Hi everyone,
Like so many who use the forums, I am a first time buyer looking to get into the market with my partner. We have setup out financial goals and are currently looking to invest in property for the first time as one step in our financial strategy. However, of coarse..we have a little dilemma… and I am looking for as many users advice as I can get.
Essentially, it comes down to this. We are currently looking at buying within the Sydney Inner West market. For our price range (approx 400K) we are finding a lot of 1-bedroom units. So my question is all about the location and size of a property.
Q. Is it better to buy a 1-bedroom in a very popular suburb, OR invest in a 2-bedroom in a suburb further from the city (not as popular area).
The aim was to live in the apartment for a good 6-12 months before renting it out for around 2 years whilst working overseas. The purchase was intended to be used as equity in around 3 – 5 years for further property investments.
I realize that we limit our market straight away by opting for the 1-bedroom.
Any takers??? Thanks in advance!!!
A couple of quick points – inner city is most likely to be best for capital growth just watch out that you are not buying into an area with alot of redevelopment currently being planned eg ex-industrial areas near the city. You may also qualify for the first home buyers grant & stamp duty concessions (as an added bonus).
Alternatively, many of the middle distance suburbs can present good value (provided that they are well located) eg Burwood/Strathfield/Homebush. A little closer in you may find some reasonable options open to you in Summer Hill, Croydon or Ashfield. You will find that the newer units will be much pricier without offering the benefit of higher capital growth as the developer's margins will take a couple of years to wash through the system (eg Homebush Bay).
Cheers…thanks for the thoughts and I will definetely keep this in mind. It is good to know that the inner burbs are still offering good Capital growth.
Thanks again!!!
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