What’s Best – First Home Or Investment?

Trying to decide whether to buy a home to live in or purchase your first investment property? It’s a very tricky path to navigate.  With rising prices, competing opinions, and a growing list of government incentives, the ‘simple’ choice for today’s first-time buyers has never been more complex and expensive.

Traditionally, buying your own home was the clear goal. But with many capital city markets pushing beyond the million-dollar mark, that approach doesn’t work for everyone anymore. Instead, buyers are now exploring alternate paths — like rentvesting — to get their foot in the door.

Both strategies have merit. The real challenge is figuring out which one sets you up for success — not just now, but five, ten, even twenty years into the future.

Why This Decision Is So Hard Right Now

Here’s the part most buyers miss: government support is at an all-time high, but that hasn’t made the decision easier. In fact, it’s created more confusion than clarity.

• You’re told to speak to a mortgage broker (and you should), but they’ll often ask you to decide what you want.
• Friends and family will have plenty of opinions — but rarely the context or experience to guide you properly.
• Media stories focus on headlines, not your personal financial reality.
• Many government schemes sound appealing, but they may not suit your long-term goals. In some cases, buyers are actually better off not using the available assistance — but how would you know?

That’s the real danger. Without a clear decision-making process, many FTBs bounce between websites, professionals, and social feeds trying to piece it all together. But the right decision depends on a mix of personal, financial, and practical factors — and no single person or website will lay them all out.

Until now.

We’ve created a guide that maps out the entire decision-making process. Instead of scratching around for bits of advice, you’ll have everything you need in one place — including real examples, comparisons, and a step-by-step process to help you choose the right strategy.

But first, here’s a quick look at your two main options.

Buying a Home: Still a Smart Move for Many

If you’re craving stability, emotional connection, and a place to truly call your own, buying a home can be the right move — especially if you’re purchasing within your means in a growth area.

Benefits include:

• Stability and control: Live on your own terms — no landlords, no lease renewals.
• Personalisation: Renovate, decorate, adopt a pet — your space, your rules.
• Capital growth potential: Your home can still be a strong long-term asset if you buy smart.
• Government support: Grants and stamp duty concessions can make buying easier for eligible FHBs.
• Changed rules: In some areas there’s the potential to rent out a room to help pay the mortgage without losing the government support.
• Emotional security: There’s real power in coming home to a place that’s truly yours.

The major downside is you’ll be limited to purchasing only a specific segment of properties due to purchase price caps or other key criteria.

Rent-vesting: A Strategic First Step

If the home you want is out of reach for now — or you’re more focused on financial growth than settling down — rent-vesting could be the smarter play.

Benefits include:

• Market entry sooner: Use a smaller deposit to buy in a more affordable location.
• Lifestyle freedom: Rent in a great area while your investment works in the background.
• Tax advantages: Claim deductions on property expenses and reduce your tax bill.
• Equity-building: Use capital growth from your investment to step up to a better home later.
• Flexibility: Move when you want, travel when you like — without being tied to a mortgage where you live.

The downside of course is that if you don’t use the grants and assistance packages now, you might never have access to them again. 

So Which Option is Right for You?

There’s no universal answer —that’s exactly the problem, but also the opportunity.

The best choice depends on your goals, finances, lifestyle, and even your future plans for family or work. That’s why we created a comprehensive guide to help you compare the range of paths and property options and make the most informed decision possible.

Inside the guide, you’ll find:

✅ The 6 essential steps to decide whether to buy a home or investment first.
✅ A breakdown of all current grants, concessions, and government schemes — and how to use them strategically.
✅ Tips on selecting new vs existing properties, and houses vs units.
✅ Current, real-life purchase examples from across Australia.
✅ A sample financial comparison to model short- and long-term outcomes.
✅ Practical insights to avoid common traps and move forward with clarity.

Make Your First Property Decision the Smart Way

Whatever you choose, success starts with clarity. Don’t let guesswork, outdated info, or well-meaning noise lead you down the wrong path, and stop wasting time in the stress of indecision.

👉 Download the free guide: What’s Best – First Home or Investment?