All Topics / Help Needed! / Unsure, Brick VS Fibro (expensive vs inexpensive)

Viewing 5 posts - 1 through 5 (of 5 total)
  • Profile photo of alfistaalfista
    Participant
    @alfista
    Join Date: 2008
    Post Count: 12

    G'day all

    Im 20YO from Wollongong, NSW looking to purchase my 1st property, and take advantage of FHOG then lease it out after 6 months, Im not sure whether i'd be better buying a brick home in reasonable condition around $330k in a realitvly good area(that may fetch reant of around $290+p/w) or am i Better off buying a Fibro (dept of housing) for approx $190-220k, that is in a Low socio-economic area, and in need of a major overhaul of renovations. that would potentially fetch for $230p/w)
    I have savings of $50k.

    Intrested in hearing from all you budding investors…

    Thankyou

    Dave

    Profile photo of suavemechanicsuavemechanic
    Participant
    @suavemechanic
    Join Date: 2004
    Post Count: 106

    i go for  value adding  every time ,but i enjoy fixing stuff
    in the past i have bought in state housing areas which they redeveloped and sold to trendy young couples and it worked well
    what sells best is what is "normal" in that patch ,i live in a fibro area and for some reason the few modern low maint brick and tile places take ages to sell…….
    i assume the one fibro shack in a brick suburb would be a  slow mover too
    real estate is a pretty conservative sport
    do your sums
    an extra hundred grand for $50 a week more rent seems a bit like a dud investment
    in fact i will give you $75 a week for a hundred grand !
    if you start with the cheapie you may be able to buy both !
    good luck and have fun

    Profile photo of god_of_moneygod_of_money
    Participant
    @god_of_money
    Join Date: 2008
    Post Count: 970

    Remember… this is investment property
    buy with brain (with lots of x:-+% etc) instead of heart.
    But brick has less maintainence compared with fibro :) in long term

    Profile photo of alfistaalfista
    Participant
    @alfista
    Join Date: 2008
    Post Count: 12

    They are very good points, Thankyou
     Although i am still cautious that the fibro home would be in an area, and attract tennants that are undesirable, and could quite possibly trash all  my hard work?, the areas are notorious for domestic disputes and drug use-supply…
    whereas the brick home, in the nicer area, should attract a nicer couple or family…
    Any thoughts?

    Profile photo of suavemechanicsuavemechanic
    Participant
    @suavemechanic
    Join Date: 2004
    Post Count: 106

    sounds like you have answered your question !
    keep looking for an area that has the right ingredients for growth
    in my example the state housing commission was relocating the undesirable types demolishing the fibro shacks and selling off the blocks ( three new ones out of two old ones )
    i had one of the few privately owned houses in the area and a really good dog
    over a year my neighbours turned from petrol sniffers to gay couples !
    wish i still had that one now !

Viewing 5 posts - 1 through 5 (of 5 total)

You must be logged in to reply to this topic. If you don't have an account, you can register here.