What areas in Melbourne are good value at the moment?

Deltaberry said:
I thought you were looking at Hawthorn?

Any way same thing with North Melbourne in my very personal opinion.

I suspect the flats will be a better entry price with better use of space achieving comparable rental returns with lower body corporate costs, compared to many of the new apartments/townhouses.

Not to mention being on the fringe of the city new apartments/townhouses will have to compete with prime site CBD apartments.
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Oh I am looking in Hawthorn mainly (would be ideal position), however I meant that I was going to be checking out North Melbourne areas for potential as well.

Haven't quite looked into flats - been moreso apartments and units. Will have a scope around now! Thanks !
 
Good value

GoingDHfast said:
I would be focusing on areas around middle-outer east such as Nunawading, Forest Hill, possibly Mitcham.

You can still get 600-800sqm blocks of land with an old weatherboard for 550-600k which is well under the $1000/sqm mark that was being paid early last year.

Once you head further in (eg: Blackburn) you will be lucky to find decent properties under 750-800 although there are some deals around currently.
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Yes, I agree with you "GoingDHfast" as I believe the area of Nunawading, Forest Hill and Mitcham are undervalued at the moment. Most were around the $1000+ mark a few months back! Just before the GFC hit the prices were rocketing away - especially in Nunawading with the train line going underground and the construction of the new rpimary school in Junction road. I reckon the effect of the new school's existance hasn't really taken effect yet although there is a great deal of renovation and 'knockdown and rebuilding' taking place.

Vermont could be a future gold mine too, although with the price of petrol I think you need to look at being close to a train line for great capital growth.

Good luck with your first, hopefully of many, investment properties.
 
Rising petrol prices? Give us a spell.

I reckon the best part about where I live is that there is no train. I used to catch the train everyday and it did not bother me. At least I don't have to sit in a traffic jam on the way to the shops for a bottle of milk.
 
South Yarra

I highly suggest South Yarra, there is a new apartment settling end of next year that is quiet cheap. I have the latest price list for it, love to share it with anyone who wants it.
 
buzzlightyear said:
25% less than current market value?
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From what I see it's about 20% less than market value. The rental appraisal for a 2 bedroom and 2 bathroom with a car space is $600 per week, but I suspect it to be more than that. there is not a lot units left, most of the cheapest ones are already sold.
 
keichang said:
I highly suggest South Yarra, there is a new apartment settling end of next year that is quiet cheap. I have the latest price list for it, love to share it with anyone who wants it.
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I call BS. OTP are not for sale below market value, especially in areas with a glut of them like South Yarra/Richmond/Docklands. Give me a break.
 
Aaron_C said:
I call BS. OTP are not for sale below market value, especially in areas with a glut of them like South Yarra/Richmond/Docklands. Give me a break.
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DITTO!

Also,keichang with 2 posts only in this thread i highly suspect has a finger in the pie.kiechang after a decent pie?PM me;)
 
Older units in inner Melbourne near public transport, eg Hawthorn, Richmond. Traffic in last few years has gone from bad to horrendous, this just makes inner city and PT even more sought after.
 
Toorak and most high end value suburbs are good value now.

You might pick up some houses for $50k-100k cheaper in certain suburbs, but you could pick up things in Toorak for say $5m cheaper. Not sure how you're going to make $5m in most other suburbs
 
units4me said:
Is melbourne really immune to savage price falls, like happened overseas?
Our house prices are still very high compared to the rest of the world. I guess what im getting at is, if there is a major fall, how wise is it to buy now and is it really good value? Espescially given the crap yields. Pass the crystal ball please.
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Buy under market value to build in a 'margin for % of fall'. If it's worth $500, don't pay more than $450 to factor in the possibility of prices 'coming off' another 10%.
Just a thought. It works great if it's an IP - no emotion etc so rejections just make you all the more determined to get a better deal.

I have no crystal ball, but it could be a strategy to stick to with if you feel that there is a risk; but want to take advantage of the possible up-side when things improve?
 
I was chasing a job in Melbourne earlier this year (it all went a bit quiet, unfortunately), and it struck me that asking prices were down quite steeply on what they were two years ago.

I don't know if selling prices are down so significantly, or just that during a boom vendors get somewhat more optimistic, and that a slower market takes some of the froth out of it.

That said, whilst Melbourne's not as expensive as it was before, it certainly doesn't seem cheap.
 
Hi All,

I think if you narrow down your research area and are willing to grab a quick deal that presents itself, there are probably heaps of opportunities in Melbourne.

i have been researching a particular area heavily over last few months and when something presented itself that didnt get snapped up, i was almost surprised!

made an offer on the property 29% lower than its asking price was in October last year...they didnt say yes :)

made final offer 21% lower...hesitantly the seller accepted!!!!!

according to property monitors valuation...we just picked it up about $135k under its Market value based on comparables in the area!!!!

first time ive really sat back and picked the eyes out of a narrow search area...and i think its paid off...only time will tell i guess...but if i go back to the bank in 6 months and get it revalued....i believe there is instant "paper" equity there...even if the broader market goes nowhere in this time.

Cheers,
Nathan
 
Hi " not happy"

> I believe that either a suburb is naturally a beautiful place to live ie beach front property Beaumaris, Portsea etc

> or it is "created" ie Heritage Springs, Lakeside, in Pakenham etc

> It's all about where the high "income bracket" want to live !!! Then surrounding suburbs usually go up as well.

> I my opinion, any thing a long the beach from Mornington to Portsea should go up. The beach is just a beautiful place to live. !!! Our family have always bought properties along the Peninsula. Can't go wrong. My bet is that Rosebud West , which is still a bit "rough", will improve, and will be the place to buy.

> Freeway Peninsula Link, from Carrum Downs to Mt Martha will soon be completed !!!! Improved infrastructure ( freeways etc) all adds value.
 
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