Deciding whether to invest in property or buy a home to live in is tough. Although the decision might seem straightforward, the consequences can have a lasting impact on your financial future.

When you think about buying a home, there are hurdles like figuring out if you can afford to buy where you really want to live. . On the flip side, rentvesting gives you flexibility, but you need to watch out for changes in the rental market and think long-term about investing and its potential impact on your future ability to buy a home.

In this episode, we talk about the pros and cons of both options. Join us as we dive into the rentvesting versus homeownership debate, examining the advantages, disadvantages, and everything in between.

Episode Highlights:

00:00 - Introduction

02:06 - Should you rentvest or buy a home to live in?

03:16 - Two critical questions one must ask themselves before considering rentvesting

08:42 - Who are the two most ideal candidates for rentvesting?

10:52 - Rentvesting pro #1: You can buy anywhere

14:16 - Rentvesting pro #2: You get rental income

15:45 - Rentvesting pro #3: You get tax deductions if it’s negatively geared

17:13 - Rentvesting con #1: You have no access to grants/incentives as a first home buyer

20:17 - Rentvesting con #2: It could limit your borrowing capacity to buy your future home

24:29 - Rentvesting con #3: The potential uncertainty and risks associated with renting

25:55 - Rentvesting con #4: Selling an investment property incurs capital gains tax

29:03 - Bonus: What you need to know about investment properties and land tax

Resources mentioned in this episode:

• Courses for first home buyers who don’t want to miss a step: https://homebuyeracademy.com.au/all-courses
• The Stepping Stone Strategy Tutorial https://homebuyeracademy.com.au/ssstutorial
• Kick start your property journey here: https://homebuyeracademy.com.au/tutorials

Resources:

• FREE MINI COURSE: How to price property like a professional https://www.homebuyeracademy.com.au/freecourse
• Meet our recommended mortgage brokers at Home Buyer Academy https://homebuyeracademy.com.au/brokers
• Visit our website https://www.homebuyeracademy.com.au/
• Learn how to buy property without making a mistake with our ultimate 10-step online course for first time home buyers https://homebuyeracademy.com.au/YFHBG
• If you have any questions or would like to be featured on our show, contact us at: Your First Home Buyer Guide Podcast [email protected]
• Looking for a Sydney Buyers Agent? https://www.gooddeeds.com.au
• Work with Veronica: https://www.veronicamorgan.com.au
• Looking for a Brisbane Buyers Agent? https://www.propertypursuit.com.au/
• Work with Meighan: https://www.linkedin.com/in/meighanwells/

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