Gagebrook, TAS – A more recent snapshot please

Hi Melissa,

I owned a place their, its a funny story actually…

Gagie is an old government housing suburb some of the properties are privately owned I believe most are still government housing. I would call it a very low scocio economic area, vacant houses are regularly burnt down, high unemployment, all the people I met their have that usual "the world owes me living" mentality (you get my point). 

I picked up a 3 bedroom house on Laurence place for 125K I jacked the rent up to $250 (later $265) I was getting a good rental yield. It was good for about 9 months then, late rent etc etc finally got rid of her and her 5 kids lol they trashed the place and tried to burn it down, fortunately insurance covered everything, so I ended up with a fully renovated place for nothing, got new tenants in.

I had had enough by this stage and put it on the market. The agent found a buyer and we agreed on 136K, they organised a  building inspection, the building inspector found guns hidden in the roof and under the house, he tipped off police (see article below).

The buyers still bought it off me for 136K. 

http://prelive.themercury.com.au/article/2013/07/19/383776_todays-news.html

Anyway that was my Gagebrook experience, yours might work out better.

Maybe try Claremont, Glenorchy or berridale, better than Gagie, I believe 8% is achievable if you hunt around in these suburbs. it's still a soft market there people will usual move down on price more than they would in other capital cities at the moment due to the economic situation in TAS

Hi Melissa.

I think clarendon vale and rokeby are better areas to go for in that range in hobart.

Especially with the new suburb being built by the koreans

http://www.news.com.au/finance/real-estate/hobart-set-to-get-korean-suburb-after-green-light-given-on-900m-development/story-e6frfmd0-1226260664265

My tip is that with a bit of time, these suburbs will go up substantially.

Where else can you buy a 3 bedroom house for $250k that is 20 mins from the CBD, with a massive development set to bring the price up ??

HI Folks,

As a Hobart Resident, i thought it might be worth me putting my 2 cents worth into this discussion.  Pretty much all of the suburbs listed in this discussion so far fall under the "Dole Bludger" type of people and situations.  Gagebrook is by far the worst suburb in Hobart and Clarendon Vale isn't a lot better, if at all.  Rokeby would come in third place and Bridgerwater/Herdsmans Cove fourth.  Glenorchy, Claremont, Berridale, Warrane and Rosetta are all at the next best level.  All suburbs listed regularly feature in the local news for various crimes, mostly arson or shootings.  

Having said all of that, I am personally looking to build in any of these suburbs at the right price and most importantly – in the right street.  There are good and bad areas in all of these suburbs, rather than individual suburbs being particularly better or worse than one another..  And generally they all attract the same rental returns, suburb to suburb comparison wise.

You might find it easier to locate good properties by using the following website to navigate for Tasmanian property which avoids Housing Tasmania stock:

http://maps.thelist.tas.gov.au/listmap/app/list/map?bookmarkId=16837

Note that the properties in yellow on the Authority Land overlay (under the layers tab – I have already set this up for you) are usually always Housing Tasmania freehold titled houses (or were haha).  You can also zoom in and click on individual properties which will bring up a tab to show the correct address and sometimes mentions if it is a Housing Property.

Hopefully this helps.

Dan.

Hi Daniel.

I think you are misunderstanding the mentality here, demonstrated by saying "nothing happens here quickly…."

Nothing happens quickly in property PERIOD, that is why is it called a long term investment.

North Hobart used to be the equivalent of Gagebrook (hopefully you knew that)

Balmain used to be the same in Sydney.

All over the country there are hundreds of examples….

One thing for certain is that over 20-30 years, things always change.

Now these suburbs being at the lowest end of the scale can only improve their position in the market, they cant get any worse!

Clarendon Vale has the right drivers for change OVER TIME.

Especially with new estates Glebe Hill Estate & Oakdowns next door (will influence the area overtime also), and the Korean Estate on its way.

Glebe Hill estates are also starting another stage with a large shopping complex within 3-4 years.

People will start seeing the value there soon because of its affordability and it will perform highly amongst Hobart suburbs.

I suspect the lower income families will start moving further out towards Lauderdale and beyond, in 10-15 years.

Thats my tip