Buying land near the north west railway station in 1.5

Hi guys,

I already have a property in Sydney. It's a 2 bedroom apartment in the western suburbs of Sydney. I am not in a position to buy any property in the north west area right now. But would it be possible to get a piece of land of around 300-350 sqm near one of the stations or at least in an area which is in a 2km radius from the new rail stations. Am I being too positive? I would be looking for suburbs like Kellyville, rouse hill, Glenwood.

Box hill, riverstone , Schofields would be too far away I guess.

 

Then what will you do with the land?

 

@Wanderer_NSW

How will you be funding the purchase of the land?

If you will be borrowing this, there will be no rental return, resulting in high holding costs.

What is the goal with this property?

It is rare people just buy land and continue paying the mortgage. Having no rent will impact future borrowing capacity as well.

 

I am planning to take a land loan and then apply for a construction loan and build my own house. I might have to use my existing property for an equity loan for my land loan. I would staying in the new house and putting up my existing property for rental returns.

 

I am planning to take a land loan and then apply for a construction loan and build my own house. I might have to use my existing property for an equity loan for my land loan.
I would staying in the new house and putting up my existing property for rental returns.

 

Possibly could work, really depends on your circumstances i.e. borrowing capacity, current liabilities etc. Construction loans can involve risk as would most things in investing (not a reason to not do it although a consideration).

I feel as though you need to ask the question on what you want to achieve and why this type of investment + how it would affect your current lifestyle