NSW Sydney PPOR vs Brisbane House

Hello All,
I've never bought a property before. I live and work in Sydney.
Planning to buy either:
A) House in Brisbane for around 350k with a 60k deposit. Areas I'm considering are around Beenleigh where it's cheaper and I see capital growth potential.
If I choose this option I can't get FHOBA, so I forfeit a stamp duty exemption. OR:
B) Unit in a cheap area of Sydney for around 450k with a 60k deposit. Area needs to be no more than 40 mins from CBD. I'm considering the likes of Bankstown. I could live there, potentially sub let a room. Disadvantage is I see lower capital growth, but maybe rental yields will make up for it. Also easier to look after a property in Sydney.
Spoke to mortgage broker and both options easily available to me. Any ideas on what I should choose or is there another idea I should think of?

 

It sounds like you are leaning towards Sydney. You live and work there. You can get stamp duty relief as a FHB. (I like free money).

 

Hi Josh
I agree with Propertunity.
I think you'll be better off buying in bankstown over beenleigh over the long term in my view.
Also, you have access to FHB benefits for buying in Sydney.

 

Agree with above.

Plus you will have a CGT exempt asset working for you. (I’m not sure of cgt consequences if renting out a room, but you will at least have partial exemption.)
Marg

 

Thanks guys. I am indeed leaning towards Sydney for all the reasons mentioned. Didn't think about cgt but good point.
There is one big problem. There is practically nothing available for 475k! (which is what my broker says is the max I could / should be borrowing given my finances).
Any suggestions on suburbs in Sydney that are max 475k within commuting distance to the CBD, that have potential for future growth and are ok to live in now?

 

475k purchase price or max loan amount?

 

I reckon you can buy around Bankstown. Consider buying something needing a reno. Makes lots of offers, give it time, it mightn't happen immediately. Try to stay within an easy walk to station.

 

475k max purchase price unfortunately..

 

I would definitely buy Sydney PPOR as well if I were you. The unit market is collapsing in Sydney so in a year I think you will have a lot of choices.

How about Campsie? It is even closer to Sydney CBD and some are within your price range. The examples are sold prices, even though they are older but they are in small blocks:

5/25 Second Avenue, Campsie, NSW 2194
12/8 Fourth Avenue, Campsie, NSW 2194