Established areas with the X factor

Cohen Handler’s Simon Cohen has a presence all around Australia and he’s about to expand into South Australia. Here’s what he looks for in properties with potential.

Cohen Handler founder and owner Simon Cohen. Picture: Tim Hunter.

For buyers’ agent Simon Cohen, the top suburbs to buy into are close to restaurants, cafes and ­colleges as well as beaches, plus “something that gives it an X ­factor”.

In the UK, for example, as many as 70 per cent of houses valued at more than $4m are sold without ever reaching the open market and a lot of international clients use buyers’ agents because in the most exclusive parts of the country the best stock almost never hits the open market.

In Australia, Mr Cohen says the best places are suburbs where they are not building new properties.

“The best places to buy are suburbs that are not new and soulless, and have a vibrancy,” says Mr Cohen, the founder and owner of Cohen Handler, which will expand into South Australia next week, springboarding from its existing offices in Sydney, Brisbane, Melbourne, Perth, as well as the Gold Coast, Byron Bay and the Sunshine Coast.

Sydney buyers’ agent Simon Cohen and agent Gavin Rubenstein of The Rubenstein Group.

In Sydney, Mr Cohen likes suburbs such as Woollahra, Bondi and Surry Hills. North of the Sydney Harbour Bridge he likes Avalon, while closer to the city he favours Neutral Bay and Cremorne.

Further south in Melbourne, he recommends buying in the Toorak Village and Armadale. In Brisbane, he likes anywhere around the James St shopping precinct, and the wealthy suburb of Ascot – in fact the affluent areas, close to amenities and anywhere you get views.

Mr Cohen is not put off by interest rate rises and tells buyers that whenever they can afford to buy a property, they should buy one – as long as it is the right price.

“In Sydney, property is a solid investment,” Mr Cohen says.

“Once you are in the market, it is much easier. Just get into the market.”

He says the NSW hot spots to keep on the radar, particularly for houses, are the suburbs of Killara, Lindfield, Roseville and Gordon “because you get family homes close to private schools, and you can still drive to work”.

40 Handleys Lane, High Range, in NSW Southern Highlands, was purchased off-market by Simon Cohen in 2020 for $3.9m. He estimates it will now be worth about $6m.

On the apartment front, he likes Potts Point and Elizabeth Bay because these inner-city suburbs offer a Manhattan lifestyle by the water.

Mr Cohen expects there to be people feeling the interest rate pinch, particularly in the western suburbs of Sydney where he foreshadows there will be price drops. However, in the eastern suburbs and the lower and upper north shore of Sydney, ­prices won’t drop.

He advises putting your money into property because it is a much better performer than superannuation. “The growth in property is the strongest growth you will see. It will grow at a much more rapid pace,” he says.

Mr Cohen says there has been a dramatic growth in demand for buyers’ agents because they get access to everything. “Buyers want to make sure they get access to all the property on the market.”

Putting on his H&R Block property ambassador hat, Mr Cohen says many buyers can be overwhelmed by just how much there is to know in relation to property tax.

“Property tax traps are those tricky areas where property owners can get caught off guard, resulting in unforeseen financial burdens,” he says.

“Some common traps include stamp duty, which can significantly impact the upfront costs of purchasing a property. Capital gains tax can become a concern when selling a property and may affect overall profits.

“Additionally, land tax is something investors need to be aware of, as it can vary depending on the type and number of investment properties they own.”

Mr Cohen says buyer’s agents typically charge between 1.5 per cent and 2.5 per cent of the property’s purchase price.