Hi all,
Just wondering if anyone has done much research on the Kalgoorie/boulder or even Kambalda area in WA. Have been looking at it, and found that alot of the proerties appear to be +ve cashflow (especially in Kambalda), but wondering why so many are available. I have read reports on the area, and thay are alll positive around the nickel mining industry, but given the size of the town(Approx 4,000 pop), I’m not sure whether its a good idea. This is our first IP, so I guess we’re a little hesitant. Has anyone got any properties in this area? Any info would be great!!
Thanks
Ashley
PS – I have changed Qld for WA (Derek)
Ash
You should Contact Mic from Aussie House Hunters in Newcastle as he is a great buyers agent and has good experience of finding property in rural Qld.
Cheers Richard
[email protected]
http://www.yourstatefinance.comSpecialising in US & IP finance.
Richard Taylor | Australia's leading private lender
Those areas appear to be in the goldfields of WA.
There is a good reason why they are +ve cashflow.
Its called risk…
I was recently told that there are 20 pages of properties for sale in Kalgoorlie on realestate.com( the biggest regional centre from which Kambalda and Boulder are satellite centres)
I haven’t botherd to look to confirm if it is true.If you are not averse to risk, and are prepared to do some proper due diligence,it may be worth pursueing…otherwise…
kp
Must’ve been a slip when he posted KP, the initial Topic Heading shows WA ..??
I know several people that have IP’s in Kalgoorlie and they are happy with them and the returns, personaly I wouldn’t invest there (only because I like Bigger Cities, Coastal or River).
Kal used to be a declining population, I’m not sure what the stats are now..
As for some of the smaller areas out of Kal, IMHO they are riskier still, at the end of the day I guess it depends on your strategy, how long you wish to hold them etc etc
REDWING
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorI suggest you do a search on Kambalda (and Kalgoorlie for that matter – there has been some discussion about these areas in the past.
For me – I am more of the invest in capital cities ilk and if were throwing my hard earned into the WA goldfields it would be Kalgoorlie and Kalgoorlie alone.
Having said that there many areas of Kalgoorlie I wouldn’t put my money into either.
Derek
[email protected]
http://www.pis.theinvestorsclub.com.au
0409 882 958I held a property in Port Hedland for 8 years. During that time the price of the property and the rental income fluctuated wildly. In the mining towns its very ‘boom ‘bust’ and you must be able to ride out and big changes. I also had the problem that the banks still dont let you borrow against the full value like they will with city properties.
Hi Ashb23,
I’m also looking in the same areas as you, and had the same thoughts as you. I found a pdf document called ‘Regional Housing Analysis- Kalgoorlie-Boulder’ on the net that started to answer some of my questions, also kalbould.wa.gov.au is the local government site. I still haven’t decided whether or not to go ahead, as I am having some trouble organising time to get out there and have a proper look around! Hope this helps…Would have to disagree with that Kerr,
It may have been tha case in the past, but we have been investing in a Pilbara town ( it has to be either Pt Hedland or Karratha right?)and,
I am finding the big 4 banks (plus Bankwest) and even second tier lenders are happy to lend to 80% lvr all day and all night.
In fact it is possible to go to 90% or 95% with LMI.Historically, the cg has averaged just under what is being achieved in the capital city ( Perth) and we are managing to generate excellent capital gains as well as a rental yields of between 10% and 12% gross, on our properties.
I believe this will be the case for the next two to five years due to the backlog of demand and the fact that available land is scarce atm.
Its easy to genralise, but I think Steve advocates that you need to look beyond what everyone else is thinking and doing, and manufacture the result you are after, be it capital gain or a decent yield.
We’re achieving both…kp
there is a multi-page article in this weekends paper about the boom in Kal. they say if you are upright and have a pulse you can get a job in Kalgoorlie. applies for anywhere from Perth to the Pilbara mind you.
http://www.megapropertygroup.comINVESTMENT SALES * RENTAL SOLUTIONS * STRATA MANAGEMENT
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