Hey guys. I have just registered this forum and I?m very new to property investment. I want to ask for advices from you experienced investors about investing an off plan apartment in Brisbane. planning settle date is middle 2017
The reason that I ask about this topic is because a friend of mine (not close), who is also a property sales was trying to sell me this off plan apartment in Newstead Brisbane. I live in Sydney however I think properties in Sydney now are too high for investment. Brisbane looks like a better choice but I can only invest on units because I cannot travel to Brisbane from time to time to inspect houses.
The reasons my friend stated that Newstead is good to invest are as follows:
Bank of Queensland moved their HQ to Newstead. Also the Gaswork area is set to carry on a big renewal project by the government and some other corporations are moving here too. It should bring more people to work in this area who will potentially rent/buy a property in this area. Also the transportation here is good and good shopping malls nearby.
This suburb reminds me Zetland/Green Square in Sydney. I have a friend who bought a two bed room off plan apartment for 690,000 at the beginning of 2012 and sold it for 850,000 or 870,000 when it was settled Dec/2014. That is 160,000 capital gain with 70,000 cash. Wondering if similar case can happen to Brisbane.
Newstead is marked as High risk on Brisbane flood area map, will this be an important factor to not to buy the property? Also, generally should I invest a one bedroom or two bed rooms in this type of property?
I did a rough calculation looks like if both the yield return and loan interest is 5%, the rent income and loan interest can make an even (because I need to spend 8% of rent income to agents since I live in Sydney). Then I think the only way to make money from this investment will be from capital gain.
I see most people are saying to avoid units in inner city I wonder if it is the same case for this one in Newstead? What are the bad things to invest such a property here?
To be honest I don't know much about property investment before. Everyone please go easy on me but please correct anything I mentioned in this post and shed some light on this topic. thanks in advance.
The reason that I ask about this topic is because a friend of mine (not close), who is also a property sales was trying to sell me this off plan apartment in Newstead Brisbane. I live in Sydney however I think properties in Sydney now are too high for investment. Brisbane looks like a better choice but I can only invest on units because I cannot travel to Brisbane from time to time to inspect houses.
The reasons my friend stated that Newstead is good to invest are as follows:
Bank of Queensland moved their HQ to Newstead. Also the Gaswork area is set to carry on a big renewal project by the government and some other corporations are moving here too. It should bring more people to work in this area who will potentially rent/buy a property in this area. Also the transportation here is good and good shopping malls nearby.
This suburb reminds me Zetland/Green Square in Sydney. I have a friend who bought a two bed room off plan apartment for 690,000 at the beginning of 2012 and sold it for 850,000 or 870,000 when it was settled Dec/2014. That is 160,000 capital gain with 70,000 cash. Wondering if similar case can happen to Brisbane.
Newstead is marked as High risk on Brisbane flood area map, will this be an important factor to not to buy the property? Also, generally should I invest a one bedroom or two bed rooms in this type of property?
I did a rough calculation looks like if both the yield return and loan interest is 5%, the rent income and loan interest can make an even (because I need to spend 8% of rent income to agents since I live in Sydney). Then I think the only way to make money from this investment will be from capital gain.
I see most people are saying to avoid units in inner city I wonder if it is the same case for this one in Newstead? What are the bad things to invest such a property here?
To be honest I don't know much about property investment before. Everyone please go easy on me but please correct anything I mentioned in this post and shed some light on this topic. thanks in advance.