Adelaide newbie suburb selection question.

Hi Steve,

Glad your not after a silver bullet, because there is no such thing lol.

I suppose my first question is why Adelaide? From what I am reading, most observers expect a 4 to 7% drop in Adelaide property values over the next 2 yrs or so, (below is a link to one of many articles I have read ref this). I suppose it is dependent on what your strategy is, for me it was all about achieving the best growth, so depending on the time, and where different markets are in their cycle drove where I purchased. My emphasis was to maximise my growth in a property in the first 3 to 4 years to allow me the equity to go again.

http://www.news.com.au/finance/real-estate/bis-shrapnel-report-reveals-property-prices-to-fall/story-fncq3era-1227416605503

I would consider all locations, not just where you live.

Regards

John

• This reply was modified 9 years, 1 month ago by  John.

Hi Steve,

first post on here so please go easy on me!

Welcome aboard !! Don’t worry, we don’t bite unless you ask nicely !! :p

I’m looking for 10 year+ hold but early growth for equity would be a bonus.

OK – that is a start, but do put some more detail around what type of property you want. I say this, because some suburbs/towns may suit positive gearing, while others suit “buy and hold”.

Have you sourced finance yet? If not, don’t go looking for a suburb yet. No use in looking in a $500k area if you can only manage $350k pricetag.

In your case, you mention buy and hold – but is that OK for you if negative geared, or do you need some income from your purchse?

Are you able to add value by doing a renovation, or a sub-division? If yes, is that only in your area (to do it yourself) or would you be up to handling a remote reno?

Steve, do come back with more detail – if you aren’t sure yet, that is OK. Especially with your first purchase, take your time to get it “as right as possible” so that you can accelerate into the next one. And do check out this link – there might be some pretty neat ideas in there :-
https://www.propertyinvesting.com/topic/4410491-the-big-picture-for-new-readers-especially/

Benny

Steve_H – there’s a few Adelaide threads here, the archived Somersoft Forums and on Property Chat forums regarding Adelaide – an absolute wealth of knowledge on areas to purchase in and stats.