Fibro homes good investment option for FHBs

Fibro homes good investment option for FHBs

30 June 2010 by Staff Reporter 1 comments

Buying a fibro home can save first home buyers upwards of $100,000.

According to new research by Raine & Horne, buying fibro has long enabled first home buyers to purchase homes on a decent block of land rather than simply settling for an apartment or townhouse.

Raine & Horne Bankstown recently sold 49 Cooper Road at Birrong for $441,500.

Despite the robust price tag, Raine & Horne Bankstown principal Robert Spitalieri says a similar brick home would fetch between $50,000 and $100,000 more.

“There is a scarcity of fibro homes in the region, so it is a great time for existing owners to sell to meet first home buyer demand. Investors looking to build duplexes are also interested in land with a fibro home attached,” Mr Spitalieri said.

According to property researcher PriceFinder, a two bedroom and one bathroom fibro house in Bankstown is, on average, 18 per cent cheaper than a brick equivalent.

Raine & Horne’s chief executive officer Angus Raine said this saving meant fibro homes represented a good value buy.

By purchasing an affordable fibro home, homeowners can pay off their mortgage quicker and build equity in the property.

“After five years, owners can upgrade to a different home or knock over the fibro home and build a new house in its place,” Mr Raine said.

Buying a fibro home can save first home buyers upwards of $100,000.

According to new research by Raine & Horne, buying fibro has long enabled first home buyers to purchase homes on a decent block of land rather than simply settling for an apartment or townhouse.

Raine & Horne Bankstown recently sold 49 Cooper Road at Birrong for $441,500.

Despite the robust price tag, Raine & Horne Bankstown principal Robert Spitalieri says a similar brick home would fetch between $50,000 and $100,000 more.

“There is a scarcity of fibro homes in the region, so it is a great time for existing owners to sell to meet first home buyer demand. Investors looking to build duplexes are also interested in land with a fibro home attached,” Mr Spitalieri said.

According to property researcher PriceFinder, a two bedroom and one bathroom fibro house in Bankstown is, on average, 18 per cent cheaper than a brick equivalent.

Raine & Horne’s chief executive officer Angus Raine said this saving meant fibro homes represented a good value buy.

By purchasing an affordable fibro home, homeowners can pay off their mortgage quicker and build equity in the property.

“After five years, owners can upgrade to a different home or knock over the fibro home and build a new house in its place,” Mr Raine said.

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