I am a foreigner planning to buy a good dual key property in Gold Coast. Purpose is for my son and his young family with an infant baby to live in. My son will be a PR after he graduates as a nurse. Until such time, I was hoping to buy a property in my name in a good area. I would prefer dual key properties so that rental income for one side of the home can be used to offset the monthly loan repayments.
I am aware of the taxes and miscellaneous fees that need to paid and the loan that I am eligible for as a foreigner at 6.79%. I will take a low loan of A$200K as I am catching up with my age with a monthly repayment of A$1400 for 23 years. I also dont have any intention of buying the property in my son’s name when he becomes a PR in order to protect my interest. Although I would love tag onto my son to become a PR, I understand I need to fork out almost close to A$50K to become one and that’ll take some few years to process.
Considering the current market sentiments in Australia, is this the right time to buy in Gold Coast? Which areas in Gold Coast are family oriented, has good schools and elderly friendly? Any suggestions of good reasonably priced projects with lands that are kind to the elderly? Would love any good suggestions. Rental clients would be best if it’s long term and place has to be well maintained.
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This topic was modified 5 years, 9 months ago by
KDL.
Hi KDL,
As a non-resident, I guess you are restricted to “buying new” – am I right there? If so, it limits your choices somewhat – but as a general rule, I’d be looking to buy in a settled area rather than in outlying suburbs. Perhaps developers are doing “urban infill” in Southport that could suit you. Though land size is smaller (where they subdivide a large block into 2 or 3 smaller blocks) its location should give it a better value into the future.I don’t live on the Gold Coast, but from what I read, now is not a bad time to be buying in SEQ anyway. If considering a unit rather than a house or duplex, look for smaller builds (6 or 8 units to a development) as they hold their value better.
My thoughts on Pimpama are widely known – although fine for owner-occupiers, I believe it will take many years before the value catches up to the purchase price. OO’s will spend many years there, and add value by fencing, gardening, putting in a pool, garage(s), etc – so they will grow some equity over time. But this is an area where land is readily available, thus not hugely valuable (at least not for another 20 years or so). In Southport however, the value is already there, as is the infrastructure.
Re “which suburb” to recommend, I don’t know them well enough to say – hopefully others can add some value there,
Benny
Thanks Benny for your advice. You are absolutely right. As a foreigner, I can only buy brand new homes. When you say units, are you referring to apartments? The reason why I go for houses is because I had the impression that a home with land usually appreciates better than apartments over time. Apartments appear to be a lot more expensive too. Not sure of the resale value either.
There’s this development at Huntington Rise with huge lots of land available. This is about 20 mins away from Southport. It is one of the new developments along the Gaven Arterial Road artery. According to one real estate agent, the land is very undulating and is either being benched by the developer and/or requires a lot of site preparation and retaining coupled with termite & pest problems. I am not sure how true this is though. I have only been to Gold Coast twice in my life – 1st trip was 20 years ago and 2nd trip was last Christmas. The only reason why I am looking at this place is to accommodate my son, fiancé and month old baby to have a home instead of spending A$1600 per month on rentals.
Hi KDL
Are you sure that your lender will allow the Title to be in your sons name with your income being used to show servicing.?
We operate our own wholesale non-resident lending fund and certainly we wouldn’t accept that however in saying that our rate isn’t 6.79%.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi Richard, the title will be in my name not my son’s. I mentioned that in order to protect my interest, the property will be purchased in my name. Hope this clarifies. Thanks.
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This topic was modified 5 years, 9 months ago by
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