Sunshine/Albion for first home buyer

[glasszon]

Hi All, long time lurker here.

I am looking to buy my first home and take advantage of the first home stamp duty concession, but unfortunately that greatly narrows down where I can buy due to the booming Melbourne market.

So far what I am looking for is an area that have decent land area (600m2+), close to CBD with good train network (as I work in CBD) and have good potential going forward.

So far I have narrowed my search down to Sunshine/Albion/Sunshine North/Sunshine West, has I missed anything?

Being completely new to property, I am not sure exactly what to look for to find a good property. I looked through the council website and I can see an area that have heritage overlay is a bad idea.

So far I am looking for a 3 bedroom house (since that's the most common), within walking distance to sunshine train station (for my sake and ensure good growth potential) and no onerous overlay/zoning from the council, am I on the right track?

Sorry for so many questions, feels so overwhelming in trying to purchase the first property.

 

[Manic]

Have you been to the area and got a 'feel' for the neighbourhood? What do you want the property for? Future family? Are there schools nearby? Are you in the catchment zone? I'd stay away from main roads.

For any place, you want the place to have 'good bones' so you can add value through superficial renovation - patch and painting, carpet, floorboards, render, etc. You don't want to be in a property that is in a flood area, or have any easements that impact potential build areas. What's your budget? Have you looked at comparable sales and are you being realistic? If you're really keen on something, pay to get a building inspection done <$500. Good luck.

You can also consider north of Melbourne, Glenroy and surrounds. Look at zoning maps if you want to subdivide longer term.

 

[glasszon]

I have been to the area for a look, the Matthew Hills area look nice, on the other hand there's pockets of Sunshine West where I don't feel safe at all.

Looking to buy it for primary residence and want as much CG as possible. Ideally I want a house with 600m2+ land for subdivision potential.

Budget is ~550k, I can go a bit higher but I really want to keep the first home stamp duty concession. Is this budget reasonable for a house in Sunshine?

Haven't really thought about schools, are there good schools near Sunshine? I am still quite young so that isn't something I looked into, but definitely good school is a plus since it would increase the potential CG in the future.

What you define as a house with 'good bones'? I been to a few open homes that are termed as "renovator's delight" in the ad and the condition of those homes are dreadful (eg. uneven surface, walls peeling off etc).

Haven't looked at Glenroy before, I will have a look at that as well.

 

[jpcashflow]

Hi

Hello,

I live in the area and also have some investments in the area too.

I guess when you are looking at living in the area it becomes a different ball game all together.

I will message you some parts and not parts to look at

 

[cimbom]

are there good schools near Sunshine?

As someone who went to high school there, the short answer is no. High drop out rate and poorly resourced schools resulting in below average academic performance on average. Of course, you could always pay for private schooling elsewhere. There are people who do well (like everywhere) but that's always easier when your environment is conducive to it.

 

[pinkboy]

Hello,

I live in the area and also have some investments in the area too.

I guess when you are looking at living in the area it becomes a different ball game all together.

I will message you some parts and not parts to look at

Why not put it on the forum so everyone benefits instead of secret squirrel through PM?


pinkboy

 

[oc1]

Why not put it on the forum so everyone benefits instead of secret squirrel through PM?


pinkboy

Don't you also feel like PM'ing him to find out?

 

[KoopaTroopa]

I have been to the area for a look, the Matthew Hills area look nice, on the other hand there's pockets of Sunshine West where I don't feel safe at all.

Yes Matthews Hill area is the best part of Sunshine.

Just remember that "Sunshine" and "Sunshine West" are completely different suburbs and only share the word Sunshine.

Since you're looking in the area, the general consensus rankings would be something like

1) Sunshine
2) Albion
3) Sunshine North
4) somewhere else lol
5) Sunshine West

Budget is ~550k, I can go a bit higher but I really want to keep the first home stamp duty concession. Is this budget reasonable for a house in Sunshine?

$550k will definitely buy a standalone house in Sunshine, though that's for old houses with decent size that would need a lot of work.

$400k-ish now buys a 2-bed brand new townhouse

I saw a REALLY **** property got for $575k last year, on Parsons Street....but I'm pretty sure it was 750sqm+

Haven't really thought about schools, are there good schools near Sunshine?

High School = Caroline Chisholm college maybe (it's in Braybrook, not Sunshine)

Primary = Our Lady of the Immaculate, probably an OK school

There are a few more

There's also the Vic Uni campus north of Ballarat Rd

 

[glasszon]

Interesting to hear Sunshine West rank so poorly compared with Sunshine North, is it because of the industrial area in Sunshine West?

Normally what people put value on in Sunshine? Personally I put a lot of weight to train station since I work in CBD, but is it a mistake if I am looking for good growth potential?

Ouch about the 575k house...., is it possible to get a decent house that is livable (without spending a lot on renovation), have a good size land (600m+) yet still have a 5 in front of the sale price? Am I being too optimistic?

Haven't looked at Sunshine North too closely yet, guess I will drive there during Easter weekend and check it out.

Edit: I went to the auction on Parson street last weekend, my heart sunk when I saw it go for 680k+, I hope it is an exception though because that house was really nice.

 

[tone1]

I don't think you will find anything on Matthew's Hill in your price range and on the criteria you are looking for. Smaller blocks or units on the hill would probably fall within your price range, or perhaps run-down houses which require significant renovation. The area attracts a premium compared to the rest of Sunshine and you have realised why.

The next best part of Sunshine is the 4 streets at the south of the suburb, Morris to Couch Streets. The majority of houses here are period homes with heritage overlay, blocks are around 500sqm or just under. Obviously not ideal for subdivision but to live, this is in my opinion the best part of the suburb if you are not on the hill. Walking distance to train station. For a renovated house, expect to pay around $600K.

Central Sunshine, you could perhaps get something good for under $600K. Albion, your budget will get you something already renovated and on a decent sized block, same with Sunshine North.

The issue with Albion is stock, it's a small suburb, most houses that sell are not renovated, you'll have more opportunity in Sunshine North.

 

[jpcashflow]

Hi,

Why I am going to private message? Because rather then saying this area is bad or good, I would help the person by asking some questions to see what his or hers needs are....

A area might be bad for one person but it might be good for another..

 

[pinkboy]

Hi,

Why I am going to private message? Because rather then saying this area is bad or good, I would help the person by asking some questions to see what his or hers needs are....

A area might be bad for one person but it might be good for another..

Which can be done on the forum..............

Different agenda like when you PM finance needs, however that has at least cooled of late.


pinkboy

 

[glasszon]

Thanks everyone for their insight, really helped me in narrowing down what I should look for.

For a first home buyer, is it worthwhile to get a buyer's agent? I got an idea of what I wanted to get, but everyone says the first property is the most important and so I am just afraid to buy the "wrong" one that ends up costing a lot of money.

 

[S.T]

Thanks everyone for their insight, really helped me in narrowing down what I should look for.

For a first home buyer, is it worthwhile to get a buyer's agent? I got an idea of what I wanted to get, but everyone says the first property is the most important and so I am just afraid to buy the "wrong" one that ends up costing a lot of money.

A builders inspection report should help you not buy something that doesn't 'cost a lot of money'. Use this forum to self educate yourself, ask lots of questions. Going rate for a buyers agent is probably 10k+ for full service, that's a fair whack of cash to outlay which could go towards your deposit, pay for some LMI if you're under 20%, may pay for a new kitchen etc.

You know yourself what you want - its a personal decision to buy a property that you're going to reside in.

 

[glasszon]

That's true - guess I just need a week or two to absorb all the information and then re-evaluate whether I really do have a need for buyer's agent.

Got a silly question - how safe is Sunshine train station? Should I be worried if I arrive to Sunshine train station after dark and walk home?

 

[KoopaTroopa]

That's true - guess I just need a week or two to absorb all the information and then re-evaluate whether I really do have a need for buyer's agent.

FWIW, I've bought via Buyer's Agent and also bought using my own research and instincts.

I had a positive experience using Buyer's Agent, but it was for an IP interstate. For PPOR, I wouldn't be against using a BA again.

Got a silly question - how safe is Sunshine train station? Should I be worried if I arrive to Sunshine train station after dark and walk home?

It's not a silly question at all.

Years ago, LONG before renovated station I used to go to and from Sunshine station into the city. I'd leave my car at the carpark (Sun Crescent side of the tracks).

In the return trip evenings, I rarely felt safe walking in the old tunnels to the platform, and my old beat-up Mazda 323 had been broken into twice. During the day was fine.

TODAY, I would gladly go there. It is significantly better and more secure, thanks to the works done to the station from the Regional Rail Link project.

I haven't done so myself, but if you were to look up crime stats (car thefts/break-ins, etc) I'd wager they are significantly less after the renos done to the whole line. (Footscray, West Footscray, Tottenham, Sunshine, Albion all got awesome upgrades to their stations - significantly increasing their security factor IMO)

 

[glasszon]

Phew, looked at plenty of houses today.

I turned my focus to Sunshine North this weekend. Wow - there's so many listing in that area and a lot of the houses there are quite nice. Do anyone know much about the area of Sunshine north that's beside the Western Ring Road (M80)? There's lots of nice property around that area but I am afraid getting to work by train could prove tricky.

Is it unusual to ask the agent as to why the owner want to sell the property? I asked that question a few times today and got some weird looks by the agent. What are the usual questions that I should ask for the agent?

There seems to be a premium attached to houses close to the shopping centre/vic university, is it a good area to live in?

Feels like it is much easier to look for a property I wanted in Sunshine North, however I am afraid it is getting a bit too far from city and hence limit the growth potential. Anyone want to chip in about Sunshine North?

From the last few weeks I feel I start to get a handle on Sunshine/Albion/Sunshine North area, any suggestions on where to take it next from here to find my property? Should I take a day off and go chat with all the agents about unlisted property and whether there's a chance to purchase one before they lists?

Sorry for so many questions

 

[pickle pickle]

My partner has just bought a unit in Albion to live in. I am quite impressed with the area though the real estate agent in the area are a little weird.

The issue with Sunshine North isn't its distance from the city (there aren't that many areas that you can get that cheap property so close to the city) but rather infrasture, especially compared to Albion and Sunshine. The reason why there is a premium on houses close to the shopping centre is because they are so close to the infrasture.

I would try and target Sunshine or Albion, even though these areas are harder to find a decent house for a reasonable price. Reason why I would target those areas is due to both of them being so close to the train station (walking distance) and Albion is very close to the main strip to Sunshine. You could target this property but I wouldn't pay anywhere near $530,000 for the property.

http://www.realestate.com.au/property-house-vic-albion-118572475

This property based on recent sales is worth between $400k to $450k based on sale of this property which I believe has more development potential because it is on Ridley Street.

http://www.realestate.com.au/property-house-vic-sunshine-119057387

Property below on same street sold for $430,000. Has one more bedroom but land size is slightly smaller that number 15.

http://www.realestate.com.au/property-house-vic-albion-119005379

Another property you could look at, though doesn't have development potential but probably better to live in is this property

http://www.realestate.com.au/property-house-vic-albion-119405447

This property is in a better location (less land though), however if you buy the property at the right price (around $350,000-$370,000) you should do well on the CG and you and your family can live in it.

The key to Sunshine is how close it is to infrastrure. That is what will determine capital growth.

I wouldn't try and get unlisted properties as you'll pay a premium for it to get it.

 

[GreyGhost]

Investors are buying Albion for the development potential mainly.
Of those properties you listed the first has been on market for months, vendor is asking too much, but as market catches up it will eventually sell. It is corner block with good land and if you didn't want to do townhouses you could dual occ it or maybe for 2 units on the back. The weatherboard listed is a knock down job. Can't dual occ it as house to fence prob not wide enough. Then last one the double story is on a tiny block and IMO would make a terrible investment as their is no potential to create equity..
I went to an auction I'm Albion 3 weeks ago, 697sqm block. Sold for 525k. Prob 15-20k above what I thought or was worth, however it was brick and also 5 br with 3 living areas. So the additional rent will more than cover the additional 15-20k paid for it.
I looked at Albion 2 years ago for developments. Then the figures didn't stack to do developments as the townhouses were not getting high enough sale values to make the deals work. Now we are seeing them start to get low to mid 400's.. So in my opinion land banking in the area like the 5br purchase is a good strategy until the figures work to make some coin from development. Just need to weigh up the holding cost for the time being as rental income is not the best in the worse for wear run down weatherboards..
Albion has merit. Sunshine has moved a lot already.

My partner has just bought a unit in Albion to live in. I am quite impressed with the area though the real estate agent in the area are a little weird.

The issue with Sunshine North isn't its distance from the city (there aren't that many areas that you can get that cheap property so close to the city) but rather infrasture, especially compared to Albion and Sunshine. The reason why there is a premium on houses close to the shopping centre is because they are so close to the infrasture.

I would try and target Sunshine or Albion, even though these areas are harder to find a decent house for a reasonable price. Reason why I would target those areas is due to both of them being so close to the train station (walking distance) and Albion is very close to the main strip to Sunshine. You could target this property but I wouldn't pay anywhere near $530,000 for the property.

http://www.realestate.com.au/property-house-vic-albion-118572475

This property based on recent sales is worth between $400k to $450k based on sale of this property which I believe has more development potential because it is on Ridley Street.

http://www.realestate.com.au/property-house-vic-sunshine-119057387

Property below on same street sold for $430,000. Has one more bedroom but land size is slightly smaller that number 15.

http://www.realestate.com.au/property-house-vic-albion-119005379

Another property you could look at, though doesn't have development potential but probably better to live in is this property

http://www.realestate.com.au/property-house-vic-albion-119405447

This property is in a better location (less land though), however if you buy the property at the right price (around $350,000-$370,000) you should do well on the CG and you and your family can live in it.

The key to Sunshine is how close it is to infrastrure. That is what will determine capital growth.

I wouldn't try and get unlisted properties as you'll pay a premium for it to get it.

 

[thangnm]

I had a look at this property last year, did not expect it to be sold for that much. This area is really going up in price. http://www.realestate.com.au/property-house-vic-albion-117679795