Hi guys, thanks a lot for all your replies. Just a few things I still feel confused. Sorry....very slow but still learning...lol...pls don't laugh at my silly questions...
1. Why is the rental return better in Liverpool...since properties are reasonably affordable, why people still rent?Just concern about future rental performance.
2. Except being far away from Sydney CBD, is there any other reason why properties are cheaper in Liverpool, e.g. population, safety. Just an example, I wouldn't really touch properties in Merrylands or Auburn.
3. Shall I go for house or apartment? I understand the house has bigger land and capital growth is better...from cash-flow perspective...It seems units rental return are better. don't have rich parents...try to take out as less $$$ as possible from my pocket.
Thank you all and have a lovely night
1. People in Liverpool still rent because they are very low-socio economic status. A very large percentage of rent is paid by Centrelink/ Department of Housing. Due to a heavy reliance on welfare, poverty is very firmly entrenched. I wouldn't worry about running out of tenants anytime soon! The more you work, the less Centrelink pays you. The people have an incentive NOT to work, and NOT to save. They also receive more money the more kids they have.
2.Merrylands, Auburn and Liverpool really aren't dangerous at all. Yes there have been shootings and violent incidents. But 364 days a year they are nice places to be, they just happen to be heavily occupied by migrants, single parent families etc. If i personally had the choice, I would choose to live (1) Merrylands (2) Auburn (3) Liverpool. Basically, the further west, the rougher.
3.There is no simple answer to this question. It just shows you need to do more research, reading and enquiring. And you've come to the right place! Good luck, and by all means keep in touch and let us know how your journey is progressing!
