Is it a Good strategy to buy house with 600 SQM land as PPOR

I am being priced out of the 600-700k houses
A house in Reservoir went for 770k, which i expected would go for 675K

So changing tracks I am thinking of buying around the 900k price point in the northern suburbs like Reservoir, Watsonia, Greensborough, Pascoe Vale etc. where the competition is less

If the house has more then 600SQM land, i can try to subdivide it in the future
But it will be my PPOR for a few years at least
Any particular aspect i should keep in mind when searching for such properties
Is this a good strategy ?

Cheers

 

I'd suggest you go through the hundreds of threads about subdivisions here on PC. It's not so simple, contrary to what you may think. There's no minimum to how much the land's size should be, but bigger the better, preferably a corner block. Besides, even by looking at the photos on re.com etc you should be able to gauge whether a house at the rear might even fit or not.

I've read some of your previous threads, I realize you're a new immigrant and it's not easy to make these decisions (for most people). I'd highly recommend you not spend a million dollars on your first house. It's not about your **** is bigger than mine, it's about buying carefully and building your portfolio. You realize if you spend ~$1m, you likely wouldn't be able to buy anything else for a long time? Even subdivision might be financially unfeasible. Tread carefully mate.

 

I am not in the race of buying bigger by any parameters

I would anyday buy a house closer to 600k then 1 million
But I am being priced out
Spending 800k in Reservoir 1.5 kms from station with only 300sqm land makes no sense
In future also I stand to get no appreciation from such a small land

As I said the primary objective is to buy the house as a PPOR
Few years down the line when the rules are relaxed or it becomes financially viable, then only I will go for subdivision

At 600-700k for a 3 bedroom house I have to go for the crime infested broadmeadows or werribee only

No good suburb house actually available in that price which is close to a station

Any suggestions

Cheers

 

Altona Meadows, Williams Landing, Burnside Heights, Hillside, Taylors Hill, Taylors Lakes - most of these 'burbs would have houses within 600-700k.

 

Practically no houses within 1km of any train station in the 600-700k range in any of the above suburbs

200k lying in the bank earning 1.5% interest after tax and I am paying 500 PW rent

At my wits end

Cheers

 

Well you gotta look harder. There was a house on North Avenue, Altona Meadows that sold for $580k last week, 700 or so meters from Laverton train station. You gotta trawl re.com and/or similar web sites. Keep looking and make a good decison.

 

Check this property out > 3 Willis Court Altona Meadows Vic 3028 - House for Sale #126290738 - realestate.com.au

 

I had checked it
No train connection
My primary requirement is a train station within a km of the house as both of us are working near Flinders station

Cheers

 

How about buying a cheapie, but good, $5000 or so runabout car to drive to the train station. It's going to save you a fair bit of coin. I jump on the local bus to take me to the station the three mornings I go into the city to my workplace. My house is 2.2k from the station, 25 mins walk, done it heaps of times.

 

The problem would be 2 cars as me and missus have separate work timings

The primary choice would be a house close to the station, but would give a serious thought to your suggestion

Cheers

 

I would go for the walking distance to station if it's obtainable. It's just more convenient and you may even get better capital growth over time.

 

No, one car is usually enough. You both leave early and one of you fills in time in the city until the other is ready to come home. Time doing emails, reading, study, gym or whatever. If the time are really diverse, eg one is a nurse, maybe the local bus will surfice or a second car will do. What about a pushbike?

 

Sounds nice in theory, but you already have to wake up early and get home around 6:30pm (that's around 12 hours of your time gone), then a couple of hours to wind down after work and you have only a couple of hours at most left after handing your life over in exchange for money. Waiting another hour or two might not sound like much, but when you see it in this light, it is very significant.

 

True, but it is an option
Hubby and I used to both work in the city but our starting times were only one hour different. We used to walk to the train - only three blocks from our first home.

 

Reservoir has passed the 600Kish mark for houses unless you want to go to futher towards keon park and to Thomastown. THough it is normal sometimes like this one got go high 600Kish

52 Banbury Road, Reservoir, Vic 3073 - Property Details

Why not try Lalor or epping. you still can score something ard that range which is expected to see much more upside than reservoir etc.

 

The Hurstbridge train line is much less packed than the South Morang line and in my experience (22 years on the Sth Morang line and 3 years on the Hurstbridge) much better serviced and more pleasant to travel on. Unlike the South Morang there are express trains, so you could go out as far as Greensborough and still have the same travel time as, say, Reservoir. So consider Watsonia as well. But Lalor is a also a good option- the shopping centre is awesome.

 

James,

Check out WhydhamVale and Tarneit suburbs. You will find house in your budget within 1 Km radius of train station.

 

I think he's mentioned in one of the half-dozen other threads he's started that he needs good schools too.

 

Any thoughts about Thomastown ?
Some houses around the station in my range
Primary school is bad but secondary school is average

What do you think ?

Cheers

 

Hi James, have you tried Hoppers Crossing? Cambridge Primary scores really well (although this estate further from the station...)