Hi
Does anyone have any views on the Morwell and the Latrobe Valley with respect to investing?
Being from Sydney, I've never been there and I was wondering whether it was worth a trip south for a look.
Thanks
KentonHi Kenton.
I would suggest that you take a trip down that way and have a look if you're interested. It's only about 1.5hrs drive along the freeway from melb.
Morwell is i think no longer in decline as it was in the 80s and 90s. Traralgon, about 14km further along, is booming and there are extremely bright future prospects, in my view, due to the clean coal, coal to diesel and and other multi billion dollar projects on the horizon.
ATM, parts of Morwell are lower socio type areas while other parts are OK.
I think Traralgon is the pick of the bunch. High pop. growth there.Any how, have a look if you want. There's value there.
Yields are stronger in Morwell and properties are much more affordable than Traralgon. You can still pick up houses within 1 km of town centre and train for low 100 K's returning around 6 %. Usually largish blocks that may have sub-division/development potential for the future.
As units4me states Traralogon is the pick of the Latrobe Valley towns, much prettier town and larger population base. New urea plant in the pipeline creating more jobs also. Having said that, even if your tenant in Morwell is lower socio-economic demographic, they can still afford the rent. It's all about numbers. I feel Traralgon has flown and better value to be found in Morwell, which has similar prices to Moe, however stronger yield. Plenty of shops for lease also in Moe. The commercial district in Moe is not as busy as Morwell.
As for Morwell being the next Ballarat. I doubt it. Although the Moe/Morwell/Traralgon towns have availability of jobs, the amenity to Melbourne is not there. Pakenham bypass is great new infrastructure, however there are more jobs closer to Ballarat than to the Latrobe Valley.
Ballarat is commutable to Melbourne and especially to the Wetsern suburbs and plenty of industrial work opportunities.
Thanks.
Being from Sydney, 2 hours (each way) is a regular commute for a large number of Sydneysiders (did it myself for quite some years) and 1.5 hours would be a dream for some up here.
I think Bairnsdale is worth a consideration, high demand for rental properties there
What about Bendigo, slightly further out, anyone have an opinion?
Max
I grew up in Bendigo but haven't been back for a decade. Big regional city – not an easy commute to Melbourne though for work. Ballarat is closer (but colder). Water is a big issue. Not too many bargains to be had in either though compared to Traralgon – plus Traralgon is getting/has got? fast rail.
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