Hi All,
I have been looking at investing for my first property in Perth. I had look at few suburbs in Perth but I am rethinking my strategy and need your help.
I have approx 150k deposit saved, currently renting. Earning is well(above 100k before tax) and will be able to cope up with some -ve gearing. My plan was to buy a house around 500k-550k and use all deposit to create neutral cash flow. I am looking for balance between rental yield and capital growth with capital growth as ultimate aim.
Should I buy a unit around 400k-450k and put 100k deposit and buy second property sooner or should I use all my deposit in first property and try to make it neutral?
Should I be paying capital + interest in loan for while until neutral and then start saving for second property?
Thanks for your advice.
AVS
I have been looking at investing for my first property in Perth. I had look at few suburbs in Perth but I am rethinking my strategy and need your help.
I have approx 150k deposit saved, currently renting. Earning is well(above 100k before tax) and will be able to cope up with some -ve gearing. My plan was to buy a house around 500k-550k and use all deposit to create neutral cash flow. I am looking for balance between rental yield and capital growth with capital growth as ultimate aim.
Should I buy a unit around 400k-450k and put 100k deposit and buy second property sooner or should I use all my deposit in first property and try to make it neutral?
Should I be paying capital + interest in loan for while until neutral and then start saving for second property?
Thanks for your advice.
AVS