If you had a spare $300k....

[eskimoflick]

Hello!

My partner and I are 27, and considering purchasing another IP whilst our earning ability is high, and things are stable (ie no dependants yet!).

We currently have:
- 1 x 2BR unit in TAS which provides great cash flow (nothing else!)
- 2 x 3BR houses in Logan area, QLD which pay for themselves (we got cheap before the rush)
- 1 x 3BR house in SE Melbourne which we live in, but will rent next year when we plan on moving.

We want to spend max $300k for our next property, which will gain capital (over the next 10-20 years - not drastically), whilst being positively geared (or neutral).

Interested to hear people's opinions, where would you buy in Australia if you were in our position?

Thanks in advance!

 

[jpcashflow]

Hi

Hello,

Glad to see more people from Melbourne being active on here...
Why have you set a budget of 300K is that including closing cost or + closing cost.

Would you look at spending more for a better quality of property?

If you had a budget of 350K + I would look at Melbourne West's or some parts of Brisbane .

 

[datto]

Up it to 400k and go the Druitt ! 75% growth in the last 2 years.

 

[hugh72]

Northen or southern suburbs of Adelaide or somewhere else in Brisbane/SEQ to continue to diversify IMO

 

[eskimoflick]

Hello,

Glad to see more people from Melbourne being active on here...
Why have you set a budget of 300K is that including closing cost or + closing cost.

Would you look at spending more for a better quality of property?

If you had a budget of 350K + I would look at Melbourne West's or some parts of Brisbane .

Thanks for responding,

$300k is not a figure we are attached to.

I suppose we want to save some borrowing power for next year when we purchase something to live in for awhile.

When you say West Melbourne, do you mean Weribee and Broadmeadows? I did want to buy in these places, purely because the prices are good and they are close to Melbourne - they will eventually increase in value. My partner finds it had to remove the stigma associated with these areas... What do you think?

 

[eskimoflick]

Up it to 400k and go the Druitt ! 75% growth in the last 2 years.

Is Druitt in WA? If it has grown that much do you think it will go any further?

 

[eskimoflick]

Northen or southern suburbs of Adelaide or somewhere else in Brisbane/SEQ to continue to diversify IMO

Thanks for your response.

I have only been to Adelaide once. How far out of Adelaide is "too far"? Any suburbs you would reccomend/avoid?

 

[jerrybee]

Thanks for your response.

I have only been to Adelaide once. How far out of Adelaide is "too far"? Any suburbs you would reccomend/avoid?

"too far" in Adelaide is like "too far" in Canberra, probably like 10 minutes from the CBD lol.

I remember when I went to Adelaide the cab driver was talking about how far our hotel was. I thought it would be out in the sticks. 10-15 mins later we got there and I was like WTF!!

 

[eskimoflick]

"too far" in Adelaide is like "too far" in Canberra, probably like 10 minutes from the CBD lol.

I remember when I went to Adelaide the cab driver was talking about how far our hotel was. I thought it would be out in the sticks. 10-15 mins later we got there and I was like WTF!!

Yes! Exactly why I asked the question. Having lived in Tasmania and Brisbane, I know that "too far" is often very inner city

 

[Brian84]

Is Druitt in WA? If it has grown that much do you think it will go any further?

Datto would be referring to mount druitt in western Sydney. Prices have gone crazy over the last 2 years but still some potential left for growth.

 

[datto]

Is Druitt in WA? If it has grown that much do you think it will go any further?

Ah, MT Druitt NSW 2770, houso area. Could go to 500K ?
I was surprised prices have hit 400 and above. I can't give any guarantee of another 75% rise but obviously unlikely in this boom..Another 20 %....maybe.

 

[littletee]

Thanks for responding,

$300k is not a figure we are attached to.

I suppose we want to save some borrowing power for next year when we purchase something to live in for awhile.

When you say West Melbourne, do you mean Weribee and Broadmeadows? I did want to buy in these places, purely because the prices are good and they are close to Melbourne - they will eventually increase in value. My partner finds it had to remove the stigma associated with these areas... What do you think?

Pretty sure Broadmeadows is Northern Suburbs

If your budget is $300k, might be ok for an apartment but no longer a house unless its run down in my opinion. Good Luck

 

[hugh72]

Thanks for your response.

I have only been to Adelaide once. How far out of Adelaide is "too far"? Any suburbs you would reccomend/avoid?

I'm not an Adelaide local and have only recently started investing there so are not qualified to comment in detail IMO but I'm looking for a couple more purchases this year in either Huntfield Heights, Hackham, Hackham West,Christies Downs, Paralowie,Salisbury and Elizabeth suburbs among others. Strong yields low entry prices, South possibly has grown faster in the last year? Northern suburbs seem to have better yields with 8%+ possible in some Elizabeth surburbs and 5.5-6.5 in the south as a generalization. Plenty of stock availabe sub 300k in the south, sub 250k in Salisbury in the north and sub 200k in Elizabeth

 

[Azazel]

We want to spend max $300k for our next property, which will gain capital (over the next 10-20 years - not drastically), whilst being positively geared (or neutral).
Interested to hear people's opinions, where would you buy in Australia if you were in our position?

I would go for a house in Cairns, 4 bedroom in White Rock would be my pick for around that price, still possible if you can haggle. Good rental demand so should be cash flow positive.

 

[mflying]

look at new villas around Reservior, Preston (In vic) area..

Brand new = Good dep
Closer to city = good for CG
rent will cover most mortgage = Meets your requirement

 

[jpcashflow]

Thanks for responding,

$300k is not a figure we are attached to.

I suppose we want to save some borrowing power for next year when we purchase something to live in for awhile.

When you say West Melbourne, do you mean Weribee and Broadmeadows? I did want to buy in these places, purely because the prices are good and they are close to Melbourne - they will eventually increase in value. My partner finds it had to remove the stigma associated with these areas... What do you think?

Hello,

I love stigma... this is the best place to look.. when talking to your partner mention areas like Footscray, Yarraville and even Williamstown. 20 Years ago these areas where undesirable.