If you’re looking to invest in Melbourne, or any other city for that manner, here’s some tips on finding the right suburb.
Ryan: So Samantha Anthony’s asking in live at the moment, if you’re planning to invest in Melbourne what are the best suburbs you think about and why?
Ben: So sorry, I haven’t actually bought investment property in Melbourne, and I don’t have a real estate license to talk about Melbourne. But what I would suggest is there’s a great company called Residex, who RP Data, who’s the number one analytics company in Australia and in the Australian property market have just bought.
There’s a report that they produce for Melbourne titled the Best Suburbs Report. And it has suburbs priced between the bottom of the market and the top of the market. And it looks at how those suburbs are going to perform over the next eight years.
So I think their claim to fame is that 70 or 80 percent of the time their reports and the suburbs that they select in those reports are accurate or better than what they’ve predicted to occur.
I’ve used those reports back in the day to purchase, and have achieved some great results from them, so as long as you overlay your additional suburb research on top of it and don’t take their report as a silver bullet, there can be some great value there.
And the way to use those reports is just to filter it down by price point, by proximity to the city, services, infrastructure and then overlay all those key performance indicators that Ryan and I are always talking about.
Ryan: Yeah and those reports cost money, right, a couple hundred bucks or something?
Ben: Yeah. About 150 bucks. I think they’re a bit cheaper at the moment, because RP Data’s doing an overhaul on them. But I’m not walking around, I’m just jumping under the desk to plug my power in. I apologize.
Ryan: But yeah, those reports, a lot of people don’t purchase them because they do cost money, whether it be $100 or $200 or something like that, but I think if you have narrowed down your area, you’ve narrowed down your capital city and you’re like yes, I definitely want to buy in Melbourne, then I think it makes sense to go out and to spend that $150 or whatever it may be to purchase that report, because it just gives you such a good starting point to really narrow it down some suburbs and you can then go from there and go ahead and do your research.
So hopefully, that answer has helped and sorry that we couldn’t be more specific, because neither of us are really, we don’t really know the Melbourne market suburb by suburb.
Hey guys, I hope that you enjoy the answer to this question, which came from our live Q&A episode with Ben on YouTube. We will be doing more of these in the future.
If you want to check out Ben then he is offering free strategy sessions to On Property listeners. To find out more about that, go to onproperty.com.au/session and you can see all the details over there.
That’s it for today, and until next time, stay positive.