You may as well buy penny dreadfuls and hope they go from 1c to $5. Gambling. Same as Lakemba. Great returns but expect property to stay at $160K in that area for another 20 years. There is a reason and those who know the area know why.
Where to buy in Sydney
- Thread starter Fisher
- Start date
I would have thought +- $100k.
I've copied this from wikipedia to give you an idea on why Lakemba may have its problems.
From the mid-1970s, Lakemba became very popular with migrants from Lebanon and by the mid-1990s the area was considered a centre of Lebanese Australian life. The founding of the Lakemba Mosque and the establishment of specialised restaurants, take-away shops, grocery shops, clothing and book sellers has encouraged a general perception of Lakemba as a predominantly Arab and Muslim suburb, particularly in the media. In fact — in common with most of the rest of Greater Sydney — Lakemba is best described as predominantly multi-ethnic and extremely diverse, but with an Arabic-speaking and Muslim plurality.
According to the 2001 Census, 67.7 per cent of Lakemba residents (14,647 persons) stated they had been born overseas — one of the highest proportions in Australia. Nonetheless, the Australia-born still constituted the largest individual birthplace group, at 32.3 per cent (6,994 persons), followed by the Lebanon-born at 7.6 per cent (1,651 persons), the Viet Nam-born at 6.2 per cent (1,332 persons) and those born in the People's Republic of China at 5.7 per cent (1,234 persons).
In terms of ethnicity, the largest group in 2001 were those claiming Lebanese ancestry with 14.8 per cent of the population or 3,183 persons, followed by those claiming Chinese background at 11.0 per cent or 2,361 persons, and thirdly by those claiming "Australian" descent with 7.7 per cent or 1,654 persons. Although more recently there has been a large increase in people of Bangladeshi origin.
Census data reveals that Arabic is the most common home language in Lakemba, used by a plurality of 22.1 per cent of residents (4,788 persons), followed by English only — the home language of 17.8 per cent (3,850 persons) — and the Chinese languages which are spoken by 9.9 per cent at home (2,136 persons). The English language was spoken exclusively or "very well" or "well" by 71.2 per cent of the suburb's overseas-born in 2001.
I don.t doubt it.
With the limited info I found, this block of units warrants further investigation and could well turn out to be a great investment.
Pity I'm not in the position to invest $1m at the moment otherwise I'd have a closer look.
With the limited info I found, this block of units warrants further investigation and could well turn out to be a great investment.
Pity I'm not in the position to invest $1m at the moment otherwise I'd have a closer look.
I like the Lakemba block too. Must be in a really dodgey street or the units are tiny or there is just no interest in taking on the property management of the buidling (which would be onerous)
I have no experience in owning a whole block but here are my thoughts after owning a basic 2 bedroom unit in Auburn for the last year which shares some of the same demographics (see wikipedia info on Auburn below*)
On the Lakemba block:-
$52000 Gross annual Return= approx $1000/week
6 x 2 bedroom units translates to $166/unit per week. Must have been a few problems with tenants not paying or the block is seriously under-rented. There is a shortage of rental property available. Buy the block and have landlord insurance on each unit (check that insurers will insure Lakemba...strong likelihood you will be claiming for lost rent at some stage). The property manager is key to the success of the deal. I reckon with good property management you could acheive at least $220/week avg. i.e. $68,6400 gar (a return of 6.8% pa). Offer 950K. If accepted the yield will be 7.2% gross.
Can't find even a one-bedroom unit in Lakemba under $210/week
This one bedder for $220/week
http://www.realestate.com.au/cgi-bi...r=&cc=&c=20130983&s=nsw&snf=rbs&tm=1209045420
*Demographics
Auburn prides itself as having one of the largest refugee communities in Australia. The traditionally anglo-celtic and southern European population has slowly been replaced by a high percentage of immigrants from Turkish, Lebanese and Vietnamese backgrounds. Auburn also has a fast growing Iraqi, Iranian, Afghan, Sudanese and Chinese communities. Auburn has received some negative publicity in recent time within the local Australian media as being an enclave of immigrants within largely anglo-celtic, lower-middle class western Sydney. There is an interesting juxtaposition between the large Islamic community and the lower-middle class anglo-celtic community.
Ajax
I have no experience in owning a whole block but here are my thoughts after owning a basic 2 bedroom unit in Auburn for the last year which shares some of the same demographics (see wikipedia info on Auburn below*)
On the Lakemba block:-
$52000 Gross annual Return= approx $1000/week
6 x 2 bedroom units translates to $166/unit per week. Must have been a few problems with tenants not paying or the block is seriously under-rented. There is a shortage of rental property available. Buy the block and have landlord insurance on each unit (check that insurers will insure Lakemba...strong likelihood you will be claiming for lost rent at some stage). The property manager is key to the success of the deal. I reckon with good property management you could acheive at least $220/week avg. i.e. $68,6400 gar (a return of 6.8% pa). Offer 950K. If accepted the yield will be 7.2% gross.
Can't find even a one-bedroom unit in Lakemba under $210/week
This one bedder for $220/week
http://www.realestate.com.au/cgi-bi...r=&cc=&c=20130983&s=nsw&snf=rbs&tm=1209045420
*Demographics
Auburn prides itself as having one of the largest refugee communities in Australia. The traditionally anglo-celtic and southern European population has slowly been replaced by a high percentage of immigrants from Turkish, Lebanese and Vietnamese backgrounds. Auburn also has a fast growing Iraqi, Iranian, Afghan, Sudanese and Chinese communities. Auburn has received some negative publicity in recent time within the local Australian media as being an enclave of immigrants within largely anglo-celtic, lower-middle class western Sydney. There is an interesting juxtaposition between the large Islamic community and the lower-middle class anglo-celtic community.
Ajax
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LOL nath. how pissed were you?
according to Australian Property Monitors
http://www.homepriceguide.com.au/sn...nkstown®ion_code=0208&state=NSW&source=apm
Unit cap growth prices in lakemba was 4.4% over the last 10 years.
Not great for a sydney suburb.
Cheers,
id look close for gentrification at the moment such as arncliffe, bardwell park hurlstone park campsie sydenham mascot
lakemba although not seeming that far is miles away because of the stigma
I agree, it should be due anytime soon. Just have a look at how far it is from the city. A mere stone's throw away really. Wonder why people would want to pay so much up Newport or even Killarney Heights way and take the long hike into the city everyday.
Hursltone Park is currently going through a bit of gentrification as suburbs like Duwlich Hill, Lewisham & Marrickille are becoming trendy and pricey.
I think Lakemba is a bit of stretch tho. Its a very a low socio economic, multicultural area (predominantly Lebanese) and wont be changing real soon.
I think Lakemba is a bit of stretch tho. Its a very a low socio economic, multicultural area (predominantly Lebanese) and wont be changing real soon.
and not everyone needs to go to the city everyday.