QLD Brisbane 600K or 850K for CG and where?

Hello Investor,

I need your suggestion for my 1st IP. I have spoken to the mortgage broker and can get a loan unto a million dollar. Already have PPOR with very limited equity and healthy cash to invest. I want to invest 600K to 850K now so that I can buy another IP by end of next year. What I am looking is a property which will give me high CG in long run. I want to buy and hold. I dont want property requiring reno or high maintenance.

I am looking at Brisbane area based on my limited research. But I am not sure whether to just invest 600K or upto 850K and which area.

So, just want to check with expert if given a chance, where will you buy and why?

Thanks.

 

Well, you're a bit late to the party but if you had to, I would spend the $850K and target the more exy suburbs eg Grange, Camp Hill, Ashgrove etc. You may scrape in with $850K.

I THINK they've moved a little less (for now) but I'm not on the ground to attest....just observations.

 

Maybe one suburb out from the expensive suburbs is also an option. Next to Camp Hill is Carina Heights for example, and maybe under 850 would do it?

 

Thanks @boganfromlogan
So you think investing 850K is better than 600K for the 1st IP assuming I can take risk?

 

From my experience of buying in Brisbane during Nov /Dec '20, these suburbs were already very hot then. I think it will be very hard to get anything within $850k that ticks all the boxes.

 

Sorry, no i was indicating that an alternative to 850 and targetting the expensive suburbs would be to target adjoining suburbs that are cheaper. My example was Carina Heights where low 700 even high 600s are still possible.

 

Horses for courses but I'd PERSONALLY prefer to buy a crappier house for $850K in a premium suburb, than a better house in one of the bridesmaid suburbs.

 

Yes, I know I am late to party. But everyone has to start at sometime. Are you suggesting these suburbs are already saturated and potential for the CG is less from current price point perspective?

 

Both strategies are fine, just responding to the brackets indicated by the original post. I recently watched an auction in Camp Hill where expected value was about $740 went for $895. So if that crazy hasn't hit Carina Heights then maybe it good option.

Brides and Bridesmaids? I think bridesmaids have more to offer in the short and longer term, are nicer to look at, more fun and don't necessarily lead to messy parting of ways.

Nor do they have 'in laws'

 

So your vote is to go for 850K in premium suburb rather than 600k in cheaper.

 

Amen brother.

BTW, I have one in Carina so hopefully 'crazy' has hit there too.

 

Nor do they have 'in laws'

Spot On

 

Yes, but if you go broke, don't hunt me down.

 

Do you mind sharing your rational for 850K in premium suburb rather than 600K in cheaper one.

 

I’d definitely go for the $850k mark . Even with that you won’t be buying anything special . Prices have moved a lot , on my side of town (west) you’d probably have to go out to Kenmore or behind to get anything half decent for $850k.

 

From the northside point of view, Kedron or Wavell Heights?

You aren't going to get anything worth getting in a premium suburb IMO.

 

Long time observer here, But I have seen property now going for around 850k -900k ( obviously renovated for FHB) in Stafford heights far streets ...It will be hard to squeeze into kedron / Wavell heights or closer with that budget. an IP near grange , Stafford with reno option could be a good start.

 

Thanks @BB5 and @Canopy . Why 850K and not 600K in other areas?

 

Because the $600k suburbs are a bit further out from the CBD than the $850 suburbs.

Lets say both properties increase in value by 10%. A 10% increase in dollar value on the cheaper place will be $60k and $85k on the dearer property.

 

Hi @Ban , have you pulled the plug...interested to know the outcome! Thx