NSW Where to buy <$660K in Sydney

Hi all, interested in thoughts on where to buy. Or seriously if you find a place on like domain that is like great and I buy it, I'll legit drop you a grand (only half joking).

I guess I'm looking to buy but just feel a bit overwhelmed (FHB), and info seems to go against each other (one mate says Mount Druitt is great, another says NO WAY).

Honestly I'm just looking at anything thats got easy public transport to the city (<1.25 hours), some restaurants/shops around. And the place isn't going to fall over.

(I am liking the townhouses/villas I'm seeing though).

Am I overthinking it?
I'm largely tossing up between West Sydney (toongabbie/wentie) vs south west (campbelltown/inglburn) vs west west (Mount Druitt/St Marys)

 

Firstly, don't listen to your mates. Do they have personal experience? Probably not!

If you can, I'd go for a house with land any day of the week over a townhouse or a villa. Your price point will limit you to either Mt Druitt suburbs or somewhere around Campbelltown. If the block is big enough, you can add a Granny Flat at a later date to secure a higher rental return, if that is your goal.

 

haha thanks for this, they do own a few properties, but they're quite exxy. Their reccomendation is to buy east sydney, or deewhy/manly area. They said they wouldn't go further then Westmead to live. So I have a feeling we're on different areas of the spectrum here lol.

Thanks heaps for this Skater. I'll definitely take a look. To be honest with you, I didn't think I could afford a house with my budget which I think is why I was looking townhouse/villa. But my future goal is definitely a house and a granny flat (for higher rental return, or parents to live at in the future years). But I more expected this to happen in my later 30s/early40s

 

Listening to your mates. I'll give you some advice. DO NOT listen to any person with regard to investing here or investing there. You need to research yourself.

I've said it 1000s of times now and I repeat the same story to whoever asks me how I got to where I am today. Its by ignoring ALL the noise and do your own diligence and buy what you think you should buy based on your research and opportunity you find.

You know when I bought my first property in St Marys for circa $200k on a block of land that's like 850sqm I received not a single congratulations? Not one.

You know what I received? About 1000 ppl commenting saying I made the mistake of my life and I would not make a single cent off this house and that I would go broke doing what I am doing. LOL

Look what's happened? Now those same "expert" investors are buying up there for close to $1M a pop. Absolute jokers and they were the "pros".

For your budget as skater said your going to be limited pretty much down Campbelltown area or Mt Druitt area and even then your budget probably cant get you any free standing houses on a large block anymore that doesn't need a crap tonne of work. Everything is expensive now doesnt really matter where you look in Sydney.

Always choose a house with land than a unit or townhouse. I'd always rather than 600+ sqm of land than a 150sqm of land with a townhouse.

 

I too 100% agree with @skater and @thunderstrike888 on this one. If a mate said he wouldn’t live west of Westmead, that’s not useful advice for someone starting out right now. To be realistic for your budget you’ll get much more capital growth on a house on a good parcel of land in Western Sydney than a unit or townhouse further east over time. Might take a few years to see but house prices will keep going up, it’s because land content is the valuable resource here. Units have done little to nothing since 2016 and more and more keep being built, keeping a cap on CG.

 

One of the most important piece of advice I learnt from "rich dad poor dad" was to buy what the average Joe wants to live in ... just because your friend won't live further out doesn't mean hundreds of thousands won't.

A good, solid property in a solid area means it will always be rentable or sell-able ... people will move up to it times are good, and down to it when times are bad. Location is important tho ... try to avoid very busy roads, near noisy industrial, next to the bikie club ....

 

Thanks Gockie, Exactly this, I think the issue is I go to them to see if it "makes sense" but for them it never does because they don't get that I just need to start somehow, with something. Right now all my money is going on rent, which could contribute to a place.

Great advice, thanks for this. I think you're right that I need to base it off of me. I think even if I'm wrong, at least I know I chose it to, ya know? But from this though, you're right that its limited. To be honest even checking domain/Realestate I don't see much at my price range. Considering that, you reckon I should settle for a townhouse/villa, or would you still go further out for a house house (I work in the city maybe once a month).

Thanks Lizzie, thats true. And if I'm interested in a place for x, y and z reasons, likely others are too. I was so surprised how much price changes with location in Sydney. Even if they're essentially on the suburb line.


Incase anyone was wondering, this was the one I was thinking of before the advice that I might be able to get a house-house.

https://www.domain.com.au/7-18-girraween-road-girraween-nsw-2145-2017693777
https://www.domain.com.au/9-50-methven-street-mount-druitt-nsw-2770-2017708165

Also thanks everyone, this helps incredibly.

 

Why buy either of those when you can buy something like this. Large block, ability to add value. It's not the prettiest house, but the block would be all yours. You can reno or at a later date knock down & rebuild. Big enough for a GF as well.

https://www.realestate.com.au/property-house-nsw-tregear-139005199

 

Here's another

https://www.realestate.com.au/property-house-nsw-tregear-138529447

 

The thing with townhouses is that you also have to factor in body corporate fees - that you really have little control over and can rise horrendously if an issue occurs (I own a unit in a block of flats that needed underpinning - bc fees went up x3 overnight)

I'd be following Skater's advice - and I'd live in either of those as my first home. My first home was a heck of a lot worse than any of those

 

Light, strong or cheap pick 2.

For property maybe. Price, location or property type/land area.

In Perth.
I recently choose 325m2 much closer to Perth rather than 650+m2 a lot further out.
The cost of living is going up, the price of petrol will always go up. The property I bought has a great walkability score.
Tread your own path

 

While I agree land is the way to go at this time I think a unit or townhouse may be a good option.

Houses have gone crazy in Western Sydney and I can't see any CG for many years.

In Western Sydney my units and houses tracked fairly evenly for 10 years. All doubling in price.
But the houses have now tripled in price and the units have stagnated the last 4 years.

You can still get a decent unit for around $400k in Blacktown. Some needing a bit of work have sold recently for $350K.
I think there will be uplift in units now that borders have opened. A lot of new immigrants buy there as an entry level home.
This may give you the equity increase you need in the coming years.

 

It looks like you are looking for somewhere you are comfortable living and reasonably central to transport/shops/etc. Possibly good schools?

Mt Druitt might be ok for investment...but it is not an area I would personally like to live.

Have a look at Meadowbank near Ryde very affordable units (preferably older). You should be able to get one with LUG/laundry and 2 bedrooms under 600k.

A lot of people are biased against units...but you have to think counter cyclically and use common sense. Sure there is strata but a lot of blocks are about 600pq or 2400pa. House insurance at true replacement cost would be at least $1500 pa. So you are only down $900. Add to that you are responsible for maintenance/gardening on outside...and that makes up the difference.

Lets say you buy a unit well for $550k. You have borrow say 500k. At current P&I rates at 30 year term of 2.5% it would cost you about $400pw. About the same as a rent.

Consider your lifestyle and where you work. A lot of your friends are not informed...and lot of people on here have biases to certain areas.

Tailor it to what you want....

 

Ditto...

For example...my 1 bedder in Dulwich has a land value of $350k...more than my land value of my house in Wollongong...yet my unit is worth under 600k....but house in 'gong over 800k. Go figure.

 

Hehe, yep, mine as well. I remember lying on my stomach sewing together the carpet with fishing line because I couldn't afford to replace it. I was 9 months pregnant.

 

I'd still go house on land in a part of Sydney (or Central Coast) you can afford.
If you only need to go into the city once a month for work, then proximity to the city really doesn't matter.
Witha house you get full control of everything, you can knock the house down later, you aren't limited by strata and don't need to worry about what other people want to do with the property, that's all under your control.

 

I'm surprised at the prices.
Meadowbank for example you can still get a decent 2 bed unit for $600k. I sold mine 8 years ago for $515k. I think it's a great area. So handy to everything. Ferry, bus or train to the city.

 

Ditto. Sold 2br unit in West Ryde $580k in 2016, prices haven't moved much. All the new units have kept a lid on price gains.

 

Yes....that is why it is well priced. Trains/Buses/Ferries

Even the newer ones on the otherwise ...built over 10 years ago selling under 700s. Some have water glimpses or park glimpses.

 

I just ripped mine out the first night, it was so disgusting, and had bare, unpolished floorboards for around 6 months