Long time reader, first time poster.
I've settled down in Melbourne from 2011 from overseas. Get addicted to the forum when searching my first house. I started with a rundown house in Sunshine, then aggressively bought one property each year thanks to a lot of invaluable post from savvy forum investors.
I always buy rundown house, (no apartment/ unit/ townhouse) under market value then renovate. I believe that is only way to squeeze in the better suburbs within short time frame and tight budget. My modest property journey so far as below.
2012: PPOR current value 450k, 73% LVR - Sunshine
2013: IP1 current value 700k, 73% LVR - Essendon , rent 450/w
2014: IP2 current value 750k, 80% LVR - North Melbourne, rent 450/w
We got 400k cash in the offset account and average income. All sites have renovated dwelling with development potential by subdivision.
Now I realize that I've already passed the newbie phase. So what should I do next couple year?
Option 1: time to slow down and wait for couple years to stay safe if market crashes
Option 2: keep buying IP, max. budget is around $1m, maybe looking for something in the East. I always love the East and hope one day can afford to live there. I am not confident about interstate investment.
Option 3: develop 3 properties, double up to 6 properties by subdivision.
Option 4: develop IP2 to achieve highest return whilst buy something around $500-600k.
Which option will you pick if you were in my shoes?
Any advice is much appreciated.
I've settled down in Melbourne from 2011 from overseas. Get addicted to the forum when searching my first house. I started with a rundown house in Sunshine, then aggressively bought one property each year thanks to a lot of invaluable post from savvy forum investors.
I always buy rundown house, (no apartment/ unit/ townhouse) under market value then renovate. I believe that is only way to squeeze in the better suburbs within short time frame and tight budget. My modest property journey so far as below.
2012: PPOR current value 450k, 73% LVR - Sunshine
2013: IP1 current value 700k, 73% LVR - Essendon , rent 450/w
2014: IP2 current value 750k, 80% LVR - North Melbourne, rent 450/w
We got 400k cash in the offset account and average income. All sites have renovated dwelling with development potential by subdivision.
Now I realize that I've already passed the newbie phase. So what should I do next couple year?
Option 1: time to slow down and wait for couple years to stay safe if market crashes
Option 2: keep buying IP, max. budget is around $1m, maybe looking for something in the East. I always love the East and hope one day can afford to live there. I am not confident about interstate investment.
Option 3: develop 3 properties, double up to 6 properties by subdivision.
Option 4: develop IP2 to achieve highest return whilst buy something around $500-600k.
Which option will you pick if you were in my shoes?
Any advice is much appreciated.
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