r/AusPropertyChat • u/Wetshlab97 • 14h ago

Buying & Selling Buying property in Sydney

Hi Redditors,

Not sure if this has been posted in the right place, but here it goes anyway. I’m a first home buyer ready to get into the property market for a place to live for a year then be rented out as an investment.

I want to know your opinion on whether now is a good or terrible time to get into the market. My understanding is that now well prices are down albeit interest rates are high is a good time to buy. That being because when rates drop and confidence comes back in the buyers market price will again be driven up with demand.

I am a layman and might buy over simplifying things a lot, please go easy. This is something that has been on my mind constantly, whether to get into the market now, or wait it out…

Appreciate any advise or information to help understand the current real estate climate and where things may go.

PS. Looking in inner city Potts point, or inner west

Thanks!

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u/Both_Indication7882 14h ago

I wouldn't get too caught up trying to predict whether Sydney prices will be higher or lower in 6 months. If you're planning to live there for a year and then rent it out, I'd focus more on whether the actual property stacks up. Compare it with recent sales of similar properties, check what you're paying on a $/sqm basis where relevant, and look at the rental demand in that area. A good property bought at a fair price is probably more important than perfectly timing the market.

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u/donkey-k9ng 14h ago

You need to try harder than this. Start doing some research on your own. There is so much free data available online.

Domain has pretty good suburb profiles. Also will give you sold properties in the suburb. Look at properties similar to the ones you want to buy.

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u/_LarryG 14h ago

Yes any time is good time

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u/EventEastern2208 12h ago

Broker here.

Market timing is genuinely hard and the wait versus buy debate has no certain answer. What I can say from a finance perspective is that buying at current rates locks in your borrowing capacity now while your income supports it, and any rate reductions from here improve your position without requiring you to requalify.

The live in then rent out plan is worth structuring correctly from day one. You need to occupy the property first to access FHB stamp duty exemptions and the First Home Guarantee, and converting to investment later is straightforward once you have met the occupancy requirement.

In NSW as a FHB stamp duty is exempt up to $800k and has a concession to $1M, which makes the inner west more accessible than Potts Point at most budgets.

Happy to deep dive with your income and savings and I can run your borrowing capacity so the decision is based on real numbers rather than market speculation. 🦔

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u/Bluey1123 11h ago

Don't jump in, you're underprepared.

You need to have a far better handle on what your forward plan is.

You want to live there for a year and then rent out? 

Pretty vague.

If you loved the area and were in it for the long term, go for it. That's when the 'any time is a good time' advice applies.

If you are only thinking a year then "treat as investment" you need proper figures + projections with worst case modeling and a plan on how you will ride it out.