All Topics / General Property / Whats Better? – Two units or 2 houses?
I know the answer to this question will depend on a lot of factors but I would be interested in some perspectives.
Lets say you have a population that supports both familly homes and 1 or 2br units equally.
A block of 2 x 2br units sells for say $160 000 and the average 4br home sells for $100, 000. You need two of these to match the units.
Rent from the units is about $310 pw
Rent from the houses are about $240pw each.The houses cost you more but you are making more rent.
The units cost you less but the rent is lower.
My personal preference is for the units as you are buying two properties in one go thus only paying one set of costs ect. You also have two streams of income. eg one is vacant the other covers some of the cost.
Capital gains is most likely on the houses side though.
Both investments are +pos.What do you think.
You will always miss 100% of the shots you don’t take!
Capital growth will win me every time!
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985NODOC Loan – 65% Loan – No questions asked! 6.85% Rate!!
Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Just remember that Land appreciated and buildings depreciate!
Terryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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