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Melbourne Apartments - Question

Discussion in 'Real Estate' started by Daddy, 30th Jul, 2015.

  1. Daddy

    Daddy New Member

    Joined:
    28th Jul, 2015
    Posts:
    4
    Location:
    Melbourne, Victoria
    I've been thinking about buying an apartment in Melbourne for a while. I keep hearing about tiny, badly designed ones with "kitchens placed in hallways, a lack of ventilation and natural light, and poor storage."

    and apparently 40% are smaller than 50 square metres, which is smaller than just the BEDROOMS in many houses (eg. Sydney, London, Adelaide).

    source: 20. Avoid Melbourne's Poor Quality Apartments

    I'm wondering if anyone knows which apartment blocks I should avoid and if anyone knows which are good.

    I want one that I could potentially live in, then maybe turn an investment on when I sell it later or maybe rent it out down the track, but I don't want to get anything undesirable.

    Any help would be appreciated.
     
  2. Corey Batt

    Corey Batt Finance Strategist

    Joined:
    12th Apr, 2016
    Posts:
    53
    Location:
    Adelaide, SA
    And old thread - but always good to note for the posterity of others.

    Buyer beware when it comes to apartments - supply is constantly coming on the market and demand is nowhere near the levels to soak up the required amount of sales. For a long while a significant proportion of sales have been to overseas investors who are allowed to buy new stock such as apartments, however lender crackdowns to foreign non-residents has seen these buyers dry up and several developers go bankrupt over failing sales/reduced buyers.

    As supply and demand dictates - if you have a stronger (and growing) supply compared to demand, prices will fall until enough demand comes on to balance the equation. Unfortunately we're nowhere near the point of equilibrium.