Why is Seven Hills NSW cheap?

[aklahr]

Hi,
I am looking at possibly buying a house in Seven Hills. I wonder why the prices there are so much lower than the surrounding suburbs? Not being familiar with the area I just want to know if there is something negative about the suburb which I should be aware of. Or is it just an ugly duckling waiting to catch up with it's neighbours?
Thanks,
Andreas

 

[Jacque]

Blacktown city council. West side of Old Windsor Rd. Reputation.

Actually, I consider Seven Hills (well parts of it) good value for money right now, as I do several other suburbs within close distance. What are you looking to spend?

 

[aklahr]

Thanks Jacque,
Does Blacktown city council have higher rates or similar or is it just that it doesn't sound prestigeous enough?
What parts of Seven Hills do you consider good value? I don't know the area at all yet. Which surrounding suburbs do you think are worth having a look at?
I am looking to spend $350k at either a good condition 3 brm or a 4brm in need of some cosmetic work.
Thanks,
Andreas

 

[BV]

Prices are probably affected by the fact that some parts of Seven hills are semi industrial
and perhaps not as attractive as other suburbs and/or perhaps affected by the recent falls
in the western Sydney area and as such they will bounce back.

There is a train station with public car park, they have many schools
and a reasonable size shopping centre.
Last time I looked Seven Hills had many older type houses (weatherboard and fibro so they would be easy to redevelop but from memory I think I couldn't find large blocks of land.

Blacktown Council rates are not higher than others,
in fact, because this council covers a large area they collect a lot of money
so they can afford to keep their rates low.

I don't remember where I've read this, but despite the reputation that the area is poor
(which is incorrect anyway) the council has a lot of money.
It's also easy to see this because they are maintaining several libraries and public swimming pools,
and I have read that they are fixing local roads with own funds, giving free trees and shrubs away to residents, etc.

Blacktown council covers suburbs from Seven Hills to as far out as Mt Druit.
This is a very large geographical area and it consists of some very good suburbs,
many that are good or ok, and a couple not so desirable ones.

I think Seven Hills from the ratings point of view would be somewhere in the middle,
but it's in a great spot (easy access to M2, M4,M7, Bus Transit-way
and close to both Parramatta and Blacktown which are major business centres).
Excellent spot for a tradesman.
Cheers

 

[aklahr]

Went for a drive around Seven Hills today which made me realise why it is cheaper than the surrounding suburbs.
Some streets are very nice while some are less so.
Looking at this I have decided that Kings Park is better value for money.
/Andreas

 

[twobobsworth]

For around the money you could also look at Maryong, or the older side of quakers hill.

 

[BV]

Looking at this I have decided that Kings Park is better value for money.
/Andreas

Are you looking for an investment or a place to live in?
Check the returns and remember to go for newer properties,
so that you get depreciation and higher rent. I can see you are moving further North.
A few months ago there were some new townhouses in Acacia Gardens selling for $365K
and renting for about $360 I don't know if there are any left.
Nice area up there too, but Acacia gardens doesn't have a train station.
Cheers,

 

[suburbangirl]

Even though the name 'Seven Hills' suggests it's part of the 'prestigious' Hills area, locally it's considered part of Blacktown. Now there's nothing wrong with Blacktown in my book, but generally, the perception is working class - versus the Hills district being middle class.

Gee...didn't get much sleep last night thanks to Miss 3, hope this all makes sense!!

 

[Jacque]

Thanks Jacque,
Does Blacktown city council have higher rates or similar or is it just that it doesn't sound prestigeous enough?
What parts of Seven Hills do you consider good value? I don't know the area at all yet. Which surrounding suburbs do you think are worth having a look at?
I am looking to spend $350k at either a good condition 3 brm or a 4brm in need of some cosmetic work.
Thanks,
Andreas

Stick to South Seven Hills or the area opposite the start of Kings Langley (behind Seven Hills public school) for the better areas.

If you only have $350K to spend you are limited to the suburbs on the Blacktown council side, as this will only (just) buy you a townhouse in neighbouring Baulkham Hills.

Why Kings Park, however? It's further west, has no rail and, as far as I'm concerned, less potential than surrounding suburbs.

For current value for money, look at Baulkham Hills, Castle Hill, Northmead and Winston Hills. You may be lucky to pick up a house suitable for reno in Winston Hills however it won't be easy.

Failing that, consider Quakers Hill- plenty of stock for sale that needs work, and you may be able to buy something within walking distance of the station as well. Good luck

 

[eMark]

Stick to South Seven Hills or the area opposite the start of Kings Langley (behind Seven Hills public school) for the better areas.

Hi

Boy it's a long time since I have posted in this forum. I have found your posts interesting on Seven Hills, and hope that you are still out there to answer a few more. I have about $315K to spend, and see this as an opportunity to get into the Sydney market as an investment.

I know Kings Langley well, but know very little about Seven Hills. You mentioned South Seven Hills or the area opposite the start of Kings Langley (behind Seven Hills public school). Can you tell me why these areas are prefered in comparison to the rest of Seven Hills? Also I think I would be looking at least 600sqm, for possible redevelopment in the future.

But from a current rental perspective

How much have they risen?
Brick or Weatherboard
2bdrm or 3 bdrm?
Current rental prices (have seen anything from 230 to 310 in the 2/3bedders)

I love the fact that the median has come down from $375k to $340k, correct me if I'm wrong? It just "feels" like a good long term opportunity to get into Sydney.

Cheers

eMark

 

[BV]

Mark,
if I remember correctly there are views from that spot.
Other than that, it's away from the commercial/industial zone.
Jacque will know more about the area and returns.
cheers

 

[GreenTreeFrog]

Why is it cheap?

It is on a train line, it is sandwiched between Lalor Park and Blacktown plus there is housing commission, unemployed, refugee immigrants, older people and petty crime.

I pay rates on a properties under Blacktown Council and Baulkham Hills Council - Blacktown rates are always higher. It is all the repairs they have to do from vandalism!

 

[alexlee]

Why is it cheap?

It is on a train line, it is sandwiched between Lalor Park and Blacktown plus there is housing commission, unemployed, refugee immigrants, older people and petty crime.

Ok, but does this mean it will ALWAYS be like that? People may be drawn to it just for the transport and proximity to Blacktown for work. Just because a place is run down and has higher crime doesn't mean it's necessarily a bad place to invest. I am a big believer in that Parramatta / Blacktown corridor, and train lines are going to be more valuable as the city grows.

I just remember that Canley Vale was one of the best growth suburbs around 2002/03, and it's not exactly the best suburb (being next to Cabramatta).

Buy at the right price: you don't always have to choose the 'best' suburb. Maybe Seven Hills will always be cheaper than surrounding suburbs, but as those surrounding suburbs go up, Seven Hills will, as well.
Alex

 

[Jacque]

Hi

Boy it's a long time since I have posted in this forum. I have found your posts interesting on Seven Hills, and hope that you are still out there to answer a few more. I have about $315K to spend, and see this as an opportunity to get into the Sydney market as an investment.

I know Kings Langley well, but know very little about Seven Hills. You mentioned South Seven Hills or the area opposite the start of Kings Langley (behind Seven Hills public school). Can you tell me why these areas are prefered in comparison to the rest of Seven Hills? Also I think I would be looking at least 600sqm, for possible redevelopment in the future.

But from a current rental perspective

How much have they risen?
Brick or Weatherboard
2bdrm or 3 bdrm?
Current rental prices (have seen anything from 230 to 310 in the 2/3bedders)

I love the fact that the median has come down from $375k to $340k, correct me if I'm wrong? It just "feels" like a good long term opportunity to get into Sydney.

Cheers

eMark

Hi Mark

The areas I mentioned are preferred due their position (not too close to the railway line or pub) and type of housing. Sth Seven Hills (in between rd of same name and Blacktown Rd), in particular, has more "reputable" streets, according to locals, and a higher percentage of private (not housing commission) brick housing built from 1970's onwards. There are also "younger" sections, with bigger and more modern housing that was constructed in the late 80's.

Don't forget that, in the 70's, I'm told that KL was actually known as Seven Hills and so when the name change took effect, along with the proliferation of new housing being built (70's and 80's) it became a more sought after suburb. Being able to say to buyers that it's on the KL side apparently brings more money to vendors, if you get my drift

If I was looking to buy in SH, I'd be sticking to the nicer side of town (reputations take a long time to change) not too close to the station (10-20mins walk) in a family area, with a house that can have value added to it in some form (reno, extension, future dvpt) and with a gross yield that is likely to improve (not too hard given the current market). I'm not really up with rents too much in that area, but I can tell you that $300 a week is going to get you a very basic 3 bed brick home (or more likely weatherboard) in these areas.

The real expert on this area is my fellow director, Theresa, actually, as she knows the nitty gritty down to street level (and house, in some cases!) so if you have any specific questions, I'll see if I can get her to help you out here

Hope this has helped somewhat anyway.

 

[Jacque]

...plus there is housing commission....

I pay rates on a properties under Blacktown Council and Baulkham Hills Council - Blacktown rates are always higher. It is all the repairs they have to do from vandalism!

I do try to steer clear of streets full of HC stock, and actually ended up selling a Hunter Valley property that had the stigma of HC attached to it. It wasn't that it hadn't done well in the period I held it, but the sort of tenant it attracted just presented one problem after the other.... the HC neighbours were not a nice lot either and I could see the writing on the wall... but that's another story

 

[Bargain Hunter]

We lived in Seven Hills when we first moved up from Wollongong. I found the area to be quite pleasant, close to the station and easy to get anywhere in the car.

As with any IP it's important to get the right tenant.

I would highly recommend the area.

 

[Jacque]

We lived in Seven Hills when we first moved up from Wollongong. I found the area to be quite pleasant, close to the station and easy to get anywhere in the car.

As with any IP it's important to get the right tenant.

I would highly recommend the area.

The right tenant is paramount when it comes to investing. I can't stress that enough, after having a run of both great and "not so good" tenants in my IP's over the years. Ensuring the good ones stay long term should also be an aim, as high turnover can really erode your bottom line with losses due to reletting and vacancies. I recently had a NSW coastal property sit vacant for 10 weeks (ouch! longest ever and very frustrating) but have finally got what appears to be the perfect long term tenant. Time will tell, but the signs are good so far

 

[Raja]

Seven Hills Business Park?

I was searching on google for new developments within Seven Hills (NSW) and found this document about a proposed business park:

http://www.blacktown.nsw.gov.au/sha...94C-4574-E8A5-9A1CA79B1A6D&siteName=blacktown

Does anyone here have any further information regarding this and how it is likely to affect future house prices in the area?

I am in the process of buying my own PPOR in this suburb.

Regards,

Raja

 

[young_gun]

I have been looking at houses around this area and it is an affordable subburb. I was thinking about purchasing here however the yields are not as strong as I am looking for and whether this place will take off from a CG perspective is a bit touch and go .

 

[JustALearner]

I was searching on google for new developments within Seven Hills (NSW) and found this document about a proposed business park:

http://www.blacktown.nsw.gov.au/sha...94C-4574-E8A5-9A1CA79B1A6D&siteName=blacktown

Does anyone here have any further information regarding this and how it is likely to affect future house prices in the area?

Looks quite nice. Not sure how it would affect house prices in the area, but assuming it brings jobs I'd assume prices would go up??? It doesnt look like a Norwest Business Park or anything, but its nice.