I think there is definitely a psychological hurdle in this scenario. Well, for me there is anyway! I'm new to investing property, having bought my first one recently and am entertaining the next purchase. I'm not considering Sydney for obvious reasons but one day, Sydney could be a possibility. However, with my PPOR's current value at 700K it is possible that I'd have to outlay more than it's worth to secure a well located IP property . This just doesn't feel right to me, even if the numbers added up. I know each to their own and do what makes sense to you etc, etc - but I was wondering if others feel the same?