We hope the year has started well for you and that you have exciting things planned for 2023!
It’s looking to be another good year for property investors despite the uncertainty in the marketplace.
Interest rates have probably got another couple of points increase left to go and property values are holding their own in high demand locations – but they’re often not quite what they were 12 months ago.
Despite all that, property sales are steady and rental demand is high.
The key to investing in this market is to make it work for you. If interest rates are a concern, look for a property with high yield. If you want to play it safe, look for properties in locations with high rental demand and a low vacancy rate – and make sure the property you’re interested in meets the needs of the local demographics.
And if all that sounds too hard, engage an expert or three.
We always recommend that your first step is to speak with a financial planner to really nut out your investing strategy and your goals. This will determine the key criteria you’re looking to achieve through investing.
Next, you need to speak to a good mortgage broker who specialises in investment loans to determine your borrowing capacity and the optimal structure for your loan.
And you need to speak to us so that we can bring it all together and find properties that meet your criteria and budget. We will go through the features and benefits of each option, ensure that you understand the cashflow and the impact of changes to rates, rental yield, etc.
Right now we’re on the cusp of change. We’re in the post Covid period where things are coming back to life. One sign of major change is the Chinese Government’s decision for international students to return to study immediately. In an article in the Australian Financial Review, Education Minister Jason Clare has stated that around 35,000 Chinese students returned to Australia during January. With a reported 150,000 Chinese students enrolled in Australian universities, this will have a massive impact on rental demand in locations close to universities or within an easy commute.
Our recommendation is to position yourself so that you’re able to make the most of these changing conditions.
We’re here to help if you’re ready to change your future.