Sws ppor

[JT87]

South West Sydney PPOR

I have had a read of the many recent South West Sydney posts which have recently emerged.
It seems that people generally agree that there will not be a huge amount of capital growth in this area in the next few years or more and it is probably not a great time to invest.
Although it is a growing area and well positioned in long term developments, close to inudustrial areas and badgerys creek.

I am currently renting in Sydney and have been happy to stay out of the heated market, recently purchasing 2 IP's in Brisbane.

I also have a PPOR currently rented out in Port Stephens, our plan was to hold this while we are in the no CGT 6 year threshold in case of any CG although I am expecting very little.

I am now considering selling the Port Stephens property to purchase another PPOR in Sydney which I have no doubt would eventually turn IP.
Possibly the Oran Park area as I will be working in Prestons. We could potentially live in it for around 5 years.

I understand that it may not be a great time to invest in the SWS market but given our circumstances and being in the position to pay no CGT on a growing area, would now be a good time?

Or do people see prices of HL packages actually dropping as the market cools down?

We cant afford our dream house yet, its something we are happy to work up to but I think that when its possible to place your PPOR in a growth area its worth taking advantage of.

 

[jpcashflow]

Hi

Hello,

I think you are asking some really good questions but house and land packages have their place.

From a investment point of view i would say stay away but if you want a new home to live in then a new house and land package might be the right thing.

I think the prospect of a house and land package gaining value will take a long time...

 

[skater]

If it were me, I'd be holding onto the Port Stephens property for a bit longer. Traditionally, as Sydney gets too heated, the market moves outwards, so you should get some nice growth there.

 

[ej89]

What's your budget? Land prices haven't stopped going up and are constantly going up each release so my guess is if you don't get one now you may be paying a bit more later.. All House and land packages went up about 50k when the interest rate went down..past doesn't predict future but if land prices and packages go up as much as they have every release then it'll go up a lot more cos there's a lot of releases to come in almost every estate

 

[JT87]

I would only want to put 10% on it, budget after selling port stephens would be $600k.
I think oran park is going into It's second release now.
the longer I can wait the better really as port Stephens should go up and we have a very cheap rental ATM, the main question is what is a HL package in Oran park going to be worth in 2-3 years?
Personally I can't imagine them getting any cheaper.
But the option of buying existing dwellings from the first/second releases may come up at good prices in the coming years.
I'm quite happy to avoid the headache and risks of building if a good deal is to be had, it just seems that in Sydney it's cheaper to build.

 

[ets710]

My first post here.. Late 20's female living in SWS looking for my first IP.

Hi JT87, we also looked at Oran Park for our PPOR. My husband and I actually met at the former race track there.

We looked a few years ago out of interest but weren't in a position to buy. Our friends bought then and managed a lovely 4/2/2 for under 500K (which they camped out to secure the land!)

4/2/2 existing dwellings seem to go from high 500's to mid 700's for something more premium/larger land size.

Oran Park is going to be a future hub, but there is also the issue of potential over supply (the suburb is going to be huuuuge). Do you get in now, or wait hoping prices will drop across Sydney in general? I wish I knew the answer to that. I don't think prices at Oran Park will drop very much, if at all.

 

[ej89]

I would only want to put 10% on it, budget after selling port stephens would be $600k.
I think oran park is going into It's second release now.
the longer I can wait the better really as port Stephens should go up and we have a very cheap rental ATM, the main question is what is a HL package in Oran park going to be worth in 2-3 years?
Personally I can't imagine them getting any cheaper.
But the option of buying existing dwellings from the first/second releases may come up at good prices in the coming years.
I'm quite happy to avoid the headache and risks of building if a good deal is to be had, it just seems that in Sydney it's cheaper to build.

second release?
More like twenty second release. They've been releasing land there for a few years now.. I can't imagine them getting cheaper either but that depends on interest rates.. When rates go up i've seen many newer areas come down a bit.. I guess it all depends on whether people go to that estate cos it's cheaper than many others or if they go to that estate cos they actually wanna live there and another benefit is that its affordable.. It's cheaper to get land and get ur own builder but can you get land? I have been trying in SW and NW for myself (i've almost given up) and for my parents for 5 months now and it's all a lottery..