Yarwood,

I’m assuming you are looking for capital gains rather then cashflow if you are looking in the suburbs?

Well, I don’t mind throwing a few ideas in the wind as long as noone is going to follow it through and then blame me if it goes the opposite way, everyone must do their own due diligence.

Anyway, here’s my thoughts:

a) Armadale – They currently have a “multi million dollar” city plan upgrade open for public comment. Armadale has already had significant growth over the last year, whether it’s because this has been in the pipeline or whether it was part of the boom I don’t know. My guess is, it may increase further OR the surrounding areas will start to benefit from this and increase. Vacancies rates are low, last time I checked 1%.

b) Rockingham/Waikiki – Some of the suburbs around these areas are still below median price but reasonably close to the beach. I believe the water factor will help prices increase. The train line from Perth to Mandurah will stop in Rockingham too.

c) Ashfield – Close to the river and the city. Has public transport (bus and train), schools and some blocks are big enough to develop into unit sites. Some very old homes here though that aren’t in good condition, depends of whether you’re into developing.

Well, there are my thoughts. We’ll know if a couple of years if any were correct. Hindsight is a wonderful thing.

Regards
PK