- Jeremy SheppardParticipant@jeremydsrdataJoin Date: 2015Post Count: 0
Trying to buy under market value may not be a good idea. Those suburbs where bargains can be found are not hot. The hottest suburbs for capital growth are the ones where sellers treat buyers with contempt. There’s a great discussion of it in this article, “Aiming to buy under market value is bad”.
- This topic was modified 2 years, 9 months ago by Benny. Reason: Remove link
https://selectresidentialproperty.com.au/Jeremy SheppardParticipant@jeremydsrdataJoin Date: 2015Post Count: 0
There’s no such thing as the discount-flip like there is for the reno-flip…
You can’t buy an under-valued property and then sell it for market value next month. If that’s the strategy, you won’t make much money. So, what is a useful strategy then?
If you buy under market value AND get capital growth, that would work – but over time obviously. You want that time to be as quick as possible. You want immediate capital growth.
The problem is, the best markets for capital growth are the worst markets for buying under valued property and vice-versa. Hence why attempting to buy under value may not be the smartest strategy.