First time buyer looking at investment properties in Perth

Discussion in 'Introductions' started by ADP10, 29th Jan, 2020.

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  1. ADP10

    ADP10 New Member

    Joined:
    21st Jan, 2020
    Posts:
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    Location:
    Sydney
    Hi all - long time reader, first time poster. Have been saving profusely over the past few years and now looking to finally hit the market. With so much great information and assistance on this forum I thought I'd also say hello.

    Quick elevator pitch on my situation for reference:
    Mid 20's;
    Saved a deposit of ~$200k, don't need to spend 100% of that, but keen to as job heavily restricts other forms of investment (particularly equities);
    Looking at spending around ~$600-800k on a house (rather than apartment / unit);
    Focused on future capital gains, can cope with low yield but would prefer a place that's easy to rent out;
    Investment property, rather than PPOR, as moving overseas with work mid-year;
    Like Perth - grew up there and will 100% return one day. Also like the outlook from a macro perspective;
    Been heavily looking at suburbs in the Scarborough / Wembley Downs to Tuart Hill area, however acknowledge with my price range that there's several other opportunities.

    Any potential advice / comments would be greatly appreciated. While I've put myself off to a good start on the deposit front, I acknowledge I'm starting from an extremely low base knowledge wise and have everything to learn.

    Thanks in advance all!
     
    charttv likes this.
  2. Trainee

    Trainee Well-Known Member

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    Realistically you have few similar job prospects in perth. the fact that you like perth is fine. Retire there maybe, but why do you think perth prospects for capital growth are better than other cities?
     
  3. ADP10

    ADP10 New Member

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    Thanks Trainee.

    I feel now is the right time in the cycle for Perth. Having lived and been through the oil & gas / mining upswing and subsequent downswing, from what I've seen economically the city looks to be on the up. Then there's the actual quantitative real estate elements - land price per square metre, changes in house prices lagging other cities but growth slowly starting to creep in, vacant land sales, building approvals etc etc.

    There's also the close to home factor - I know the suburbs far better in Perth than anywhere else - and the convenience factor of having family close to the (potential) property in case anything ever goes wrong while I'm not living in the city/country.

    I wouldn't feel (as) comfortable investing in other major cities, and for the reasons i mentioned above, prefer the outlook on Perth in any case.

    Keen to hear your (and others) thoughts as well though!
     
    charttv likes this.
  4. Ross Forrester

    Ross Forrester Well-Known Member

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    Location:
    Perth, Western Australia
    The western suburbs are moving quickly if priced right. I think Scarbs is pretty much the next ripple suburb given the beach.

    And the sentiment here is stable. Not booming but stuff is happening.

    stay away from apartments. We have virtually unlimited land supply. Stay close to the beach and close to the city. Go for areas with decent schools as a catchment.
     
    NSWelshman, Perthguy, Propin and 2 others like this.
  5. Propin

    Propin Well-Known Member

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    Perth
    Yes what Ross said!
     
    Ross Forrester likes this.
  6. MTR

    MTR Material Girl Premium Member

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    Inner city also on the rise, period homes, townhouses..... stay clear of apartments
     
    Ross Forrester likes this.
  7. ADP10

    ADP10 New Member

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    21st Jan, 2020
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    Location:
    Sydney
    Thanks all! Definitely steering clear of apartments, now will move on to the next step and get my financing in gear.

    When you say inner city, are you referring to suburbs like Mt Lawley, Mt Hawthorn etc.?
     
  8. Westminster

    Westminster Tigress at Tiger Developments Business Member

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    Location:
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    Welcome to the forum!!

    That's a nice budget for getting something quality in an area that is likely to gain in popularity

    You could pick up a house in a character area (2-7km) or something newer but less land further out (5-10km)

    Personally for that price bracket I'd include Inglewood, Mt Hawthorn, North Perth, Bayswater and surrounds as well as the areas you've already identified.
     
    Perthguy likes this.
  9. ADP10

    ADP10 New Member

    Joined:
    21st Jan, 2020
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    Location:
    Sydney
    Thanks Westminster, appreciate all the guidance so far from the forum.
     
    Ross Forrester likes this.