Toowoomba gurus - what type of IP?

Guys I'm focussing in on Toowoomba.

I'm ok with the 'where' - I have several suburbs to focus on and that I've done research for.

But what I'm finding difficult, without much stats or other info that I can find, and not having visited the area as yet (I'm from Sydney), is trying to work out the 'type' of property performs best (in terms of capital growth) in the district.. i.e townhouse, house on land, large blocks, units etc.

I have been speaking with property managers in terms of what properties are in demand from rent. But what grows best is where Im having difficulty.

Any tips appreciated.
 
to put in context, the broad buying category : sub 300k , healthy yield 5%+

Sub 300k you're basically limited to older houses and units in the northern and western suburbs of Toowoomba. Won't find much sub 300k in the areas hugging the edge of the Toowoomba Range.

The people I have talked to on the ground (I was in Toowoomba 2 days ago) have said that there is generally a shortage of modern houses (note houses rather than units) in the established suburbs of Toowoomba.
 
Thanks Norwoodman, appreciate your thoughts.

Have been looking at Centenary Heights and Rangeville particularly, considering a 3 bed that I can turn 3 into 4 beds, much nearer to 300k (although most are asking 340-350k). Most appear to be solid brick, some built in the 80's and later, with 600sqm + and depreciations look pretty good for most of them. Usually a 5-5.5% yield or so. The more I look at it I consider it may be better value to stick with this plan, fight hard for a good price, and find the 20-30k and get into the above suburbs.

Any thoughts good bad or otherwise?
 
Rangeville and Centenary Heights are amongst the biggest movers of the Toowoomba suburbs so far, and still seem to be well and truly moving as I see it. Anything sub 300k that is in reasonable condition (and not on a major road) is being snapped up really quickly in those two suburbs, whereas lower priced properties in the north and west are taking a bit longer to sell and haven't really moved much to date.

My observation on housing in those two suburbs is similar to yours. Most of the housing in those two suburbs is from the 1980s, whereas in most other areas they tend to be dominated by older properties than this. There are some units/townhouses about, but they don't seem to be dominant in numbers as such.
 
Thanks Norwoodman.

Are you thinking those other suburbs (Ive looked at Newtown anors) will follow suit?

I still really like Cent Heights and Rangeville to attract perhaps a better quality higher paid tenant (there is plenty of good salary earners in Toowoomba..), perhaps with a family, with good depreciation, and strong historical capital growth.
 
Thanks Coota yeah I suppose that's where Im in two minds. Whether I do stretch that far and aim for a better quality stock. I would need to reassess the numbers if that turned out to be a better investement opportunity, rather than other locations in say the high 200k's.
 
There's been good movement in Newtown already and my gut instinct is that it will continue to follow the trend of it's neighbouring suburbs.

Our IP in Newtown has jumped $40k on paper (to $260k - April 2014) since our last val in Dec 2012. It's had a paint job and new floor coverings, so maybe $5k spent on it, pretty happy with this result.

The whole suburb seems to be having a revamp.
 
Hi Breamster, good choice of location. I grew up in Toowoomba and i still think houses are the way to go and a good choice of suburbs too. Although there's a growing like for units/townhouses, most still prefer houses.

A lot of people talk up how competitive it is up there at the moment but i just listed one of my IPs there and i believe they had 3 parties through per open house in the past couple of weekends. brick, inner city. Maybe i had my expectations too high! oh well. good luck with the buying.
 
Do you guys with IPs in Toowoomba recommend any PMs in the area? And a solicitor?

Im tending to focus on family houses now..4 beds, slightly over 5% yield, proximate to schools and retail as usual etc. Rangeville tends to be good value for this of thing Im thinking. Really appreciate your input.

Will travel up there in next week or so.
 
Do you guys with IPs in Toowoomba recommend any PMs in the area? And a solicitor?

Im tending to focus on family houses now..4 beds, slightly over 5% yield, proximate to schools and retail as usual etc. Rangeville tends to be good value for this of thing Im thinking. Really appreciate your input.

Will travel up there in next week or so.

Toowoomba is generally well laid out, most areas are fairly walkable and close to shops, schools, parks (the city is also known as the Garden City) and other amenities. Just watch out for the noisy arterials (James Street and Tor Street) that carry the trucks along the Warrego Highway through Toowoomba.
 
Thanks Gents.

Re Property Manager - I know what you mean in terms of what sort Im after. Searching for one who is exceptionally well organised, thorough, and enthusiastic. Just downright competent and who looks after things..

There seem to be some good large blocks that perhaps subdividable, but I simply don't have requisite level of knowledge to engage, no matter how tempted I am. For this one I'm going to stick to recipe that I set for myself last year.
 
Toowoomba IP

Just bought a nice 4 br brick with huge rumpus for $335, rented for $370 within a week. Not in the areas you mentioned but am very happy with the area nonetheless. Lived here for 30 years. House was on the market for 2 weeks. Friend sold hers in 8 hours!:)
 
Back
Top