All Topics / General Property / Whats Better? – Two units or 2 houses?

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  • Profile photo of RonulasRonulas
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    @ronulas
    Join Date: 2003
    Post Count: 96

    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!

    Profile photo of Mortgage HunterMortgage Hunter
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    Capital growth will win me every time!

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    Profile photo of TerrywTerryw
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