- GuzeeParticipant@guzeeJoin Date: 2015Post Count: 2
Hi All, looking at investing in Playford area of SA and can’t seem to make up my mind on the following suburbs: a Andrews Farm, Munno Para West, Elizabeth Area & Davoren Park. Any suggestion please?Walking to runParticipant@alisdair-horgenJoin Date: 2014Post Count: 68
On this forum people will always say
“It depends. We need more detail.”
Your post will get this kind of response if any. That’s ok it’s your first go.
I don’t know SA so I can’t tell you much but why SA? You can invest anywhere you can afford. If it’s SA then what is it you want? Don’t say maximum growth and maximum rental income. Everyone wants that most of the time but you have to give us an idea of your plans.
For me, my next property I want lots of land so I can subdivide and develop. So that narrows the field a little, it has to be big land and somewhere where it’s profitable to develop.
What are you looking for?
Irrespective, try to buy somewhere where there is demand and growth or likely growth. Realestate.com.au will accurately summarise all of those suburbs for you. Find out what a price ought to be. Try to buy cheaper than the house is worth. Look for low vacancy rate, somewhere people can afford, somewhere people want to rent.
They are just a few normal points to cover.
Good luck.Kinnon BellParticipant@kinnonJoin Date: 2014Post Count: 151
Why these particular areas? Chasing CG or CF or something else – hard to make recommendations without knowing some of the details.
Have a chat to Corey Batt who posts on this forum. He from SA and knows that particular area better than the back of his hand and I’m sure he’d be happy to have a chat to you about it.D.T.Participant@dtraegerJoin Date: 2014Post Count: 128
Hi All, looking at investing in Playford area of SA and can’t seem to make up my mind on the following suburbs: a Andrews Farm, Munno Para West, Elizabeth Area & Davoren Park. Any suggestion please?
Really depends on what you’re trying to achieve from your purchase.
Davoren Park may have best cashflow since purchase price is likely to be lowest. It’s the most feral of those you listed.
Andrews Farm I don’t see going far – its rents are about the same as neighboring areas but its prices are higher and yields are lower, so isn’t attracting much Investor attention. It doesn’t get a whole heap of Owner Occupier attention either.
Elizabeth area I’m heavily invested into, and for good reason, as it matches my risk profile and return requirements. This does not mean its a good investment for you though – what are you actually looking for?Corey BattParticipant@cjaysaJoin Date: 2012Post Count: 1,010
It seems I’m forming a bit of a reputation.
I do own several investment properties in some of the area’s you’ve mentioned, so I can comment on it a little.
The Elizabeth’s/Smithfield/Davoren Park do still present strong yields, which can be upwards of 9% if you buy well for standalone houses, and 9-11% for semi detached houses. Vast swathes of the area are being rezoned into medium density, a move from the Council and State government to force gentrification into the area, as well as provide supply to the 3%+ p.a population growth.
I’m personally not a huge fan of Andrew’s Farm/Munno Para West as there is a huge amount of supply in these newer areas which tempers capital growth potential, whilst the older housing trust areas like Elizabeth/Smithfield only have supply coming on from new development which is dragging up capital values and rents.
My suggestion would be to establish a firm maximum price for your first investment – speak to an investment savvy broker who will be able to correctly structure your finances to allow for a growing portfolio, as well as provide information as to your maximum borrowing potential. If your budget can enter into the low to mid 200’s the options of Salisbury/Paralowie/Parafield Gardens becomes an option.
- This reply was modified 6 years ago by Corey Batt.