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This is a very wise and true point! I am in a similar position to Shuttergirl - looking for a 2nd IP to kick start the investments and build equity fast. I has chosen these particular areas because i feel, to me, they offer the most flexibility to add quick equity by either buying at a bargain...

Personally, I would definitely be considering the "westie" suburbs of sydney... and i have some pretty good reasons (in my opinion): Yield is strong - currently 5-6% Blocks of land are quite large, usually 500-750sq.m holding costs are much lower, due to lower purchase price and higher yield...