We were hit with instant regret after buying our dream townhouse that ended up a money-draining 'nightmare' - now we know better and are thriving with five properties

Talar and Michael Wadeson have purchased five properties in Australia Talar, 43, told FEMAIL their biggest regret  Read more: House flipper adds $950k to house in six months after renovation 

A couple has revealed the mistakes they made that left them in crippling debt after buying a townhouse in their 20s in a bid to live the 'Australian dream'.

Talar and Michael Wadeson, 43, from Melbourne, built the property when they were 23 - but after choosing a poor location and facing countless issues with builders, they sold it only a few years later with a $30,000 loss.

Now with five properties under their belt, the pair admit they did everything wrong the first time around.

They had no idea how to invest properly, didn't consider other areas (both in and outer state) with a better market and hadn't spent time selecting reputable builders and real estate agents.

'It was a regretful property purchase. It was a complete disaster, everything that could go wrong did,' Talar, a mum-of-four and physiotherapist, told FEMAIL.

A couple has revealed the mistakes they made that left them in crippling debt after buying a townhouse in their 20s in a bid to live the 'Australian dream'

'There were issues with the property, we had tenants move in and out, but we held onto it for a few years [before it was time to get rid of it].'

Talar said the initial fear of getting into the market was overwhelming, especially at a young age. Now she understands just how simple it can be - if done right.

In 2015 they made another poor choice by purchasing a unit which, looking back, 'wasn't ideal' as a long-term investment due to strata fees and a slower growth rate compared to houses.

Two years later they decided to seek assistance from buyer's agent Open Corp to avoid making the same poor decisions again.

In six years they purchased three properties which have increased in value and they have an estimated $650,000 in equity.

The married couple own five properties spanning across Melbourne, Brisbane and Western Australia

Their early experiences highlight why those looking to get on the property ladder shouldn't 'buy for the sake of buying' - as issues are likely to arise and profit isn't guaranteed.

Talar and Michael share the same dream - early retirement and financial security for themselves and their four children.

They have a goal of achieving $150,000 of passive income and would like to be in a position to help set up their kids too.

They hope to obtain one property for each of their four kids while also earning enough cash flow to retire early.

The properties span across Melbourne, Brisbane and Western Australia; they made their last three purchases in 2017, 2020 and 2023.

The recent three investments are all four bedroom, two bathroom new build houses - as opposed to established units or townhouses.

With each build $10,000 is required to secure the land followed by $90,000 for the deposit and other costs. The house then takes about 42 weeks to build.

Back in 2020 interest rates were an all-time low and the couple weren't feeling the financial burden of their assets. However, four years on, they're starting to feel the pressure.

Michael, who's an electrician, needs to work six days a week to keep up with the repayments and earn enough to support his family

With each build $10,000 is required to secure the land followed by $90,000 for the deposit and other costs. The house itself then takes around 42 weeks to build

Michael, who's an electrician, needs to work six days a week to keep up with the repayments and earn enough to support his family.

'Most investors are just normal people like us wanting to get ahead and make a different in our children's future,' Talar said.

'We understand property is a long-term plan - you don't make any money buying and selling. We work hard to be in the position we're in and the good thing about property is that it always increases.'

The couple currently owe $1.7million but know this is 'good debt, not bad debt' - and they plan to pay it off as soon as possible.

'We have an "old-school" mentality and want to own our properties,' Talar said.

The task is no easy feat, but they're working towards paying off their lowest mortgage first then work their way up.

The couple are smart with their money, budget well, rarely go on family holidays, and have an emergency fund 'just in case' they need some extra cash.

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And if they really need to - they're prepared to sell a property if the cost of living or interest rates skyrocket out of control.

'We've grown from our mistakes. It's made us better people,' Talar said.

'People are afraid to make the leap with property, but it's actually quite simple. If I knew what I know now at 20 I probably would be retired already.

'We don't have an emotional attachment to any of the houses - I haven't even seen all of them in person.'

While they have an eye-watering amount in property equity, they don't plan on using it yet but likely will in future to put towards another new build.