Byron Bay rated as 'no go zone'
SOME of Australia’s highest profile locations, including Byron Bay, head a list of real estate investment ‘No Go Zones’ compiled by national property analyst Terry Ryder.
Mr Ryder, the founder of the www.hotspotting.com.au website which focuses on forecasting Australia’s next property hotspots, has nominated his leading ‘anti-hotspots’ in his annual No-Go Zones research report.
The 2010 list includes some of the country’s most prominent waterfront and city locations as well as iconic mining boom towns.
The key drivers behind the inclusions on this year’s No Go Zones list include poor capital growth records, overheated prices and pollution issues.
“Buying early in key areas, before prices rise, is the basis of successful property investment,” Mr Ryder says.
“But success is not just about finding the right areas in which to buy. It’s also about avoiding areas where property values under-perform.
“Investors can make big money buying in the right locations at the right time. Equally, they can lose money by buying in the wrong locations.”
The www.hotspotting.com.au 2010 No-Go Zones are:
Breakfast Point, NSW – expensive, poor capital growth, community disputes
Byron Bay, NSW – poor capital growth, volatile market, erosion
Gold Coast, QLD – poor capital growth, oversupply, lack of affordability
Kalgoorlie, WA – job losses, falling prices, pollution
Lyndhurst, VIC – pollution, poor capital growth
Melbourne prestige suburbs, VIC – volatile market, overheated
Mount Isa, QLD – low returns, health issues, pollution
Roseberry/Zeehan, TAS – toxic concerns, mining demise, volatile market
Sunshine Coast, QLD – low affordability, oversupply, poor capital growth
Sutherland Shire, NSW – poor capital growth, poor road links to Sydney CBD