NSW First Home Buyers - Sydney

We are a couple and new to Sydney, both working in IT in the CBD. We're really confused and looking for suggestions from fellow community members who have a good experience in Real Estate or recently made a property purchase.
- We're looking for our first property purchase(first home buyers) in Sydney and have a budget of up to 1.5m. Below are our few of the considerations:

1. Proximity to CBD
2. Good Transport
3. Best schools, hospitals, shopping malls
4. Safety and to have a good mix of multi cultural community
5. Relatively newer constructions with a good future outlook
6. Rental Yield

a. Please suggest which areas to consider and whether to buy an apartment, house, or unit, etc(we don't have any constraints, just looking for best option with above mentioned considerations)?

 

This is somewhat akin to asking "What should my favourite chocolate bar be?". I'd recommend Snickers, but I don't even know if you're allergic to nuts!

Sillyness aside though, you really need to quantify those measurements. These are just an example and by no means an exhaustive list of what you should think about:

1. How close is close enough? Do you measure it in distance or time?
2. What is good transport? Does it have to have a train station? How far from the transport are you willing to be?
3. Very subjective. Private vs public, primary vs secondary. Shops around the corner vs Parramatta Westfield?
4. Most of Sydney is pretty safe, but go at night and have a look whether you'd be comfortable walking through the streets alone.
5. Generally: Pick one or the other. Newer constructions will generally have worse capital gains than older houses on land.
6. Why? Why would you ever buy a PPOR with rental yield in mind?

Then there are considerations you haven't gone into:

• How long will you live there?
• Will you have children there? If not, schools might become irrelevant.
• Do you both want the same thing?
• Are you happy to maintain a yard and an older house?
• Are you happy being stuck in a 50sqm apartment if that means you get city views?

I like to keep my PPOR and IP considerations very separate, you're mixing them a bit. It's obviously up to each person, but if you're looking to live there long term, potential rental and capital gains become somewhat irrelevant.

 

Proximity to CBD (up to 15-20 kms)

 

Agree with Spludgey on the yield thing. If its ppor, does yield matter? You will find that sort of budget generally means lower yield, because those markets are dominated by owner occupiers. And owner occupiers generally dont look at yield.

 

I'm not actually asking you the question to answer me, but to think about what each question means to you and why.
Sometimes it's easier to figure out what you don't want and then work out what you want from that.

 

The criteria are too wide.
A few questions you want to ask yourself.

When you say multi cultural, which culture is a must? How much is too much? e.g. there must be a good neapolitan pizza place in the area? There must be a sichuan restaurant? There must be an authentic sushi place? Is it too much to hear the language spoken everywhere?

how new do you want the construction to be? Brand new, 10 years, 20 years, 30 years? More? Have you actually seen properties of this age to understand what they look like?

Good transport as in what? What is the limit of your acceptable commute?

Also where are you new to Sydney from? That may help people understand your experiences. e.g. if you come from Adelaide and say you want 15-20km, you might have to adjust for the size of the city. Or you come from Hong Kong and you are thinking units just because thats what you are used to.

 

I like the Eastern Suburbs, near the beach, schools, transport, etc

https://www.realestate.com.au/buy/property-house-townhouse-between-0-1500000-in-rosebery,+nsw+2018;+kingsford,+nsw+2032;+kensington,+nsw+2033;+coogee,+nsw+2034;+tamarama,+nsw+2026;+maroubra,+nsw+2035/list-1

If I can afford it I will buy this
https://www.realestate.com.au/property-house-nsw-maroubra-134341462

Nice land component and suburb, I will change the floors though. Goodluck!

 

Hi
While everyone has given there suggestions, direction also matters.

In your budget, you can buy in inner city suburbs - small land and fairly aged house.

Middle ring suburbs, decent land and old house.

Or outer suburbs (sky is the limit), North, North west, west, south, etcetera.

Sit together, ask yourself each question listed above and come up with answers. You will get a lead and follow.it.

Regards

 

You are new to Sydney and want to buy. Why?

Am I old fashioned or do I just have too much common sense to suggest renting first?

It's a pretty simple way to avoid a seven figure mistake, and rents just seem to keep getting cheaper.

Your brief sounds very confusing anyway... you are a couple working in the CBD but you want to be near good schools and hospitals? Are you planning to adopt sick children?