Should You Buy An Investment Property Close To Where You Live?

Published: Aug. 19, 2020, 9 p.m.

b"a lot of investors especially newer investors want to purchase an investment property near where they live there's a lot of benefits to that but there's actually a lot of risks and negatives associated with that as well so if you're wondering should i buy a property near where i live or should i invest somewhere else today i want to give you some pros and some cons to help you think about it and make that decision for yourself hey i'm ryan from on property helping you on your journey to financial freedom and i remember growing up as a kid my parents wanted to invest in property and so they looked within the very suburb that we lived in so cronulla here in sydney beautiful beachside suburb they had purchased their own home in the area they were looking to buy an investment property and they ended up purchasing a unit in cronulla they owned it for a couple of years i think it was negatively geared ultimately they ended up selling the property at a loss unfortunately and didn't make any money off it now that's not to say that happens to everyone a lot of people invest near where they live and have great success but how do you know whether you should invest near your home or not what are the benefits of doing it what are the negatives of doing it and why do so many investors go to other suburbs or other cities or even interstate in order to build their investment portfolio so let's talk about that first let's talk about the pros which are probably a bit more obvious one of the benefits of investing near where you live is that you know the area and we will come back to touch on this in one of the negatives because you know the area and what it feels like you know where the good streets are you know where the housing commission is you know where the good cafes are and all that so you're familiar with the area chances are you like the area and you like living in it and other people do as well so there's a benefit there in that you know the suburb but one of the negatives which we'll come back to is just because you know the suburb from living there doesn't mean you know the data associated with that suburb and how it's going to perform in the future just because you want to live there doesn't mean that that suburb is going to grow in value into the future but you do know about it you can avoid some race because you know about the suburb itself other benefits of it that it's quite easy to inspect properties because they're very close to your home you don't have to go very far on a saturday or after work in order to inspect them and it's also possible for you to check in on your properties i think this is why a lot of people want to invest near their home so that they can check in on it actually the street that i'm in right now there there's a guy in this street who owns a house just you know one or two down there and he actually bought the house across the road so right across from me now so he he owns both and he's rented it out and he can see what's happening in that house now finally he's going to develop this property and so it's been rented out to a bunch of let's just say youthful boys and some questionable things go on at that house but he's just renting it out until he's going to knock it down and develop a i think jewel or triple occupancy home there so like a duplex and a granny flat there but yeah he owns in the street every single day he can see what's happening at that house that's an extreme example if you can check in on your property and so that might help you sleep better at night knowing that you can drive past it and see you know doesn't look in decent condition and maybe that would help you to avoid some of the issues like ben had if we talk about ben's property horror story which is absolutely hilarious i'll link it up down below and i'll put like a snippet in here so you can hear a little bit about his horror story three weeks ago i get a call off a mate who's living in sydney um and he's like turn on the loca..."