Buying old house for investment Campbelltown

Discussion in 'What to buy' started by VAN, 3rd May, 2018.

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  1. VAN

    VAN Member

    Joined:
    3rd May, 2018
    Posts:
    9
    Location:
    NSW
    Hi all

    My first post. I am new to Oz and the property market.

    I would want to start getting in to the market ..my current situation
    Want to stick on to renting wher I am now as it's convenient for my kids schooling etc.
    Based on various banks and calculators online we can borrow upto 500k max.
    Savings 50k available.

    With this if I am not looking at units ..would buying a 25 year old house for 530k with 700m2 land currently renting for 400+/week in Campbelltown be a good option to consider.

    There are land available at that rate but they are less in size and I don't have capacity to build on top any soon.

    What are your thoughts and suggestions?
     
  2. PandS

    PandS Well-Known Member

    Joined:
    14th Feb, 2017
    Posts:
    1,165
    Location:
    NSW
    You need more than 50K, lending is getting harder
    say 10% deposit that takes to 53K, then you got stamp duties, legal cost, Lender mortgage insurance, factoring in rate rise in the next few years etc..

    Maybe save a bit more, educate a bit more before you make a move, You entering toward the end of a boom in NSW market so do the number carefully, there may not be any capital gain for a while

    you got the right idea buying house with a block of land rather than unit or apartment as land appreciates over time
     
    Last edited: 3rd May, 2018
  3. Property Twins

    Property Twins Mortgage Brokers & Buyers Agents Business Member

    Joined:
    31st May, 2016
    Posts:
    2,738
    Location:
    Australia
    $50k will only really allow you to buy an owner occupier property due to stamp duty waivers for FHB.

    Alternatively you could wait to save another 15k and purchase a $400k IP.

    Ultimately depends on your goal.... what is your driver for buying in Sydney? That too at this point in the property cycle?
     

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