This is the final part of a three part series of articles I have written to give investors and parents of students attending the University of Newcastle. In Part One I covered getting yourself prepared before jumping into the property market. In Part Two I cover off on what options there are available for rental and where I would avoid buying in the current market.
This part I’m giving away where I would be looking at investing if I were looking for a property for my Uni student kids to live in.
Largely it will come down to budget and the type of property that you are looking to acquire. By type I mean is it torrens title (a house usually) or is it strata title (a villa, unit or townhouse). Houses require more maintenance in most cases than units which is an important factor as it unlikely that the grounds are going to be maintained as well as what you would hope them to be. You can always pay someone else to do it however and this is often worth it.
The benefit of units are they can be purchased in locations where you may not be able to afford a house, require less maintenance and in some cases, may also become a place to retire to.
Presently there are a number of high rise or high density apartment buildings under construction in the CBD of Newcastle. Touted as being built to cater for the anticipated demand for accommodation near the new Inner City campus for the University of Newcastle. I would exercise caution when considering these buildings primarily for the fact that there are so many being built. Upon completion one building which is popular with investors is going to have over 200 apartments. I’m not sure where all the extra students are coming from but there is already an abundance of student accommodation throughout the city that investors are struggling to find tenants for.
My advice if your budget is up to $400,000 consider a house in these suburbs Wallsend or Shortland or a townhouse or unit in Waratah, Waratah West or Wallsend.
If your budget is between $400,000 to $500,000 consider areas like Mayfield, Islington, Hamilton, Waratah and Georgetown.
Should be able to stretch further, areas like Cooks Hill, Maryville, Wickham and Hamilton should definitely be on the radar.
The main reasons I have suggested these areas are a combination of lifestyle and investment. Wallsend and Shortland are further away from the CBD however both are well serviced by public transport. Waratah, Georgetown, Islington and Hamilton are almost in the absolute centre of Newcastle geographically. Meaning they are equidistant from shopping centres, beaches and of course the university.
Cooks Hill, Wickham and Maryville are on the fringe of the CBD (just) which mean in time they will be essentially part of the CBD as it moves westward.
Finally consideration should also be given to what your children intend to do after Uni. If they plan to stay in Newcastle, where are they likely to work. For example, if they are going to be working at John Hunter Hospital or The Mater, selecting a property a short distance from either of these would be wise rather being as close to the beach as possible.
If you need further advice, feel free to contact me direct on 0438502371 or by email help@newcastlebuyersagent.com.au
