Suburb Spotlight Bardia & Ingleburn, Sydney
BARDIA
INGLEBURN
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Bardia & Ingleburn Overview Bardia and Ingleburn are fully serviced, neighbouring suburbs located just one hour or 40km south west of the Sydney CBD. Approximately 30 Custodians invested in Bardia and Ingleburn between late 2010 and early 2014. Early on, Custodian identified the Bardia and Ingleburn suburbs as an area with the potential for significant capital growth. In addition to the strong market fundamentals underpinning the Sydney Market, Bardia and Ingleburn ticked all the boxes: •
The highly desirable golf course lifestyle
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The abundance of local infrastructure
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Proximity to local employment hubs of Parramatta, Silverwater and Bankstown
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Accessibility to train lines and M7 motorway
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The idyllic semi-rural lifestyle setting
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Top quality public schools and Christian private schools
In addition, the Ingleburn Gardens Estate features a child care, corner store, lap pool, playground, community meeting room and plenty of walking and cycle paths. With a proposed Anglican College and second child care centre right next to the master planned estate, Ingleburn Gardens will be the complete package.
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ver 30 Custodians O have purchased in Bardia & Ingleburn. ALL have experienced capital growth in the vicinity of $55,000-$140,000 in just 5 years.
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It is understood that each Custodian who purchased in the Bardia and Ingleburn localities has experienced an uplift of $55,000 - $140,000 in Capital Gains. Recent sales, comparable to Custodian stock, have transacted as high as $630,000 with an average of $610,000. Every Custodian who purchased in the Ingleburn Gardens Estate did so up to $555,000 with an average of $500,000.
Assuming 10% deposits, Custodian’s have doubled or tripled their initial cash deposits over this 1 - 5 year period.
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Buy Land for Capital Growth True to the ‘7 Steps to Wealth’ model, the land component of your property investment is what appreciates in value. Custodians who purchased in the Ingleburn Gardens Estate have seen capital increases of $55,000-$140,000 with the bulk of their returns coming from the land component of their investments. Custodians purchased blocks of land in 2010 for $230,000, where similar blocks are now selling for $380,000. Most Custodian investors purchased in the Ingleburn Gardens Estate for under $530 per square metre. Recent land sales in the estate are now pushing the $900 per square metre mark – which is a 70% increase.
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Furthermore, land in Bardia and Ingleburn has outperformed the wider Sydney land market.
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Source RP Data
Furthermore, land in Bardia and Ingleburn has outperformed the wider Sydney land market. There is no doubt that the Custodian clients who purchased in Bardia and Ingleburn have timed the markets well. However, property is a long-term investment and clients need to be thinking about how they can best use their equity gains to further build their portfolios. Diversification with several properties across various geographical locations and submarkets is a good strategy for shielding your portfolio from cyclical downturns and creating consistent long term returns.
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Sales (lots per quarter)
have that te new
Releases (lots per quarter)
Closing Stock (lots end quarter)
Recent Comparable Land Sales in Bardia/Ingleburn Greenfield growth area lot sales, lots released to the market, On closing a dollar per metre basis the story is just as compelling. In the recent “State of The and stock at square the end of the quarter Land Report”, The Urban Development Institute of Australia highlights how the average dollar per Source: NLSP square metre for land in Sydney has increased dramatically as lot sizes decrease and average lot prices increased. Illustrated below.
cture. drive long
Median Price and Size MedianLand Land Median Land PricePrice and Size and Size
ns within
ory in up 30% of ll make more viable ng:
ement cture. stem should er.
elivery ds by
Source: NLSP
Source: NLSPGreenfield Sydney Quarterly Market Activity
Year
e. ncils to enditure.
Lot Production
Lots Year Released End Stock
Median Median Lot Size Price ($) (m²)
Per m² land price
2009
2503
1076
520
$269,000
$518
2010
3526
1266
524
$293,500
$560
2011
3890
1449
498
$294,500
$592
2012
4640
1870
508
$295,000
$580
2013 2014
Sales (lots per quarter)
6690 8597
494
509
Releases (lots per quarter)
$323,500
Closing Stock (lots end quarter)
342
450
$339,750
$636 $755
Source: NLSP
Source: NLSP
INFILL PERFORMANCE The key infill performance indicators of dwelling approvals and completions have seen a sharp increase from 2012/13 to 2013/14, indicating a flourishing infill market. ABS figures show that from 2012/13 to 2013/14 dwelling unit approvals are up in New South Wales by 37% (from 21,812 to 29,875) while at the same time dwelling unit completions have jumped 15% (from 32,628 to 37,360). Sydney’s infill market continues to do its fair share of heavy lifting when it comes to delivering new housing. 4
FUTURE PROSPECTS
UDIA NSW, through its Land Development Committ has prepared forecasts based on consultation with development industry participants. (See Table 2)
UDIA’s forecasts show a major increase in lot prod in the next five years with Sydney in line to excee production targets identified by A Plan for Growin to 1% in 2014/15 and 24% by 2018/19 (See Tabl
The NSW Government has announced the formatio Greater Sydney Commission, a dedicated new bod with steering delivery of A Plan for Growing Sydn The objectives, charter, membership and powers o Commission will be vital to its effectiveness. These be defined in a transparent and inclusive manner w key stakeholders in NSW or this new body will stru for meaning and support. It is UDIA’s hope that the primary purpose of the Commission will be to facil the formation of a Greater Sydney Vision and the d the delivery of this vision. Sydney’s greatest challe delivering growth and quality of lifestyle will be to combative and divisive debate in to a “majority Vis So while the formation of the Commission is welco UDIA calls for the NSW Government and Oppositio the formation of a Greater Sydney Vision and the s planning reform at the top of its agenda following March election — UDIA’s forecasts are conditional o bi-partisan approach occurring.
Established Capital Benchmarks The highly desirable lifestyle amenity of the Bardia and Ingleburn area has attracted many families, so much so that there is a 70 per cent owner-occupier rate. These owner-occupiers continue to buy, build and upgrade thus accelerating the growth in the surrounding properties. $680,000 plus homes are now not only commonplace but they are becoming the norm. Some examples of established capital benchmarks adjacent to Custodian clients in Bardia and Ingleburn are shown below:
1 Percival Avenue, Ingleburn Area: 536m2 Price: $765,000 Sale Date: 7 Jan 2015
45 Peugeot Drive, Ingleburn Area: 651m2 Price: $750,000 Sale Date: 11 Feb 2015
6B Cambridge Street, Ingleburn Area: 381m2 Price: $680,000 Sale Date: 14 Nov 2014
All information is current and accurate as at April 2015.
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Comparable Sales History When assessing your capacity to expand your portfolio the banks will engage valuers to estimate the ‘fair market value’ of your property. These valuations are conducted using the sales evidence of recently transacted properties. In 2015, Bardia and Ingleburn have seen some quite favourable sales comparable to Custodian stock. These encouraging sales are characteristic of the booming nature of the Sydney residential market. Examples are shown below.
18 Ingleburn Gardens Drive, Ingleburn Area: 450m2 Price: $630,000 Sale Date: 12 Dec 2014
23 Mt Olympus Street, Ingleburn Area: 500m2 Price: $690,000 Sale Date: 16 Nov 2014
40B Hollyoake Circuit, Ingleburn Area: 230m2 Price: $550,000 Sale Date: 15 April 2015
All information is current and accurate as at April 2015.
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Request Your Complimentary Personal Property Portfolio Review To find out about what this means for your investment and to hear about the latest exciting new Custodian investment opportunities, please contact our team of property experts for your own personal ‘Property Portfolio Review’ on:
Phone: 1800 174 999 Email: service@custodian.com.au
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PO Box 2256 Nerang, MDC, Queensland 4211 1800 174 999 service@custodian.com.au www.custodian.com.au