Every day I search the Brisbane property market for good investment properties for my clients.

Every Monday I send one out for free to give you an insight into how an investor finds and assesses properties.

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Property of the Week #22 – 23rd Nov 2015

Address: 43 Yale Circuit, Forest Lake, QLD 4078

Area: Brisbane Southside

Property Type: 4 Bedroom, 2 Bathroom, 2 Car House

Land Size: 379sqm

Listing: http://www.homely.com.au/forest-lake-brisbane-brisbane-queensland/listingdetails/1594043

Estimated Market Value: $413,000 (sign up below to get the full valuation report)

Listed Price: Reduced from $399,000 to $375,000

Rental Return: $400 per week according to agent  (5.5% yield)

Affordability: $4/wk positive cash-flow (calculated for an investor with an income of $50k/yr).

The Verdict

This property represents what I would call a “Cookie Cutter” style investment property – in other words, it is a purpose-built-investment-property (modern, low maintenance, and with 4 beds, 2 baths, and a double garage appeals to a wide range of demographics, ensuring there is never a shortage of potential tenants.

The fundamentals of a good investment property still apply – it’s available for you to purchase at a discount below market value to create instant equity, it has a good rental yield providing neutral to positive cash-flow and it is in an area that is showing all the right signs of good capital growth potential.

Discount

This property has been listed at a reduced price of $375,000. The estimated market value of the property is $413,000 (sign up below to get the full valuation report) which potentially puts you $38,000 in front from day 1.

Positive Cash-Flow

The Cash-flow analysis (see full report) estimates that this property will be cash-flow positive by $4 per week. So it will cost nothing to own and may put a few dollars in your pocket each week after all expenses. A lack of cash-flow in your household will keep you from investing in some properties, but not this one – and that’s a powerful principle for investing.

High capital growth potential

Here’s what Australia’s leading property researcher and Director of Hotspotting.com.au, Terry Ryder, says about this area…

“The Brisbane Southside market has gained strong momentum in 2015, emerging as a serious contender to Logan City as the most upwardly mobile market in the Brisbane metropolitan area.

Forest Lake – which has a median house price of $390,000 – had by far the highest volume of sales across the region (463 sales in the last 12 months).

The presence of affordable housing, good infrastructure and major jobs nodes is the “power combination” of residential real estate. The Brisbane Southside precinct is a strong example of this combination of key attributes.”

 

Get the full details, analysis, and research…

Join the Property of the Week Club to get the full report on this property. It includes:

  • The valuation report
  • The rental appraisal
  • Cost calculations for an investor earning $50k p.a.
  • Profile of the Brisbane Southside as a growth area
  • Links to the resources we’ve used for our research