Macarthur heights or Austral/Leppington

Hello Guys!

I am a first home buyer, looking to build a new house. ATM, I am very confused about which area to choose. I am in my mid thirty with 2 kids.

My concern is which area is better to live. At the same time which property will make more value in 5 years time.

Just need some insight. Thank you in advance.

 

A lot of development happening in the region. Why limit yourself to those 2?
Have a good look around.

 

If you're looking to build a place to live don't worry too much about value growth. Number 1, if you build where you love then you never need to sell so the price doesn't matter. Number 2, if you like it as a place to live, in general others are going to eventually cotton on and the values will catch up.

 

Don't buy anything new if capital growth is important to you, they under-perform. But if it's going to be your PPOR, buy whatever tickles your fancy.

Those areas you mentioned have a high risk of infill. They are greenfield estates loaded with new stock and more room for additional supply. Supply is the enemy of capital growth.

The following are house markets with a median under $750k and are all within 20km of Campbelltown. They have lower infill risk and respectable-to-high demand to supply ratios.

Suburb DSR+ Median
HOXTON PARK 72 $708k
EAGLE VALE 69 $589k
GREEN VALLEY 68 $713k
PRESTONS 65 $749k
HINCHINBROOK 64 $726k
MACQUARIE FIELDS 63 $587k
BOW BOWING 63 $594k
NARELLAN VALE 62 $666k
CAMDEN SOUTH 62 $661k
BUSBY 61 $572k

 

Thank you all for your insights ...

I have narrow down to :

I am looking to get in Macarthur heights , land size: 375 m^2, land price: $385000- $400000.
Or

Austral , land size : 306 m^2 land price: $395,000

Looking to build a double story house ,

Which one will be better for future living and capital growth.

Thank you in advance.

 

I strongly urge you to look at other options if you're after capital growth. Both those options will have very low land to asset ratios (LAR). They are ridiculously small blocks too.

If the build costs you $400k, you're looking at an LAR <50%. That is very poor. I wouldn't touch anything with only 60% LAR.

On top of that there's room for more supply which will suppress growth in the future.

Buy an old house on a large block in a built up area if you're after growth.

But if growth isn't your interest, go with your heart or eeny meeny miney mo.

 

where do you think capital growth will come from?

how do you get around the huge potential supply, high building to price ratio, least potential for gentrification and redevelopment?

for 800k you could get an old house on a decent block of land on a trainline. Do you just want to live in new? Want the fhb new grants etc, even if it might mean less growth?

Your post comes across as ‘which new estate should i buy in’ instead of ‘what is the property that best fits my needs and wants’. You want to live in new? Fine. But have a think about why you think those who say new estates have little growth are wrong.