[PODCAST] The Property Dilemma: Investment-Grade Apartments or Secondary Location Houses? With Stuart Wemyss

We all have a limit to our budgets, and I know many investors have to make the decision: should you invest in an investment-grade apartment in a prime location or a house in a secondary location?

Each option has its benefits and challenges and choosing the right one can significantly impact your investment returns.

Today I’m joined by Stuart Wemyss and I ask him what makes an apartment "investment-grade," the critical role of location in property investment, and how to balance capital growth with rental yield.

We'll also explore market trends, tenant preferences, and long-term investment strategies to help you determine which option aligns best with your financial goals.

Unlocking property wealth and long-term investment success

In this episode of the Michael Yardney Podcast Stuart Wemyss shares his expertise on various aspects of property investment, helping listeners navigate the complexities of choosing the right property, understanding market trends, and making informed decisions that align with their long-term financial goals.

• The critical decision of investing in an investment-grade apartment in a prime location versus a house in a secondary location
• What makes an apartment investment-grade and why older-style apartments in desirable zones often outperform
  • Land value
  • Location
  • Houses vs. apartments vs. townhouses
• The importance of land value in shaping long-term investment returns
• The evolving dynamics of property investment, particularly in areas 20-40 kilometres from the CBD
• The advantages and challenges of investing in properties located further from the city centre
• The significance of walkability, accessibility to amenities, and the pitfalls of house and land packages
• The post-COVID surge in development costs for new apartments and the resulting market dynamics
• Opportunities to purchase high-quality assets below replacement costs
• Urban congestion and the shift towards higher-density living

Our chat today provides a comprehensive view of the current property market and equips listeners with practical tips for making sound investment decisions.

Whether you're a seasoned investor or just starting out, this episode offers valuable insights to help you achieve long-term property success.

Links and Resources:

Michael Yardney

Stuart Wemyss – Prosolution Private Clients

Stuart’s Book – Rules of the Lending Game & Investopoly

Get the team at Metropole to help build your personal Strategic Property Plan Click here and have a chat with us

Some of our favourite quotes from the show:

“Anyway, when you get the council rating certificate, you can see what they attribute to the land component and currently, in Melbourne in particular, where apartments have underperformed, you can virtually buy them at land value.” - Michael Yardney

https://michaelyardney.com.au/

“People who buy the in the right location, well-located, established, family-friendly apartments are likely to do well over the medium to long-term, even though by the end of the year they'll probably find that houses have done better.” - Michael Yardney

“This may sound cliche but work less and play more. You'll never regret taking a vacation, engaging in a new hobby, or spending a day with those who make you happy.” - Michael Yardney

Also, please subscribe to my new podcast Demographics Decoded with Simon Kuestenmacher – just look for Demographics Decoded wherever you are listening to this podcast and subscribe so each week we can unveil the trends shaping your future.