Sydney suburbs vs Brisbane

The BBQ area, gym, swimming pool, meeting rooms and lifts mean that you will have very high strata fees. These will really eat into any rent return, compared to buying older established properties.

Yes, that does make sense for the cons.
Thanks mate for the input I'll keep that in mind. I guess it is better for me to look for already established building in the area as it is cheaper than OTP.
 
It makes more sense than an OTP in Penrith , but there are significant concerns about an over supply of high rise units in Inner Brisbane .

I'm not looking at that area myself , so I'm not upto speed with the current Situation , but it's something Ito check out . I think Michael Matusik has said something . Google " Oversupply Brisbane units " and there's lots of links .

Having said that , We're about to settle on an OTP unit in Teneriffe , BUT , we bought that in late 2013 . At the time we bought , the market was flatter and the developer was selling the units for around 50 K below the then market price because he wanted everything sold prior to starting the build.

The developer ( Cavcorp ) is well regarded . Recently they were selling another development , but we decided not to go with them again as this time round the units appeared fully priced and I can see better opportunities elsewhere .

Cliff
 
Because in general, investors don't like OTP.

Inner city is already facing an oversupply problem. So it's not a good combination.

Plus FV is a bit of a scummy place. I don't know if it still is these days but I never enjoyed being there. But this isn't a huge factor - there's no reason why it can't clean itself up over time.
 
Because in general, investors don't like OTP.

Inner city is already facing an oversupply problem. So it's not a good combination.

Plus FV is a bit of a scummy place. I don't know if it still is these days but I never enjoyed being there. But this isn't a huge factor - there's no reason why it can't clean itself up over time.

Thank man,

I personally never been there but obviously only heard from the marketing gimmick and stuff that they say in the Property Seminar in Brisbane.

They said that if we pick anywhere within (or under) 12 km from the CBD circle it is certainly going to be a great CG Investment for the next 5 years.

But yes, thanks for the comemnts, I've never been there so I'll focus in some outer area in Sydney then.
 
Thank man,

I personally never been there but obviously only heard from the marketing gimmick and stuff that they say in the Property Seminar in Brisbane.

They said that if we pick anywhere within (or under) 12 km from the CBD circle it is certainly going to be a great CG Investment for the next 5 years.

But yes, thanks for the comemnts, I've never been there so I'll focus in some outer area in Sydney then.

Even if I had 10 million cash to splurge, the areas I like best aren't within 12km's from the city:)

Investors here like to harp on non-stop about this blanket 12-15k rule, but that's *understandably* because they don't live there so it's an easy formula for success if you don't know the city like the back of your hand. But as an (ex)local, I don't live by that rule. As I said, I don't even follow it!
 
I personally never been there but obviously only heard from the marketing gimmick and stuff that they say in the Property Seminar in Brisbane.

No OTP isn't necessarily a gimmick / scam. The only part of the deal you mentioned that sounded like rubbish was the rental guarantee. Otherwise OTP does have its place, just not in the portfolio of many investors. There are other reasons why investors generally don't go for them, but they have nothing to do with them being scams.
 
Even if I had 10 million cash to splurge, the areas I like best aren't within 12km's from the city:)

Investors here like to harp on non-stop about this blanket 12-15k rule, but that's *understandably* because they don't live there so it's an easy formula for success if you don't know the city like the back of your hand. But as an (ex)local, I don't live by that rule. As I said, I don't even follow it!

No OTP isn't necessarily a gimmick / scam. The only part of the deal you mentioned that sounded like rubbish was the rental guarantee. Otherwise OTP does have its place, just not in the portfolio of many investors. There are other reasons why investors generally don't go for them, but they have nothing to do with them being scams.

Cool, thanks for the suggestion Jerry, you've saved my bacon ;-)
 
is that because Fortitude Valley has already overcrowded with too many stock when the OTP project finished ?

Yes. There are too many already, and too many more on the way.

Please don't make any decisions until you have spent more time on here asking questions and learning. It might turn out that OTP works for you but the areas you've mentioned would be almost at the bottom of any list of suburbs to buy OTP at the moment.
 
is that because Fortitude Valley has already overcrowded with too many stock when the OTP project finished ?

Fortitude Valley is no longer the scummy place it once was and is now very popular, the problem is the massive supply line of new otp projects either underway on proposed. This is likely to lead to a oversupply of CBD units. This has been quite widely published and is common knowledge to investors generally. The fact that you are unaware makes me think that more research is required on your behalf before jumping in. The locations mentioned like Ipswich and Logan are good locations to start and I would consider looking elsewhere in the greater BN area for suitable locations like Wynmum, mt Gravatt,Redland bay or other northside locations like Chermside or Aspley etc.
 
Fortitude Valley is no longer the scummy place it once was and is now very popular, the problem is the massive supply line of new otp projects either underway on proposed. This is likely to lead to a oversupply of CBD units. This has been quite widely published and is common knowledge to investors generally. The fact that you are unaware makes me think that more research is required on your behalf before jumping in. The locations mentioned like Ipswich and Logan are good locations to start and I would consider looking elsewhere in the greater BN area for suitable locations like Wynmum, mt Gravatt,Redland bay or other northside locations like Chermside or Aspley etc.

Thanks mate for the clarification. So I guess, I'll have to move away from that area and buy existing unit. (and of course existing apartment have no promotion or brochure for the location features etc...)

I'm not in Brissy area so it is hard for me to travel from regional NSW (South Coast) to the QLD state just to have a look around.

I guess I'll have to rely on the statistics and this forum opinion before making a purchase of the IP in Brisbane.
 
Why not narrow your search area a little, do your D/D, make a short list and line up multiple appointments in 1 or 2 days. You could probably do it in one day from Sydney, thats what I would do.
 
Hi There,

Whats Brissy folks thoughts on Rochedale South area? Is it still considered apart of Logan ? Seems to be a few decent houses on decent blocks down that way. Is there any way comparable northside ?


Cheers
 
Hi There,

Whats Brissy folks thoughts on Rochedale South area? Is it still considered apart of Logan ? Seems to be a few decent houses on decent blocks down that way. Is there any way comparable northside ?


Cheers

No compare it to others in the south. North and South Brisbane are two very different beasts.
 
John Henry

Just spend some time reading the forum .

The first thing you need to work out is what type of strategy / property you want.

Some people really go on about their strategy . Personally , I've looked for the best opportunity that's available at a particular time , while having an overall concept of what I'm doing .

We have a combination of different styles of properties , which we have bought at different times depending on the market at that time .

My general approach is to buy nice properties when the market is crap , and then as the market starts to , or is about to take off gear up more aggressively with cash flow properties , and then when they've all gone up , sell , those to pay the nices ones down and live off the income of those .

Someone like rixter is very much into analysing areas and looking for places that are going to improve and buy there and it's worked for him

The places we've bought in nice areas ( Mosman , manly in Sydney and manly Wynnum , Tenerife in Brisbane ) are already nice , and not likely to move up market , so that's not something I look at . But it's worked for me .

Cliff
 
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