I am almost 20 and would like to purchase a cheap investment property outside of Sydney (i'd like to buy in Sydney but I doubt I could afford it). My income is currently a little over $300/w but i'll be starting TAFE soon so I expect that to fall to $200/w.
I have made large capital gains in shares before and I currently have a net worth (if I sell my shares) of $20,000.
Will the banks loan me money for an investment property ?
Of course - in theory, if I buy a $100,000 property and rent covers many of the repayments I should easily be able to afford it and there is little risk to the bank if I keep my job. So therefore i'd like to know -
1) What are the odds of a bank lending me money ? (I'd like to know some more information before visiting a loan officer)
2) Will $100,000 purchase a reliable property which will not fall in value (my very limited experienced is guessing Blue Mountains).
Even after making approx $5,000 in gains in the sharemarket i'm still not very interested in shares or mutual funds. I'm interested in property and I think i'm finally ready to jump in the deep end and make a purchase. Please understand that i'm NOT interested in shares and the cheap property I am considering now will hopefully expand to a reasonable collection over the years.
My goals for this property is mainly for EXPERIENCE.
- I have to start somewhere, I want to go through the whole process of the purchase
- I'd like the property to at least break even so I can throw more income at it and hopefully pay it off some day (i'll own an entire property in my early 20s, woohoo
- I'm excited about the idea of a "free" cashflow from property
Thanks !
I have made large capital gains in shares before and I currently have a net worth (if I sell my shares) of $20,000.
Will the banks loan me money for an investment property ?
Of course - in theory, if I buy a $100,000 property and rent covers many of the repayments I should easily be able to afford it and there is little risk to the bank if I keep my job. So therefore i'd like to know -
1) What are the odds of a bank lending me money ? (I'd like to know some more information before visiting a loan officer)
2) Will $100,000 purchase a reliable property which will not fall in value (my very limited experienced is guessing Blue Mountains).
Even after making approx $5,000 in gains in the sharemarket i'm still not very interested in shares or mutual funds. I'm interested in property and I think i'm finally ready to jump in the deep end and make a purchase. Please understand that i'm NOT interested in shares and the cheap property I am considering now will hopefully expand to a reasonable collection over the years.
My goals for this property is mainly for EXPERIENCE.
- I have to start somewhere, I want to go through the whole process of the purchase
- I'd like the property to at least break even so I can throw more income at it and hopefully pay it off some day (i'll own an entire property in my early 20s, woohoo
- I'm excited about the idea of a "free" cashflow from property
Thanks !