Tuesday, 17 April 2012

BOGGABRI -MINING town Property BOOM -What I have learnt....

"sometimes pictures dont appears on emails click heading for website"

I was reading the Australian Newspaper about Whithaven (mining company) "
NATHAN Tinkler could sell down part of his $1 billion stake in the new-look Whitehaven Coal in a matter of weeks"
Pictures from "The Australian" below

This just happened to remind me about my BOGGABRI research , 
(wiki info) Boggabri is a small town on the Kamilaroi Highway in north-western New South Wales, Australia in Narrabri Shire, between Gunnedah and Narrabri. In 2006, the town had a population of 901 people.[1

The main income for these farm boys now comes from the Whitehaven owned mine .

(wiki) Whitehaven Coal Limited is currently developing and operating coal projects in the Gunnedah Region of New South Wales and exploring other opportunities. 
The Group operates five open cut mines, Canyon (formerly Whitehaven), Tarrawonga, Werris Creek, Rocglen (formerly Belmont) and Sunnyside and is developing the Narrabri North underground mine.

The Canyon (formerly Whitehaven) open cut mine is located 15 km east of Boggabri. Annual production is up to 1 million tonnes, all of which is exported.

Sorry for all the pre info but it is the best way to demonstrate what are the impacts of a mine in a Farming Town / Mining Town.
Next I looked at my favourite website to see if any property price changed had happened over the last year 2011.
In red is all the properties sold in 2011 according to the best RE website www.onthehouse.com.au

Ahh haa , HMMMMM thats quite a lot I thinks for a town of 1000 so people. 
sorry mistake here new population 1426

So why do so many properties sell in 2011. Answer positive gear !!!! yes investors are now listening to the no.1 Positive gear Coach in Australia-----DYMPHNA BOHOLT. http://www.dymphnaboholt.com/
Its really quite simple go and read her book "Confessions of a Real Estate Millionaire"
on her website and it shows how with a little direction and change in mindset life gets BETTER.....
Download an extract of her book and go listen to her free one day conferences. 
I know that without her influence in my life I would not have a website like this and you would not be reading me now.

Anyway ....what else did I gather by this find. 
I think that this little town Boggabri has more growth available and rents in some case have been positive geared and others seem a bit more neutral. 
This gets back to doing your research and not buying without seeing a property. In any mining town it is about bedrooms bathrooms and conditions of property, along with the big one "proximity to the pub. "

Another factor is how long a town stays a good investment and again Dympha outlines that only towns that you can prove have of a mine being there for a long time and plans of expansion even better.
So a quick google on town and I find this from a government website:
Boggabri Coal is seeking approval to continue its mining operations via open cut methods up to 7 Mtpa product coal, within its current mining tenements for a further 21 years.

http://www.downergroup.com/Investors/ASX-Announcements/2010/Downer-signs-A$900-million-Boggabri-contract.aspx  ok so this says "The new contract starts in December 2011 and will extend the company's involvement at Boggabri to over a decade." Keep an eye on Downer.

That looks like good news have to keep up to date with that one.
Lets look at the history of the town in 2010.
Lets look at another great website links:
The most recent median house price for Boggabri is $225,000 and the median unit price is $420,000. 

now also look at another great website link :
This link you need to keep in your favourites, here are the results 3bedroom 1 bathroom


This is interesting maybe its worth a trip up there and have a look for your self.
Go look at the properties with the highest rent.
Before you go check with all the agents. Get a list of possible buys and do some research on granny flats and council regulations for sub divisions in this area too....

OK lets look at before 2009 2010 2011
here are the listings. SOLD LISTINGS

Have a look at this site again click link in relation to property above http://www.onthehouse.com.au/reports/property_profile/3661879/138_Wee_Waa_Street_BOGGABRI_NSW_2382/
now look at picture on the site link above this shows possible repayments for possible buy price  (great site)

result below 2010 sale $159,950 , now with $600 a week rent its listed at $259000
now if you bought this for $159,950 and you might pay $400 a week in mortgage , this still gives you $200k in your pocket each week. And who can possibly get a $160,000 loan ???
Enough said/shown !!!!! 

If you want to get results like this but need direction as to how to do it right!
It is easy just start here http://www.dymphnaboholt.com/