Hi,
does anyone have any experience of investing in apartments in the Perth CBD?
We are considering buying an apartment to rent either on Terrace Road or around Royal Street in East Perth, however having spent the last few weekends walking around the areas and looking on the net for available properties, we are a bit concerned about the large number there are for sale currently.
This obviously makes for a Buyer's market, but could it be possible that prices will drop even more?We have also noted that there appears to be at least 50 properties available for rent in the $400 to $600 per week bracket and would like to know if anyone has knowledge of how consistent the rental market is.
Any help would be greatly appreciated, this will be a first investment for us, so we would like to ensure we do what we can to make it work for us.
Many thanks
Hey,
No expert here by any means but are you not reading the papers right now? or watching the news?
It's all about Perth property dropping in price, think you would be mad to buy right now, be much better off waiting for a while should get a much better price. Just my thoughts of course.I have a Apartment in Subiaco gets rented out full furnished for a nice price. There are several very nice apartments around me which have been on the market for many months and have not even had offers. I would think you could offer below the figures they are asking to see how keen they are to sell. I am sure people will be more willing to take a less figure and get rid of the properties. However overall i would wait to see the general sentiment and watch the news this week should be all about it.
This is just my opinion however and I am sure you will get a much better response from others
If you would like to chat further feel free to message me and give me your email addressTake care
Thanks Bacon,
Yes I've been watching the news and reading about how prices are tipped to fall by 15%, but I think that the most of the drop may have already occurred, more so because the next move in rates would appear to be down and within the next couple of months.
In addition as you mentioned, nothing is moving which will help negotiate a deal a lot lower than 15% below the asking price.Subiaco and West Perth are other areas that we are looking into, would be interested to find out some more about the renting market in Subi.
Am new to the forum, so am uncertain on how to send a message to you, could someone let me know how to?
Many thanks
Hi there,
No expert here. But I work in the CBD and do notice a lot of construction of new apartments going up around town.
I think there could be a flood of CBD apartments over the next year or 2 and affect the prices much the same way it did in melbourne a few years ago with the docklands going up.A lot of people probably bought off the plan (perhaps speculatively) and when settlement time comes might look to offload them. Add those to the ones already on the market, and you may be able to pick up a bargain.
As bacon said, sit and wait for a while….Keep an eye on the market and prices. Do your research. And if you think the time is right to get in the market, give a few discounted offers. I wouldnt be paying market price at the moment.
Hey Triton
I private messaged you, I hope anyways.
Click on Inbox, directly under your name on the right hand side of the page.
Cheers and good luckAnyone here a active investor in the Perth Market?
What suburbs do you invest in?
What type of properties? (house, land, apartments etc)Cheers
I'm fairly new to this forum, so I am not sure how helpful my comment is, but I do live in Perth and do have some info that may help from the rental aspect of things.
I concur with Tony13 on the amount of apartments that are going up in the City – However I also have a number of contacts who have been looking for rental properties across East Perth, South Perth, Subiaco and Leederville due to wanting to live close to the city, but not in the city. I spoke to one of these contacts yesterday and she has viewed over 5 properties over the last 2 weeks and has said that there was overwhelming response of hopeful tenants wanting to secure living in these locations.
At one of the viewings in Subiaco, she said tenants were bidding how much rent they would pay to secure the location, Rent was set above $500pw already. My contact has finally secured a 6 month contract renting in Subiaco for $500pw, and that is at the lower end of the market because it is such a short lease (owners moving there in 6 months). Her apartment is reasonably new, secure and right near the Subi markets/ subi station and close to night life.
I hope this is somewhat helpful to you.
I think, even with forecast price drops, the nature of the market at the moment provides the opportunity for a bargain. Don't rush in but look extensively (no rush with so much for sale) and make a very cheeky offer when you find a highly motivated seller with a nice property.
You might also want to look at some of the regional centres such as Kalgoorlie, for comparison. For cash flow purposes the regions are looking stronger atm.
Thanks to everyone for their comments. You have confirmed that the approach we are taking is correct.
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