investment property

[tjay83]

Hello

with $600.000 to $650.000 budget.

do you recommend buying one house in wellington ?
or
two houses in bay of plenty (one in rotorua, one in whakatane. $320.000 each) ?


Thank you

[AlFa]

You might as well start from paying $15000 for property mentoring since you haven't even done your numbers (what yield, right?). Want my bank details?

[Nick G]

As Alfa said you need to do a bit more research than that....

Why are you buying it? Passive income? What is the cashflow? What do you want to do after you buy it? Buy again in a few years?

So first I would invest a month into figuring some of the basics out. If you don't know what kind of an investment you're getting into then you will find out in a few years when it goes well or badly. I prefer to have a bit more control...

In my signature is a link to a free property course I made, I highly recommend the first couple of lessons on setting goals and cashflow. Waiting a month and skilling up on a few key ideas will not cost you anything in the short term but over time will be massive.

[PC]

Graeme Fowler uses a very safe/successful method of investing where he buys cheaper properties in the regions that are +ve or neutrally geared.
They basically pay themselves off with P&I loans and any capital gain is a bonus.

With -ve gearing looking to be removed - this might be a good option.
Personally I would buy something with the biggest bit of land in the best area of a major city. This takes a long time to pay off and can be quite -ve for 5yrs or longer.
So what works best for you depends a lot on your goals & circumstances.

[hawkeye]

Suggest you look into the cost and feasibility of insurance in Wellington before jumping in.

[tjay83]

Hello

I don`t want to sell, purely cash flow.
If I buy smaller cities in bay of plenty, more cashflow but less capital gain.
If I buy in bigger city like wellington, more capital gain in the future and easier to rent as rental shortage.

[AlFa]

If I buy smaller cities in bay of plenty, more cashflow but less capital gain.
If I buy in bigger city like wellington, more capital gain in the future and easier to rent as rental shortage.

What you said is just junk and clearly shows you have no idea what market is doing. I suggest you do more reading, learning and doing numbers and less asking general questions on online forums.

[DaveW]

What you said is just junk and clearly shows you have no idea what market is doing. I suggest you do more reading, learning and doing numbers and less asking general questions on online forums.

That's good advice.

You should spend at least a couple of months in the areas and really know the markets.

Personally I would invest within the bigger populated areas, and be within half hour drive away from home so that I could be more hands on.

[donna]

Yes do a search and you may find news like this:

https://www.nzherald.co.nz/nz/news/a...ectid=12205107 Renters battling to find rental properties in BOP.

I recommend frequenting PropertyTalk regularly as the property market in NZ is changing all the time. Checking in with a post or two every six months won't give you the information you need to buy well anywhere here.

cheers,

Donna



cheers,

Donna

[tjay83]

thanks Donna,
so far wellington,rotorua,whakatane,tauranga has rental shortage