PPOR near Sydney city or rent?

Circumstances have changed and I would like to move out of home into a location closer to the city.

Most likely I will be moving in with a friend and so she will be able to split costs/mortgage costs.

I currently live at home and have an IP in Sefton. Is it worthwhile to buy a PPOR unit closer to the city, or just rent it?

Some ideas for locations would be great too.

(I am just throwing this in the air at the moment, so it may seem a little all over the place)

Realistically I only have about 40K for a deposit if necesary
 
Depends on your circumstances and how long you intended to stay at the property.

Remember there are a lot of hidden costs when buying a property, most notably stamp duty, so if you don't intend to stay in the property for more than say 5 years, I would just rent, treat as week to week transaction to manage like anything, and put your savings towards another ip. I'm in a similar situation at the moment and going the rent route as I am not sure where I will be working in a year or two and would prefer to buy ips for the time being.
 
If you had asked a couple of years ago, I would have said buy in Marrickville.

Now I say rent and use your funds to invest elsewhere. If you are a saver you will do well. If like a lot of my mates you notice you have money in the bank and decide to take yet another world trip... probably best to buy a PPOR.
 
Why not do both?

If you don't have a house that is being classed as your main residence then you could buy one, live in it for a bit and then rent it out for up to 6 years without it being subject to CGT AND you can claim all associated expenses while it is rented.
 
Im not a big fan of units but something like this could work quite well. Not sure if it can be turned into a 2 bedder but you may have the option of renting one room out or eventually renting it out fully furnished.

http://www.domain.com.au/Property/For-Sale/Apartment-Unit-Flat/NSW/Chippendale/?adid=2010453050

Location is A1. I was eyeing this property but decided to develop an existing property.


I would suggest you go inspect this property during the day and see how dark and dungeon like the living area is before you commit to anything
 
I would suggest you go inspect this property during the day and see how dark and dungeon like the living area is before you commit to anything

I did go and see it during the day. Living areas lack a bit of light but wouldn't label it dungeon like - also the bedrooms have floor to ceiling, wall to wall windows in the bedrooms. I personally liked it but it will go for a modza.
 
I did go and see it during the day. Living areas lack a bit of light but wouldn't label it dungeon like - also the bedrooms have floor to ceiling, wall to wall windows in the bedrooms. I personally liked it but it will go for a modza.

There are obvious positives..though i definetly couldnt live with that lack of light....I reckon will go for mid 5's....would look good renovated like a new york style loft apartment
 
A renovated (not that nice though) sold a few weeks back for $590k so agree it will go for mid $500s. I think it would be a good buy if it had a 4 in front of it.

I wouldn't live there either but I like the scope combination of 2nd bedroom, reno, and potential to lease out easily fully furnished or convert it into a high yield short term rental.
 
Back
Top