That is a good yield!
I like Rivervale but has gone up too. To get an old (rundown) single dwelling cost around 250-270k and rent around 130-150/week. Very close to the city though, has good potential. Maybe is the next Kensington. I think developers are building nice apartments around there so it should push the prices up. What do you think about Rivervale?Hi,
Good question however don’t be hamstrung by the “Local” feel, there are a lot of good returns outside of Perth.
Just check other places do the 11 second rule and you will be surprised.
Good hunting.
AlisterA S Yeo
[blink]Hi All, Thanks for everyone’s comments, has given a very good synopsis of WA, I miss home. I’ve just joined the site after reading Steves book. We have recently moved to Sydney for 4 years & have sold our home in the hills – Mahogany Creek – after 10 years of work did have it in the Aust Open Garden Scheme last Nov. Now we are in Sydney need to invest wisely & we have a much different approach now it is investment. We brought a Unit in Midland walking distance to the Shopping Centre that is being upgraded again. We have feeling on Midland. Have just purchased a 2nd property in Cooloongup close to the proposed Rockingham station. Have been looking at Kalgoorlie/Boulder for medium term only. Also considering perhaps Merredin. These last 2 are some of the few that are +ve geared thAt we have been able to find in WA, that have reasonable rental prospects. I agree that Armadale, Westfield, Gosnells are good prospects. For those who mentioned Hamilton Hill, Spearwood, Coolbelup & Hilton, I did survive my childhood there. Good luck [biggrin]
Can you still find properties within 100 kms of Perth (North and South but not East) where “11 seconds rule” still apply?
Hee hee hee, Merredin. I was born and bred there!!! Have friends who grew up in some of the houses listed on realestate.com!!
(PS I have been looking at it too. Not too sure yet.)~jo~
Why not 100km EASTof Perth Zen??!! It is my belief that anywhere within a 100km radius of Perth is worth a look, especially when our lovely coastal areas Sth and Nth become toooo expensive. Once that happens then – where will everyone be looking next??? AND the trick is to get in before everyone starts looking next if you want the bargains?! There are still places East that meet the 11 sec rule and have transport daily to the city, employment, rental demand, tourist attractions, future capital growth I believe, and even a river!!! (No its not Merredin Mojojo) but close….. take a look around.
sq [baaa]
Will TOODYAY become the next Margaret River (Hmmmmmmmm)
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorSuzieq thanks for the comment. I should look into it. I quess I like the coast and inner city properties, probably will always be easier to rent and have better CG??
I am wondering if you guys have opinions about Yokine and Hillarys. If you were to choose one for IP around 300K where will you buy between the two? Pros and cons? This will be outside the “11 seconds” rule for sure.
Thanks.Hi Zen, easy Yokine, hands down.
Wont get much for $300,000 – I would be looking for house on Triplex block, around $380,000. I think Yokine is one of Perth’s best kept secrets.
If you want the best location, city views you will be paying $450,000+, around the Yokine Golf Course.
You may also want to look at Joondanna and Yokine/Dianella border, the golden triangle, this is the best pocket with magnificant views across Perth skyline.
Thanks Marisa.
Do you know the zoning in Yokine, can I find this info on the net? I need an IP that is rentable but I prefer not to go offer 300K. Do you know if vacancy rates is low in Yokine?Hi Zen, City of Stirling will be able to provide zoning information.
Internet sites – try REIWAI would contact at least 3 local RE agents and find out how many rentals on their books and how many outstanding. Check local newspapers (Sat/Sun) to get an idea on rent income.
Good luck[biggrin]Thanks Marisa
Hi Zen,
My pick would be Hillarys!! I guess the reason being is that it is along that coastal strip heading north, and once the land runs out along the coast, prices will escalate yet again!!! Also relatively easy to rent out the property there due to good public transport and close to beach. However, having said all that I do like Yokine as well, but out of the two HILLARY’S gets my vote.
sq[biggrin]
SQ, Parts of Hillary’s I think are definitely a good buy from a CG perspective. Also look at Marmion, Sorrento and North Beach for similar reasons. You will struggle to find reasonably priced subdividable blocks but for CG, worth a look. You also will be looking above your $300k but reasonably priced units can be picked up if that is your bent!
Cheers
Jan
Originally posted by redwing:Will TOODYAY become the next Margaret River (Hmmmmmmmm)
Well, I’m not sure about Toodyay (having spent a horrible couple of days there I guess I’m biased!)
but just up the road has been great for me.
My cashflow + property in Northam has just returned an extremely healthy captial gain in a little over 18 months after a little TLC.I doubt you would ever call Northam another Margaret River but it could definately be another Bunbury (i.e Regional Centre for industry, high transient population, sustained growth)
AND they have white swans!
Hey SuzieQ you wouldn’t have been thinking Northam would you? or is there another gem out there I’ve missed..[freak]
[mad] Doog’s
Make it Happen !!
Hi All
This is my first posting on this forum so go easy on me[blush2].
We have just purchased an IP in Mindarie, paying top $$$ for a house on a cottage block we just fell in love with. I know the cardinal rule in property investing – don’t buy with your heart, buy with your head – but I do believe if you liked it, so will a prospective tenant.
The IP will be heavily -ve geared, but have put my money on CG of around 10%pa, which should cover my ‘losses’ at the end of say 5 odd years.
The IP is 4 yrs old, close to all amenities and a stones throw from the Mindarie Marina.
We have managed to secure a tenant thru the RE Agent that sold it to us at $285 pw.(Read: Goodwill).
Questions/Opinion/Please Comment on:
(a) Am I correct in assuming 10% pa growth rate in Mindarie for the next 10 odd years (past stats said so)?
(b) Any thoughts on managing the property ourselves, especially as we have already secured a tenant for a year?
Muchos Gracias in advance.
Phillip (aka The LizardKing)
Go in peace and prosper[cap]Mate,
There is nothing wrong with wanting to invest close to home but if your investing for lifestyle then investing interstate or overseas can gain a tax deduction for travel to your property each year. If you have a good property manager then it dosen’t really matter where the property is (within reason). I have 5 propertiers in QLD, 2 in the ACT (my home town) and 1 in Adelaide. Each 6 months I take a leisurly trip either north or south to see my houses and the lifestyle is the reward the tax deduction is the bonus. Think it over and invest where you feel comfortable. Good luck too, Scotty.
Spot on Doogs……great to see you’ve ALREADY been lookin outside the square!!!! ….and its paid off for you!
sq[biggrin]
LizardKing
congratulation to your new purchase.
I know the cardinal rule in property investing – don’t buy with your heart, buy with your head – but I do believe if you liked it, so will a prospective tenant.I agree but everything else should be considered as well like transport, shops, schools, kindergarten and so on. I believe you have made a good choice with Mindarie WA as I have two IP’s there myself.
$285/week is a good rent for 4×2 on a cottage block, I think I have to up my rent when the next lease is due. Unfortunately another landlord a couple houses from my IP is trying to rent for only $240. He could easily get $260 at the moment.
We are managing our self’s and so far no problems.
We had one tenant, he was a crayfisher, and he paid us rent upfront for 9 month. He said he only has money after the crayfish season and wants to pay us while he still has money left.In our other IP we have a young girl on career leave from England with her parents. She wants to save bank fees and paid us 6 month upfront. I think they are very kind to us.[biggrin]
I’m not sure if a property manager would tell you that they have received so much money upfront.Not so sure with growth, the population seems to decline from 2011 on. Check this out:
http://www.id.com.au/wanneroo/forecastid/Default.asp?MnID=4&PgID=1&WebID=230&SVG=1
I don’t know how they coming up with this predictions.jsandso
I’d also be betting ‘Growth” will slow to around 8% rather than the 20% + of late.
having said that there will always be pockets that achieve better than average.
It’s also interesting that the REA of late are going back to traditionaly expensive areas for thier CG ‘picks’ in WA.
Yokine ‘or’ Hillary’s….I’d pick Hillary’s over the two, not that i dislike Yokine.
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow Calculator
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