Hi everyone, Long time lurker, first time poster here. I'm looking for some suggestions on where to buy in Sydney for up to 800k for an IP. Ideally I'd like a house but open to a townhouse/apartment. Areas I've looked at so far: 1. Oran Park. I wasn't a fan 2. Mount Annan/Narellan/Narellan Vale. I liked these suburbs 3. Yagoona. I found houses were out of budget but liked it being closer to the city Thank you!
There are several sales of 2 bedders in Yagoona below $800k. Also check out Regents Park or Birrong. These would all be fibro or weatherboard on reasonable sized land.
Hi Property Twins, I recently sold my IP in Homebush (apartment) and wanted to purchase a house to move into in a few years time. It's been pretty quiet at all the inspections I've been to so I thought it would be a good time to buy again. Scott No Mates, Thanks for the suburbs you mentioned, I forgot about those! I appreciate it. Cheers
In that case, it’s a situation of where do you want to live in a few years time. I would have thought a question that can only be answered by yourself.
Are those the suburbs where OP would prefer to live though? It's not an IP - it's PPOR. He can get a townhouse/ villa in much more desirable suburb for that budget.
I think a house on land will have better capital growth over time as blocks of land get further subdivided/duplexed/more scarce. You can (most likely) knock down the older house and possibly put higher density on the block. But villas and townhouses don't have the land content and it's much more unlikely that you can do any development on it. Just my super long term thinking. As long as the location has a good train service and it doesn't take too long to get into the city, I'd look at buying that if I was the OP.
That is a good point. I had a good think about it last night and will look just for an IP. I've rented in a few different parts in Sydney and pretty open to where I would want to live in the future. Will probably look for an IP though now that I think about it. That's true. The amount of houses making way for apartments all over Sydney is phenomenal. I have also been thinking about getting a house out west or south west and then adding a granny flat out the back to help with the repayments.
Agreed but don't villas/ townhouses have land component too? They also have strata lower than apartments generally. Due to small size of land, one can't subdivide though obviously. However, don't they fetch better appreciation than apartments?
Seems like you lack answers to two most important questions: 1. What do you want to achieve from your investing into property? $50K a year, to replace income of what $ in what amount of time, what does it mean in $ terms? 2, What is your investment strategy? So will you be buying townhouse, further out, or houses even further with granny flats, or units close to lifestyle factors e.g. close to beach, or units with renovation potential up to certain kms from CBD, or a place where you will live and then upgrade to next better suburb with renovation, etc..... Many ways to invest into property....! Seems to me that's why most investors end up with one or two IPs, what is it that you want to achieve? When you can answer the questions above then you can work backwards to achieve your goals and then a search criteria becomes much easier. Decide early whether you plan to live in it or to rent it, my investment criteria for where I wanted to live totally differs from where and what I invest into.
I suppose townhouses vary. Some are very compact 2 bedrooms only and have only a small courtyard; some townhouses are much more house like with large gardens. If you want appreciation more similar to a house then you'd want a townhouse with at least 3 bedrooms and a large garden, with no adjoining walls to neighbours. They can be better located to amenities (shops, transport) than a regular house, and have a cheaper buy in price and better rental yields. But you lose the ability to subdivide and add a granny flat and you can't change the external appearance of a townhouse without getting agreement from the strata committee and probably drawing up special bylaws at your expense. On this note, in an apartment block I own, everybody has their own balconies, a lot of them not easily visible if you stand on street. Well, at one strata meeting someone noticed that someone else had an awning installed on their balcony to reduce the amount of sun coming onto their west side balcony. It was debated as to whether we would allow it to stay, particularly from the viewpoint if anybody else wanted to install an awning then they'd have to be the same (for the sake of consistency in the building appearance). Turns out that owner said it was installed 3 years prior and she told the committee at that time. By that committee she was apparently told it was ok. But nothing was put into writing so there was no proof. So we (the committee) discussed this. I think the outcome was we said she'd have to make sure council was ok with it and have a special bylaw put into place (at her expense) because who knows what damage the awning construction could do to the building's integrity. For example, where it was affixed it could have put a hole in a building membrane or something. So i'd say there is generally more potential overall with a normal torrens title house on land, if the location is half decent and you can afford to buy it. But if you want to live there and houses are really too unaffordable (even the below median ones) then perhaps a house sized townhouse/duplex isnt the end of the world. You lose flexibility though and potential for development, so keep that in mind.
If you are looking for PPOR down the line and also need good steady rental returns, have a look at Quakers hill. There are decent houses with good block and some come with granny flat potential too for around 800-900k. There is good demand for rental properties and for PPOR its an established family suburb. Example this house with an approved granny flat got sold for 810k - 58 Kolodong Drive, Quakers Hill, NSW 2763 - Property Details
1. I'd love to have a few IPs and be able go from full-time work to part-time while volunteering/doing charity work. $100k a year would be a great goal. 2. The idea I have at the moment is purchasing a house and being able to put a granny flat at the rear and seeing if I can repeat that in a year or two. I'll plan on just renting it out. Thank you MWI for your questions and input so far. I remember when houses there were 450k-500k. If only I had a time machine! I like this suburb.
Quakers hill sales are still doing well now even in the slow market . Folks can see value in the suburb compared to Schofields or The ponds. Ya if you are looking for the shiny stuff, then Schofields or Ponds is better but if you are after value and land component then go for Quakers hill
Hi all, I ended up purchasing a 3 bedroom house in Yagoona on a 486 sqm block. I'm very happy Thank you all for your input.
Thanks Gockie! I spent every Saturday looking at multiple properties and I didn't expect to get this one under my budget and quick too.
