Hey Guys,
I've been lurking here for a while, and I'm after a bit of advice. My Story:
33 years old, married with 1 kid. Wife is currently a stay at home, with the baby, and expecting to be so for the next 5 years. I earn $110k, wife did/will earn ~$70k.
1 PPOR - Value: ~$530k, owing $450k (purchased 2013)
1 IP - Value: ~$600k, owing $510K (purchased 2012)
I'm not expecting much CG in the IP. I bought it when I was a little naive. It's a 2BR apartment in Southbank, Melbourne. The great thing is that's large (>90sqm), and it has a fantastic view across the city that cannot be built out. It's also positively geared to the tune of around $15k per year, as it's rented out as holiday accommodation (AirBNB style).
We have around $50k in savings, and we're looking to expand our portfolio. We're planning on a Buy/Hold strategy; I'm not looking to make money in the short term. However, due to a single income, we don't have a lot of cash flow, so we're looking for +ve geared or as close to it as possible.
We're looking at buying something between $200k and $300k. I know that's not a lot, but it's what we can afford, and what our mortgage broker thinks we can borrow.
Currently we're thinking about buying an older 2BR unit in Frankston. I've read a bit about Frankston on these forums, and it's also my personal opinion that it is good value and will rise in vlaue, based on the lifestyle, amenities, and is commutable to/from the CBD, especially with recent major roadworks. I'm also considering more regional, and also interstate (SE QLD), but the thought of buying/managing remotely scares me a little.
We want to spend the next 10 years building our portfolio, before slowing down and taking less risk when we're in our 40's. As we don't have much spare cash at the moment, we'll be looking at neutral or +ve geared properties until my wife is back at work, then we can look at properties that might be -ve geared but with a bigger potential for CG.
Does this sound like a reasonable plan? I know I'm inexperienced, and this is not so much a solid plan as it is a vague idea at present, but I want to make sure I'm heading on the right track.
Any comments on what/where I should be looking for a neutral or +ve geared property to hold long term with under $300k, preferably in Vic?
Thanks for any advice you can give.
I've been lurking here for a while, and I'm after a bit of advice. My Story:
33 years old, married with 1 kid. Wife is currently a stay at home, with the baby, and expecting to be so for the next 5 years. I earn $110k, wife did/will earn ~$70k.
1 PPOR - Value: ~$530k, owing $450k (purchased 2013)
1 IP - Value: ~$600k, owing $510K (purchased 2012)
I'm not expecting much CG in the IP. I bought it when I was a little naive. It's a 2BR apartment in Southbank, Melbourne. The great thing is that's large (>90sqm), and it has a fantastic view across the city that cannot be built out. It's also positively geared to the tune of around $15k per year, as it's rented out as holiday accommodation (AirBNB style).
We have around $50k in savings, and we're looking to expand our portfolio. We're planning on a Buy/Hold strategy; I'm not looking to make money in the short term. However, due to a single income, we don't have a lot of cash flow, so we're looking for +ve geared or as close to it as possible.
We're looking at buying something between $200k and $300k. I know that's not a lot, but it's what we can afford, and what our mortgage broker thinks we can borrow.
Currently we're thinking about buying an older 2BR unit in Frankston. I've read a bit about Frankston on these forums, and it's also my personal opinion that it is good value and will rise in vlaue, based on the lifestyle, amenities, and is commutable to/from the CBD, especially with recent major roadworks. I'm also considering more regional, and also interstate (SE QLD), but the thought of buying/managing remotely scares me a little.
We want to spend the next 10 years building our portfolio, before slowing down and taking less risk when we're in our 40's. As we don't have much spare cash at the moment, we'll be looking at neutral or +ve geared properties until my wife is back at work, then we can look at properties that might be -ve geared but with a bigger potential for CG.
Does this sound like a reasonable plan? I know I'm inexperienced, and this is not so much a solid plan as it is a vague idea at present, but I want to make sure I'm heading on the right track.
Any comments on what/where I should be looking for a neutral or +ve geared property to hold long term with under $300k, preferably in Vic?
Thanks for any advice you can give.