Hold vs sell Melbourne
Howdy,
I bought a PPOR in peak of 2021 in Melbourne. Stayed there for about 3 years and moved out.
Got a townhouse in Brisbane last year 2025 and I am not thinking to go back to Melbourne or Melbourne property. Melbourne Property is in nicer established suburb, brick with concrete stumps built in 1990 renovated in 2010. (Stand alone house 500 sqm block )
Melbourne property is on rent but yield is very low. I am putting 1k per month (after negative gearing tax rebate ) on top of rental income to cover mortgage. There is also bit of repairs being older property as well. Property has also not given me any capital gains since 4.5 years.
Brisbane townhouse has grown good.
Total loan is more than a mill.
Should I sell that property and put in my townhouse and try to pay it off in next 5 years and then shop for IP somewhere down that line say after 2 years ?
If I put that money (after selling ) in my PPOR loan, I would be making/ saving 12k which I am paying on top after rent + 16k in offset/ loan reduction (6% interest of 200k) =28 k total per year.
Melbourne property doesn’t look like will increase 4% per year so selling is wiser?
On the other hand I would lose negative gearing tax grandfathered and won’t be able to enter market easily as stamp duty (40k?) and selling cost lost.
Both loans are P&I.
I am enthusiast yet new to property investment. Please advice.