New potential unlocked in Joondalup
If you are looking for an affordable investment in a great location north of the river, look to the City of Joondalup.
Stretching along the coastline north of Perth, bound by Beach Road to the south, and Wanneroo Road and Lake Joondalup to the east, and well serviced by the Transperth Butler train line and Mitchell Freeway, the suburbs that make up the City of Joondalup offer a wide range of exciting opportunities to investors and homebuyers from all walks of life.
There is something for everyone in the wider council area. Whether an investor can afford the $800,000+ median prices of prestigious Hillarys, Sorrento and Marmion, or would prefer to budget for the more affordable areas of Craigie, Heathridge and Beldon, options abound for making the most of your investment.
Many suburbs in Joondalup have experienced steady growth over the last 5 years, which can partially be attributed to their location and the wealth of amenities in the area, but has also been influenced by the City of Joondalup’s scheme to encourage development in select pockets of the council area.
The changes to the Local Housing Strategy took effect in early February, and investors who had bought in the area with an eye to developing in the proposed areas are now free to subdivide and develop their properties if they wish. These pockets of rezoned properties, located in close proximity to public transport and other amenities, unlock potential for a broad range of investor’s budgets and risk appetites.
Investors can find subdivisible properties readily available in the area, though it is critical to do thorough research and due diligence to ensure the property lives up to the hype. Prices for these properties are now at a premium compared to nearby properties that do not have the same development potential. Careful consideration is needed to ensure that a) you do not pay too much and b) you do not offer too little and risk missing out if the property is right!
Investors may also be interested in purchasing an older home as a buy-and-hold investment, where a cosmetic renovation could lift the rental return while they wait for the natural capital growth in the area, driven by the proximity to public transport, shops and other amenities, the CBD and the coast, to boost the value.
Even those whose strategy is a focus on rental yield will find suitable opportunities in the City of Joondalup. As of the March 2016 quarter, the City of Joondalup’s median rent sat higher than the wider Perth Metropolitan area at $440 per week.
If you have an interest in building your wealth through property, then call us on (08) 9381-7450, or request a FREE Starter Pack.