SA Adelaide - long term opportunities?

Discussion in 'Where to Buy' started by NPSydney, 9th Jul, 2017.

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  1. L3ha7

    L3ha7 Well-Known Member

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    By the way-I will take Sydney over any other city/suburb if I can find something affordable.
     
  2. Steve90

    Steve90 Active Member

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    yeah why is that? overall the capital growth will probably be similar in terms of percentage, only difference is instead of having a loan of 2 million and getting 600 a week rent, you can have s 2 million loan with at least 6 houses in adelaide returning 2k a week
     
  3. L3ha7

    L3ha7 Well-Known Member

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    Thanks for the tip @Steve90 -something to consider.
     
  4. L3ha7

    L3ha7 Well-Known Member

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    Investing in Adelaide vs NSW

    In Adelaide Stamp duty is 5% and transfer fee is around 0.75% for any existing house even for first home buyer and in NSW first home buyer do not pay stamp duty or transfer fee if value is 650k or below...and for investor they only pay stamp duty being 3.8% and no transfer fee so is it still an attractive place to invest once we factor in all the fees and charges?!
     
  5. Corey Batt

    Corey Batt Well-Known Member

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    Ignoring those stamp duty rates not being accurate (both States use progressive duty tables which scale between 1-5.5%), as an example with a property @ 300k - the government charges are as follows:

    NSW: $9,266
    SA: $13,770.25

    The difference of $4,504.25 is indeed a considerable amount of money in isolation - but if your investment can't stack up with a difference in investment fee value of around 1.5% of the total value then it's probably not a great investment. The same argument could be used about property in general too - why not just buy shares and pay nil government charges?
     
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  6. L3ha7

    L3ha7 Well-Known Member

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    Fair point- i am amazed by the Loc thread and the info it holds.

    When doing a comparison on various fees and charges of maintaining an ip vs buying shares (never sell or sell as required if sell) -sgares are winning the battle , regular income from divis.

    Everthing involve risk so dyor.
     
  7. Coota9

    Coota9 Well-Known Member

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    Stating the bleeding obvious but all markets move in different cycles which most would know,Adelaide is no different as per data pulled from ABS.

    Data shows that from 2002-2012 house prices in Adelaide(122%) doubled growth over same period of Sydney(50%)
    Sydney returned the favour between 2007-2017 with growth of 105% compared to Adelaide of 40%

    Point being over the same period 2002-2017 both Capital cities have increased by very similar percentages.

    upload_2018-1-18_13-1-47.png
     
  8. ATANG

    ATANG Well-Known Member

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