Hello experienced denizens of property investment world!
I have an inheritance of about $400k to do something useful with. I live and work in Sydney, but have lots of family in Adelaide. I'm not so keen to buy a city property in Sydney for myself, mainly because I can't afford a load more in a mortgage, and I would rather stay renting in Sydney which I can do reasonably comfortably in the areas I like to live.
I think a mortgage and offset arrangement might get me a $500k-ish property without too much difficulty. Put down $100k on the property upfront to avoid mortgage insurance costs, take a loan for $400k with the remaining $300k cash in an offset, (very broad figures) , and then rent the property.
So, looking in Adelaide, what do people think would be the right area to find a $500k property that would have decent rental return (I guess c. $500/wk) and likely to find reliable tenants (area, demographic, rental percentage etc?)
Thanks for any advice - fairly new to all this, so all comments appreciated: any shared thoughts help my own thinking grow!
I'm a conservative investor: I'm very much looking just to use the money efficiently, in a way that provides a bit of additional income in the long term to myself and my new family (child on the way.) I'm not looking to build a big investment portfolio or to leverage myself to the hilt in seek of glory! Although eventually purchasing in Sydney might be a longer term goal, I'm happy to wait.
I have an inheritance of about $400k to do something useful with. I live and work in Sydney, but have lots of family in Adelaide. I'm not so keen to buy a city property in Sydney for myself, mainly because I can't afford a load more in a mortgage, and I would rather stay renting in Sydney which I can do reasonably comfortably in the areas I like to live.
I think a mortgage and offset arrangement might get me a $500k-ish property without too much difficulty. Put down $100k on the property upfront to avoid mortgage insurance costs, take a loan for $400k with the remaining $300k cash in an offset, (very broad figures) , and then rent the property.
So, looking in Adelaide, what do people think would be the right area to find a $500k property that would have decent rental return (I guess c. $500/wk) and likely to find reliable tenants (area, demographic, rental percentage etc?)
Thanks for any advice - fairly new to all this, so all comments appreciated: any shared thoughts help my own thinking grow!
I'm a conservative investor: I'm very much looking just to use the money efficiently, in a way that provides a bit of additional income in the long term to myself and my new family (child on the way.) I'm not looking to build a big investment portfolio or to leverage myself to the hilt in seek of glory! Although eventually purchasing in Sydney might be a longer term goal, I'm happy to wait.