which area would you buy?

[Nathan]

Hey Guys,

Just found some decent regional deals and thought id bounce some ideas... saying these all cost the same amount of money per week and they are all houses, which area would you buy in first and what would be your runner up. and why?

Muswellbrook
Lithgow
Taree
Tamworth
Albury
Orange
Inverell

Ballarat

I will explain in short while why the exercise...

Personally, i reckon Ballarat, and Muswellbrook.

 

[Bayside]

Ballarat, close to Melbourne.

 

[Nathan]

Thanks Bayside.

any experience with WENDOUREE??

 

[PrimeCommercial]

Off the top of my head I'd suggest Tamworth, Albury and I'm going to throw another in the mix as I have had a look around there and that is Parkes. The NSW Gov. is looking to make Parkes a central transport hub between Melb and Qld, for trucking/ train and air freight. I'm waiting to see what will happen here.


Muswellbrook 10y CAGR 9.2%, yield 4.7%, 12 months sales 205
Lithgow 10y CAGR 8.7%, yield 4.6%, 12 month sales 116
Taree 10y CAGR 7.9%, yield 4.9%, 12 month sales 235
Tamworth ?
Albury 10y CAGR 9.9%, yield 3.7%, 12 months sales 105
Orange 10y CAGR 9.4%, yield 4.6%, 12 moths sales 615
Inverell ?
Ballarat 10y CAGR 9.8%, yield 5.1%, 12 month sales 600
Ballarat East 10y CAGR 9.7%, Yield 5.9%, 12 months sales 60
Parkes 10y CAGR 9%, yield 4.9%, 12 months sales 195

 

[keenas]

I'm looking at Muswellbrook myself at the moment.

I also like Parkes in NSW.

Hope to purchase one in either place within a week.

Thats my tip for all it worth

Keenas

 

[beachgurl]

I have a couple in Orange. I selected the area based on the low price of the properties and rental yield rather than making comparisons with other regionals. Orange is quite an affluent area, lots of Sydney treechangers are moving to Orange and the retired farmers with a bit of cash are moving there to retire. Population is increasing and more infrastructure is coming along.

To answer your question, I would go with Parkes if making a choice of the listed towns as the town is not based on the one industry and is experiencing good population growth.

 

[topcropper]

I would go Tamworth.

It's in a resource boom area. The north west NSW coal and gas fields are less than an hour to the west and Tamworth will be the major service city. No slow down yet in Tamworth, or anywhere else in northern NSW.

Muswellbrook is an established coal area, but it's getting mined out. Everything is moving north.


The downside?
Tamworth has already seen big price gains.
Massive subdivisions are already going in.
Definately no shortage of land, and never will be.
Rental yields are nothing to brag about.

See ya's.

 

[Peter Parker]

any experience with WENDOUREE??

Wendouree has a large shopping centre and will be getting a new railway station with fast trains to Melbourne.

West of Gillies Rd is the housing commission area - very basic fibro houses and the area locals joke about. Prices start from just over $100k, eg http://www.domain.com.au/Public/PropertyDetails.aspx?adid=2007320599

East of Gillies Rd is much nicer and closer to town but you pay $50k more eg: http://www.domain.com.au/Public/PropertyDetails.aspx?adid=2007336486

Expect it to appear on an 'ugly duckling' or 'hotspotting' report soon due to infrastructure, reasonable population growth and low prices though you read it here first!

But be careful about buying 'waterfront' on Lake Wendouree. http://www.abc.net.au/water/stories/s1584562.htm

Peter

 

[sunshine]

Muswellbrook is an established coal area, but it's getting mined out. Everything is moving north.

Can't agree on this one. Although Gunnadah has coal mines, and a new one beginning soon, gonna be a looong time before Muswellbrook and surrounds is mined out.

Dartbrook looks like it may be back in action real soon, and rumour has it, it will be an open cut in about 2 years. Huge seams there.

At least another 2 NEW coalmines in the pipeline around Muswellbrook. Seems there is a lot of area still to be mined

I do agree though, Tamworth isn't bad for an IP, but I personally think the boat left a while ago.

Sunshine

 

[sunshine]

Muswellbrook
Lithgow
Taree
Tamworth
Albury
Orange
Inverell

Ballarat

I have an IP in Lithgow, the last 4 years I have watched it go backwards, I reckon the time is about right for the area.

Muswellbrook seems to be the go for quite a few at the moment. I have been asked for a bit of "local" info from a few SS's who are buying there.

Personally, I reckon you need to have a look at Scone as well. It has far less "riff raff", no coal dust covering everything, and also has a huge horse industry. Close enough to reap the rewards, (25 ks from Muswellbrook) and far enough to feel a million miles away. I have found that a lot of mining execs prefer Scone. Home prices, rents and CG tend to be higher.

Aberdeen (between Muswellbrook and Scone) is another place to have a look at. Had some decent CG, people tend to like it there.

Back to the list

Taree - might be a problem with tenants there considering it has a river. (All due respect, we considered this town but decided it wasn't worth the risk. Same as Walgett, it has had some spectacular CG, but we weren't prepared to take on the risks associated either.)

Tamworth - I reckon the ship has sailed. The development there has been incredible. Personally I know many people who developed there and made good money. Doesn't seem that long ago for it to be ready to go again. Just my opinion.

Albury - No idea

Orange - I'm a bit iffy on this one.

Inverell - Possibilities.

Ballarat - No idea at all

Can't wait to find out why the exercise...

Sunshine

 

[stumunro]

Albury because of some big big international companies with factories there and the pretty strong local horse racing industry

 

[luce.rocks]

Orange - I'm a bit iffy on this one.

Hi Sunshine,

Do you mind if I ask why you're iffy on Orange?