St Albans - Melbourne

[Belu]

Hi all,

Just a quick one, St Albans is a really cheap suburb just next to Sunshine. Historically and now it has a bad rep, not really the best suburb to live in but its really cheap. As we are currently seeing Sunshine move - do people think St Albans could be one to move in the short term? I realise gentrification, if it were to happen, is still years away. But on a 5-10 year plan what are people's thoughts?

Cheers

 

[IndexFund]

I was looking at that area, but Ive been told that many commision housings ruin the area... so I am staying away.

 

[Peter Parker]

I was looking at that area, but Ive been told that many commision housings ruin the area... so I am staying away.

Let me get this straight.

You were considering an area, but being told something by someone changed your mind.

Thus this single assertion (which may or may not be true) has led you to make a decision to 'stay away'.

If St Albans does well, then that decision, based entirely on one piece of 'information' from someone possibly less knowledgeable about the area than you are, could cost $100k or even $200k otherwise gained.

Have you:

1. Actually been to St Albans*

2. Checked that what you were told (ie many commission homes) is in fact correct?

3. Identified whether the commission homes are spread out or whether they're concentrated in a few areas (parts of St Albans may have no commission homes so may meet your self-imposed rule)

4. Examined the evidence as to whether suburbs with commission homes do in fact appreciate slower than places without (it might not even matter if they're cheaper to begin with).

5. Considered other factors (both for and against) that could influence capital growth in the area.

May I be so bold to suggest that by not examining deeper and basing decisions on just one item of uncertain veracity, you are excluding yourself from potentially large capital gains - not just St Albans, but any number of other areas similarly dismissed?


(*) my personal view is that its central shopping strip is a derelict stinking traffic sewer that makes central Sunshine look chic, but people still work, live, rent and buy there.

 

[IndexFund]

Let me get this straight.

You were considering an area, but being told something by someone changed your mind.

Thus this single assertion (which may or may not be true) has led you to make a decision to 'stay away'.

If St Albans does well, then that decision, based entirely on one piece of 'information' from someone possibly less knowledgeable about the area than you are, could cost $100k or even $200k otherwise gained.

Have you:

1. Actually been to St Albans*

2. Checked that what you were told (ie many commission homes) is in fact correct?

3. Identified whether the commission homes are spread out or whether they're concentrated in a few areas (parts of St Albans may have no commission homes so may meet your self-imposed rule)

4. Examined the evidence as to whether suburbs with commission homes do in fact appreciate slower than places without (it might not even matter if they're cheaper to begin with).

5. Considered other factors (both for and against) that could influence capital growth in the area.

May I be so bold to suggest that by not examining deeper and basing decisions on just one item of uncertain veracity, you are excluding yourself from potentially large capital gains - not just St Albans, but any number of other areas similarly dismissed?


(*) my personal view is that its central shopping strip is a derelict stinking traffic sewer that makes central Sunshine look chic, but people still work, live, rent and buy there.

My mate's grand ma lives there so yes I have been there visiting with him.

I have also studied with many people from that area from vic uni.

As others on this forum has said many gangs from Asian and black backgrounds (no racism intended), drug dealing and generally bad housing commision area...

I much rather keep looking.

But yeah you make fair points, I just really need to do more research and I am open minded.

 

[chrispy]

When I came to Melbourne in 1961 St Albans was full of half houses, migrant families trying to build their own homes. It was the first place we went to, to stay with some friends from England, to get us started. We only stayed a few days and moved to Brunswick to rent a terrace house so that we could work in the city.

At that time the roads at St albans were unmade but it was essentially a family place, with a few churches, a lively shopping strip and full of hardworking European migrants.

Over the years I continued to visit many friends living there and saw the initial gentrification of St Albans when all the houses became finished, the roads were made and the gardens appearing everywhere.

Since that time the suburb has gone backwards. My friends have all moved away, complaining of drug dealings, and the downturn of the suburb in general. They have moved to Roxburgh Park and other Western suburbs but in doing so received extremely high prices for their houses in St Albans.

Chris

 

[Soren Lorenson]

wait long enough and you will get growth

 

[mystery]

Have you all read the article in API mag / November issue in the Victoria overview section (p100-103)? It has some details on St Albans and other low end affordable suburbs in outer Melbourne.

I got billeted with a family in St Albans in about 1973 for a junior sports comp ..... I remember the dirt roads and thought it was strange for a Melbourne suburb as I was from Perth and we were supposed to be backward state at that time and we had sealed roads in every suburb.

Hmmm 1973 ... showing my age now eh? .... lol

Martin .....

 

[IndexFund]

So it seems St Albans is definately unpopular with most people.

 

[mystery]

So it seems St Albans is definately unpopular with most people.

I'd be okay with it, .... I'm just not in the market for another IP just yet, so I haven't looked at it seriously. Most of my other IP's are at the lower end of the market, housing commission type areas in various states, so its reputation doesn't put me off.

Martin

 

[IndexFund]

I'd be okay with it, .... I'm just not in the market for another IP just yet, so I haven't looked at it seriously. Most of my other IP's are at the lower end of the market, housing commission type areas in various states, so its reputation doesn't put me off.

Martin

Thats because you dont have to live in there if you buy a house in St Albans.

The problem with this forum is that most people are discussing investment properties that they will never live in themselves... instead put some tenants in.

In my case (while it may be different to 99% of you) I actually want to live in the house I am buying.

 

[joeygbh]

Thats because you dont have to live in there if you buy a house in St Albans.

The problem with this forum is that most people are discussing investment properties that they will never live in themselves... instead put some tenants in.

I think someone said it best, don't buy the houses you "want" to live in, buy the houses that the tenants "have" to live in. So if the tenants can only afford xxx a week, then only buy houses that can be sustained by that sort of tenant. No good buying a house that is worth millions, where there are only 1-2 potential tenants.

 

[chrispy]

The problem is that you will restrict your market if you buy at St Albans, until there is a general clean up and the shopping strip is improved you will not attract reasonable tenants.

I believe you would be better off in Werribee, as I think you have a much better chance of growth and of attracting tenants.

I hasten to add I know very little about Werribee as all my property is in the North East of Melbourne, a lovely place to live and very easy to let. But from what I observe Werribbee has a lot going for it, easy to get to Melbourne, easy to get to the beaches, good shopping and lower prices.

The only way you will be able to work out where to buy is to spend as much time as possible going around the areas and going to Open for Inspections and watching the rental market in each

Chris