Sounds too good to be true? Well it’s not without risk, but it is possible through ‘rentvesting’ or ‘buddying up’ to buy.
If you want to live the New Farm lifestyle but can only afford North Lakes – rentvesting could be something to consider.
“Rentvesting is about buying where you can afford and renting where you choose to live,” Billie Christofi of Reventon property services told 9news.com.au.
“Another great way to enter the market is by ‘buddying up’ with a friend, family or colleague and purchasing a property together. This is a fantastic way to make your first investment if you don’t have enough for a deposit on your own.”
Great options they may be for those suited to the risks, but make sure you understand what those risks are.
Investment property owners need to be prepared for periods of vacancies, and there’s no guarantee your property will increase in value – but seeking the right advice can help you narrow the odds.
Buying with a buddy will reduce the financial burden, but is your relationship – be it friends or family – ready for a joint financial commitment? Talk about it seriously and set up an agreement that makes clear how you’ll manage different situations such as joint costs or what you’ll do if one party wants to sell.
So is an alternative pathway to home ownership for you?
Well, only you can answer that so make sure you put some time into thinking through the right questions.
Want to get on the property ladder? Contact us for a chat or view our current listings for sale.