When you buy an investment property, you hope you’re making the right choice.  You want to see an eventual rise in value that will give you a very tidy profit down the track.  So, the trick is to find the perfect building in a prime location.  Get this wrong and, instead of reaping the financial rewards, you could end up even further out of pocket just keeping things afloat.

It (literally) pays to do your homework.

The crux is – if you fail to do the required research and due diligence, you may end up with an investment doozy.  As a recent news.com.au report was quick to nominate, there are ten suburbs across Australia where property prices are set to plunge.  Even though the total market valuation across the nation sits at over $9 trillion, some areas are just not going to cut it.  This is largely due to apartment units being in oversupply in those locations.  So, while housing prices continue to soar, unit prices land certain suburbs firmly in the “danger zone”.

Let’s take a look at the biggest culprits in each state.

 

NSW

Schofields, Gosford, and Rouse Hill

 

VIC

Box Hill, Footscray, and South Melbourne

 

WA

Subiaco and Perth

 

QLD

Broadbeach

 

SA

Adelaide

These areas pose as some of the riskiest suburbs around due to an overabundance of new apartments.  Supply far outweighs the demand, resulting in unusually high rental vacancy rates.

A separate list came out, specifically charting Melbourne’s top ten riskiest suburbs.  It added Coburg, Preston, Docklands, Brunswick, Burnley, Blackburn, and Collingwood to the shaky mix.

The good news is, GSA does do its due diligence.  We understand the need to seek out the best suburb growth throughout Melbourne.  And because we build our deluxe residences in areas where demand is high, and lifestyle is enviable, you can anticipate larger profits.

So, if you want way better returns in your portfolio, come and have a chat with one of our consultants today.  You definitely won’t be sorry.