Hi,We planned to sell our house that gives 150K in hand. Which of the following will be the best ?
1) After selling, buy a unit for 300K and pay off 150K and pay less mortgage per month. then concentrate on investment
2) buy a house with a huge land to live in , in convenient place , for around 550K.
3) buy a unit and use the 150K to buy 2 or 3 investment properties.Can you let me know which one is better ?
Regards
Hi Kumar,
There is no definitive answer as each individual’s circumstances are different – the correct course of action for you will be dependent on your situation and what it is you are trying to achieve in the short and long term.
Some things to consider are family situation, work prospects, location, your investment preference/goal, years to retirement, serviceability issues, income levels, risk tolerance, beliefs about the market you are looking at, your reserach in the market and so on.
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
Derek, Thanks for your response.
How can I find out whether to choose a particular suburb to invest or to live in ? Basic aim is to get good appreciation in 5 or 6 years time. Can you tell me if there is any web page or magazines that gives these details ?Originally posted by Derek:Hi Kumar,
There is no definitive answer as each individual’s circumstances are different – the correct course of action for you will be dependent on your situation and what it is you are trying to achieve in the short and long term.
Some things to consider are family situation, work prospects, location, your investment preference/goal, years to retirement, serviceability issues, income levels, risk tolerance, beliefs about the market you are looking at, your reserach in the market and so on.
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
Quote:Originally posted by jjjkumar:Derek, Thanks for your response.
How can I find out whether to choose a particular suburb to invest or to live in ? Basic aim is to get good appreciation in 5 or 6 years time. Can you tell me if there is any web page or magazines that gives these details ?Quote:Hi Joe,Unfortunately not one of us has a crystal ball and can you definitively where the next growth areas are going to be.
However there are a number of organisations that have past growth statistics available usually for a fee.
Try bisshrapnel, matusik, quartile, valuer generals office in your home state, Australian Property Investor Magazine has some statistical information from time to time and then there are the property reports available on the left side of realestate.com website.
If you let us now which general areas you are looking at we may be able to make other suggestions.
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
Do what my sister has done, rent where you want to live for 2 years, buy investment properties as much as possible. Sell 1/2 in 2 years and all the equity goes into new house to live in.
Current borrowings you convert to IO with the investment proportion setup as P+I(deposits) then buy with a different lender using 20% cash deposits from first house. This allows for many small investments which is always better than 1 biggun if the renatal market takes a dive.
A 500k unit in a cbd will be vacant longer than a 2 bed townhouse or 3 bedroom “rent a box” in suburbia. 5 x 100k houses or units/townhouse will be easier on the nerves too. Loose a tenant and only 20% hand in pocket. MR CBD 500k is empty and oops big payment time and its your pocket.
Something to think about.If you have cash, I have some juicy units in tassie very cheap too.
DD
Don’t sweat the small stuff,and it’s all small stuff!!
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