Ok, so you're pre-approved for $500k - where do you buy as an investment?
I'm based in Sydney, but pretty open to buying wherever as, of course, I won't be living there.
What property type and where would your suggestions be to buy?
Ok, So You're Pre-Approved for $500k - Where Do You Buy as an Investment Property?
footyboy on 30/11/2016 - 22:27
Comments
Very interesting, for years they were telling us about "cashed up" foreign buyers. Looks like they only had cash for a deposit and had to put the rest on tick.
500k is the loan. How much in total funds do you have available?
Property type should be 3+ bedroom detached because that's the most popular type of property - there will be demand and willing buyers if and when you sell. Family's tend to rent these types of houses which tend to be stable renters.
You want to aim for the median house price the city/area the property is in - again to ensure you buy something people want but also because this price bracket is less likely to have extreme price swings.
Where we purchased in Southern Adelaide you can get a 750m^2 blocks close to the beach with oldish but rentable homes for only 300k.
High rental yields (approx 5%)
Sub division potential in 5-10-20 years.
Close to vineyards, express way, schools.
Next to far more expensive homes.
I'd also offer rentals to people with pets to increase occupancy.
Pet market is seriously undersupplied so you could get away with charging an extra $10-20 per week.Port Willunga to Seaford area.
In places like Port willunga median data is misleading because of low volume and wide price ranges (properties in Port Willunga sell from 200k-3 million).I don't understand why people are willing to buy places like sydney or melbourne where the yields after interest are negative…
I don't understand why people are willing to buy places like sydney or melbourne where the yields after interest are negative…
Tax effective capital gain.
But if you can get both capital growth and income why settle?
visiting the property (and vineyards) once or twice a year - "cost to manage tax affairs"
dasher knows the drill
This might be an interesting read:
http://www.abc.net.au/news/2016-11-28/chinese-property-inves…