Hello! Trying to buy my first property- need all the help I can get :)

Discussion in 'Introductions' started by Anniezproperty, 25th Feb, 2020.

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  1. Anniezproperty

    Anniezproperty New Member

    25th Feb, 2020
    Hi All,

    Great to be here and get started. I am looking to get my first step into the property ladder and have just about managed the minimum 20% deposit for my first one. And here comes my dilemma - I do want an investment property - and I am a first time buyer.

    Do I go for an owner occupied property which I can then later convert to an investment or start with an investment and see if I can set myself up few years down the line to afford a home I like.

    I know there is no one word answer for this - pretty much hoping as I go through various experiences to be able to figure out and have more specific questions

  2. Jess Peletier

    Jess Peletier Mortgages, Finance & Property Strategy Aust Wide Business Member

    18th Jun, 2015
    Perth WA
    Hi Annie, and welcome!

    There's a few strategies you can use as a FHB, and like you say there's no one best way.

    But if you know that the property you buy will definitely become an INV down the track, it'll be unwise to drop a 20% deposit off the bat - it'll leave you nothing for your eventual home - or, if your first property grows and you'll use equity, you'll be funding your next home with 100% debt which is really crappy (and expensive) from a tax perspective.

    I highly recommend you nut this out with someone who can get eyes on your full situation so you can avoid expensive mistakes.

    Good luck! :)