$100k investment

[dwlakeshores]

at this stage i have $10k in the bank and with my current income could realistically only afford a loan of $100k, where should i be looking?

it is long term and the start to a (hopefully) big portfolio.

any hot spots anyone?

thanks in advance.

 

[Rixter]

I cant see you getting into any growth property with those sort of figures immediately.. maybe you could get into the stockmarket/managed funds in the immediate term to increase your funds then use it as the foundation to springboard you into the property market from there?

Just some food for thought.

What are you ultimately wanting to achieve by using property as your chosen wealth vehicle and what time frame for achieving it?

 

[Merovingian]

at this stage i have $10k in the bank and with my current income could realistically only afford a loan of $100k, where should i be looking?

it is long term and the start to a (hopefully) big portfolio.

any hot spots anyone?

thanks in advance.

You're asking questions, which is a great start, but in my opinion, you're asking the wrong questions.

Instead of asking where a good investment may be, you should be asking yourself how can I get myself a great investment? One that fits in well with your wealth building strategies.

But, with that in mind, to answer your question "where should I be looking":

You should be looking at suburbs that have had above average growth in the past, as this is a good indication that they will do well in the future, and you should be looking at property that suits the area, (i.e. who will live in it — demographics). If you can see a suburb that is going under change, for example new types of houses being developed, you could buy there, and take advantage of this change when you're equipped to.

RP-Data and Residex should be of help, and of course perusing www.realestate.com.au, the local newspapers, peering in the front of real estate office windows, and going to open inspections. Also take a drive through suburbs which you have seen through analysis that have done well in the past, and take note of what you see.

Good luck!

Just my $0.02.

 

[Ray Brown]

Blackall?

DWLAKESHORES, How about this?

http://www.realestate.com.au/cgi-bi...&t=res&ty=&snf=rbs&ag=&cu=fn-rea&fmt=&header=

With a bit of research about the town, rental vacancy, transport, future mining / agriculture, this might not be a bad place to start...

Whats the yield?

Can you afford to service the loan?

Are there other similar priced properties here?

How many people in the town?

Is the property within walking distance to CBD/schools/shops?

Could be a bargain, could be a rip-off. Its up to you....

cheers

p.s.

no lake shores out here, except in the rainy season...


On the other hand, this could be an investment disaster...

http://www.lgp.qld.gov.au/docs/corp...profiles/demographic_and_housing/blackall.pdf

 

[Flash1]

Look for places with strong future population growth and of towns with more than 10000 people is a great start.
Also check vacancy rates and try to find properties that you can add value and then refinance and go again.

 

[twodogs]

at this stage i have $10k in the bank and with my current income could realistically only afford a loan of $100k,.

Are you sure that's all what you can afford? Get in touch with one of the mortgage brokers on this forum and run your numbers past them. Don't go into a deal past your comfort level, but better to spend a bit more and get a good asset.

 

[willair]

where should i be looking?

Dwlakeshores,
Why not start in your own area first,the principles of sound investment
apply equally,imho whether prices happen to be low, high, or inbetween.
What are the prices in your local area,rental demand,something always
finds you if look hard enough.
good luck willair........

 

[alexlee]

Are you sure that's all what you can afford? Get in touch with one of the mortgage brokers on this forum and run your numbers past them. Don't go into a deal past your comfort level, but better to spend a bit more and get a good asset.

I agree, that does sound low. People were willing to lend me $150k when my income was only $35k?
Alex

 

[redwing]

I once loaned $40k from the bank and wasn't working and only earnt about $21k five years ago..but managed to earn more and obtain a few properties

Anythings possible....

What is your current income and lifestyle like?

And more importantly what do you expect from purchasing a property..

$10k in the bank accounts a great start (more than I have at the moment anyhow)

 

[buynowquick]

have a look at this one!

http://www.realestate.com.au/cgi-bi...&t=res&ty=&snf=rbs&ag=&cu=fn-rea&fmt=&header=

I'd say this would be a bargain. Not sure about getting tenants in this area though due to the mine closing.

 

[Peter Parker]

Here's a few more examples, from areas I've visited.

Properties in this street come up for sale too often for my liking, and it's only 1br and the holding costs are steep, but it is sub $100k IP.

http://www.realestate.com.au/cgi-bin/rsearch?id=103152385&a=qfp&cu=fn-rea&t=res&q=Go

Hate bodies corporates? Want to chance it with bush tradesmen or go on an outback working reno holiday?

http://www.realestate.com.au/cgi-bin/rsearch?id=102634296+&a=qfp&cu=fn-rea&t=res&q=Go

(It's on a good block so note the dual occ potential in a city with historically high rents)

Or want a more stable city, & walking distance to the beach?

http://www.realestate.com.au/cgi-bin/rsearch?id=103217062&a=qfp&cu=fn-rea&t=res&q=Go

(though these sold for around $60k until 2003, so you could argue that they've had their boom).

Not a mansion but it's 12km from Melbourne CBD

http://www.realestate.com.au/cgi-bin/rsearch?id=103184073&a=qfp&cu=fn-rea&t=res&q=Go

(but note that unrenovated units sell for very little less so I can't see any value in renovating unless you buy supercheap)

Or even a whole house further out:

http://www.realestate.com.au/cgi-bin/rsearch?id=103038715+&a=qfp&cu=fn-rea&t=res&q=Go

(Oops, looks like it's gone. Barring major structural defects, the buyer did very well and it's the pick of all listed here)

Peter

 

[james_w]

used to live in blackall

DWLAKESHORES, How about this?

http://www.realestate.com.au/cgi-bi...&t=res&ty=&snf=rbs&ag=&cu=fn-rea&fmt=&header=

With a bit of research about the town, rental vacancy, transport, future mining / agriculture, this might not be a bad place to start...

Whats the yield?

Can you afford to service the loan?

Are there other similar priced properties here?

How many people in the town?

Is the property within walking distance to CBD/schools/shops?

Could be a bargain, could be a rip-off. Its up to you....

cheers

p.s.

no lake shores out here, except in the rainy season...


On the other hand, this could be an investment disaster...

http://www.lgp.qld.gov.au/docs/corp...profiles/demographic_and_housing/blackall.pdf

hey used to live in blackall and still have rellies in that area unless something I dont know about is going on in blackall wouldnt touch it mainly shearing town no mining town near blackall think you may be getting blackwater confused with blackall

does have primary and secondory school though good for home owner/retirement thats bout it

 

[Twitch]

This post might be relevant --> http://www.somersoft.com/forums/showpost.php?p=216294&postcount=8