FHB Carlington vs Dulwich Hill OTP

[Parks]

Hi there!

Long time reader but just registered! : )


I really need your advice
As the title goes, I'm a first home buyer looking to purchase a property OTP.
I need some genuine independent advice from long time Sydneysiders.

Me and my partner have just moved to Sydney last year and we were quite unaware of how hot the Sydney property market has become until late last year.
It's a shame, I know. ..

We've spent a few months researching potential areas for us to buy our first home, and we are looking to put in EOIs for properties in the aforementioned areas.

We are looking at spending around 650k, but with that budget we can purchase a nicely sized 2 bedder in Carlingford, whilst the same amount only gets us a 1+study in Dulwich Hill.

We don't plan on occupying the property for no more than 5 years or so, and plan to turn it into an IP in the future so we can use some of the equity when we move back to Brisbane.

We both work in the city so commute times are a major factor but the proximity to James Ruse at Carlingford seems to be worth the compromise in that regard, due to, you know, high demand from Asian parents looking to send their children to James Ruse.

So my question goes, which would you recommend between the two suburbs when looking at potential CG?

If both areas are crap, are there any other areas you would suggest for about the same budget?

Thanks in advance for your advice!

 

[depreciator]

I would go Dulwich Hill, but I like the inner west. I don't think you can go wrong with the inner west.
Avoid New Canterbury Road, though.
Others will have opinions on OTP.

 

[Ace in the Hole]

How about, rent.
Even better if you can rent close to your work.
Your deposit money can be better used elsewhere rather than an OTP in Sydney.

 

[neK]

Dulwich Hill / Marrickville / Hurlstone Park would be my picks.
You can pick up 2 bedders for your price range.

Any reason for OTP?

 

[Parks]

I would go Dulwich Hill, but I like the inner west. I don't think you can go wrong with the inner west.
Avoid New Canterbury Road, though.
Others will have opinions on OTP.

Any reasons for avoiding New Canterbury Rd?

I ask because the property lies close by

 

[Parks]

Dulwich Hill / Marrickville / Hurlstone Park would be my picks.
You can pick up 2 bedders for your price range.

Any reason for OTP?

Problem is, both my partner and I haven't been at the workplace long enough to qualify for banks. And also to get the new homes grant, stamp duty, delayed settlement etc.

Though, I am fully aware of the risks of buying OTP.

 

[Parks]

How about, rent.
Even better if you can rent close to your work.
Your deposit money can be better used elsewhere rather than an OTP in Sydney.

Well, I do only have to reside in the property for 6 months for the grant
And I would have a real asset instead of paying someone elses mortgage.

 

[windyzz]

I prefer Dulwich hill. Inner west trendy suburb + transport & close to CBD

 

[neK]

Problem is, both my partner and I haven't been at the workplace long enough to qualify for banks. And also to get the new homes grant, stamp duty, delayed settlement etc.

Though, I am fully aware of the risks of buying OTP.

Have you actually exhausted all avenues?
Maybe some of the brokers here may be able to help?

Also, you are willing to pay $100k more for OTP?
http://www.domain.com.au/property/f...-flat/nsw/dulwich-hill/?adid=2011650190&sp=16
25/451 New Canterbury Road Dulwich Hill NSW 2203 - For Sale @ $579k

 

[windyzz]

Also, you are willing to pay $100k more for OTP?
http://www.domain.com.au/property/f...-flat/nsw/dulwich-hill/?adid=2011650190&sp=16
25/451 New Canterbury Road Dulwich Hill NSW 2203 - For Sale @ $579k

I don't think that's a good investment too. located on the main road and no carspace

 

[neK]

I don't think that's a good investment too. located on the main road and no carspace

It was the first link i dug up... more so to compare OTP prices vs existing.
Personally i like older blocks. Generally built better

 

[depreciator]

Any reasons for avoiding New Canterbury Rd?

I ask because the property lies close by

It's a major road and pretty ugly in parts. Peak hour clearways, too.

Which block are you looking at? There is one going up near where Herbert Street hits New Canterbury Road. A flat out the back of that block would be okay. Close to the village, a 10 minute walk to the light rail and a 20 minute walk to the heavy rail. Buses at the door.

 

[Ace in the Hole]

And I would have a real asset instead of paying someone elses mortgage.

Don't fall for this often repeated mantra.
Do whatever it takes to put money in your pocket, that's the aim of the game.

 

[Gockie]

We both work in the city so commute times are a major factor but the proximity to James Ruse at Carlingford seems to be worth the compromise in that regard, due to, you know, high demand from Asian parents looking to send their children to James Ruse.

Hi Parks, If you must do OTP I'd lean towards Dulwich Hill of the 2 because its closer to everything.
Re: Carlingford, I'd choose a property at neighbouring Epping near the town centre instead as a no brainer. Epping has lots of trains in easy walking distance so its really convenient access to the city. (The area's been rezoned so there will be lots of OTP apartments for you to choose from). Students going to James Ruse catch the M54 bus to school from Epping which comes every 10 minutes so still easy transport. Carlingford does have a train line but it's next to useless, so you might as well pretend it's not on the map.

I'll add, if someone is looking to buy a house in Carlingford, they would need a budget of at least $1 mill, and I'd recommend considering a free standing house in northern Carlingford, as there's a good M2 bus service to the city at Oakes Rd. That or the eastern part of Carlingford closer to Epping, but if you have the money, go Epping (which requires a $1.5 mill budget). It will hold its price premium due to the rail link.

 

[cadence]

You can buy a new 2br in Campsie for your budget
or 100-150K less for an older 3 storey walkup block
has train line
good shopping
area is dominated by Asians but if you were considering Carlingford it wouldnt be an issue

 

[windyzz]

You can buy a new 2br in Campsie for your budget
or 100-150K less for an older 3 storey walkup block
has train line
good shopping
area is dominated by Asians but if you were considering Carlingford it wouldnt be an issue

Carlingford has good schools nearby, Asian family will prefer carlingford than campsie

 

[neK]

Campsie has a bucket load of asians. Schools in the Campsie aren't crash hot though... what are the good government schools in Carlingford that AREN't selective?

 

[kamchatsky]

Campsie has a bucket load of asians. Schools in the Campsie aren't crash hot though... what are the good government schools in Carlingford that AREN't selective?

Carlingford High is non-selective. It is not the best, but pretty good one.

Carlingford West Public School is highly sort after primary school but not all parts of Carlingford is zoned to it.

 

[kamchatsky]

Hi Parks, If you must do OTP I'd lean towards Dulwich Hill of the 2 because its closer to everything.
Re: Carlingford, I'd choose a property at neighbouring Epping near the town centre instead as a no brainer. Epping has lots of trains in easy walking distance so its really convenient access to the city. (The area's been rezoned so there will be lots of OTP apartments for you to choose from). Students going to James Ruse catch the M54 bus to school from Epping which comes every 10 minutes so still easy transport. Carlingford does have a train line but it's next to useless, so you might as well pretend it's not on the map.

I'll add, if someone is looking to buy a house in Carlingford, they would need a budget of at least $1 mill, and I'd recommend considering a free standing house in northern Carlingford, as there's a good M2 bus service to the city at Oakes Rd. That or the eastern part of Carlingford closer to Epping, but if you have the money, go Epping (which requires a $1.5 mill budget). It will hold its price premium due to the rail link.

Epping apartments are a lot more expensive than Carlingford (at least $150K difference for OTPs). So you are already paying that much extra for convenience.

The rental yield at Epping is very poor due to the very high price and large number of stock.

 

[windyzz]

Epping apartments are a lot more expensive than Carlingford (at least $150K difference for OTPs). So you are already paying that much extra for convenience.

The rental yield at Epping is very poor due to the very high price and large number of stock.

Epping has one of the Worst Yield area for Apartment... the established old apartment 2 bedroom is in ~800k mark now. With Rent hovering around 450-500 per week.
http://www.realestate.com.au/property-apartment-nsw-epping-119452491
http://www.realestate.com.au/property-apartment-nsw-epping-119423147
http://www.realestate.com.au/property-unit-nsw-epping-119414219
http://www.realestate.com.au/property-unit-nsw-epping-119454959

I recently look at a few OTP project in Epping for 2 bedroom, and the price is ranging from 860-950k (internal around 70-80sqm) with rent potential of 550-600 per week.

I guess people buy in epping to live and rent demand is pretty low.
Again most suburb with lots of Asian ethnicity has pretty Low yielding (Hurstville, Epping, Eastwood, Carlingford). However you have a very strong growth in return.... (I dont know how sustainable though)

In my Opinion, i would rather go west (1-2 suburb away from Parramatta.. Better yield and lots of infrastructure is coming)