Castle hills vs.Lindfield both 550k which one is better?

[franzy]

Hi guys,
Really need your advice here. I have two options in front of me
One is the property located in Lindfield along pacific hway 5 mins to station
3br/1/1 unit strata $800
The other one locates in Castle Hills next to shopping centre
3br/2/2 townhouse strata $600

Vendor asked for both properties for $550k

Which one is worth to buy?

 

[Shahin_Afarin]

Neither? Why not go for a house in BH for a bit over $550k?

Also I think your question is around capital growth but I would also look at the cashflow figures. We can only assess this one we have the rental return for each property.

 

[Jacque]

Impossible to make a decision without further information.
Is this for PPOR or an IP?
What's the rental return?
What's the condition of each complex?
Why are you considering either area?

 

[Rolf Latham]

Tough question

Comparing Orange to Carrot because they are the same colour : )

As jax asks, the most important bit I reckon is PPOR or IP /

ta

rolf

 

[franzy]

Thanks guys for your advice. Let me put it in detail,
It is IP.
Considering Castle Hill is because of the expansion of Parramatta CBD and potential NW rail line.
Considering Lindfield is because it is close to the train station and city.

The town house in Castle hill is 15 years old and it resides in a small complex.
The unit in Lindfield is about 20 years old.

In terms of rental return, both are about $550/w

My question is which property is easy to rent out?

Some of my friends suggest that i should pick up good location Lindfield while some one else suggest me to consider good property(3 br/2garage).

Btw, Jacque I have been reading your threads for long time. Really appreciate for your excellent idea given. It helps me a lot.

 

[Propertunity]

OK since this is to be an IP, then let's put the 'touchy - feely' things aside.

Firstly, like TheFinanceShop said, I would not be overly keen on either. I wouldn't buy on such a busy road as the Pacific Highway, neither would I buy right beside Castle Towers. However, if I had to pick one, I'd go the unit in Lindfield.

Historically, Lindfield units have had way, way better CG over the last 8 years than Castle Hill. However, the disclaimer: Almost all investment literature warns you that past performance is no guarantee of future results. But still, you have to base your decision on something

 

[DaveM]

Not being flippant but surely you can get a better yield on your $550k than just scraping in at 5% gross?

 

[itxrd]

You sound like me a few weeks ago ;-)

These guys will put you straight.

p.s the answer as the experts have pointed out is neither.
Why? I'd go to the interviews they have with loads of experts on this site and have a read. Won't take long and will save you a lot of time