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Inner city vs outer suburb

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Jocks | 03 Dec 2015, 04:54 PM Agree 0
Hi guys,

I'm a newbie who is considering to invest in property in Melbourne and I was hoping to get some advice from the pros.

I'm tossing up between buying an inner city block near a station (say about 400sqm at most with an old 2 bedder sitting on it) vs a big outer suburb block (say 700-1000 sqm). If I bought the inner city one I would simply rent it out and hope the land would appreciate over time but there would probably be no redevelopment opportunities whereas if I bought the outer suburb one I would look to knock it down say in 2-3 years time and build 2-3 townhouses.

From an investment perspective, which strategy would be better?

Appreciate your advice, cheers.
  • HK11 | 16 Dec 2015, 03:50 PM Agree 0
    In my opinion, the inner city one is the best bet.

    Yes, the outer suburb one has a bigger block and redevelopment opportunities, but inner city likely has better amenities, public transport, and will be a more desirable location long term.
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