Sydney Suburbs

[gnome]

Dear all

I would like your direction/advise on the suburb of choice for my first home which will be the PPOR for say at least next few years (5-7 yrs) or until I pay off a big percentage of mortage. Sorry to be vague on this point as I'm yet to work out what are my future goals. Ideally, I would like to either convert it to a IP or sell it off to build a bigger house probably in the same area if the suburb works out ok.

My immediate concern is the suburb choice. I understand pre-approval should be the first stage before you start looking at what you can buy, but I have a good idea on how much I can afford. I'm keeping my budget to 400-450K and would ideally like a unit in a small block.

So far the suburbs I have on mind are: West - Wentworthville, Westmead, Toongabbie and St George Area - Penshurst, Mortdale, Padstow.

Sorry I have not lived in Sydney long enough to know the other suburbs but have spent a lot of time renting near Ashfield area. I don't think Ashfield is within my reach anymore.

Requirements: at least a 2 or 3 bedder, 2 bath. Close to Station (max 2k walk), max 40min's train to City, good schools, can go for a night jog without having to worry about getting robbed. Don't really care about living close to huge malls/shops as long I can get to them 15-20mins drive.

There are probably ton of suburbs which suits the above requriement, but I ideally like something less densely populated and calmer tree lined streets - don't we all

I read on this forum about buyer agents and how good they are, but for now I will keep them as an option.

Thanks for taking your time to read this yet another suburb recommendation thread.

Gnome

 

[Rolf Latham]

Dear all

I would like your direction/advise on the suburb of choice for my first home which will be the PPOR for say at least next few years (5-7 yrs) or until I pay off a big percentage of mortage. Sorry to be vague on this point as I'm yet to work out what are my future goals. Ideally, I would like to either convert it to a IP or sell it off to build a bigger house probably in the same area if the suburb works out ok.

My immediate concern is the suburb choice. I understand pre-approval should be the first stage before you start looking at what you can buy, but I have a good idea on how much I can afford. I'm keeping my budget to 400-450K and would ideally like a unit in a small block.

So far the suburbs I have on mind are: West - Wentworthville, Westmead, Toongabbie and St George Area - Penshurst, Mortdale, Padstow.

Sorry I have not lived in Sydney long enough to know the other suburbs but have spent a lot of time renting near Ashfield area. I don't think Ashfield is within my reach anymore.

Requirements: at least a 2 or 3 bedder, 2 bath. Close to Station (max 2k walk), max 40min's train to City, good schools, can go for a night jog without having to worry about getting robbed. Don't really care about living close to huge malls/shops as long I can get to them 15-20mins drive.

There are probably ton of suburbs which suits the above requriement, but I ideally like something less densely populated and calmer tree lined streets - don't we all

I read on this forum about buyer agents and how good they are, but for now I will keep them as an option.

Thanks for taking your time to read this yet another suburb recommendation thread.

Gnome

Hi Gnome

there are lots of successful, skilled and experienced folks that can help u with burb choice.

I am NOT one of those......

2 comments on the content of your post

1. A good Buyers agents is worth their fees many times over, unless you are a good searcher, researcher and a hard nosed negotiator

2. You talk of paying off a good portion of your mortgage, and in the next breatkh talk of converting the PPOR to an IP and buying a new ppor. Please please, get an Interest Only Mortgage, with a 100 % offset account, and pay as much as you want into the offset account, then come back to us on the forum



ta
rolf

 

[pennyk]

I think Westmead/ North Parramatta are good options for units in that price range.
Transport is good. there is the park. Its fairly densely populated, but there are older style units on treelined streets.
but I think you need to get a feel yourself of what appeals. Your needs for an IP are usually quite different to ppor, so be careful to know what you are actually targetting.

 

[Jamie M]

2. You talk of paying off a good portion of your mortgage, and in the next breatkh talk of converting the PPOR to an IP and buying a new ppor. Please please, get an Interest Only Mortgage, with a 100 % offset account, and pay as much as you want into the offset account, then come back to us on the forum

ta
rolf

So important and it's something we see way too often as brokers. The right structure early on can save you heaps down the track. I wrote a blog entry for API mag on this topic that explains the concept - feel free to PM/email for the article.

Cheers

Jamie

 

[virgo]

Suburbs

Hiya

Where do you work?

Have you been to Hornsby? i reckon it will be the next Hurstville...at the junction of 2 major train lines...

with a massive Westfield...good private (Barker College, PLC nearby) and public schools (Wahrongna Public, Waitara Public, Hornsby Girls)...

with a refurbished hospital Hornsby

so close to F3 and can take a quick spin up to Central Coast

near so many national parks

near "prestigious" suburbs Wahroonga, Pymble, Warrawee
to me, it is hard to beat.....

 

[Ideo]

Hiya

Where do you work?

Have you been to Hornsby? i reckon it will be the next Hurstville...at the junction of 2 major train lines...

with a massive Westfield...good private (Barker College, PLC nearby) and public schools (Wahrongna Public, Waitara Public, Hornsby Girls)...

with a refurbished hospital Hornsby

so close to F3 and can take a quick spin up to Central Coast

near so many national parks

near "prestigious" suburbs Wahroonga, Pymble, Warrawee
to me, it is hard to beat.....

I find your logic hard to fault.

 

[Newbieatlife]

Hiya

Where do you work?

Have you been to Hornsby? i reckon it will be the next Hurstville...at the junction of 2 major train lines...

with a massive Westfield...good private (Barker College, PLC nearby) and public schools (Wahrongna Public, Waitara Public, Hornsby Girls)...

with a refurbished hospital Hornsby

so close to F3 and can take a quick spin up to Central Coast

near so many national parks

near "prestigious" suburbs Wahroonga, Pymble, Warrawee
to me, it is hard to beat.....

still too many units

doesn't really have an identity - pretty much just a bridging suburb between wealthy north shore and lower class asquith/berowra

has an air of old and tired feel to it with not much in the pipe for urban renewal


if you're thinking of a stock standard 4 storey walk up sydney unit, i think areas around parramatta and toongabbie or lane cove as others have suggested are hard to go past....

 

[virgo]

PPOR vs IP

Hiya

I think the original poster is looking for a PPOR not an ip ?

I knew things were stirring when my gyrocker told me he has just moved from Bankstown to Hornsby for the hao xue xiao (good schools in Mandarin)...the demographics are slowing turning interesting....

 

[Belbo]

Hornsby is visually quite alarming. Ranks of huge apartment blocks massing like sentinals around the most hideous Westfield mothership ever. I seriously reckon this does not bode well for CG.

It is strategically well-positioned as noted above though (hence all the apartments). Whether this ever bodes well for yeild / cash flow prospects will depend on new supply. Yeilds can only really improve better than inflation when new demand (from population growth & migration into the area) is not met with additional supply.

Regarding new supply, there is serious local nimby resistance to the construction of any more of these testaments to the architectural genius of Kim Jong Il. On the other hand, the Sydney developers' lobby seem to have successfully convinced the O'Farrell government (or its Planning Minister Brad Hazzard, at least) that if it can't cut property taxes then it had better cut planning regulations if it wants to see any new development work going ahead. And it'll be a long time before the electorate will trust a Labor state government in NSW again. So the developers will get their way in Hornsby, apart from the odd delay via court stoush, I'd expect.

Conclusion: I'd be avoiding Hornsby like the plague on both poor CG and CF prospect grounds.

 

[Ideo]

I love anti-development property investors.

Sweet delicious irony.

And you are delusional if you think Hazzard is any way pro-development or can actually make any form of a decision. A dismal minister. Stokes would be a much better bet.

 

[virgo]

Hornsby

Hiya Belbo

Can you tell me any Westfield which is "architecturally stunning?" i really want to know....

Re yields etc i repeat the OP is looking for a PPOR not an IP...

However back to rentals.....Check real estate.com. you will see what minimum rents are like

I wish i had bought a few years ago when the 2 bedders were 300K funnily their sentiments echoed yours Belbo

 

[Belbo]

I love anti-development property investors.

Sweet delicious irony.

And you are delusional if you think Hazzard is any way pro-development or can actually make any form of a decision. A dismal minister. Stokes would be a much better bet.

I'm not anti-development. Mate, I love development, particularly for the jobs and economic activity it entails! But what makes Triguboff wealthy isn't intended to make PIs wealthy, you realise. So I'm just saying that as a PI don't be a mug. As for Hazzard - I agree, he's an indecisive muppet - but this entire government is dismal! The developers will likely walk all over this government; their product needs to be judged on a case by case basis by PIs; Hornsby is not where the product good for PIs will come. Capiche?

 

[Ideo]

I'm not anti-development. Mate, I love development, particularly for the jobs and economic activity it entails! But what makes Triguboff wealthy isn't intended to make PIs wealthy, you realise. So I'm just saying that as a PI don't be a mug. As for Hazzard - I agree, he's an indecisive muppet - but this entire government is dismal! The developers will likely walk all over this government; their product needs to be judged on a case by case basis by PIs; Hornsby is not where the product good for PIs will come. Capiche?

Gotcha.

 

[Belbo]

Hiya Belbo

Can you tell me any Westfield which is "architecturally stunning?" i really want to know....

Re yields etc i repeat the OP is looking for a PPOR not an IP...

However back to rentals.....Check real estate.com. you will see what minimum rents are like

I wish i had bought a few years ago when the 2 bedders were 300K funnily their sentiments echoed yours Belbo

Westfield Sydney now is really stunning both inside and out (apart from the toilet plunger on its roof). Miranda Westfield though is another one that looks like an over-sized public toilet block.

The OP wants their purchase to start out as a PPoR, but work as a good long term investment. But I was really replying to your positive view of Hornsby. (I was born in Hornsby by the way, so by tribal right it should be me defending home territory here! But the family relocated to Geraldton WA before I learned enough words to say "Nooooooo!!!")

For Hornsby apartments both CG and yeilds look to be in the 4% to 5% range. That's glop.

 

[MsAli]

In the areas you mention you could get a 2-3 BR villa/townhouse and perhaps even a house (Toongabbie/Girraween) for your price range

 

[monalisa]

I'd just like to add Pendle Hill to the list.

Train from Toongabbie to the city normally takes about 45-50 minutes.

 

[barney8]

Gnome, I think you have already found your best bet in Padstow.

Hits nearly all your criteria. Or try Revesby if you can get a flat there that is.(not many). Perhaps you could find a cheap duplex/townhouse?

2 bedroom villa

http://www.domain.com.au/Property/For-Sale/Townhouse/NSW/Revesby/?adid=2009641978

or a 3 bedroom flat:

http://www.domain.com.au/Property/For-Sale/Apartment-Unit-Flat/NSW/Padstow/?adid=2009672867

Get to the city in under 40 minutes on an express train from Revesby/Padstow.

I think its a reasonable buy. Much better than Ashfield too by the way, I have no idea the attraction of that suburb. Maybe you can enlighten me?
(the bad chinese restaurants? the noise? the proximity to parra road?)

 

[virgo]

Where?

Hi Gnome

I suggest you take a drive to all the suburbs mentioned and then you will have a better idea

Some of the above suburbs i will buy for investment purposes but i will not want to live in myself .....

 

[gnome]

wow. So many replies! such nice people on this board

 

[gnome]

2. You talk of paying off a good portion of your mortgage, and in the next breatkh talk of converting the PPOR to an IP and buying a new ppor. Please please, get an Interest Only Mortgage, with a 100 % offset account, and pay as much as you want into the offset account, then come back to us on the forum
rolf

Yep sorry for the confusion. The loan structure will depend on what we decide to do - whether to convert the place to a IP or to sell and build a bigger place. I have read about the tax benefits of having an offset account and also about taking out an interest only loan to keep the principal for max tax savings. Thanks for your reply.