirable areas of Frankston or doesn't it matter?
My question is also valid for other large suburbs like Dandenong and Geelong.
Any thoughts or plans?
PP
Horses for courses.. any dwelling in general scheme of things bought well or at current market value - Personally, I would stay away from any property on main road, across the train line or very close to high tension power lines - otherwise any property in any part should technically increase in value proportional to the overall increase in median for that area.
True. My first development for this year in Frankston North is a well designed however with very basic finish project.
Karingal might be slightly / marginally better in finish compared to Pines.
Areas bordering Yuille, Kars, William, Denbigh, George have a lot of new 3 bed townhouses selling in the viccinity of $450-$500k, hence better quality finish is required, however anything close to the Esplanade/ Oliver Hill, or on Cliff Rd demand very high end finish.
Definitely not. My estimations for 6 townhosues in Frankston Nth in build cost is approx $7,500 per square, increasing to $10,500 for Denbigh St development and over $14,000 per square for Nolan St (effectively double in cost to Frank Nth build cost).
The design would also vary greatly for all those developments.
Very very few suburbs have so much variance as Frankston in property values. Infact I cant really think of any one suburb with such hige variation as Frankston...! Houses on average block size selling for $300k within 200 - 300 meters to houses on average size blocks selling for $2million. This is what excites me even more about the growth prospects for Frankston in that middle tier; where the gentrification process combined with new high quality developments has the capability to boost the values of properties (with values slightly higher than current median) surrounding the very high end properties (with values in excess of 4 - 5 times the median).
This is the ideal space where land banking sounds very rewarding relative to Frankston.
Harris
