First time investor in Sydney buying tips

[JohnHenry]

Hi People,

I have several IP outside Sydney area with the equity I can access to get some IP in Sydney area with the budget of maximum $800k.

Which area should I buy or invest in for the long term ?

I'm thinking buying a house & land package in:
Penrith
Canterbury
Jordan Springs
Newcastle
Campsie

or shall I buy existing apartment unit / townhouse in:
Sydney CBD 1 bedders / studio (from a cashflow perspective)
Parramatta
Meadowbank
Belmore

which one that you suggest ?

 

[Rixter]

I wouldnt be buying in Sydney now if you're after short-mid term CG. You've missed the boat there.

 

[JohnHenry]

I wouldnt be buying in Sydney now if you're after short-mid term CG. You've missed the boat there.

ok, so in this case I should be looking for the apartment unit in Fortitude Valley Brisbane ?

 

[Rixter]

ok, so in this case I should be looking for the apartment unit in Fortitude Valley Brisbane ?

I haven't done any DD on Fortitude Valley a such so cant comment on the suburb however I believe you're in best State Metro Area to catch excellent short-mid term CG.

 

[Phiber]

Isn't your apartment the one recommended by a friend as OTP?

2 reasons to stay clear!

Take your time to do more research before you jump in.

 

[JohnHenry]

I haven't done any DD on Fortitude Valley a such so cant comment on the suburb however I believe you're in best State Metro Area to catch excellent short-mid term CG.

This one that I'd like to get hold on to: http://88international.com.au/listing/canterbury-tower-fortitude-valley-brisbane/

It sounds great and very tempting to get one in Brissy at the moment, close to CBD.

 

[ZachAnSel]

Hi John,

Perhaps you need to find what is your goal?
This forum is great place to learn, but you need to find the right question.

Once you know what is your goal, track back to where are you atm. Then develop strategy, you may not have clear vision yet, but mistake and experience will lead you to be better person. You did post couple times for Fortitude Valley unit. Property is just product of one investment class. More important question, is buying one will draw you closer to your goal??

 

[JohnHenry]

Hi Zach,

My goal is to have a capital gain for early retirement.
At the moment most of the place in Sydney is too hot and pricey compare to Brisbane.

 

[spludgey]

Buying for short term capital gain is gambling!

Unless you actively do something to build equity.

 

[Rixter]

This one that I'd like to get hold on to: http://88international.com.au/listing/canterbury-tower-fortitude-valley-brisbane/

It sounds great and very tempting to get one in Brissy at the moment, close to CBD.

I guess it comes down to your chosen investment strategy and what you are wanting this property to achieve for you. Property is merely the vehicle.

If your DD suggests its moving you closer to your reason in the time frame you require then consideration is needed.

Personally, I wouldnt be purchasing OTP because I believe it to be too High Risk and secondly being a high rise apartment does not meet my chosen strategy's purchasing criteria.

 

[Gockie]

Hi,
My personal 2 cents on your picks...

I'm thinking buying a house & land package in:
Penrith - rather far out... big land subdivisible ok
Canterbury - maybe
Jordan Springs - I don't know much about it but It sounds like a new estate, I wouldnt, because I think it's nothing extraordinary
Newcastle - maybe
Campsie - maybe

or shall I buy existing apartment unit / townhouse in:
Sydney CBD 1 bedders / studio (from a cashflow perspective) - yes, and also capital growth still possible. Just dont pay too much and you should be ok, watch for strata levies
Parramatta - already fully priced, you are too late by 2 years
Meadowbank - ditto Parramatta, but too late by many years
Belmore - maybe

Agree with Spludgey, look for something you can add value to.
With Brisbane, 800k could buy you two full houses on good land. I would do that.

 

[neK]

H
I'm thinking buying a house & land package in:
Canterbury
Campsie

There are house and land packages in Canterbury and Campsie?
Where's the spare land?

This is of interest to me (to know what is happening in the area), do you have any links?

 

[Davothegreat]

There are house and land packages in Canterbury and Campsie?
Where's the spare land?

This is of interest to me (to know what is happening in the area), do you have any links?

No idea where the land supposedly is but the OP's budget of 800k isn't going to buy much of an older house let alone a new H+L package even if there is/was land available - the median in each of these two suburbs is nudging 1M. Unless by "house" he means "unit"...

 

[JohnHenry]

Well, apologize for the confusion, what I mean house is anything that is not an apartment unit. It can be Townhouse or free standing house.

 

[JohnHenry]

Hi,
My personal 2 cents on your picks...

I'm thinking buying a house & land package in:
Penrith - rather far out... big land subdivisible ok
Canterbury - maybe
Jordan Springs - I don't know much about it but It sounds like a new estate, I wouldnt, because I think it's nothing extraordinary
Newcastle - maybe
Campsie - maybe

or shall I buy existing apartment unit / townhouse in:
Sydney CBD 1 bedders / studio (from a cashflow perspective) - yes, and also capital growth still possible. Just dont pay too much and you should be ok, watch for strata levies
Parramatta - already fully priced, you are too late by 2 years
Meadowbank - ditto Parramatta, but too late by many years
Belmore - maybe

Agree with Spludgey, look for something you can add value to.
With Brisbane, 800k could buy you two full houses on good land. I would do that.

Sydney CBD 1 bedders / studio (as long as it is arger than 55 sqM) then yes I'd like to get one for my PPOR while I'm working in the city and then moving out to the other area where I can afford the house in the next 4 years.

 

[see_change]

Buying for short term capital gain is gambling!

Unless you actively do something to build equity.

I'll see your one mill , and raise you three ....

Cliff

 

[JohnHenry]

Buying for short term capital gain is gambling!

Unless you actively do something to build equity.

LOL, ok, I should not be expecting that in Brisbane as well.

but for sydney there won't be any signiifcant capital gain until the next airport & West Connex road finished and ready in 2022.

 

[Rixter]

LOL, ok, I should not be expecting that in Brisbane as well.

I'll see your one mil and raise you four

 

[Phiber]

LOL, ok, I should not be expecting that in Brisbane as well.

but for sydney there won't be any signiifcant capital gain until the next airport & West Connex road finished and ready in 2022.

That's as good random speculation as any

 

[JohnHenry]

That's as good random speculation as any

Why is that random, those two big projects they're certainly to lift up the price of the property surrounding the suburbs ?