Whether you're an investor, owner-occupier or first-homebuyer, the skyrocketing prices of homes in Australian cities can make you feel a little glum.
In April of 2016 the Daily Telegraph reported that cheap homes in Sydney are history, stating that: ‘buying a house for under $400,000 in Sydney has gone the same was as the fax machine and VHS recorder - relegated to the history books.” In the same vein, the Australian Financial Review have dubbed properties within 5kms of Sydney CBD as being part of the ‘million-dollar club.’
You’re probably wondering, ‘so what can I actually get for $500,000 AUD?’ Well, we thought we’d take a look, not only in our own urban backyards, but also at our international friends to see where you can get more bang for your buck.
For comparison’s sake, let’s start with Sydney.
Property type: Apartment - 1 bedroom, 1 bathroom, 0 parking.
Suburb: Stanmore, Sydney Inner West.
Distance from CBD: 7.8kms.
Located in the vibrant Inner West of Sydney is a one bedroom apartment within walking distance to Stanmore train station, and a hop and skip to the vibrant centre of Petersham.
Property type: Apartment - 1 bedroom, 1 bathroom, 1 parking.
Suburb: St Kilda, Melbourne.
Distance from CBD: 7.4kms.
Melbourne is often touted as a more affordable city for investors. Nestled in the waterside suburb of St Kilda is this chic 1 bedroom apartment with polished concrete flooring, an entertainer's balcony and handy car space. Growth in the St Kilda area recently sat at about 31.79%.
New York, USA
Property type: Studio Apartment - 1 bathroom, 0 parking.
Suburb: Upper East Side, New York County.
Distance from CBD: 13.35kms.
For $437,297 AUD you can bag yourself a studio apartment in New York's trendy Upper East Side. The studio is within walking distance to the Manhattan, so is the perfect location for a driven and ambitious go-getter.
“Did you know? In 2015, Sydney was ranked second worst in terms of global housing affordability; Hong Kong came in at number one.”
Property type: Apartment - 2 bedrooms, 1 bathroom, 0 parking.
Suburb: Embrajadores, Madrid.
Distance from CBD: 1.7kms.
If you're a fan of warm, dry climates and everything in sight being bathed in a soft golden hue, then you could consider a move to Spain. For under $500,000 AUD you can nab a 2 bedroom apartment in the quaint suburb of Embrajadores. Private parking is a luxury you might not be able to afford, but with Madrid's efficient subway and transport links working like clockwork, a car isn't really a necessity anyway.
Property type: House, 9 bedrooms, 10 bathrooms, plenty of parking.
Suburb: South Jakarta.
Distance from CBD: 15kms.
Fancy a 9 bedroom, 10 bathroom house for under $500,000 AUD? Well, consider putting a move to Jakarta on the cards. But, it's not all rainbows and roses, because while the home is only 15kms from the CBD, the notorious Jakarta traffic means you could spend 50 minutes in traffic jams on your morning commute.
And for homebuyers looking for an idyllic sea or tree change?
Providence Island, The Bahamas
Property type: 3 bedroom apartment, 1 bathroom.
Suburb: Providence Island, The Bahamas
If you're searching for a touch of paradise, for under $500,000 AUD you could purchase a 3 bedroom, 172.34 m2 apartment on New Providence Island in The Bahamas.
Property type: House - 5 bedrooms, 2 bathrooms, plenty of parking.
Suburb: Central Montreuil-Bellay, France.
Check out this huge 5 bedroom family home in Montreuil-Bellay, where for less than $500,000 AUD you can live out your Francophile dreams. Situated about 3 hours from Paris and a short drive from the cities of Tours and Nantes, it's the perfect base for road trips and weekends in Aix-En-Provence. The property also features a large yard, workshop and garden shed.