NSW Box Hill or Schofields?

Hi Everyone,

What are your thoughts around building a property for PPOR? Would you choose Schofields or Box Hill? Price Point is 600-800K. I understand for this price you can also buy a townhouse or entry-level home at Quakers Hill but the thought of being close to the Sydney Metro is one of my main objectives. It will take 30-mins travel time from Cudgegong Station to North Ryde so much so that apartment prices at Rouse Hill are going nuts.

This will be a 3rd property but first PPOR. Would like to understand and get some ideas on how to buy for PPOR but with long-term prospects of Capital Growth? Current combined income is ~260K.

Thanks.

Cheers.

 

Ya the new metro is not in schofields but still about 7-10 mins drive to Cudgegong Station.

If you like Quakers hill, then Bella vista metro station is just approx 10 mins drive.

 

It seems like you have already decided you are going to build a PPOR. The decision now is to whether build in schofield or Box Hill.

May I know what makes to take that decision? It does not seem to be the best time to build a PPOR and especially in one of those areas which banks already consider over valued.

 

Thanks for the inputs.

Nope, actually we haven't really decided yet. Just wondering where to buy PPOR hehehe and I've tried to look Southwest but work-wise, we work at North Sydney and North Ryde..

I'm checking Eastwood/West Ryde apartments too but not sure if good value..

Where to buy in Sydney with good value at this stage?

 

No one knows that

If you looking at an apartment in west ryde already I think your best value is to rent a new apartment somewhere in north ryde or closer to the city. That should work for both of you and keep investing until you are more confident

 

Thanks for the insights @hash_investor. It gets too confusing. lol there are options but always looking for best value and potential cap growth.

 

You can search previous thread on this forum too about units vs house. I would avoid Box hills/Schofields due to the high price and less land component.

 

The units vs houses and PPOR vs IP discussions will ultimately come down to where you are at the moment in your investing plan. As mentioned by @hash_investor which I tend to agree as well, it is probably not the best time to build in those places at the moment.

 

what about buying an existing t/h or a duplex there? is that much value?

 

Hi Hash Investor: would you share some lights on what do you mean by being ''more confident'' in buying PPOR? what factors can define us as being more confident?

I am in the same boat as OP. came to australia 3-4 yrs ago as PR. combined income 250k but will increase as i will postgraduate in few yrs in medicine. no kids. want to buy a nice house with pool. So looking at Box Hill/ marsden Park--- not so sure whether its a bad decision after reading all the comments / posts here

 

Despite of above talks in this thread ask yourself do u find any better area to buy ?
Top notch land in the gables is $595k for 450sqm ~ $1322persqm. 450sqm is not small size thus the final price is accordingly $595k.
People talk about $400k-$450k land price but did they realize its 250sqm-330sqm (or in some remote bogan suburbs)

 

I would always look for the land component. The shiny houses might not shine in the long run but having a good block of land (greater than 450) will help you in the long run.

If you like the surrounding area and looking for a 2 storey house with block of land look at established suburbs like Quakers Hill. If you look at the recent sold prices in Quakers Hill you would get a feel of why the prices have gone up here in the last 6 months and still going up. People are making a choice of shiny houses with small blocks in Schofields/Box Hill/Marsden park etc vs established suburbs like Quakers Hill with blocks of land and relatively not so modern houses.

Good luck!

 

A small block in a good location can yield fantastic capital growth results. My place has risen 78% in 3 years. My block is < 350sqm! I'm a 10 minute walk from Rouse Hill Town Centre and the new metro station. The proximity to the town centre (doubling in size from next year) and the new metro (opening in 2019) will help shield this immediate area from a correction.

I'm an advocate of trying to get within a 10 minute walk of the new train stations. Consider existing houses and townhouses.

If a pool is important, there are two community pools for the use of residents in the Rouse Hill / Beaumont Hills sections of "The New Rouse Hill" estate:

• https://www.google.com.au/maps/plac...77214158d3469!8m2!3d-33.6903678!4d150.9261401
  
• https://www.google.com.au/maps/plac...77214158d3469!8m2!3d-33.6903678!4d150.9261401

(although some house sites with existing houses could fit a small pool in the backyard if you are creative - check easements)

 

Hi Wombatt, thanks for your input. I would love to buy in rouse hill/ area in close proximity to train station but the lands in rouse hill are way way way over our budget.

Houses is Rouse Hill whichever are within budget are very old and still 900k + (i agree with big land components). But if we buy the very old homes, we'll be living there and paying a fortune in repayments but we will never be happy untill we save more in many yrs to come and buy/build a nice newly build house. I know it is silly but living in a house will old finished and no open plan living will never makes us happy. We will always look to build a new house for rest of our lives ☹️

 

have you bought a PPOR before? what other investments do you have? are you sure you NEED a PPOR at this stage or you WANT it?

many young professionals buy a PPOR when they save their first deposit without knowing what else they can do with it and may be they are better off not buying a PPOR just yet. if living in a shiny open space is your thing you can always rent it and renting is cheaper than buying at the moment and definitely in the near future.

 

Nope we dont have any property. We relocated to Australia just 4 yrs ago and starting to get descent pay for last 2 yrs. we are still in planning stage and our ultimate goal is to own / build a nice house. Now if we keep saving for another 10 yrs, isnt there a risk of getting the house prices double in 10 yrs? Income will increae but definable will not double, cash flow will not increase by double, as family will expand etc by then.


Our initial impression was if we buy a house now by 950k, we can lock the price a d repayments will be around 1100k/w (we are renting 600/w for a tiny 2 bedder, would love to upgrade to 3bedder as our parents often come to live with us and i need an extra room dedicated to my studies). This will be comfortable for us and will be more and more comfortable as our salary increases.

Now if we keep saving and plan to buy/build in 10'yrs. similar property will be around 1.8m. The gap from our savings and the price will be worse and the repayments will be close to double of 1100/w. I dont think our cash flow will be double by then to afford the repayment with ease.


We can buy investment property to gain equity now and wait for 10 yrs. but with the fear of market crashing, will we ever gain any equity from buying an IP in this inflated market!!!

Other option is never buying a house, renting for rest of our life. Feels like the best option now after getting to read treads here. However rent will increase too- now paying 600/w in a area 5k from station but 25k from CBD. Trust me its taking 1hr for my hubby to get to cbd to work by train. We need a 3 bedder and it is nothing leas than 800/w in nicer areas that we can afford and still commute confortably.

So the idea came to buy a house/build a house as we were already planning to rent with 800/w!

Definitely buying is something we dont need but we want. I guess its not a good thing to want but trying to understand more. We dont need many things in life. We can drive a 1995 model toyotta corola in place of 2014 madza 3 or hyundai or merc/bmw. This all we want, not need.

 

Most likely our (hubby and i) initial impressions are all wrong. I started to feel that after reading the the blogs here. If buying is wrong in this market, i don't understand why all our friends and colleagues are rushing and buying houses in sydney with single income and kids. It would be difficult to manage repayments for a 1m house in Minto or the Ponds with 140k salary, young kid and stay at home wife. They all say they were locking the price. So we thought we should buy too with double income, chances of increasing income in medical professions and no kids for 4 yrs. now reading blogs here says all of us are doing wrong thing-

I want to understand what will be the gain if we dont buy now and buy in 10 yrs?

 

Right but depends when you bought the block... The train station was the fuel to the property prices in these areas but if will continue to get another 50% in the next 3 years, I'm not sure

 

No it won't. I wasn't suggesting it would. You are likely to get better capital growth close to stations. People like the convenience of walking distance.

Perhaps less risk to buy an established dwelling. You carry a settlement/valuation risk with a new build if the market significantly turns. Allow minimum 12-18 months for land to settle and 9-12 months for construction by a volume builder.

You can get 3-bedder detached houses in the area for $800ish. There was a down-blip in the market in 2015 and 3-bedders were selling at this level.

 

Got it. Yes you are right less riskier to buy an established dwelling.