mirrabooka, balga, nollamarra

I have been watching that.

A 3x1 around the corner on 730m2 went for $465.

One more to go that price or higher and I am going to get a valuation done on mine since the new bathroom was finished today.

I bought mine for 360 last year, I've done nothing to it and the bank revalued it at 430 a few weeks ago.
 
I bought mine for 360 last year, I've done nothing to it and the bank revalued it at 430 a few weeks ago.

Definitely performing decently.

Most sales for 3x1 seem to be over $450k if house on full block.

Still no update on rezoning since engineers confirmed that upgrades to services were needed (duh).

Fingers crossed it will happen in next 3 years.
 
I think a tad expensive, but the house is dated but looks in very good condition, will rent well?
Perhaps Marangaroo is perceived as better area than Girrawheen?? does not have the State housing stigma?? but that's shifting very quickly anyway

Is this market still moving, I have not been paying attention ???
 
Mmm rent maybe $400-$420? Still a low yield considering purchase price, and who knows how long you have to keep funding the gap until rezoning goes through...

Houses in proposed R40/R60 don't come up for sale too often so I guess they are still in demand.

Don't know if this sold or not, but I would have thought it was a better buy. Easily fit 3 3x2 villas on there and could jag it cheaper going by the asking price....
http://www.realestate.com.au/property-house-wa-marangaroo-118404903

I think a tad expensive, but the house is dated but looks in very good condition, will rent well?
Perhaps Marangaroo is perceived as better area than Girrawheen?? does not have the State housing stigma?? but that's shifting very quickly anyway

Is this market still moving, I have not been paying attention ???
 
Yes, looks like better buying.

I know that the rezoning for Girro/Koon has been delayed on a number of occasions, same happened last year, just when it is 18 months away, they tack on another 3 years. I think it is inevitable that it will happen, but its a waiting game. Comes down to those who want to develop, do you wait or move on to something that will make money today by developing straight up.

R60 does nothing for me in Marangaroo, I think works better when land is expensive, if that makes sense.
 
I agree on the R60 sentiment.

At a minimum 3x2 triplex or 4x2 out the back of established will the best bet IMO for the young families targeting the area.

Really crossing my fingers for Girrawheen to merge with Warwick High or vice versa. Will mean development on the old school grounds, and hopefully mass improvements to the new merged school to lure in families.

Yes, looks like better buying.

I know that the rezoning for Girro/Koon has been delayed on a number of occasions, same happened last year, just when it is 18 months away, they tack on another 3 years. I think it is inevitable that it will happen, but its a waiting game. Comes down to those who want to develop, do you wait or move on to something that will make money today by developing straight up.

R60 does nothing for me in Marangaroo, I think works better when land is expensive, if that makes sense.
 
I just don't get why people are paying that much and having to wait a few years when you can buy in balga for 30k more or so and start straight away.

Incidentally the numbers don't work atm in balga either, these are the sort of clowns making it difficult for people to buy profitable sites atm
 
There is a bizarre sentiment that Marangaroo is a far better place than Girrawheen.

Granted I think there is more owner/occupiers, but that is changing rapidly and Girrawheen has a better location IMO.

Either way, hooray for me if potential rezoning 3x1s are approaching $500k in the 'roo. Sell up, no tax payable as PPOR and off to Innaloo I move hopefully.
 
I just don't get why people are paying that much and having to wait a few years when you can buy in balga for 30k more or so and start straight away.

Incidentally the numbers don't work atm in balga either, these are the sort of clowns making it difficult for people to buy profitable sites atm
Are you currently developing and looking for next project?
 
Are you currently developing and looking for next project?

Yeah currently developing and I'm starting to look for next project. I think the buying will be better in a few months as more people wake up to the fact the market isn't as strong as it was previously.
 
but Sanj
That's the thing.... Girrawheen/Koon/Marangaroo for some reason do fetch a higher end value, there have been a few new villas in Girrawheen that hit the market and sold for higher prices than Balga.

This is what I think, Balga has had way too much infill and it just cant shake that bad seedy reputation it has had for over 30+ years. Not so with the other areas, yes State Housing but just not the same.

I think that this has more to do with who has moved into this area Girro etc and how it is evolving, and the immigrants moving/living in the area.

Balga did not make sense in terms of developing and making money some 18 months ago, but its a cheap entry level for new investors who don't have $1M+ to buy deve site and that is in part why prices have continued to rise. The buyers are not developers with a view of selling and taking profit, they are holding as rents will cover the mortgage.

So currently we are seeing an oversupply, and now we see prices of end product fall back.

MTR:)
 
This is what I think, Balga has had way too much infill and it just cant shake that bad seedy reputation it has had for over 30+ years. Not so with the other areas, yes State Housing but just not the same.
Kiara and Lockridge I think. Or is that just me?
 
but Sanj
That's the thing.... Girrawheen/Koon/Marangaroo for some reason do fetch a higher end value, there have been a few new villas in Girrawheen that hit the market and sold for higher prices than Balga.

This is what I think, Balga has had way too much infill and it just cant shake that bad seedy reputation it has had for over 30+ years. Not so with the other areas, yes State Housing but just not the same.

I think that this has more to do with who has moved into this area Girro etc and how it is evolving, and the immigrants moving/living in the area.

Balga did not make sense in terms of developing and making money some 18 months ago, but its a cheap entry level for new investors who don't have $1M+ to buy deve site and that is in part why prices have continued to rise. The buyers are not developers with a view of selling and taking profit, they are holding as rents will cover the mortgage.

So currently we are seeing an oversupply, and now we see prices of end product fall back.

MTR:)

Thanks. How much do you see villas selling for at current prices?

Re balga, the issue is that the rents don't cover the mortgage, not for development sites being bought for nearly 500k. On top of that as they're now unprofitable I can almost guarantee we'll see the prices of these sites drop so people will have the lovely combo on lost capital and negative gearing. No thanks
 
:eek:500K, the last time I looked at Balga deve site they were selling for around $375K, rents will not cover holding costs, unless they purchased these at least 18 months ago. I think this is what Jaylo did in Balga and therefore holding is covering the mortgage. For those buying at $500K+ what can I say.... hope they don't make the same mistake again and I feel your pain, and you live and learn I guess..

Have not looked at any of these areas recently (new villas), what I was referring to was at least 12-18 months ago, will have a look though, got me curious now.

I just have not been playing in this market for some time now.

MTR:)
 
Kiara and Lockridge I think. Or is that just me?

Kiara is not State housing, more like a Morley I think??

Lockridge, to be honest I cant really comment on this area other than to state the obvious and that is it also boomed due to rezoning and cheap entry level, also on the nose, as bad as Balga, possibly?? not sure. For those who purchased 2 years ago I don't really think they could give a damn if making money is the end goal
 
How do you know which suburbs have state housing? @MTR

Id say Balga/Lockridge are held in a similar regard when it comes to their properties.

Also i thought Mirrabooka had no rezoning?
 
Hey guys, just bought a property in forrestfield, proposed to R60 by 2016, 918m2 corner block.

Does anyone know how many units can be put on there, they reckon 6 however looking at the total requirements such as 3m for drive way etc and a minimum of 150m2 for each block is impossible to meet the requirement.
I did a to scale design of what I think is optimal however I could only get 5.

Anyway, does anyone know or have any detailed spreadsheets of costs for subdividing /building costs and other hidden costs.
I'd like to run some numbers to see whether I would make profit if I run with this.
 
Didn't you do any research before you bought the property?

Assuming you're looking at doing grouped dwellings like villas/townhouses and not multis then it isn't just a matter of how many you can put on there but what the market wants.

It may end up being more profitable doing less units but keeping them single storey which would mean paying extra for r 60 instead of r40 was pointless

What do you think the market wants there?
 
Back
Top