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Weighing up city units versus suburban houses

When weighing up whether to invest in inner city apartments or outer suburban houses, there are a range of factors to consider, including land values, depreciation and rent returns.

Split image of Melbourne high-rise apartments and outer Sydney suburban aerial view of houses
Land values may offer the best opportunity for capital growth.

When weighing up whether to invest in inner city apartments or outer suburban houses, there are a range of factors to consider.

Plenty of people will advise that investing in the inner city is the best option.

That’s often because they live in the inner city themselves and tend to believe everyone wants to live so close to work they can take a lift downstairs and walk there, or find a tenant who wants the same convenience.

While in the past th…