Hi guys,
Need your help.
My partner and I have pre-approval (no deposit, with guarantor) for purchase of up to $450k + stamp duty etc.
Our aim:
To get into the market then use equity to buy closer to city in 3 -5 years by subdividing and keeping, or selling land, house or both.
Our plan
To find a PPoR on a sub-divisible block (wide side access, >600sqm etc) in an area that looks to be on the rise. We're betting on Sunshine West, Albion or Sunshine North (priced out of Sunshine).
My questions/what's keeping me awake at night:
1. Do we go for bigger house that requires less work on 697sqm in Sunshine West for $450k OR smaller, uglier house on 603sqm in Albion for $405k?
2. OR, could we get the same financial result in another way? ie. Should we be looking at smaller land in better areas (St Kilda, Coburg, Footscray, etc)?
Bonus info:
- I work in CBD so prefer < 30mins travel to work
- Need 3 bedrooms or 2 + study
- Have dog and cat so outdoor area is preferable but could do without if it meant a better financial move in the long run
Residex Data:
Sunshine West: land value $450/sqm, forecast 5yr growth 3%, yield 4.4%
Albion: land value $583/sqm, forecast 5yr growth 6%, yield 4.1%
Sunshine North: land value $712/sqm, forecast 5yr growth 4%, yield 4%
What would you guys do in our situation?
*waits for the wisdom*
Need your help.
My partner and I have pre-approval (no deposit, with guarantor) for purchase of up to $450k + stamp duty etc.
Our aim:
To get into the market then use equity to buy closer to city in 3 -5 years by subdividing and keeping, or selling land, house or both.
Our plan
To find a PPoR on a sub-divisible block (wide side access, >600sqm etc) in an area that looks to be on the rise. We're betting on Sunshine West, Albion or Sunshine North (priced out of Sunshine).
My questions/what's keeping me awake at night:
1. Do we go for bigger house that requires less work on 697sqm in Sunshine West for $450k OR smaller, uglier house on 603sqm in Albion for $405k?
2. OR, could we get the same financial result in another way? ie. Should we be looking at smaller land in better areas (St Kilda, Coburg, Footscray, etc)?
Bonus info:
- I work in CBD so prefer < 30mins travel to work
- Need 3 bedrooms or 2 + study
- Have dog and cat so outdoor area is preferable but could do without if it meant a better financial move in the long run
Residex Data:
Sunshine West: land value $450/sqm, forecast 5yr growth 3%, yield 4.4%
Albion: land value $583/sqm, forecast 5yr growth 6%, yield 4.1%
Sunshine North: land value $712/sqm, forecast 5yr growth 4%, yield 4%
What would you guys do in our situation?
*waits for the wisdom*