VIC House in western suburbs or apartment in South-East?

At the end of the day, one will try to skew the outcome based on what you want others (or oneself) to believe.

Both the properties can be 'positively geared' depending on whats the loan amount. Your unit is draining $2k per year, but not sure how did you come up with the losing 10k pa before tax part for the house. The owners are probably saving on tax or claiming depreciation?
The house is got a renovated kitchen and potentially can have another bath to boost the rent and value. But, what can you do to your unit?
Not saying if it is a good or bad investment, but you cannot make your investment look good by making others look bad.

 

Agree with what you are getting at that this is just an isolated example and I know of many houses in other areas that have done better on the investment front (which I am sure you can advise us of).

My point is to illustrate that they SOMETIMES do well against houses depending on where the apartment vs house is located, which is related to the question that the OP was asking.

The maths although indeed accurate (not sure how you came up with my unit draining 2k a year, it would still be positive at even a $600k purchase price and 100% LVR at 3% interest rate) is mute as it differs depending on situation so definitely do your own numbers, but as a home own you should understand that damaged roofs, broken heating systems/hot water, fencing, replacing underground pipes are not cheap and you must factor that in when buying an old house.

 

Hi Nathan,

I have also been looking for a good townhouse in Bray brook and am pretty much on the same boat as you budget wise.

The biggest problem I see with Bray brook is that they have a very high number of public housing, currently I am pretty sure its going to go away in a few years but only time will tell.

Any reason you didn't consider Caroline Springs?

 

If you were to get an apartment in the south east then look for one near a train station. Trains are really set to improve in Melbourne.

But ultimately I'd choose house in west if you can get it.