Property in South West Sydney – 2 Bed unit
In late 2016, the property market was booming across Sydney. While many people think it peaked at this time, the investor who purchased this two-bedroom apartment has a different story to tell.
Purchased below market value.
The apartment is in Sydney’s south-west – a prime growth location with a strong renter demand.
We sourced this property for just $340,000.
Not long after, the buyer had it revalued at $420,000 and was able to take out equity to fund their next acquisition.
A 25% return just 18 months later.
Despite the market softening since it was purchased, this apartment has actually experienced a solid capital gain.
At the time of recording this video, another apartment on the ground floor of this complex was being advertised at $440,000.
That’s a gain of $100,000 in just 18 months!
What makes this property so great?
While the building doesn’t look new or fancy, the numbers certainly stack up.
In fact, it ticks all the boxes of a great foundation property:
- Strong growth location
- Purchased below market value
- Good cash flow and solid renter demand
- It enabled the investor to buy their next property
Does this sort of property fit in your portfolio?
While this apartment was a great addition to our client’s portfolio, everyone’s circumstances are different.
Some may need good capital growth, others may require solid cash flow, and others may require a balance of both.
This is why it is indispensable to have an expert to help you sort through your choices and nab you a bargain that is the right fit.
Have you purchased an investment property that has performed well through the softening market? Please share your experiences in the comments section below.