NSW safe double digit yield properties

Just arrived new to site .
Hoping to get some advice on regions with double digit yielding properties as I've hit a brick wall with servicability and now have to increase my borrowing capacity, my broker has advised me that my next two properties should be double digit to get my borrowing capacity right to move forward, as already have two properties in Sydney doing well and one I've put a granny flat and renovated, there's not much more I can do .
APRA has made it difficult .
Does anybody have any recommendations ??

 

Do some research on PC, the good the bad and the ugly.

A few posts from some chasing cash cows and ending up with duds, last thing you want.

Stay away from mining towns of course

Don't buy in Regional areas for cash flow where you have one horse, dog and perhaps a maccas probably more of a headache than it is worth.

Read posts by @Taku Ekanayake, he is probably buying under market value and doing a reno/adding value?? May suit you??

Read posts by @sash he is doing land and house packages, the yields may be right for you?? Just some suggestions that may suit

 

3 things: high yield, high growth, low risk - pick any 2.
ie leaves you with:
1. High yield, high growth, high risk - ala mining towns
2. Low yield, high growth, low risk - neg geared in large cities
3. High yield, low growth, low risk - back of Woop Woop - why bother?
....and so on.

 

I understand your points , my borrowing capacity at the moment is $125k so I have to make more income either wages or rent and I already work 13 hours a day so it's rent .
The equity I should be able to release would be around 60k and that's leaving my two other loans at 90% as I have dipped into the first to buy the second and then dipped into the second to build the granny flat on the second so this is where I am at the moment .
Any suggestions?? Or should I buy high yield ?

 

I understand your question, the answer to which really comes down to what you are trying to achieve. If you are just collecting houses, buy high yield. If you want to become wealthy from the capital growth houses in good areas can provide, then buy high growth.

 

Why just NSW? Look at regionals like Albury if you want decent yields and medium growth at that price range.

 

Albury is in NSW

 

What makes Albury attractive?

 

Large regional town? And its a town between Melbourne ans Sydney.... ie like silk road ? My guess anyway.

 

Sorry should have worded it better I meant why is the op just looking at NSW and than I began talking about my love of Albury.

 

I've got a few down that way. The yields are great, tenants are great and with a large number of infrastructure projects on the horizon medium to long term growth looks good.

 

I'm not just looking in NSW but Albury sounds ok , any others? I understand there should be more than one industry for the town to rely on .

 

D

dark knight , how long have you had you properties in Albury ? How's the tenancy ? What yields and how much growth?

 

@Elvis1 does it have to be in Oz?

 

The skirt and the flowers in her hair?

(Her healthy bank account helps too)

 

Don't know much about international property?

 

@Elvis1 Check out the Atlanta thread on here and the SS forum. That will be about all you need to know. 10%+ returns are quite easy there still. Cheap buy in as well also helps. We have a couple over there and looking to get a few more in the coming months.

 

Yes definitely need more than one industry. Might be a bit late for other regionals as they have already moved.

 

I've had a few for a few years now. Tenancy in regional towns is normally the biggest concern. I've never had a vacancy longer than 3 weeks. I always make sure my properties are in good condition, allow pets and have dishwashers etc. If other comparable properties on the market don't have it I want it. Yields are quite high and growth has been improving. Had a unit revalued at 134k when I bought it 2 and a bit years ago for 83k. I'm happy considering it was cash flow positive from day

 

The title says, "Safe", and "Double digit yield".

These are often mutually exclusive.