Joel Robinson September 24, 2024 Buyer Q&A
“Buy now at today's prices and take advantage of tomorrow's benefits.”
That was the general view of experienced property investor Dale Boseley when he recently decided to secure three planned apartments on the Gold Coast.
“The best way to capitalize on a booming market is to take advantage of the times ahead,” Dale said.
Originally from Victoria, but having lived all over the country, Ms Boseley first looked at property on the Gold Coast in 2016 after helping her uncle look for an owner-occupied apartment.
He ended up purchasing an unfinished property in Rainbow Bay. When Dale decided to invest in the Gold Coast market, that's where he started. After just a few weeks of research, he quickly set his sights on the unfinished property market.
“We asked ourselves: 'Where is the best place to take advantage of a rising market?'”
“We considered it from the planning stage and there is certainly always risk involved in buying anything, but after doing our research and due diligence we felt the risk was low. The Gold Coast market not only attracts local buyers but is also seeing significant investment from Sydney and Melbourne. The imbalance between supply and demand in the region appears to be significant and we believed this was an opportunity we could capitalise on.”
Like any good investor, Dale analyzed different locations and submarkets within those locations.
“We looked at the existing market and felt sellers were really asking top dollar for the lowest quality product,” Dale said.
“We came close to purchasing a few properties but gave up on one due to concerns about building and pest inspections, and gave up on selling another for fear of it becoming an Airbnb.”
Dale has since secured completed apartments at Jewel Residences in Surfers Paradise, Perspective Nexus by Sherpa in Palm Beach, Harbour Shores at Biggera Waters by Lewisland and planned properties at Radia in Rainbow Bay by Paul Gedhun’s S&S Projects.
“What's most important to me as an investor is seeing the numbers add up,” Dale said.
“It's all about yields, potential growth and how well the expected rents will cover the mortgage, but after that it's about investing in the close-knit communities that the Gold Coast has in abundance.”
With this belief, Dale contacted Sherpa Property Group to purchase an apartment at Perspective Nexus in Palm Beach.
“Sherpa's dedication to the community was something we wanted to be a part of,” Dale said.
“They're not just building luxury apartments, they're clearly part of the local community in Palm Beach and the Gold Coast, and that plays a key role in the off-the-plan buying process.”
Sherpa will donate all proceeds from Perspective Nexus' $1.2 million apartments to the charity Serving Our People. The company also recently launched a new brand collection, Flourish, to offer more diverse housing options and not just to those relocating from luxury neighborhoods. The 94-unit building on 6th Avenue will feature one-, two- and three-bedroom apartments, with one-bedroom prices starting in the $600,000s.
Mr Dale has also secured an apartment at Harbour Shores in Biggera Waters, backed by the reputation of veteran developer Lewis Land.
“Lewis Land is one of those developers you can trust to do right by a buyer,” Mr Dale said.
“The master plan they're putting together can't be replicated in the current land and built environment. When a commodity becomes scarce, prices rise. That's why we invested in Harbor Shores.”
Reputation factors also played a role in S&S Projects’ case, as did the scarcity of new build apartments in Rainbow Bay.
“We're firmly invested in the Gold Coast both financially and physically and we look forward to seeing all the new developments come to fruition.”
Dale took part in Urban’s Buyer Q&A series, which focuses on the motivating factors for buying a planned property in Australia.