Seems there's a lot of hype these days surrounding golf course properties. "Golf is the new water".
I have some details from Cameron Bird on a Golf Course estate at Gympie Pines in Gympie, QLD. They're selling 3 bed villas for around $350k, add another $25k for a furniture package and they state you can rent them out for $430/week. Short-term lets are even higher, getting $325 per night.
I must admit, at first glance it does seem attractive: the townhouse is 3 beds, 200m2, beautiful surroundings, blah blah. Rental yield does seem attractive.
However, Gympie is a long way from anywhere, doesn't seem to be much around and after all, it seems the market is limited: obviously the only people that would live on a golf course would be…….golfers.
It really goes against what I typically look for in an investment: close or within a CBD/city, close to schools, amenities, public transport, etc etc.
But..even if the figures are exaggerated, it does seem to add up and look attractive. Just not sure on capital growth.
Any one invested in a golf course property? Any opinions on Gympie? Is it all just hype?
I live in a house on the golf course, have just finished building a second and recently sold a block of land fronting the course. I am not a golfer. My estimation is that it would be about half /half golfer/nongolfer mix, predominantly owner occupier. Capital growth has been good, although slowed now, due to a new land release which will produce houses in the same price range. As this is a regional area, realistically, there are only so many buyers in the executive price range and when supply of these higher end homes went up, we saw a slow down on capital growth. At the end of the day, there are a limited number of houses that can front the golf couse, but you also need to be aware of the rest of the market in that price range. Even though I am not a golfer, i like to live here as I dont have that fenced in feeling, I can look at a large space without the need to maintain it.
Be aware that it is percieved as a very trendy market and as such there is a whole lot of keeping up with the jones' and that, combined with the influx of higher end properties is why we have made the decision to sell our golf front properties and purchase 100acres out of town. Here, locally, i feel that will have greater potential for capital growth. Gympie is an unfamiliar market and I suggest you look at who the market is (not just golfers), what they will pay, and what else is in that price range inthe area.
All the best
mick
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