Hi All,
Firstly, I am new to property investment so I ask for forgiveness in advance if my overall post
sounds naive or stupid. I am currently looking to invest in property for the first time and my
budget for investment is approx $450k-500k. I am hoping I could get some advise from experience
investors around certain things but firstly Ill explain my situation and goals.
Where we live in Sydney is extremely expensive and the market is very hot. For our family to
find a liveable unit for the size of our family we would need to spend at least 800k and houses
are just out of the question as they will start at around 1.4-5m. Given we are currently on one
income it's not possible.
We could look elsewhere to live but we have family close by and its a personal choice to stay in
the area. My wife is probably 2-3 years off going back to work so we have two choices.
Continue to rent and not buy anything or whilst renting buy some investment property/s. With the
aim at the end of the 3 years have a payment history with the bank and also maybe some modest
equity.
My thought to date has to buy two properties one which I would be looking for focus to be yield
so that expenses are mainly covered and second property where yield is less of the focus and
looking for more of a gain on the property itself. My though for reason on two properties is
to not place all eggs in one basket.
Given my budget it is obvious that I would not be looking at the major capitals for my purchase.
Could I kindly ask for some feedback on two things.
FYI, in my situation I will be placing about $70-80k deposit on the property/s. Looking to borrow around
350-400k.
1. Is my approach sound and any advise on the approach Ive outlined to take to investing. or any other thoughts
on what I should do?
2. Suburbs, areas I should look at as options to invest in (I am not adverse to buying anywhere in Australia)
where you believe are good investments either from a rental return perspective or potential for growth.
Hope this all makes sense, apologise in advance if it doesn't.
Any feedback would be great appreciated.
Firstly, I am new to property investment so I ask for forgiveness in advance if my overall post
sounds naive or stupid. I am currently looking to invest in property for the first time and my
budget for investment is approx $450k-500k. I am hoping I could get some advise from experience
investors around certain things but firstly Ill explain my situation and goals.
Where we live in Sydney is extremely expensive and the market is very hot. For our family to
find a liveable unit for the size of our family we would need to spend at least 800k and houses
are just out of the question as they will start at around 1.4-5m. Given we are currently on one
income it's not possible.
We could look elsewhere to live but we have family close by and its a personal choice to stay in
the area. My wife is probably 2-3 years off going back to work so we have two choices.
Continue to rent and not buy anything or whilst renting buy some investment property/s. With the
aim at the end of the 3 years have a payment history with the bank and also maybe some modest
equity.
My thought to date has to buy two properties one which I would be looking for focus to be yield
so that expenses are mainly covered and second property where yield is less of the focus and
looking for more of a gain on the property itself. My though for reason on two properties is
to not place all eggs in one basket.
Given my budget it is obvious that I would not be looking at the major capitals for my purchase.
Could I kindly ask for some feedback on two things.
FYI, in my situation I will be placing about $70-80k deposit on the property/s. Looking to borrow around
350-400k.
1. Is my approach sound and any advise on the approach Ive outlined to take to investing. or any other thoughts
on what I should do?
2. Suburbs, areas I should look at as options to invest in (I am not adverse to buying anywhere in Australia)
where you believe are good investments either from a rental return perspective or potential for growth.
Hope this all makes sense, apologise in advance if it doesn't.
Any feedback would be great appreciated.