does anybody out their know about a group of investors that bought big in kambalda recently and also what is your opinion on kambalda
I believe majority of investors are disapointed in their purchases here, as lots are still untenanted.
thanx for your time
I lived in kalgoorlie for 6 years back in the 90’s (not to far from Kambalda). Kambalda is known to those in the area as ‘Kambodia’. I’ve never liked the place too much. I wouldn’t buy there…. too many water buffalos…. and Kambodians.
Cabo Wabo
Hi
I had lived in Kambalda for 11 years and moved last Xmass to Perth,Beware of ivesting in Kambalda there are a lot of vacant houses and a lot of homes still for sale and the mining industry is currently in a boom.
Your chioce but i would not touch it.Yes ,
2 I’ve heard about.
An Investor Club from Albany has been buying there.
…… and an Investor from Melbourne bought 11 properties there last month and apparently isn’t even that fussed whether they’re tennanted or empty ….. going for the capital gains he says ….. In Kambalda??
Hmmmm …He must know somebody on the board of a mining company or something .
Top little town.
Cheers , M
MLV
IMHO I wouldn’t purchase there unless I ‘knew’ something either..
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorExactly
MLV
And they dress in PJ’s and all ride bicycles..
Cabo Wabo
Scary !
MLV
As stated above Kambalda is not a place for investors who are looking at stability of investments.
The nature of the community and its reliance on the vagaries of the mining game means that property prices and rents are generally unstable.
For some school population stats for the two schools in the area look at
http://www2.eddept.wa.edu.au/schoolprofile/home.doIn both cases you will see that school numbers are dropping.
Sure some (many?) of the workers are fly in fly out basis but this also creates a sense of temporariness (is there such a word?) – for me too risky.
Derek
[email protected]
http://www.pis.theinvestorsclub.com.au
0409 882 958Hi all,
Picked up the financial review and it had some statistics that may be of interest.
Kambalda – 112 sales in 2005 (huge number of sales), median price $91K, 6.4% growth in 2005, 10 year trend 1.7%.
West Kambalda – 16 sales in 2005, median price $93750, 4.6% growth in 2005, 10 year trend -4%.
Certainly not numbers to be excited about.
Derek
[email protected]
http://www.pis.theinvestorsclub.com.au
0409 882 958Personally I wouldn’t buy there either, try entertaining a kid for a couple of days in the town, there’s hardly anything to do.
Having said that you should make your own decision. I remember reading a thread on Collie a couple of years back that was all negative as well, yet the growth there has been very good. While I can’t see that happening here (just my opinion), I and others on that thread couldn’t see it happening in Collie either. All I’m saying is do your own research, which getting opinions may be part of, but then make your own decision. Take notice of stats provided (thanks Derek).
I’m wary on any town that relies on one industry, so I guess that affects my thoughts here as does others comments about vacancy rates and lack of capital gains.
Good Luck.
PKHi PK,
Some Collie stats –
193 sales in 2005 (out of town investors pumping the market?) – median $143K,
50.5% growth in 2005 (see previous bracketed comments),
10 year average 3.2%/annum.Derek
[email protected]
http://www.pis.theinvestorsclub.com.au
0409 882 958Looked at Collie about a year and a half ago..some ollllllllllllllllddd IP’s there, nice country side but didn’t sit well with me to buy and hold..should’ve done buy and sold and held for a year or so.
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorI own a property there and have been advised by a local RE agent that a group of investors from the Bunbury area swooped in October 05 and purchased 35 properties estimated at about $3m!
They were aparently well researched and possibly have contacts with a major mine company. They were aware the rental vacancy rates was around 25% at that time, but it did not deter them.
They were aparently intending to furnish some to compete with the caravan park and SPQ (Single Persons Quarters) accomodation market, as well as referb some and offer them to the already oversupplied rental market.
There may well be something going on I hope! In Kambalda there is still a lot of FIFO (fly in, fly out) personal that work on the mines. There is a lack of local labour so this is prevelant at present., but there are some moves to rectify this within the industry. It would only take 30 or 40 people to relocate the permanently for the vacancy rate to drop significantly according to my property manager.
I think there is potential if you can create the right scenario with a long term tenant. Mincor NL is a major miner of nicel in Kambalda and thing are booming at present, and its looking positive for the long term. It is possible that their success will impact on the decision of people to relocate there for a long term stint.
Kambalda remains one of my few speculative IP’s
Cheers
SimonDoes being born in Kalgoorlie and growing up in Kambalda qualify as knowing the place?
My brother still lives there. Parent retired 7 years ago from there.
What can I say? I know the place inside out.[evo]I’v rented there and bought my first house there. Rented the East Kambalda flats, and the duplexe’s there too.
It can be fickle, in that renting a brick duplex or house there is prefable over one of the fibros. And West is definatly better to live in than East, as WMC stopped building in East Kambalda in the late 60’s as one of the mine’s started to decline under the town. It was a long way underground but they stopped building in East all the same and established West Kambalda soon after.
One side of West is about 5-10 years older than the other side of West. And one corner of the newer side has so much movement that you wouldn’t – or shouldn’t buy there if you could help it.
The old staff house’s would probably get the highest prices, but there is a whole separate market in the duplexe’s that none of the syndicates have touched. Strange?? Neither the locals or the agent there know’s why as these are a pretty good deal.
My brother and his family still live there. They own thier house and it has two house’s nearby that are empty, waiting to be tennented. One of them wont as they are asking far too much and the other wont because it hasn’t got a tile fire. Simple.
imbarrasing, but I’m a welth of info for the area. Feel free to ask.
On an investors note:
I bought in Kalgoorlie last April, while my friend bought house in Kambalda..
she has had no tenant in now for the last 8 weeks..It also took about 6 weeks to find a tenant when she first purchased..
not sure where it is at now..there may be good capital gains coming I guess…
My property has changed tenants after the first lease expired.I think I had about 1 week untenanted..my property went up by $25k during this time…
TDTD
Hi, Tracy Ds friend here with the empty house in Kambalda! Not to concerned about the vacancy at this stage based on the following.
Two large mine expansions are in progress in Kambalda at present. Goldfields Gold are employing people at a huge rate. Consolidated Minerals advertised in Saturdays West Australian Newspaper. Apparently between 300-400 jobs will be created by the end of 2006.
There are 1200 houses in Kambalda and about 60 of them are vacant rentals. If they create only half of the jobs expected then these 60 houses will be very crowded even allowing for “fly in fly out”. Mines are offering 5 years contracts to execs and some are coming from overseas. I can’t see the mining companies offering long term employment contracts on a whim – surely.Nothing is certain and all investment is a risk to some degree. Considering your out of pocket outlay of merely a few thousand dollars I think it is worth the risk for the potential capital growth in the next five years.
Only time will tell!
For sure Kambalda is a risk, every investment is a risk. Show me a risk free investment promising good returns and I’ll throw all my wealth in!!!!
I agree the small investment that is required for Kambalda is surely worth a go???
Goldfields, Consolidated Minerals, Mincor, Sally Malay and the “Junk” brothers all can’t be wrong??
Buying a property at around $100,000 and returning about $160-$200 per week, gives a good return, thats without any capital growth.
Try replacing any of those brick properties you won’t get any change out of $300,000!!
O also the new Kambalda rec centre has been given the go ahead….$10M investment? Something must be going on.
Do your own research. I have invested in Kambalda. I am not endorsing Kambalda though.
Mikey.Just returned from a trip to Kambalda. Prices are continuing to move very strongly. The mine expansions are starting to kick in. Sold one of our properties 6 weeks after settlement for $32K more than what we paid for it! I love the place. More businesses are opening up there and there is a buzz happening. Might only last a few years but what an exciting place. Someone has just started building a house there as well.
Again do your own research as I am not endorsing Kambalda. But I am investing there…..And loving it (if you can’t tell!) [strum]
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