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are there any disadvantages to dha investment properties?
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i think the strongest reason against dha purchases (i don't consider them investments) is points 3 and 5 mentioned above. the resale market is only to other investors that are convinced its a good investment.if you can't sell to owner occupiers, you've just removed the majority of your potential pool of people to resell to - this has a devastating effect on your ability to make any capital gain from your investment - if you're not chasing capital gain...be sure to understand why! (see article below)the marketing people will have you believe that dha is a great investment from a yield perspective...maybe so, i haven't crunched the numbers. but in my opinion, i would wonder - who cares?yield is important to ensure you can hold the property, but if there is no capital growth and you can't sell it for a profit or release some equity to buy the next investment, then you've just put a massive road block in your wealth building path.i am at the asset accumulation phase of my investing journey, so my opinion is skewed towards capital growth investments. unless you have a sizable equity base already, in my opinion $4-5 million in debt free assets, then you should be looking for capital growth assets...not high yield.this article from your investment property magazine, although now dated, gives a good example to illustrate my point on why capital growth is the sensible strategy during the asset building phase of your wealth creation journey: why capital growth is still king  i think the strongest reason against dha purchases (i don't consider them investments) is points 3 and 5 mentioned above.  the resale market is only to other investors that are convinced its a good investment. if you can't sell to owner occupiers, you've just removed the majority of your potential pool of people to resell to - this has a devastating effect on your ability to make any capital gain from your investment - if you're not chasing capital gain...be sure to understand why! (see article below) the marketing people will have you believe that dha is a great investment from a yield perspective...maybe so, i haven't crunched the numbers. but in my opinion, i would wonder - who cares? yield is important to ensure you can hold the property, but if there is no capital growth and you can't sell it for a profit or release some equity to buy the next investment, then you've just put a massive road block in your wealth building path. i am at the asset accumulation phase of my investing journey, so my opinion is skewed towards capital growth investments. unless you have a sizable equity base already, in my opinion $4-5 million in debt free assets, then you should be looking for capital growth assets...not high yield. this article from your investment property magazine, although now dated, gives a good example to illustrate my point on why capital growth is the sensible strategy during the asset building phase of your wealth creation journey: why capital growth is still king
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