CG risk?

[Nick1995]

Hey guys. I am looking at buying my first IP max 350k. Im going after the buy, cosmetic reno and hold stratagie. I was just wondering, if say you purchased an investment property in a suburn you hoped would gain a large amount of CG due to future infustructure ect but gained little CG for whatever reasons. Would it be hard to move on to the next IP. What i mean is would the banks be likely to lend agian if you had the deposit?
Thanks

 

[Peter_Tersteeg]

So long as your lending does not rely on the first property, you've got the affordability and a deposit, the effect would be negligible to none (depending on how you structure the new loan). It's really not a problem.

 

[Nick1995]

Thanks Peter. Appricate it!

 

[travelbug]

If you are planning on doing a reno that will (if done properly) give you manufactured CG. That's the advantage of the strategy, you don't need to wait for CG in the suburb? Natural CG is the icing on the cake.
That's Been our strategy. It works well.