Where does everyone think the Sydney growth is going to come from? Your average family can barely afford the 500k price tag on a middle ring suburb at the moment. Sorry I just cannot see where the growth is going to come from, unless you buy really well. While I do agree Sydney is a great place to invest long term, can you really see an upswing happening so soon? I would rather not pay the shortfall. Say a 500k house rented for $400 p/w will cost ALOT to hold. I personally think Melbourne or Brisbane is a better bet at the moment and should return at least 3-5% p/a. Yields are starting to get better as well.