470k in North Strathfield (sydney), is it worth?

Hi, i am very new to this forum and after few readings, i thought it is time to ask help, as i can felt the atmospheres here are quite nice:).

Currently i am looking forward to buy my first ip and a sales consultant selling me a two bed rooms apartment in north strathfield, 470k around, one year old, 100sqms interal and 8 mins walk to the station. However, the railway tracks lying just behind the building (about 10 metres ) and of course there are noises when the train passed by. Also, 90 units (out of total 300, 9 buildings) in that complexes were leased by the council according to the affortable housing program. The developer leased out all the units 1 year ago since they finish work (they hold them and wait the price goes high). and now they begin to sell parts of their complexes. The whole environment in that complex doesnt give me a good impression as the maintenance is not good, but the price is not bad.

SO, can anyone give me some suggestiones, this is my first thread in the forum, i know u guys are really good at ip. thx.:)
 
Doug

Not sure about giving suggestions but can give some input as nth strathfield resident.

Rental potential for those units are around 450 to 460 per week. This suburb is sandwiched between rhodes, olympic park, concord and strathfield, so has some good potential for sure.

Since you are saying its one year old there are potential for good tax deductions. And when interest rates starts rising, rents will also rise. All those apartments are owned by a single property developer, that's the reason maintenance is not good and he has chosen for affordable housing program. When he starts selling and owners will not opt for these programs. In a year or two, you should be able to start seeing +ve things.

Recently in a near by apartment, 2 bedroom sold for 515K- FYI. Hope this helps.

Thanks
 
Doug - welcome to the forum ! A cost price of $470 k and a rental yield of
$450 per week would make it negatively geared despite the depreciation benefits. Think in today's market in Sydney, you could do much better.

With that kind of money to expend, I think you would get better rental return + capital growth with a 4 bedroom house in Parramatta, Blacktown or Seven Hills.

If in doubt...don't !

Good luck
 
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