Brisbane&Sydney

Back to the question on Brisbane: 2x400k vs 1x800k.

2x400k is less risky in that if you lose a tenant, you still have a rent coming in on the other, not all the rent on a 800k investment. And if you sell, you can sell one and not the whole portfolio in one go.
But on the other hand, 800k can buy you a good near city somewhat "blue chip" property in Brisbane. It probably will have great growth in this cycle. But also check the yields too.

Can you buy something with a strong enough return to not make you get stuck in a corner when you choose to extract your equity for another purchase. Ie. will you have any serviceability issues?

Just some things to consider. It would be great to buy near city Brisbane, just make sure you can still make your next purchase with a lender.

 

2×400k vs 1×800k.

As others have stated above, it really comes down to the individual's goals, plans and strategy.

I don't believe eigher of them is inherently better or worse. Both can be great options with the right investor/plan/strategy.

 

10x100 or even 1x 1000sqm ...doesn't matter - its all gonna boom anyway...we are talking about bris after all.

 

Better be careful saying that. . @Bran will hold you to that!

 

Now that I've finished buying I've become a bear.

 

Isn't it be the bear while buying then be the bull once done. .

 

Well one thing is for sure about Brisbane there's a heck of a lot of people who are WANTING it to boom not just the fanatics on this site who have bought and are doing everything they can to talk it up but have a look at the your investment property month in review - again month after month they say they are disappointed by the bne results (I also checked the stats for multiple suburbs. Some have done not too bad but overall bne still weaker than melb growth)
Even so in their review they still comment they believe that it's a good bet.
So there's a lot of optimism to Brisbane from the investment sector. It has is supporters.
However you need a couple of things for a real boom imo one is jobs and money for Brisbanites it's a relatively poorer City compared to Sydney and Melbourne a boom won't happen just because of property investors (that will contribute to some gains) but need locals buying.
And 2 you need some foreigners bringing in some dollars and/or moving here. Not seeing a lot of that. Bne is a really white city.
in previous Cycles it may have been the case that Brisbane follow Sydney and Melbourne and I believe that will still be the case to some degree however you have to look at what drove the boom in Sydney and Melbourne and a heck of a lot of it was foreign money that makes things different this time. Affordability is hard for 'locals' in all of Australias cities. But Chinese money took things to the next level. That wasn't so much of a factor in 2003 or 2007 or whenever it was Brisbane had that really solid boom.

 

I missed the Sydney and Melbourne booms as had other things going on in life. But here's one of my 2 favourite Brisbane suburbs taken just now from YIP. It's no Sydney, but this is the second year in a row of these results, and it's only just started.

 

A couple more kareoke joints, dumplings stands and another 1 or 2 casinos in Brisbane and she'll be right mate

 

What 2 suburbs. .?

 

I think you need to edit Bear to Bull. Unless you really mean Bear (and I doubt it?)

 

Have you gone to the Eat Street markets? I think we need to organise a Brissie field trip....

 

I like anything from Stones Corner to Mount Gravatt East, and the other side of the freeway from Annerley to parts of Moorooka.

 

No, I mean bear. But what I really mean is that I am not content to rely on speculative growth, but am investigating development on two Brisbane sites instead.

I'm not enough of a bull to buy any more in Brisbane. I'm at very high LVRs as well, so time to improve this, with or without growth.

 

This sounds like the areas I like too (apart from the bay)
Unfortunately I'm not in a position to add any more to the portfolio just now....

 

I probably could, but going to sit tight for a bit.

 

yes that's the second year: the same 2 years where Sydney and Melbourne were booming.
Their fundamentals are still better than Brisbane
The only thing for Brisbane is it is historically cheap plus it's becoming notably trendier than it was (but to some degree that's natural based on popn growth and of course happening to suburbs in Sydney and Melbourne that weren't trendy before)
Things have changed now and that catch up isn't guaranteed as before.
- white fella money is not going to be enough.

I haven't yet committed to Brisbane further investment. I would have done well in Brisbane if I bought 2 years ago but not as well as I would have in Sydney or Melbourne. It's not a straightforward choice for me to move forward.
I understand why people are pumping it. Some people on here have bought several properties with the anticipation of a boom in Brisbane.

 

Brissie field trip...I'm so in!

 

Yeah... if you can manufacture equity its faster than just buying and holding (or buying and praying).

And I think all your properties are in Qld?
I reckon put some eggs in another basket at some point in time.

 

Yes, all QLD.
That's exactly my sentiment. QLD just happened to be ready when I was, but it's enough for me.

No idea where to next though, but the timing will be right.