westmead

[caz]

I was originally planning to buy an IP unit in Parramatta but have found I prefer Westmead. For around 300k (rent around 280-290k) I can get a neat newish (less then 10 year old) unit with 2 beds/2 bathrooms.
I would love others opinions as to the area and if they think this would make a good investment.
Thank you
Caz

 

[twobobsworth]

It's always been a stable rental market with the station, hospital & university. I don't think there is a huge difference between parra and westmead though.

 

[alexlee]

I was originally planning to buy an IP unit in Parramatta but have found I prefer Westmead. For around 300k (rent around 280-290k) I can get a neat newish (less then 10 year old) unit with 2 beds/2 bathrooms.
I would love others opinions as to the area and if they think this would make a good investment.
Thank you
Caz

I like Westmead too (hospital = jobs = renters). But I would have thought Parra has a bigger price range?
Alex

 

[ndpjai]

Hi Caz,

Westmead has a lot of potential than Parramatta/ North Parramatta. Assume Parramatta is going to be CBD in another 5 years then only the surrounding areas are good for residential (for peace of mind), which i feel is Westmead, North Parramatta, Northmead and Harris Park. But of these suburbs, Westmead has lot of benefits as everyone says like Train Station (Fast Trains Stops), Good Hospital and GP Medical centres, University, T-way and even Westfield shopping centre where other suburbs miss for ex. North Parra miss train station. So its +ve by all means to go for Westmead than anything else.

Good luck with ur investment.

Thanks
Jai

 

[caz]

Thanks every one.
I do really like the area, seems it has more tree lined streets and hospital / tafe/ station etc

I'll cross my finger that all goes well
Carolyn

 

[Jacque]

Hi Caz

I know this area very well and there's not too much difference between Parra and Westmead- though the area around Westmead is dominated by units, both old and new. Difference in cg over 10 yrs is about 1% (Parra 7.18% compared to Westmead 6.18%) but, considering you have a budget of $300K I'd be actually looking elsewhere for that money. If $250K was maximum, then Parra is OK but for $300K you're probably better off over the long term going for an established suburb with better long term cg and compromising on the size and age of unit instead. $300K will get you a 1bedder in many suburbs of Sydney that, in my humble opinion, are better positioned than Parra and surrounds. For eg, areas of the North Shore, Northern Districts and Inner West. Look for high historical growth, ongoing demand and proximity to major infrastructure and you'll be surprised at how close in to Sydney CBD you can actually get for $300K. Rents are improving as well, which improves your yield even in this low entry price bracket.

I'm currently looking for a client with a very similar budget to yours and though the LNS is moving, there are still opportunities to be found in the sub $350K market. It's all about getting out there and doing the legwork and being ready to buy when the right property comes along.

A recovery for Sydney is set for 2008, according to many property experts, and though the outer areas are yet to move since 2003 prices, the traditionally strong inner suburbs are already moving. Sydney is and will continue to be an international city, with high demand, despite the affordability crisis. Govt policy in the future will change the landscape (as it has a tendency to do!) hopefully for the better, as well.

 

[handyandy]

The problem I am finding looking in the highrise blocks is the strata levies that really play havoc with your returns.

Initially you may find a 4-5% gross return but then find that the strata levies come to 25% of the gross excluding other expenses such as rate water and management.

A very frustrating problem with the added concern that if the strata levies are so high now when the blocks are fairly new whats going to happen as they age.

Whereas staying within the low rise block that strata levies are a lot more reasonable with the added benefit that the rents are really not that much lower. Also any aging costs will be a lot less as there is less 'building'.

Cheers

 

[caz]

Thanks for the replies,
the strata fees of the places we are interested in are reasonable. I origanally was thinking of chippendale but the strata fees were huge even though the rent return is better. This is part of the reason I was avoiding closer in to the city.

OVer all the cost of holding properties in parra were so much cheaper
Caz

 

[ndpjai]

I don't mind buying a 10 to 12 years old unit in inner city, but the cost of maintenance, strata and the amount of people who buys when i'm interested to sell are minimal because that will be another 5 to 7 yrs old.

It's always better to buy a 2 bedroom with an ensuite, so it opens up doors for 2 couples to stay/ rent.

From my point of view, its always better to buy a unit which is less than 10 yrs old and so there comes westmead which is well within budget and facilities the suburb provides.

Thanks.

 

[cazabird]

parra set to boom

as a westie myself although an inexperienced investor I do live in that area. I think Parra is set in boom in a few years with a lot of govt jobs moving to the area. If you have fairly modest budget (which we do) I think you get more value for money in parra/westmead. Westmead is slightly more expensive than Parra to rent and to buy. Good luck

 

[Ahmad Azimi]

You can get a brand new 2beda for around 350k near Parra CBD or even in the CBD.

I bought a 2bed unit off the plan for 400k - 5% rebate at settlement which will be 380k. It will probably finish late 2008. Its only 5min walk from Parra station and westfields and 5min walk to Harris Park station. I believe thats a very good price for Parra considering there could be huge potential capital growth over the coming years as they are spending a fortune on upgrading the CBD.

$1.4billion on civic centre. New courts, and Govt. offices. Businesses relocating to Parra, recent upgrade of the train station and new bus terminal, huge shopping centre with cinema around the corner.

I think anything under 420k for 2beda at Parra is still good price. Anything above then it realy has to be something special so you would pay that much.

 

[ndpjai]

Good Potential

Hi Folks,

Heard from RE Agents- Pat Fraser and LJ Hooker, that lot of buyers have bought recently within a week of advertisement and inspection at the price quoted by vendor- probably 5K lesser than advertised.

IMHO, Seems to be this area - Westmead in particular has got good growth potential, comparing to North Parramatta and Harris Park.

TA

 

[alexlee]

Hi Folks,

Heard from RE Agents- Pat Fraser and LJ Hooker, that lot of buyers have bought recently within a week of advertisement and inspection at the price quoted by vendor- probably 5K lesser than advertised.

IMHO, Seems to be this area - Westmead in particular has got good growth potential, comparing to North Parramatta and Harris Park.

TA

Yeah, but Westmead is also more expensive than Harris Park and North Parra, no?
Alex

 

[ndpjai]

Yes Alex. Ur right its expensive, especially golf course side of Westmead is really good and some exclusive streets are still higher.

And the fast trains against Harris Park or no station at north parra makes it an adv.