NSW Looking around Homebush or areas around with 650k

First of all - I am a complete noob and hopefully my thoughts below aren't too stupid but here it goes:

I've been looking around Homebush / Ashfield areas as a potential place to purchase a 2 bedder (right now I am just scoping the area) to use up my first home owner's grant and to settle in for a few years before selling/renting it off.

My goal is to pick a nice location to buy and live in and then eventually sell/rent it out in 3 - 5 years. If I didn't need to live in it, I'd probably pick a place more out west that probably will have better capital growth but because I have to work in the city (commute there) and also I'd like to be close to my parents (hills area), I'd prefer something a bit more central to Sydney.

I've scoped out the area and everything seems fine but I've been doing some due diligence and I am getting mixed reviews for Homebush at least.

On one hand, I have some insight that there is some good demand (from a family friend who develops in the area) for some of the newly built apartments in the area but on the other hand, many including this forum say it's not really a place worth buying into.

Would love to hear some thoughts and some additional feedback. If not Homebush, I am still interested in the vicinity including Ashfield.

 

How much more are you paying for new, how does that compare with the grants, and how much of that new value keeps after 3-5 years?

 

Well I'm mainly just going after the stamp duty concession (which calculates to around 20k) - not sure if this is a reasonable thought process to go after.

Also I don't have a specific property in mind but I've been scouting the area and 650k seems like the average of a 2 bedder in the vicinity especially as a place to live in as well.

Capital gains right now look shotty but I did read on the forums that someone mentioned Homebush West to be a much better buy versus directly in Homebush.

That's pretty much it in terms of my knowledge for now.