where to buy 2 properties for 600K

Discussion in 'Where to Buy' started by Brett1709, 30th Jun, 2021.

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  1. Brett1709

    Brett1709 Well-Known Member

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    Hi All, got preapproval for about 500k loan with 100k deposit (600k total) and looking to purchase 2 properties consecutively. So looking at around 250k to 300k. Understand that a house for this price is probably not an option (or is it) . Will consider anywhere in Australia with good growth potential and decent yields. I have 2 IP and 1 PPOR currently and looking to add 3 and 4 IP then onto 5 and 6 hopefully by year end/early 2022, with the intention to accumulate more in 2022-2025. Will be using own savings for 5 and 6 (300k). Can anyone suggest any areas to Targett or avoid? Good yields would be preferable. Does this strategy sound decent ? Goal is to have 8 to 10 within the next 5-7 years. Thanks :)
     
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  2. ashish1137

    ashish1137 Well-Known Member

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    Hi Brett
    Most areas that you find in this budget might have to be avoided. Please focus on tenant quality as well. :)
    Start look into SA and WA.

    Regards
     
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  3. My House QLD

    My House QLD Well-Known Member

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    Logan you will just scrape in for under 300k (houses) but I don't think for much longer based on the current strength of the market. Any house away from main roads and flooding you can pick up for 300k I would grab asap. Sounds cheap - $300,000 for a house in a capital city within 30 mins drive of a CBD!
     
  4. Trainee

    Trainee Well-Known Member

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    focus on quality and total gross amounts, not the number of properties?
     
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  5. Brett1709

    Brett1709 Well-Known Member

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    any postcodes you could recommend mate ?
     
  6. Brett1709

    Brett1709 Well-Known Member

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    Thanks mate, any post codes you can recommend. I actually have a place in Logan currently Waterford West 4x2x2, that I bought about 5 years ago. It basically didn't go up at all until recently (only a small amount). But can we see the same growth in Logan that we've seen in other areas of Brisbane ?
     
  7. Brett1709

    Brett1709 Well-Known Member

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    Fair enough mate, just trying to build up a bit of a foundation portfolio at present. Would you say in my position securing 2 quality places for my budget is good. Not saying that I wont to buy cheap places for the following purchases
     
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  8. My House QLD

    My House QLD Well-Known Member

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    I like Woodridge, Kingston, Logan Central and Slacks Creek. It's hard to beat these locations (circa 300k price point) for access to shops, bus and train transport and access to the city and the Gold Coast. Surrounding suburbs like Springwood and Underwood are steadily increasing in price and in most cases a lot more expensive.

    You could also research Beenleigh and Eagleby.

    May I ask the purchase price and land size for your Waterford West purchase?
     
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  9. boganfromlogan

    boganfromlogan Well-Known Member

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    Super surprised by suggestions of woodridge Kingston and Logan Central.

    But then again Eagleby doing surprisingly well which I never saw coming.

    Any caveats? Or do u think all of Woodbridge Kingston etc is fine.
     
  10. Mick Butterfield

    Mick Butterfield Well-Known Member

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    What about Ipswich? Eastern Heights, Silkstone.... Great tenant demand, good returns and solid growth of late.
     
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  11. Brett1709

    Brett1709 Well-Known Member

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    hi mate, I will take a look at these areas. I did say I’d never buy in Logan again after the last poker tu doing nothing for 4 years and other areas going io 50% or so . the block size is 650m2 and I paid 340k for it back in 2016. Basically stayed pretty stagnant for a good period. Don’t mind as I’ve got good tenants and have seen some growth in the last 6 months
     
  12. Brett1709

    Brett1709 Well-Known Member

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    Hi mate I’ll take a look. I thought Ipswich was to to avoid ? Not to sure on the other areas. So are we thinking SE Qld in general or is there other states you’d look at ?
     
  13. skyfall

    skyfall Well-Known Member

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    I would buy 1 decent property in a good location on the Gold Coast with that budget. Crazy to want 8-10 properties - imagine the headaches and vacancy rates you'll have if they're all in rubbish areas.
     
  14. My House QLD

    My House QLD Well-Known Member

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    Sounds like it could be 450k now and a good yield along the way.
     
  15. Brett1709

    Brett1709 Well-Known Member

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    Don’t necessarily want all in rubbish areas, just looking at 3 & 4, in perhaps the lower end of the scale areas. What’s a good location mate
     
  16. Brett1709

    Brett1709 Well-Known Member

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    Yea that’s what the agent said and it rents for $420 now so pretty happy it’s going ok
     
  17. Scott No Mates

    Scott No Mates Well-Known Member

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  18. bythebay

    bythebay Well-Known Member

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    Saw some 2br units walk to Blacktown station for early 300k on domain just then
    You probably want to do a cosmetic Reno before renting out to maximise yield
    Not sure about CG though but at this price point if it goes up to 360k which surely is not that untenable that’s 20pc increase and matching your deposit
     
  19. Brett1709

    Brett1709 Well-Known Member

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    That sounds interesting, Sydney would definitely be my preference but I just thought the price was out of my reach. Do you have a link to the ones you saw ?
     
  20. Brett1709

    Brett1709 Well-Known Member

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    could you recommend any areas in SA or WA, why do you say these two states may I ask?
     

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