where is the bargains in Perth

[Aaron Sice]

Kelmscott is undervalued IMPO.

get in around the new train station and you'll see value - esp in the R25 area with a 4x1 or 4x2. serious lack of supply of 4 bedders in this area.

 

[Ausprop]

get in around the new train station

that's news to me in itself

 

[Ausprop]

i.e. just pick any?

pretty much, tho you need to attempt to remove contruction and refurbs from the numbers... I would think east perth is mainly that. Find an old area doing those sorts of numbers and you are on a winner. about 10 years ago I read the best performing adjusted suburb (i.e. remove improvements) is Shenton Park. tho knowing Subi well and seeing the hit it has had from the GFC I reckon it has to be good buying now. Can't believe areas like floreat... places that were just sub $1m a few months back are all gone and prices seem to start at $1.3m now if you can find one.

note also that a small % increase compounded over many years does make abig diff in the long run

 

[Samwise]

Good advice, thanks.

Not related to my query, but i agree on the rebounding of the premium suburbs pricing... the bargains have already gone. We keep our eye on South Perth (for our PPoR) and i'd say prices in the $1m+ area have risen about 10-15% in the last 6 months.

Sam

 

[Jebb]

Ashfield or thereabouts may be an option with the new development planned around the station area

 

[bene313]

Anyone had a sniff around Rockingham lately?

 

[Rixter]

Anyone had a sniff around Rockingham lately?

Yeah.. that smell is terrible.

 

[Aaron Sice]

Ashfield or thereabouts may be an option with the new development planned around the station area

HELL YES!!!!

Ashfield (thanks Linda!!!) is an awesome buy.

 

[jaycee]

Ausprop & Ricster, I was reffering to this,

I was looking at swanbourne, claremont, dalkeith, cottesloe. the place i had my eye on in Swanbourne was off a true 33%. also city beach and floreat were hammered. I am told some places in applecross took a 40% knock

OK, so not your typical investment property stomping ground, thats what i was getting at...

yeh but that's the 2-7km range... otherwise it really only leaves rivervale, cloverdale etc. Mt Lawley, East Perth, South Perth are all the same dog as the ones I mentioned above.

There are no other suburbs besides these ? Is Mt Lawley etc the same dog as Dalkieth ?

 

[Ausprop]

There are no other suburbs besides these ? Is Mt Lawley etc the same dog as Dalkieth ?

I think they behaved similarly? i dont actually follow mt lawley but would be surprised if it broke ranks. I guess east vic park held its ground and is a cheaper suburb

 

[kero]

i would think mt lawley would be similar to mt pleasant, pricing wise.

i like both... lawley has the cafe strip and plesant has the river and shopping center... but way off my budget

 

[drewr33]

What are your thoughts in the Yangebup area?? (close to coogee) Im looking at buying my first home... as a IP. With a max spending around $450k

Other areas I was thinking around Atwell..

 

[Rixter]

What are your thoughts in the Yangebup area?? (close to coogee) Im looking at buying my first home... as a IP. With a max spending around $450k

Other areas I was thinking around Atwell..

Atwell is a fantastic area for IP and/or ppor however you wont buy much here for sub $450k in a 4 x 2. Thats the starting prices...unless you want 3 bed house / villa which are few & far between. They do come up tho.

Its very well located to Perth, Fremantle and ocean at Coogee. Has a major satelite cbd of Cockburn Gateways & cockburn central adjacent. CLose to high employments areas, recreational & major medical facilities.

 

[kathryn d]

Rixter,
I think your previous post where you talk about your 10 year rule,drawing equity from a property is very interesting.
Just wondering if you have started doing this yet?
If so, are the lenders concerned at all that you don't have "employed "income? If you used the equity to live off of, it wouldn't be tax deductible. You would need to live off the rent, and use the equity to pay the mortgages with..right?

 

[Aaron Sice]

i remember Rixter telling me that some people freak out when he says he has "0" income...

 

[Ausprop]

i remember Rixter telling me that some people freak out when he says he has "0" income...

This really throws bankers and financial type people. usually it is met with silence and then "...so what do you live on?"

 

[Perth Investor]

This really throws bankers and financial type people. usually it is met with silence and then "...so what do you live on?"

Is that not the logical next question?

(sorry I'm a banker / financial type person...)

 

[Ausprop]

it should be pretty easy to reduce your income to nil thru non-cash deductions and other forms such as LOE. particulalry when you are developing as project costs are written off immediately so until you wind down your development activities you can go for years on losses whilst selling profitable developments

 

[jaycee]

I don't think it's unfoudned that I didnt know much aobut this reducing your income to nil business.

I have sort of understood it sort of in a fuzzy sort of way just by tking a bit of an intrest.

Is it not a scary sign when people like high enough level bankers to amke decisions about their lenders', seem to have no greater concept of it than me ?

 

[El Narros]

Any of you guys heard of Forrestfield? If so what are your thoughts, 5 - 10 min away from Welshpool/Kewdale/Int Airport. 20 min from City but miles from the beach, 3x1 are between 330-400k. Its bit of a bogan area but there cant be much out there at that price range close to these areas.