Should I buy a one bed or 2 bed room apartment in Adelaide?
Real Estate buying decisions come down to two words:
Are you an investor or owner occupier?
I would always opt for at least a 2 bedroom apartment.
Flexibility is the key here. I can rent one room and produce income.(think Airbnb & student homestays)
On-going costs are marginally higher fora two-bedroom apartment but these costs can be-off-set
by the above strategies.
Circumstances often change!
Selling and renting your apartment is easier with that extra bedroom.
Couples, friends, and families can all share the cost of purchase.
In most cases in Adelaide I would opt for a 2 bedroom apartment.
How much can you borrow/ afford?
You are limited by the funds you can borrow and your short or long-term goals
Maybe all you can afford is a one bedroom apartment.
If so,make sure it comes with a car- park.!
One bedroom apartments in the Adelaide CBD, Norwood and North Adelaide
can offer excellent returns if they come with a car-park.
Naturally, it all comes down to affordability too:
In Sydney, you might consider a studio or even a bed-sit in prestigious
suburbs like Vaucluse, Rosebay and Potts Point.
In Adelaide, these types of properties are very hard to finance as banks are reluctant to lend on such small spaces.
Gyms and pools are nice but come with a high price!
Beware of amenities buildings as the strata fees will eat into your profits. It is great to have a gym a pool and a spa for your tenant. However, YOU pay via strata fees for the up-keep. of these amenities. And when it comes to selling:
Buyers hate high strata fees and so will you!
No one wants to shell out thousands of dollars every year to live in their own home!
In conclusion, what type of apartment you buy always depends on multiple variables.
Nevertheless, keep an eye out on
-rental demand for 1 or 2 bedroom apartments
these factors should help inform your decision making process.