VIC Inner eastern suburbs of Melbourne - Box hill South - is it a good idea to sell?

Hi all,

New here but have been reading forums for a while. I am by no means a seasoned investor. I have just one investment property in Box Hill South.

I am thinking of selling this property as I would like to free up some money to invest in a PPR for myself in a completely different area of Melbourne. This does not have to be now and I could easily wait another 5-6 years as I have no pressures that make this necessary right now.

But I guess I am just wondering what people think is likely to happen to prices in this area over the next few years? I know at the moment things seem to have flat-lined. Is it likely to be worth holding on to for this period of time or am I better off getting out now? Any thoughts greatly appreciated as this is not really something I know much about

 

Sorry, I should have said! It's a house on a sub-divided piece of land.

 

How about accessing the equity in this property?

 

I have looked into this but it would not be enough to allow me to buy the type of home I am hoping to buy.

 

sell for sure. PPOR is most important thing for lifestyle reasons and if by selling then you can buy something you want to live in and there are no other alternatives

Yours is a house on sub-divided land I assume then it was either the old house in a corner block or the new one on the corner block with really small land. I would sell as its past/future capital growth would be more of a townhouse/unit and that market is pretty saturated

 

Does it cost you anything to hold? Does it affect your cashflow and lifestyle assuming P&I repayment at interest of 5-6% at least. The reason for asking is that the general forecast is flat at best or 10-20% drop in the next 2-3 years and it may not recover for a sustain period of time. In the meantime, interest rate will go up. So let say if you need to folk out $2000 per month for the IP for 3-5 years when the market is flat, it is not a small amount of money and may drag you back for several years. In that case, selling may be a good option considering your plan to buy a PPOR.