Off The Plan Townhouse Investment – Melbourne
Purchasing an off the plan townhouse in Melbourne for an investment property has increased in popularity with consumers over and above house and land packages and off the plan apartments since mid 2017. Townhouse investment opportunities in Melbourne are driven by property investors potential for capital growth and rental yield or rental return, that is, hot spot suburbs for off the plan townhouse investment.
Why is mid 2017 an important point in time for off the plan townhouse investment in Melbourne?
The Victorian house and land package sales market was at its highest point, if you were trying to buy in a master planned community in the growth area suburbs of Melbourne at this time you would have had to registered and recieve either a lottery number to pick a block of land from the land stage release or literally line up which, due to demand, often meant sleeping the night in your car or pitching a tent! Too much effort for no guarantee of being able to purchase your preferred block of land, size or price of land.
Demand for Melbourne off the plan apartment investment post June 30 2017 lessened due to the Victorian government state stamp duty changes in addition to many property investors in Melbourne looking to buy now for investment and move in a few years time when ready to downsize or alternatively the other way around be first home buyers who would then hope to upgrade,move out and this property then becomes their first time property investment. Townhouses are the preferred property investment product for this scenario.
Off the plan townhouse investment in Melbourne therefore furfills two purposes – for the majority of buyer types a townhouse or townhome investment can also double as a future dwelling to live in in future, this can not be said of buyers for off the plan apartment investment in Melbourne and off the plan house and land package investment in the growth area suburbs and corridors of Victoria.
Do we have any insider tips or off the plan investment hot spots for townhouses? Yes we do.
Off the plan townhouse investment in Melbourne needs to be looked at from a macro level, that is we say Melbourne but really mean Victoria as a whole as with urban sprawel the growth of Melbourne really means all the suburbs within say a 50 kms distance from the Melbourne CBD.
Townhouse investment in Melbourne can therefore be divided into suburbs within the North, East, South East and Western Corridors.
Property investment is the ability to attract a tenant to your property over existing property, home or apartment and once product design is taken into consideration the population pool of potential tenants has to be taken into consideration – at the end of the day who is going to rent this property?
Townhouse Investment in Melbourne’s Northern Suburbs Corridor
The Northern suburbs are some of the most popular, this in part piggybacks off the popularity of the established apartment market and single fronted weatherboard homes in the inner Northern suburbs within close proximity to Melbourne University, Collingwood, Carlton and Brunswick.
The Royal Melbourne Hospital, St Vincent’s Hospital and Austin Hospital in Heidelberg. Traffic wise – train and tram access in addition to Tullamarine Freeway and Metropolitan ring road for access to East and Western corridor suburbs.
The inner corridor suburbs of the North offer exceptional opportunity for loft style and rear row and front row garage access townhouse investment in Brunswick, Moonee Ponds and Thornbury including the middle ring suburbs with dedicated train stations, retail amenity or retail strip including Pascoe Vale, Strathmore, Preston, Heidelberg West, Glenroy, Hadfield, Reservoir and McLeod.
Melbourne off the plan townhouse investment property opportunities in the Northern suburbs of Melbourne include the hot spot northern suburbs located North of the Metropolitan ring road which include Broadmeadows, Coolaroo, Lalor, Watsonia, Mill Park and Greensborough. One to look to for potenital future capital growth and rental yield, property investment key attraction drivers.
Townhouse Investment in Melbourne’s Eastern Suburbs Corridor
The Eastern corridor has been popular with middle and outer ring suburbs of the two braches of the Eastern Subrubs the Box Hill, Ringwood, Croydon and Mooroolbark line and the Mount Waverley, Glen Waverley, Wantirna South Ferntree Gully line.
The attraction for townhouse investment was and still is driven by public school zones and the leading public Melbourne School has been for many years Balwyn High School. For a student to attend Balywn High School they needed to reside in the Balwyn High School Zone. The attraction of public school fees over private school fees and the fact that Balwyn High School had and to this day has terrific academic scores and track record. The result was the demand to live in the school zone to send children to the school resulting in healthy capital return on townhouse investment growth for the owner occupiers and investors.
Townhouse Investment in Melbourne’s South Eastern Suburbs Corridor
The South Eastern corridor has been popular for off the plan townhouse investment for school zones such as McKinnon High School and access to Bayside suburbs and Mornington Penninsula for leisure.
Key drivers for off the plan townhouse investment in Melbourne’s South Eastern corridor include Chadstone Shopping Centre, Monash University Caulfield Campus, Monash Medical Centre, Westfield Southland and Moorabbin Aiport.
The ‘Sand Belt’ golf courses are of great investment appeale as well as road network and arterials including the ‘non toll arterials’ of Nepean Highway and Princes Highway.
Off the plan townhouse investment in Melbourne’s South Eastern Corridor is in suburb clusters which drives the townhouse dwelling or townhouse product design and thierfore entry investment purchase price point.
Bentleigh & Bentleigh East, Oakliegh South are loft style off the plan townhouse design due to efficient site dimensions on and around Centre Road. The amenity on Centre Road is an excellent example of townhouse investment as tenants or renters for townhouses in these areas are attracted to the retail, cafe and services on Centre Road, transport on and around Centre Road the ease to access Melbourne’s CBD via train, Nepean or Princess Highway.
Townhouse investment in the masterplanned medium density communitites of Keysborough and Dingley Village is driven through the affordable offering of rear row and front row garage access townhouse investment opportunity over the existing house and land package product which is considerably more considering the land footfront and mega-mansion builds. Live in the same suburb and dont worry about mowing the lawn like your neighbours – yeah, we like that idea too.
Further South East are the medium density suburbs of Springvale, Noble Park, Dandenong – huge degree of infrastructre, market – we could write a whole essay here on the Dandenong Infrastructure plan but again these off the plan townhouse investment opportunities in the Melbourne suburbs that are the ‘next suburb along’ often have government or council driven initiatives that attracts new and re-vitalises established infrastructure for job creation and in turn creates a market for renters which places demand on townhouse product.
Off the plan townhouse investment in Melbourne’s Frankston Line includes the suburbs from Highett, Cheltenhem, Mentone, Parkdale, Mordiollac, Aspendale, Edithvale, Chelsea, Bonbeach to Carrum, Seaford and Frankston. Townhouse hot spot investment opportunities potentially exist in those suburbs from Chelsea to Frankston.
Traditionally called or named ‘Masterplanned Communities’ in the outer suburbs of Melbourne were designed with house and land packages in mind, changes to housing densities driven by state government as a means to affordability have meant that off the plan townhouse investment master planned communities has increased. As such, off the plan townhouse investment in suburbs such as Cranbourne, Clyde North, Officer and Langwarrin continues to gather momentum.
Townhouse Investment in Melbourne’s Western Suburbs Corridor.
Prolific is the word we use to describe off the plan townhouse investment in Melbourne’s Western corridor.
Townhouse investment is in two forms of product or location. The first is in the inner ring medium density suburbs of Footscray, Altona, Altona North, Sunshine, Braybrook and Brooklyn. Driven due to the proximity to Melbourne’s CBD, multiple train stations and freeway and highway arterial access into and out of Melbourne’s CBD as well as access to Geelong, increasingly Melbourne’s second city.
Off the plan townhouse townhouse product offerings in these inner ring suburbs is often loft style townhouse product however, driven by site acquisition and generous townhouse development land dimensions often the product offering includes rear row or front row garage access townhouses, which with the above suburbs being 6km to 10km distance to Melbourne’s CBD are unique as the same distance in the North, East or South Eastern Suburbs will more than likely be loft style townhouse development product design.
Townhouse investment in Melboure’s outer western suburb corridor is based around the three main arterials.
Melton Highway which services the established townhouse investment suburbs such as Keilor and Taylors Lakes and the new and upcoming off the plan townhouse investment suburbs with masterplanned communities including Plumpton and Melton. The attraction of townhouse investment in the established Keilor and Taylors Lakes is existing amenity and infrastructure whilst townhouse investment in Plumpton and Melton is the further city centre’s with supermarkets, retail, schools and medical facilities.
The townhouse investment theme is replicated again with Ballarat Road servicing the established suburbs of Deer Park, Burnside and Caroline Springs and the up and coming master planned communities in Rockbank and again along the Princes Freeway with established masterplanned communities growing at such a rate over the past decade they are now considered established suburbs, these include Williams Landing, Point Cook, Hoppers Crossing and Werribee with up and coming off the plan townhouse investment opportunities in Ballan and Mount Cottrell.
Off the plan townhouse investment across Melbourne needs to be considered from an established to master planned community option – the key drivers of amenity including transport, leisure, education and medical add further weight to your Q&A and due dilligence, we have upcoming extended commentary on townhouse hot spots for investment across Melbourne, in anticipation for the newest off the plan townhouse development project launches across Melbourne register or contact us today.