$450-500K to spend in Sydney but don't know where. Help!

[The_Bludger]

Ok, so I'm sick of paying big Land Tax bills in Vic every year, so can't justify buying any more IP's here. Sydney is appealing, as it appears to be a "sure thing", like Melbourne, so am I asking what you think is a good suburb to be buying into.

Close to train, public transport, shops, schools, not too far away from city, etc, etc. Don't want regional and looking for 5% yield, but would gladly take more and prefer a house over a unit. Capital growth more important to my style of investing.

Thanks.

 

[Nathan]

I reckon you could find 2 properties for that money within line of CBD.

I say properties I mean houses.

$200-$250k buy in, rents $300-$350pw each.

Thatd show a return around 7.5-8%.

 

[Ausprop]

wouldn't you be better to buy in one of the growth states? the next 5 years are likely to be about resources and the 2 speed economy... i would want to make sure you are in the right speed

 

[Ridin-High]

Ok, so I'm sick of paying big Land Tax bills in Vic every year, so can't justify buying any more IP's here. Sydney is appealing, as it appears to be a "sure thing", like Melbourne, so am I asking what you think is a good suburb to be buying into.

Close to train, public transport, shops, schools, not too far away from city, etc, etc. Don't want regional and looking for 5% yield, but would gladly take more and prefer a house over a unit. Capital growth more important to my style of investing.

Thanks.

Possibly consider Penrith (Sydneys western suburbs)

- Major railway station (Express trains)
- Major employment hub
- Part of the sydney 2036 plan (plans for further govt investment)
- will get your 5% rental yield

Some suburbs as a local i would prefer to live in. (South Penrith, Jaminson town).

 

[BV]

Ok, so I'm sick of paying big Land Tax bills in Vic every year, so can't justify buying any more IP's here. Sydney is appealing, as it appears to be a "sure thing", like Melbourne, so am I asking what you think is a good suburb to be buying into.

Close to train, public transport, shops, schools, not too far away from city, etc, etc. Don't want regional and looking for 5% yield, but would gladly take more and prefer a house over a unit. Capital growth more important to my style of investing.

Thanks.

Mate, Can we do a swap?
I'm sick of paying land tax in NSW

The one below needs nothing to do and will rent for $440-450/w or approx yield of 5.5% (I got a written appraisal)

http://www.realestate.com.au/property-house-nsw-quakers+hill-107250317
This was our old PPOR and we have been renting it out for a number of years. It is located next to a newly created Cul de sack neighbouring 6 brand new houses.
It was built in 1990 and we recently spent about $20K on the reno so it will have good depreciation figures.
btw the price has already been reduced by $10K

The current selling price isn't much different to what it was worth in 2004 when it became an IP so we won't be paying CGT. We love the location and we wouldn't be selling but we are now 50 and want a lifestyle change so we have to reduce our non tax deductible loans.

So far we had 2 offers but empty blocks of land away from amenities sell for $360K so this represents good value and we were holding out for a bit more.

Anyway, if you are interested send me a PM and I'll give you the address and more pics. It is now on open listing so it can sell privately
cheers

 

[BV]

The bludger

Look at Wattle Grove, there are a number of properties leased to the DHA and those would only suit investors so you won't have much competition. Pick something close to the train station and you will never have any vacancies

 

[Mick C]

Close to train, public transport, shops, schools, not too far away from city, etc, etc. Don't want regional and looking for 5% yield,
Thanks.

IM guessing when you say not to far from the city...it's within 15km??? if so....you wont find any house under $500k within 15km of Sydney CBD!
You may get a run down place, that requires a bit of TLC or a small townhouse..

Else traveling around 30 mins ( no traffic) from CBD you will find a few within that range and yield of around 6-7%..but may take a 4-6 years before you see any worthwhile gain in terms of capital growth.


Regards
Michael

 

[Bruce G]

Meadowbank might be a good place to live or invest in with the area being central to Ryde, Parramatta and a 20min drive to the city from Victoria Road. There is a major train station (around 8 stops to Central), ferry services, frequent buses, decent shopping and one of the larger TAFE Colleges. Your budget could get you a good sized 2 bedroom unit with decent rental returns.

 

[Jacque]

Ok, so I'm sick of paying big Land Tax bills in Vic every year, so can't justify buying any more IP's here. Sydney is appealing, as it appears to be a "sure thing", like Melbourne, so am I asking what you think is a good suburb to be buying into.

Close to train, public transport, shops, schools, not too far away from city, etc, etc. Don't want regional and looking for 5% yield, but would gladly take more and prefer a house over a unit. Capital growth more important to my style of investing.

Thanks.

Hi Bludge

For a house under $500K you need to go western suburbs- I'd recommend Quakers Hill, Seven Hills, parts of Marayong, Kings Park etc. Yields currently strong for 3-4 bed houses and doable walking distance to railway lines. Also consider duplexes as an alternative if you want to keep costs down. These seem to rent just as well and you can afford a better area depending on stock. I've bought for several clients in these areas and they're doing quite well. Also ensure you interview several PM's in the area as they are definitely not all equal

 

[BV]

For a house under $500K you need to go western suburbs- I'd recommend Quakers Hill, Seven Hills, parts of Marayong, Kings Park etc. D

I agree, it is a beautiful part of Sydney and there is good demand from buyers and tenants.

Jacque
I don't know if you've seen our property on Summerfield Ave. We've renovated it and had half a dozen offers so far. We finally got a contract signed today and I'll go in and countersign tomorrow.
Lessons learned, if we even again get an acceptable offer early in the process we will take it. It took us 8 weeks and 3 agents to get a 2nd acceptable offer

 

[Jacque]

Hi Bill

Well done for getting a sale- that is a long time to be on the market for that area but at least you got the result you wanted. Fingers crossed it all pans out well and goes unconditional soon for you

Just as an aside.... I thought you only listed it with one agent after giving it a whirl privately? Or was it 3 agents at the same office? Which agent got the result for you?

 

[BV]

Hi Bill

Well done for getting a sale- that is a long time to be on the market for that area but at least you got the result you wanted. Fingers crossed it all pans out well and goes unconditional soon for you

Thanks Jacque
I must admit I took my time fixing it up and this delayed the sale.
Other delaying factors were:
The picture on street view was old and people didn't realise the huge transformation of the street.
The new development next door was a contruction site.
Due to the development we didn't have a fence on 1 side and hadn't fixed the yard so the property didn't present well.

Many people didn't like the reserve on the back (personally I love the location and the view is like a postcard) some didn't like the trees some didn't like the room sizes or didn't the price etc etc.

When the fence and the new turf went in and we dropped the price to $429K we also put it on open sale with 2 agents and on silent listing with a 3rd agent so we had people through it almost daily. We knew it would sell close to asking price because compared to similar properties on the new side of QH it represented good value. We just had to find a person who likes nature and/or has pets

cheers

 

[BV]

Just as an aside.... I thought you only listed it with one agent after giving it a whirl privately? Or was it 3 agents at the same office? Which agent got the result for you?

No they were different offices.
Initially I wanted to try selling it privately but as soon as agency 1 saw my listing on the net he came over and convinced me to sign up an exclusive agreement. He asked for 4 week contract and I said he could have 6 weeks. After the 6 weeks I was hassled by agency 2 to give it to them on an open contract so I did.

I also felt that agency 1 had lost interest so I was going to take it off them and to give it to agency 3 on an open agreement. However agency 1 didn't want to take their listing off the web and wanted to try a bit longer.
Considering that they had already gone to significant expense I agreed to let them try a bit longer and I also agreed to let agency 3 have a go but as a silent listing.

To my surprise agency 3 got me 2 acceptable offers, 1 which didn't work out and this one now.