HI everybody – This is my 1st post and I am new to property investing. A brief history then my question. Bought my 1st I/P last October. 2 ‘good’ houses on one 700 M2 block in my home suburb. Close to beach (1 km ) and Rail ( 1km ) Freeway (15 mins). Purchased for 350K (originally on market for 425K) and gross rent is $440 pw. ( 6%+ gross yield )
Question/advice – I am looking at purchasing (at auction) a 3br Town House in same suburb . I have had a valuation done so know the price and these houses ( 3 yrs old) have been repossessed by the bank ( 4 houses in total )
Am i doing the right thing by looking to purchase in the same suburb of NSW even if I hope to get this property at a favourable price ( considering it is a mortgagee sale ) ? considering the growth at the moment ( or lack of it )
Your thoughts and opinions most welcome
Thanks
BarryWhy not? You know the area well. That surely gives you a good idea of values and disadvantages/advantages of specific streets etc
I prefer to buy in an area I know and understand. It’s good to be able to drive past regularly to make sure it’s still standing.
bth,
Go for it, mate!
If you are able to buy the property at discount (wrt to property valuation), I believe you have mitigated the problem of not expecting too much growth in the near future. You will have equity in the property from the start.“There is no passion to be found playing small – in settling for a life that is less than the one you are capable of living.†– Nelson Mandela
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