You may be familiar with the words from the song, but in some cases it can be desperately true. Especially when it comes to making living decisions, you can need to save every dollar you possibly can to be able to live comfortable or in some cases just get by. So today we present the five best suburbs in Melbourne and a couple of Sydney gems to look at buying in if affordability is your biggest issue. Whilst it may not provide everything you desire in liveability and social ambitions, these suburbs can get you in to the market and help kick start your home buying career.
Melbourne's best suburbs for low income earners:
Dandenong is a very appealing suburb to look at investing in to for low income earners. The positives and why you should consider Dandenong are that it's close to the major freeways, making entrance in and out of the city relatively easy. There is major redevelopment going on there with businesses moving in and it seems residential investment is also improving there.
Heidelberg West is an affordable, quiet, and improving suburb. It's located in good proximity to neighbouring suburbs, including Ivanhoe, Heidelberg or Northland in Preston. Transport is assisted with great access to ring road and Bell St (both handy for getting to the airport) and it is very close to La Trobe Uni (lots of students live in the area), well serviced by buses to the city or 5 minute trip to train (Heidelberg or Ivanhoe) or tram (Preston).
This can be a great alternative if you are looking at alternatives to more expensive suburbs to Fitzroy or Northcote which seemed to have already hit Booming prices.
Sunshine has had wraps about it for a while, and for good reason. It is a great entry suburb for investment and can provide you a great way to get in to the market, without having to sacrifice lifestyle or the amenities you need to live a good life. Sunshine is a great place to look at buying because of its location, there are also facilities being added to the area, with Melbourne's major rail network looking to roll through here, with Sunshine being a major hub.
Sunshine is a great place to move into if you want a nice, decent-sized old home that you can fix up, raise your kids and spend time at home. It is still affordable to buy and it – and its surrounding suburbs like Albion – is among the last of the old suburbs of Melbourne that are still relatively cheap.
Reservoir has lots of period homes, picket fences and rose gardens. Its a great suburb with lots of facilities and parks. For transport you have the option of tram or train, and its still Zone 1. Its also nice and close to Preston market, the yummy asian food restaurants of high st, and coffee/ cafe central Thornbury. The demographic of Reservoir is definitely changing with more people being pushed out of Thornbury and Preston and into Reservoir. A lot of the streets are filled with lots of professionals, retiree's and young families. Definitely one to watch over the next 5 years.
Granted, this one has been sniffed out and already started to boom, but if you have a little more in your savings, Footscray is a great suburb to look at buying in to. It's proximity is one of its key selling points, being only a couple of train stations out of Melbourne's CBD. It has flourished with a diverse community of people, including some phenomenal Ethiopian, Vietnamese, Thai, Korean, The PRC, Hong Kong, and Indian businesses that have really come in and given the suburb a fantastic new found glory.
Some of the great things about Footscray include, leafy streets, with an enchanting mixture of old and new housing, that are complimented by plenty of green spaces, and quiet retreats from the hustle and bustle of the central business district.
There are also some gorgeous homes in the suburb as well, like the home at 113 Eleanor Street, Footscray that is quoting $580,000-$630,000
There are some great suburbs out there if you are looking at entering the market, but money is a major concern. Start by checking out these 5 Melbourne suburbs to find something that may be in your price bracket and help you just get your first step in to Melbourne's booming market.
Sydney gems that can help you start buying property:
Penrith is a very appealing suburb for those in Sydney trying to crack the market. Penrith has grown steadily and offers everything you need. Located near the Nepean River, and providing Blue Mountain Views, there is a real sense of community in the streets.
You can easily access Sydney via the Motorway or Great Western Highway as well as the western train line. Great selection of private schools, most of which are located in the upper class rural areas surrounding Penrith such as St Pauls Grammar in Cranebrook or Penrith Anglican College in Orchard Hills. There is also a wide selection of public schools in most suburbs along with Shopping Precincts, Sporting Fields & Walking Tracks. A great affordable area.
Mt Druitt, 43km west of Sydney, is turning into a property boom zone as investors look to cash in on its high rate of renters - more than 40 per cent of Mt Druitt residents are tenants.
In July 2013, Mt Druitt cemented its status as a seller's market after a house sold for $780,000.
Local real estate agents say demand for houses and units in Mt Druitt is outstripping supply.
While some parts of Sydney have recorded negative growth recently, Mt Druitt house prices have increased a healthy 12 per cent in the past three years, and offer a seven per cent rental yield.
More than 40 per cent of Mt Druitt's population rent, making it attractive to potential buyers.
Investors have a number of investment properties in Mt Druitt. They offer a rare mix of price growth potential and high rental yield.
There are good options on the market, but you need to do your research and really look at how you expect the suburb will gain value over the coming years. When looking at entering a developing area where prices are cheaper, look to see if infrastructure is coming, if redevelopment has been improved and commenced and the reasons people will want to move there with in the next five years. If you can't see a strong demand coming within the next five years, then seriously question if entering these entry suburbs is worth doing, or if you should wait to have more equity which allows you to buy in to a blue chip suburb.
About the Author:
Todd Schulberg handles all things marketing for Homely.com.au - Living and breathing property, Todd has a keen interest in the movements in the market and how agents can utilise new tools and technology in order to be more connected. Using all things social, Todd suggests different ways that agents can engage and think outside the square with their marketing approach.