SA Smithfield (Playford Waters)

[JTBT]

Hi everyone,

Have been absent for awhile but back now looking to acquire another IP. I have been wanting to pick something up in SA and have previously looked at Smithfield, mainly the Playford Waters Estate.

I came across these;

http://www.realestate.com.au/property-house-sa-smithfield-114019647?listingType=buy

http://www.realestate.com.au/property-house-sa-smithfield-113151091?listingType=buy

Has anyone here bought these type of 'House and Land' packages? What are the pitfalls?

From my point of view the price seems good. Also being new would mean good for tax purposes?

For a strategy point, I was thinking of going 5% deposit and pay the LMI (if Mr Bank Manager Approves) Otherwise I can dip into some equity on an IP I have here in Sydney and put down a larger deposit...

My logic for the 5%+LMI is that this would be a long term investment. Hopping SA will get some sort of kick in the butt from mining if it picks back up etc.

Keen to hear all your thoughts, criticism and advice on this!

 

[Corey Batt]

Slummy area going through growing pains, hopefully comes out of this decade looking very different to the last.

Soils poor so you may see footings costs soar, however builders are getting much more switched on with this regard and are quoting more accurately.

IMHO I'm staying away from these types of investments, as there is a BUCKET load in the area and the hectares of land directly north being carved up. In saying that, there is demand in the area for the 'superior' housing compared to ex-housing trust, and as the area regenerates there can be an assumption of uplift in prices.

New builds naturally have very attractive depreciation benefits as well.

 

[JTBT]

Yes I agree with the whole 'crappy' area going through a change, that's why I was looking into this area as prices are still quite 'cheap'

I suspect rental price growth will be subdued especially with new property being built popping onto the market with regards to your comments of many more properties due to be built.

 

[JTBT]

Has anyone here had any experience with hickinbotham?

Thank you

 

[Stangman]

JTBT, Hickinbotham have had a very good reputation for many years in Adelaide.

Here is a Thread I found about a new Hickinbotham build in the Barossa Valley on the HomeOne forum -

http://forum.homeone.com.au/viewtopic.php?f=31&t=63726

If you do a search on that Forum there may be more.

I am about to look into these type of house and land packages myself, but in a different location - Elizabeth Park. Check out this Sterling Homes Link -

http://www.sterlinghomes.com.au/hou...4/Lot-50-Carey-Street-ELIZABETH-PARK-SA-5113/

And -

http://www.sterlinghomes.com.au/house-land-packages/

Same as you, it would be good to see some feedback from others who have had these homes built. Are they going to slug a lot for footings, concrete etc?

Stangman.

 

[JTBT]

Stangman; Any particular reason why you are looking at Elizabeth Park?

I have tried to call the Hickinbotham sales person and emailed to enquire further, yet no response so far...

 

[Ninobart]

When we built our house 2 years ago AV Jennings ended up the cheaper then both those builders and many other ones.

 

[Stangman]

Stangman; Any particular reason why you are looking at Elizabeth Park?

I have tried to call the Hickinbotham sales person and emailed to enquire further, yet no response so far...

Yes... There are a few reasons. I have very definite views on where to buy in the Elizabeth area. IE Some areas of the Vale, some areas of the East and some areas of the Park. Mainly because I consider these areas to be a whole lot less feral. I have 2 Mustangs that sit at home most of the time in the garage and would feel more comfortable knowing they are still there when I get home.

Also the above areas allow a faster trip to work and back each day, having easy access to Main North Rd. Only takes 12 minutes to get to work and back at Pooraka each day. Travelling from Smithfield would be frustrating dealing with the bogans in their clapped out VN Commodores all the way through Elizabeth. No thanks.

The Northway Urban Renewal Estate at Elizabeth Park is within walking distance of the Foodland at Elizabeth Park where we do our shopping.

Only problem with these packages is the small blocks of land. Could not come at a block size of less than 400M2 because I need to house 3 or 4 cars securely. Need to be able to build a double garage out the back behind the carport.

As far as your non answering sales consultant is concerned I would give him the flick. If you cannot contact him at this stage what hope would you have during construction.

Stangman.